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Cleaning Business Insurance and Bonding: What you need to know [2024 Guide]

Last Updated on March 25, 2024 by The ZenMaid Team

As you know, starting a residential cleaning company is a big undertaking, and protecting your business from potential risks is essential to its success. Understanding cleaning business insurance and bonding is your first step. Buying policies for your cleaning business to become bonded and insured is your second step.

Before we get started, it’s important to note that bonding and insuring a company are two different forms of protection for a business. (read on below)

A quick note:

The contents of this article are meant to help you grow your cleaning business, but should not be taken as legal advice. Always consult with an attorney and/or accountant to help make legal and financial decisions. If you need help finding a professional in your area, see what other cleaning business owners recommend in our ZenMaid Mastermind.  

What is the difference between bonding and insurance?

Bonding is a type of guarantee that protects your clients from financial loss if you fail to complete a job as agreed upon in your contract. For example, if a cleaning business is bonded, their client is protected if the cleaning business fails to complete the job as agreed or causes damage to the client’s property. The bond acts as a third-party guarantee, with the bond issuer guaranteeing payment to the client if a claim is made.

Insurance is a type of financial protection that protects a business from potential losses. For example, liability insurance protects a cleaning business from financial loss if they are found responsible for damaging a client’s property. Workers’ compensation insurance protects a cleaning business from financial loss if an employee is injured on the job.

It is recommended that cleaning businesses have both bonding and insurance in place to provide comprehensive protection for their business and clients.

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How do I get insurance for my cleaning business?

Having your cleaning business bonded and insured can also help you attract, retain, and build trust with customers. Many customers prefer to work with businesses that have insurance, as it demonstrates that you take your business seriously and are committed to protecting their personal assets, which enhances their customer experience.

In this article, we’ll cover everything you need to know about getting insurance for your cleaning business, including the different types of insurance to consider, how to get your business bonded, estimated costs, and tips for finding the best insurance provider for your business.

Source: Andres Canchon at UnSplash

Insurance for your cleaning business — does it really matter?

Essentially, business insurance acts as a safety net for your business, helping you weather financial storms and recover from losses. 

As a cleaning business owner, you face a number of risks every day, from property damage and theft to accidents and lawsuits. These risks can come from a variety of sources — like customers, employees, and contractors — and can result in significant financial losses for your business.

By purchasing business insurance, you can protect your cleaning business against these potential losses. With business insurance in place, you won’t have to worry about covering the costs of lawsuits, property damage, or other financial losses out of your own pocket. Ultimately, business insurance gives you peace of mind and security over your assets — can you really put a price tag on that?

What business insurance can protect you from

When you’re in the early days of starting a cleaning business, expenses seem endless! After the expense of cleaning supplies, marketing, employees, software, and not to mention paying yourself, one more cost might feel painful. But trust us, it’s worth it.

Without business insurance, you could find yourself in a difficult financial situation if faced with unexpected events or legal liabilities. If you find yourself thinking, “yeah, but that won’t happen to me,” consider the following scenarios:

Legal Liabilities: Cleaning business owners may find themselves in trouble if a customer or employee is injured on the job. Without business insurance, you may be held personally responsible for covering the cost of medical bills and other damages. Business insurance can help protect you from these legal liabilities.

Damages to Customer’s Property: Cleaning business owners may be held responsible for damages to a customer’s property, such as broken furniture or ruined carpet. Business insurance can help cover the cost of these damages, so you don’t have to pay out of pocket.

Loss of Income: Without business insurance, cleaning business owners may not be able to recover from losses caused by a natural disaster, theft, or other unexpected events. Business insurance can help cover the cost of lost income and help you get your cleaning business back up and running as quickly as possible.

Employee Injuries: Cleaning business owners may be held responsible for covering the cost of medical bills and lost wages if an employee is injured on the job. Business insurance can help cover these costs, so you don’t have to pay out of pocket.

Lawsuits: Cleaning business owners may face lawsuits if a customer or employee alleges that you or your employees have acted negligently or committed fraud. Business insurance can help cover the cost of legal fees and settlements, so you don’t have to pay out of pocket.

Source: Tingey Injury Law Firm at UnSplash

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Are you required by law to have cleaning business insurance?

The requirement for business insurance varies by state, but most states do not have a specific requirement for businesses to carry insurance. However, there are certain circumstances where insurance may be legally required. For example, if a cleaning business has employees, they may be required to carry workers’ compensation insurance in most states.

Additionally, if a cleaning business is bidding on government contracts, it may be required to carry certain types of insurance, such as liability insurance. Some states also have specific requirements for bonding for businesses that provide certain services, such as construction or home services.

It is important for cleaning business owners to research their specific state’s requirements for business insurance and bonding, as well as to consider the risks associated with their business when determining what types of insurance to carry. Consulting with an insurance agent or attorney can also be helpful in understanding your state’s requirements and in making informed decisions about insurance for your cleaning business.

Looking to start a cleaning business and would love a guide specific to your state? Search for your state in our online magazine right here .

When you might not need cleaning business insurance

While we recommend insurance for all cleaning businesses, not all states require business insurance. There may be some circumstances where it’s not 100% necessary. Here are some instances when you might not need business insurance:

Sole Proprietorship: If you own a sole proprietorship and don’t have any employees, you may not need business insurance. It is, however, recommended that you have liability insurance to protect yourself in case of a covered event.

Working with a Reliable Partner: If you work with a reliable partner who has comprehensive business insurance, you may not need to purchase your own insurance. However, it’s still essential to verify that your partner’s insurance covers all potential risks associated with your cleaning business.

No High-Risk Activities: If your cleaning business doesn’t involve any high-risk activities, such as using chemicals, you may not need business insurance. However, it’s still recommended that you have liability insurance to protect yourself in case of a covered event.

Source: Brooke Cagle at UnSplash

How to get business insurance in five simple steps

Getting business insurance for your cleaning business can seem daunting, but it doesn’t have to be. We’ve simplified the process into five steps below:

Step 1: Assess your business needs. Consider the type of cleaning services you offer, the equipment and supplies you use, the number of employees you have, and any other factors that may impact your business’s insurance needs.

Step 2: Once you have assessed your business’s insurance needs, it’s time to shop around for insurance policies. You can start by getting quotes from multiple insurance providers, either directly or through an insurance agent. Compare policies and coverage options, as well as costs, to find the best policy for your business.

Step 3: After you have compared quotes and coverage options, choose a policy that meets your business’s needs and budget. Make sure you understand what is covered under the policy, as well as any exclusions or limits.

Step 4: Once you have chosen a policy, it’s time to purchase it. This typically involves filling out an application, paying the premium, and receiving a policy certificate. Make sure you have a copy of the policy certificate for your records.

Step 5: Review your policy regularly, especially after any significant changes to your business, such as adding employees or expanding your services. Update your policy as needed to make sure it continues to meet your business’s needs.

Another option is to find an insurance agent before you choose a policy. Registered agents can help you understand some of the legal jargon that comes with insurance contracts before you sign anything. Just remember, most agents are motivated to sell because they get a commission from policyholders. If you’re having trouble finding an agent, ask a question in our free ZenMaid Mastermind Facebook group to get feedback from other cleaning business owners.

What kind of insurance should I consider for my cleaning business?

When it comes to protecting your cleaning business, there are several types of insurance to consider. Let’s take a look at the most common ones:

General Liability Insurance: 

This type of insurance protects your business against third-party claims of bodily injury or property damage. It covers medical expenses, court costs, and damages, up to the policy limit. For cleaning businesses, this insurance is especially important as it covers accidents that might occur while cleaning someone else’s property.

Product Liability Insurance: 

Cleaning supplies insurance, also known as product liability insurance, provides protection for your cleaning business in case of damages or injuries caused by your cleaning products. This type of insurance can cover legal fees, medical expenses, and other costs associated with product liability claims.

Workers’ Compensation Insurance: 

If your cleaning business employs one or more people, it is mandatory to carry workers’ compensation insurance. This insurance covers medical expenses and lost wages for employees who get injured on the job.

Commercial Property Insurance: 

This insurance covers your business’s physical assets, such as equipment, supplies, and inventory, in case of damage or theft. For cleaning businesses, this insurance can also cover loss of income due to a fire or other covered event that disrupts operations.

Commercial Auto Insurance: 

If your cleaning business uses company vehicles, it is important to have commercial auto insurance to protect your business from financial loss in case of accidents, theft, or damage to the vehicle. Commercial auto insurance can cover both the vehicle and the driver, as well as any damages to other people or property. This insurance can also provide coverage for rental vehicles and employees’ personal vehicles used for business purposes.

Hired and Non-Owned Insurance: 

Hired and non-owned insurance is an add-on rider to a general liability policy that provides coverage for cleaning employees or contractors who use their own vehicles or rental vehicles for business purposes. Whether you have W-9 employees or 1099 contractors working for you, if they are using their personal vehicle during your company’s time, your company may still be held liable. Please note, however, that Hired and Non-Owned Insurance is not a replacement for personal auto insurance. If an employee or contractor causes an accident while driving their own vehicle, their personal auto insurance will still be the primary coverage for the accident.

Business Interruption Insurance: 

This insurance provides financial compensation for lost income if your cleaning business is unable to operate due to a covered event such as a natural disaster. It can also cover expenses related to relocating the business temporarily.

Professional Liability Insurance: 

Also known as Errors and Omissions Insurance, this type of insurance covers claims of negligence or errors made by your cleaning business while providing services.

Source: Micheile at UnSplash

How much does cleaning business insurance cost?

The cost of insurance for your business varies depending on several factors, including the size of your business, the number of employees, the types of insurance you choose, and the coverage limits you set.

It’s important to understand that paying for insurance is an investment in the protection and future success of your cleaning business. While it may seem like an added expense in the short term, insurance can save you thousands of dollars in the long run by protecting you against potential lawsuits, property damage, and other financial losses.

So, let’s say one of your cleaners has just mopped the floor of a client’s home, and the client trips over it and sues you for medical expenses and lost wages. Without liability insurance, you would be responsible for covering these costs out of pocket, which could be tens of thousands of dollars or more. But, with liability insurance, your insurance company would step in and cover these costs, protecting you from financial ruin.

Similarly, property insurance can protect your cleaning business’s physical assets, such as equipment and supplies, in the event of theft, damage, or loss. This can save you thousands of dollars in the long run, as you wouldn’t have to pay out of pocket to replace damaged or stolen items.

Paying a reasonable fee for insurance now is an investment that can protect your cleaning business against potential financial losses and ensure its long-term success. While it may seem like an added expense in the short term, it can be worth its weight in gold for the long run.

Average costs of business insurance

The average cost of general liability insurance for cleaning businesses ranges from $500 to $1,500 per year. Workers’ compensation insurance costs an average of $1 to $2 per $100 of an employee’s salary. Commercial property insurance costs an average of $500 to $1,000 per year, depending on the coverage limits and the value of the assets being insured.

When shopping for business insurance, be sure to compare quotes from multiple insurance providers (we’ll share some examples in just a minute)! This will help you find the best deal that meets your business’s insurance needs.

Best insurance provider for cleaning businesses

The best companies to get business insurance from for cleaning businesses will vary depending on your specific needs and budget. However, here are some well-known and reputable companies that offer business insurance for cleaning businesses. 

Here’s a round-up of the top ones compared against each other:

Next is a business insurance provider that puts small businesses front and center. With a simple, efficient online process, they’ve streamlined the way you get coverage, making it possible to secure a policy in less than 10 minutes. Praised by reputable platforms like Forbes and CNN, and boasting a 4.7 out of 5-star rating from over 5,000 reviews, Next is clearly doing something right.

What Next offers

Next provides a comprehensive range of insurance options, including General Liability, Workers’ Compensation, and Professional Liability, among others. Whether you’re a sole proprietor, an LLC, or running a home-based business, Next has tailored packages to suit your specific needs. On top of this, they offer tools and resources that let you manage your policy effortlessly online. Serving more than 420,000 small businesses, Next makes sure you can meet legal requirements and protect your business without breaking the bank or wasting time.

• Quick online quote and policy purchase: If you’re in a hurry to get covered, Next can get you sorted in no time. Perfect for business owners who can’t afford to wait.
• Add tools and equipment insurance: Great for those who have invested heavily in their cleaning equipment and can’t afford to risk damages.
• Includes errors and omissions insurance: Helpful for legal protection if your services don’t meet a client’s expectations.
• No janitorial service bonds available: If bonding is essential for your clientele, you might need to look elsewhere or buy these separately.

Nationwide is more than just an insurance company; it’s a stalwart partner for businesses. With a track record spanning over 90 years, Nationwide serves a diverse clientele, including more than half a million small businesses. They earn top marks for strength and stability from A.M. Best, Moody’s, and Standard & Poor’s, offering extraordinary care and customized solutions.

What Nationwide offers

Nationwide goes beyond the insurance basics, providing added value through resources for risk management and loss control. Their vast network of friendly and knowledgeable agents ensures that you find the perfect coverage for your unique business needs. A long history in agriculture and a commitment to customer satisfaction make Nationwide a versatile and reliable choice for any business.

• Offers business service bonds (fidelity bonds): This gives your clients an added layer of trust, knowing that they’re protected against potential theft by your employees.
• Option to add equipment breakdown coverage: If you rely on specialized machinery, this feature can be a lifesaver.
• Can’t purchase coverage online: You’ll need to set aside time to speak to an agent, which could delay your operations.
• No easy online access to your certificate of insurance: This can be cumbersome when you need to prove your coverage to potential clients.
• Lower ratings for customer service.

Huckleberry

Imagine getting business insurance with less hassle than it takes to order a pizza. That’s Huckleberry for you — no paperwork, instant coverage, and you can wrap up the whole process in under five minutes. Here’s a closer look:

What Huckleberry offers

Huckleberry streamlines the insurance process, offering a quick and paperless experience that 95% of customers complete in just five minutes. Instant quotes are the norm, but if you’re an exception, you’ll get your price within a day. The digital-first approach eliminates the need for cumbersome paperwork, while customer reviews consistently highlight an intuitive interface, responsive service, and cost savings.

• Quick online price estimates: Perfect if you’re shopping around and need to compare options in a jiffy.
• Access your insurance certificate online for free: No waiting or additional fees to prove you’re insured.
• Doesn’t sell janitorial service bonds: Again, if these bonds are essential, this might not be your go-to choice.
• Policies are underwritten by other companies: This could make the claims process more complicated than necessary.

Hiscox has an impressive history of more than a century — supporting the courageous since 1901. They focus on tailored policies, fast quotes, and instant coverage, which is why over 500,000 small businesses have chosen Hiscox as their insurance partner. Let’s dig into why Hiscox could be a good option for your cleaning business insurance.

What Hiscox offers

Hiscox prides itself on offering policies that are customized to fit your unique business needs. The one-size-fits-all approach just doesn’t cut it anymore, and Hiscox gets that. With a whopping 94% positive review rate, it’s evident that Hiscox is doing something right. Clients appreciate their clear and efficient claims process and the depth of expertise they bring to the table.

• Offers commercial crime insurance add-ons: Ideal if you handle high-value items or work in sensitive environments.
• Buy a Business Owner’s Policy (BOP) online: A one-stop-shop for multiple coverage types.
• Doesn’t offer its own commercial auto insurance: If your business uses vehicles extensively, you’ll need to purchase this coverage elsewhere.

When it comes to safeguarding your cleaning business, you want a trusted and knowledgeable insurance partner in your corner. Acuity has been doing business since 1925 and have built up an impressive clientele of over 120,000 businesses. They hold a robust A+ rating from both A.M. Best and Standard & Poor’s, underlining their financial stability and commitment to customer satisfaction? Let’s unpack their offerings to give you a clearer picture.

What Acuity offers

With a portfolio of more than 120,000 businesses, Acuity has demonstrated a level of expertise and trust that speaks volumes. For a cleaning business owner like yourself, this could translate to peace of mind. Acuity boasts a 97% positive experience rate when it comes to handling claims. That means if the unexpected happens, you’re in capable hands. You’ll get a dedicated point of contact to walk you through the entire process, making it as hassle-free as possible.

• Low average quoted premiums: Budget-friendly options for startups and smaller operations.
• Offers loss control services and a nurse helpline: Extra resources to help you manage risks and workplace incidents.
• High financial strength rating: A trustworthy option for the long term.
• No employee benefits offered: You’ll have to look elsewhere for things like health or dental insurance for your staff.

Travelers Insurance recognizes that your line of work has unique challenges and risks — be it potential slip and fall accidents, property damage, or workers’ compensation issues. That’s why their extensive list of insurance options covers more than just the basics.

What Travelers offers

Travelers provides a myriad of policies that could be beneficial for your cleaning business. Their Workers Compensation and General Liability options are pretty much a given for any service-oriented venture. If you’re dealing with confidential customer information, their Cyber Insurance is something you’ll want to look into. And if you’ve got a diverse team managing various aspects of your operation, the Management & Professional Liability coverage is a wise addition.

• Highest financial strength grade: This company isn’t going anywhere; your policy is safe and secure.
• BOP includes employee theft coverage: A niche offering that could save you a lot down the line.
• Higher average quoted premiums: Quality comes at a cost.
• More complaints for workers’ compensation: Something to consider if you have a larger workforce.

Source: Towfiqu Barbhuiya

What does it mean to get bonded for a cleaning business?

Bonding is another important aspect of protecting your cleaning business. A bond is a type of insurance that guarantees payment if a specified obligation is not fulfilled. In the context of a cleaning business, a bond is a guarantee that your business will fulfill its obligations, like completing a job or properly handling customer property.

Getting bonded for your cleaning business can be an important step in protecting your business against potential financial losses. For example, if a customer alleges that your business did not complete a job as agreed, or if the customer’s property is damaged or goes missing, a bond can provide a source of funds to pay for damages or make restitution.

The most common bond protects against work that does not get done. However, another type of bond residential cleaning services should consider is a theft bond. This type of bond is designed to protect against the risk of employee theft. In the course of their work, cleaners may have access to valuable personal possessions. If an employee were to steal something and be convicted of a crime, a theft bond would cover the cost of the missing item. Theft bonds are not always included in standard bonding packages, so check with your insurance provider to see if this type of coverage is available and if it can be added to an existing policy. 

Bonding can also be an important factor in attracting and retaining customers. By getting bonded, you can demonstrate to potential customers that you take your business seriously and are committed to fulfilling your obligations. This can help build trust with customers and increase the likelihood that they will choose your business over others.

How to get your cleaning business bonded

Cleaning business owners can get bonded through an insurance agent, broker, or bonding company. These professionals can help you understand the bonding process and find a bonding solution that fits your business’s needs.

Bonding is typically purchased as a separate policy from business insurance. While some insurance providers may offer bonding as part of a broader business insurance package, it’s important to understand that bonding and business insurance serve different purposes and protect against different risks.

When looking for a bonding solution, it’s important to consider factors such as the type and amount of bond you need, the cost of the bond, and the underwriting criteria of the bonding company. An insurance agent, broker, or bonding company can help you understand these factors and find a bonding solution that fits your business’s needs and budget.

Best providers for cleaning business bonding

Many insurance providers offer bonding as part of their insurance packages, so to keep things simple, it may be helpful to consider bundling a bonding option with your main business insurance provider. That said, here are a few providers that specialize in bonding:

Surety Solutions Insurance Services

If you’re a cleaning business owner looking for a straightforward way to secure surety bonds, Surety Solutions, A Gallagher Company, offers a hassle-free experience. With a user-friendly online marketplace, you can select your state, bond type, and amount to instantly receive free, no-obligation quotes. They offer a wide range of bonds tailored to various industries — from contractor and fidelity bonds to court and mortgage bonds. 

Partnering with leading surety companies like The Hanover Insurance Group and The Hartford, they aim to provide competitive quotes that fit your budget. Plus, their customer service is top-notch, boasting over 200 five-star ratings on Google Reviews. All in all, it’s a quick and reliable option for fulfilling your bonding needs.

ProSure Group

When it comes to securing surety bonds, ProSure Group has got you covered, no matter what cleaning niche you have. With over 20 years of experience, they offer an array of bond types, from Payment & Performance Bonds to specialized Court Bonds. Their trusted partnerships with leading surety companies add an extra layer of reliability. If you’re a cleaning business owner, you might be interested in their Fidelity Bonds, which protect against employee dishonesty, or their License & Permit Bonds, often required to operate legally.

What ProSure offers

The platform makes it simple to apply and pay for bonds online, even allowing you to pinpoint bonds specific to your state’s requirements. Plus, their expert advisors are just a call away, ready to guide you through the process and help you select the bond that fits your cleaning business’s unique needs. Whether you’re a small enterprise or scaling up, ProSure Group offers a streamlined, trustworthy path to securing the bonds you need.

Contractors Bonding and Insurance Company (CBIC)

Contractors Bonding and Insurance Company (CBIC) is a specialist in the field of surety bonds and insurance, backed by decades of experience and an A+ rating from AM Best. If you’re a cleaning business owner, CBIC can be a solid go-to for surety and fidelity bonds. Their experienced underwriters are agile in responding to the specific needs of various industries, making them a reliable partner for your bonding requirements.

What CBIC offers

With a focus on both small and medium-sized businesses, CBIC’s product offerings are extensive. They provide everything from general contractor insurance packages to specialized bonds tailored for unique needs. Whether you’re an individual or a growing cleaning company, CBIC’s comprehensive policies, like their Surety and Fidelity Bonds, can offer the protection and peace of mind you’re looking for.

Source:  Edwin Hooper at Unsplash

Red flags to look out for when shopping for cleaning business insurance

For the right insurance for your cleaning business, be mindful of potential red flags. These warning signs can indicate that an insurance provider may not be a good fit for your business. Here are some red flags to look out for:

Unclear Policies: If an insurance provider’s policies are unclear or hard to understand, it’s a sign that they may not be trustworthy. It’s essential to choose an insurance provider that is transparent and has clear policies that you can easily understand.

High Deductibles: High deductibles can increase the cost of insurance and leave you with significant out-of-pocket expenses in case of a claim. If an insurance provider’s deductibles are significantly higher than others, it’s a red flag.

Limited Coverage: Some insurance providers may offer limited coverage, which may not fully protect your cleaning business in case of a covered event. It’s essential to choose an insurance provider that offers comprehensive coverage that meets your business’s unique needs.

Poor Reputation: Before choosing an insurance provider, it’s essential to research their reputation. Read reviews and ask for referrals from other business owners. If an insurance provider has a history of denying claims or providing poor customer service, it’s a red flag.

Unreasonable Prices: If an insurance provider’s prices seem too good to be true, they probably are. Unreasonably low prices can indicate that the insurance provider is offering limited coverage or has high deductibles. It’s essential to choose an insurance provider that offers fair prices and comprehensive coverage.

It is always best to conduct your own research and compare coverage options, customer reviews, and costs before making a decision. That being said, some insurance companies may not be a good fit for cleaning businesses due to limited coverage options, high costs, or poor customer service. Do your due diligence and research the insurance company you’re considering thoroughly to ensure they’re a good fit for your cleaning business.

You can start by checking the financial stability of the insurance company through organizations such as A.M. Best , which rates insurance companies based on their financial stability and ability to pay claims. You can also read customer reviews and check the insurance company’s complaint record with your state’s insurance department to get an idea of their level of customer satisfaction.

Wrapping up

Whether you’re looking to protect your business against lawsuits, property damage, or financial losses, there is a type of insurance that can help. By understanding the different types of insurance available, estimating costs, and doing your research, you can find the best insurance provider for your cleaning business.

Remember, paying for insurance is an investment in the protection and success of your business, and can ultimately save you thousands of dollars in the long run.

Your next step

If you found this article helpful for your maid service, you may also like:

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• Residential and commercial cleaning services: how to do both
• How to Use Customer Reviews to Grow Your Maid Service

ZenMaid is the simple scheduling software that will help you save 30+ hours in your cleaning business, every week. Join thousands of other cleaning business owners who now have time to take a nap, spend time with their family and take vacations! Start your free 14-day trial today to discover how many hours you can get back in your week.

Amar is the founder and CEO of ZenMaid Software, Inc. He started and ran Fast Friendly Spotless, a maid service in Orange County, CA. With the help of customized software to automate work he successfully operated the service in under 30 minutes per day. He created ZenMaid scheduling software to help other maid service owners do the same.

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How To Start A Cleaning Business (2024 Guide)

Updated: Jul 25, 2024, 6:11pm

Table of Contents

Before you get started: choose your business structure, 5 steps for starting a cleaning business, how to advertise and find clients, frequently asked questions.

As a cleaning business, you’ll offer a service that is an absolute necessity for people’s daily lives at home and at work. Commercial and residential cleaning businesses provide the same service but have different requirements in terms of materials, clients and marketing. In this guide, we’ll walk you through how to start a cleaning business as a side gig or a full-time career.

If you’re starting your business from scratch, you’ll need to start by choosing your business name and filing company formation paperwork. Although there are upfront costs, this is a crucial step for making sure you can operate your business successfully and start building a loyal client base.

You’ll likely need to form a limited liability company (LLC) or corporation to get started. After doing some research on available names, you can start the process of getting your paperwork in order.

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Step 1: Know Your Market

When you’re looking to start a cleaning business, you should research the other businesses in the area and the services they offer. If they’re working in the same market as you, what extra services can you offer? You can also look into offering incentives on your pricing to encourage repeat customers.

Part of your research must include reading reviews on Yelp and Google to see what people’s main compliments and complaints are. If customers want more flexible options, you can fill that gap in the market.

Step 2: Choose Your Specialty

Based on your market research, you’ll then need to determine an area of focus for your business. Is there higher demand for commercial services in your area, or residential? Where do you have the least competition? The route you choose will determine what kinds of training you’ll need and what insurance to carry, so choose carefully.

Commercial Cleaning Services

A commercial cleaning business handles spaces like offices, hospitals, schools, retail storefronts and other large spaces where businesses operate. This service is providing janitors to large businesses that need to keep everything clean and in order so people can move through the spaces easily.

To clean spaces like these, you may need specialized equipment. It’s also likely that you’ll have to work overnight in order not to interrupt the company’s daily business operations and enroll your cleaners in classes or obtain certifications. These are especially important in any location that requires extra care with biohazards or sterile environments.

Your cleaning team will need to go in with a regular routine and they’ll have to know what they’re doing. Having a well-trained, professional team is crucial for commercial cleaning.

Consumer Cleaning Services

Consumer cleaning entails working in people’s homes or residential spaces. You’ll likely get more direction from your client because it’s their personal space and they might  have different specifications week by week. Your cleaners will have to be adaptable and respectful to the client’s home.

Residential cleaners also have to be more detail-focused and keep track of the ways that rooms are arranged. Cleaning will also take a longer time because of these details. Because of this, the rates might have to be higher to compensate for a lower business volume over the course of a day.

Step 3: Generalist or Niche?

Even after you pick to pursue the consumer or commercial cleaning route, you can still choose to specialize within that field.

As a commercial cleaner, you could specialize in cleaning schools and using cleaning materials that are certified to be safe for children. If you’re hoping to work with hospitals, you’ll want to stock up on specialized materials and cleaning practices for hospitals.

Providing flexible, customer-chosen options for residential services can be a good niche service as well. Advertising your services to homes with young children is a good way to build up a client base because families need consistent services.

Step 4: Set Your Rates

There are three ways to set rates for a cleaning business: hourly, flat or calculated by square footage. Hourly and flat rates work for either commercial or consumer cleaning. It could be prudent to start with an hourly rate for residential homes, and then calculate a flat-rate offering based on how long it takes your cleaners to finish an average single-family home.

Rates calculated by square footage are very common for commercial cleaning businesses. Since you’re doing more regular and repetitive work, it makes sense to simply calculate by how large the space is and how much labor you’ll have to devote to the space.

Step 5: Budget for Transport, Equipment and More

Budgeting in the beginning requires thinking through all of the stages the employees of your business will go through in the cleaning process. If you need any specialized equipment, you’ll want to invest in that upfront so you can get started immediately. Special equipment like floor waxers might require training for your employees as well.

In addition to transporting equipment, you may also need to provide transportation for your employees. But even if you expect employees to find their own way to the job site, a qualified individual from your company should oversee the transport of the materials and make sure they get from the office to the job site. A transportation budget should be an early consideration.

Cleaning equipment will be a big expense. In addition to specialized cleaning equipment, you’ll need a large stock of cleaning materials like brooms, mops, disinfectants, protective equipment for employees and much more. It’s important to keep these well stocked, especially during a busy week, in case of any supply chain shortages or other random occurrences.

Once you decide how niche or general your offerings are going to be and what kind of cleaning you’re going to do, you can start to develop a marketing plan.

First, identify your target clients. You’ll want to advertise your services in places where your clients congregate, online or in person. For cleaning family homes, you can advertise on websites like Nextdoor or put up fliers in local businesses.

For commercial cleaning services, you’ll be looking into signing larger contracts with property managers. You can start looking into who owns various properties you think are in need of better cleaning services and reach out to the owners to pitch your services. Asking what they need and finding a way to carry out that need will serve you well in the long run.

A customer relationship management (CRM) program can help you keep track of clients’ contact information, specific requirements and more. As you expand your business, many options also sync with invoicing software so that you can easily bill your clients for your work. Check out our list of the best CRM software to find one that suits your needs.

What is the best business structure?

The best business structure for your business will depend entirely on what kind of company you form, your industry and what you want to accomplish. But any successful business structure will be one that will help your company set realistic goals and follow through on set tasks.

Is it worth starting a cleaning business?

If you have a strong business plan and you’re ready to cover a new niche in the market, it’s worth starting a cleaning business. Cleaning services are also extremely in demand and always essential, so it’s likely you’ll always have some money coming into the business.

How do I get my first cleaning client?

First, you have to advertise your business and your services. Figure out where you can get your information in front of prospective clients and advertise your business there.

What kind of licenses and insurance do you need for a cleaning business?

To operate a business in most locations, you will likely need a business license issued by the city your company is based in, known as a general business license. These can be obtained by visiting your local city hall or the city’s official government website.

As far as insurance, all businesses should have general liability insurance, which protects you and your workers in the event of property damage and bodily harm. Most customers will expect you to provide proof that you have liability insurance before hiring you for a job. Other insurance you should have include workers’ compensation―unless you are a solopreneur―and a janitorial bond, which covers you in case an employee commits theft while working for you in a customer’s home or workplace. Not having any one of these forms of insurance can doom your business in the wrong scenario.

What kind of advertising tools should I use for my cleaning business?

It’s important to hit the ground running with your business and getting the word out about it will be essential to getting it off to a good start. To do this, people have to know about it. The first thing that you need to do is create a good name that is related to the business, doesn’t conflict with any local or national companies and is one that your potential customer can remember. With that, you need to create a logo, which will go on everything from your website―which you also need to have to advertise your business―business cards, flyers, company location (if you have one) and business vehicles. Finally, you need to have some form of booking software connected to your website that our customers can use to set up appointments themselves.

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Julia is a writer in New York and started covering tech and business during the pandemic. She also covers books and the publishing industry.

Cassie is a deputy editor collaborating with teams around the world while living in the beautiful hills of Kentucky. Focusing on bringing growth to small businesses, she is passionate about economic development and has held positions on the boards of directors of two non-profit organizations seeking to revitalize her former railroad town. Prior to joining the team at Forbes Advisor, Cassie was a content operations manager and copywriting manager.

• Definitive Guide to Cleaning...

Definitive Guide to Cleaning Business Insurance & Bonding

Author: Stephanie Faris | Oct 16, 2023

A cleaning business can be a lucrative startup venture. Households, businesses, and government agencies look for cleaning services and are willing to pay well for them. But before you start a cleaning-based business, make sure you understand the risks, including employee injury and property damage or theft.

Cleaning Business Insurance and Bonding

Business insurance for cleaners comes in two major parts, and each serves its own purpose. The first part is the liability insurance you see with most businesses. This liability insurance protects you if an employee or customer suffers injury or property damage in the course of conducting business.

But another important part of cleaning company insurance is bonding. When a cleaning company says it’s “licensed and bonded,” that means it holds a surety bond against claims of employee dishonesty. If you or your workers clean a house, only to have the homeowner claim something was missing, your surety bond coverage will kick in to cover damages.

What Is Covered By Cleaning Business Insurance?

The surety bond makes cleaning company insurance a little more complicated than other business types. You’ll likely need more than one policy to cover everything.

Business insurance for cleaners typically covers:

• Injury to your employees or clients
• Damage to client property
• Damage to commercial vehicles used for your business
• Employee theft of client property
• Damage to property owned by your business

Each policy will have its own limitations. Your general liability policy won’t, for instance, cover damage or theft of your own cleaning equipment and supplies. You’ll need to add coverage for that. Also, look at the upper limits of each policy to make sure you won’t be left paying a large chunk of the cost if you have an insurance claim .

Types of Cleaning Business Insurance

Running any business means facing an element of risk. But cleaning businesses face an enhanced risk for a variety of reasons:

• Employees are entering private residences
• Employees engage in strenuous activities
• Certain cleaning chemicals can cause health issues
• Wet floors create a slip-and-fall risk

For that reason, business insurance for cleaners typically means bundling policies. A business owners policy will pair general liability with property insurance coverage, but you’ll still need to add workers’ compensation , commercial auto , and business interruption insurance, as well as a janitorial bond.

Below are the various types of cleaning company insurance, with information on what they cover.

General Liability Insurance

Owning a business comes with some liability. If something happens involving one of your customers, your business could be held responsible. General liability business insurance for cleaners is designed to cover both your customers and their property against damage caused by you or your employees.

With general liability insurance , cleaning companies have protection if a customer slips and falls due to a wet floor or your employee accidentally damages that customer’s property. General liability insurance also helps protect you against legal claims of libel or slander.

Workers’ Compensation Insurance

Once you hire your first employee, you’ll need to look into whether it’s time to get workers’ compensation insurance . Required by law, workers’ compensation insurance covers lost wages, medical bills, and the cost to defend any legal action related to your employees being injured on the job.

Before buying business insurance for cleaners, look into your state’s requirements. The coverage you need will likely be based on your payroll dollars. By knowing the law, you can avoid buying more workers’ comp insurance than you need.

Commercial Auto Insurance

So far, the bond and insurance for cleaning business described here relates to what you need for your employees to enter buildings and interact with customers. What about the vehicle the worker uses to get to the worksite?

Commercial auto business insurance for cleaners will cover any harm caused to property or people by vehicles owned by your company. This coverage will help with any medical bills or repair costs when the person driving your company vehicle is at fault.

Umbrella Insurance

No matter how well you’re insured and bonded for cleaning business purposes, your coverage has limits. Umbrella insurance can kick in to take care of the rest. An umbrella insurance policy can cover legal costs, property damage, and medical bills not taken care of by your other policies.

Cleaning businesses can come with an element of risk. If your employees or customers have a high-dollar claim, it can quickly exceed your coverage limits. That’s why umbrella coverage is often an important part of business insurance for cleaners.

How Much Does Cleaning Business Insurance Cost?

The cost of business insurance for cleaners should be included in your estimated operating cost fairly early on. Some of your prospective clients will ask to see proof of insurance and bonds for your cleaning business, so you’ll at least need general liability insurance.

According to Insureon, the median general liability insurance cost for cleaners is $530 per year, which will run you less than $45 each month. But you can save money by bundling your general liability with your property insurance in a business owners policy, which Insureon estimates at costing only $520 per year, or $43 per month.

Where Can You Get Cleaning Business Insurance?

There’s no shortage of insurers offering cleaning business insurance, which makes finding the right provider a little challenging. Here are some top companies offering business insurance cleaning policies.

CNA offers commercial insurance policies that can be customized to fit business insurance for cleaners. You’ll find all the basic coverage types, including surety bonds, and CNA offers bundling discounts to help you save money.

One downside to CNA is that you’ll need to go through an agent to set up your policy. The company also has a large number of negative reviews relating to claim denials and unsatisfactory customer service.

If you prefer a business insurer with an easy-to-use online portal, Travelers is a great option. You’ll have to go through an agent to get a quote, but once your policy is in place, you’ll have a handy dashboard for managing your policy and filing claims.

Although Travelers does have its fair share of online complaints, most relate to personal insurance. On the business side, you’ll find complaints about canceling coverage and difficulty reaching customer service. But overall, Travelers does have a higher customer satisfaction rating than average.

Gallagher offers business insurance for cleaners through third-party providers. You can request a quote, manage your policy, and file a claim through its website. Your policy is customized to your needs to ensure you don’t pay for extra coverage.

If you’re looking for insurance and bonding for cleaning business purposes, though, you’ll definitely need to compare quotes. Customers report higher prices through Gallagher than through some competitors.

A fast, efficient quote process is what sets Next Insurance apart from competitors. You’ll simply choose the coverage you need, answer some questions, and wait for a quote. Once your policy is in place, you can manage everything through Next’s easy-to-use mobile app.

Next’s customer reviews are relatively positive, but there are some complaints. One commonly reported issue is unexpected premium increases once policies are in place. If you’re getting a commercial auto policy, you should also be aware that Next sources those policies through a third-party provider.

Businesses that prefer working with an agent might like Nationwide. You can request a quote online, but setting up and managing your policy requires an agent. Nationwide provides insurance and bonding for cleaning business owners, including some specialized coverage like equipment breakdown insurance.

There are complaints about Nationwide, though. Most negative reviews mention slow response times and increases in premiums. However, there are plenty of reviews reporting good customer service experiences.

Huckleberry

Huckleberry is another provider of business insurance for cleaners with an online process. You can sign up for your policy and manage it through the online portal. When you sign with Huckleberry, though, your policy is managed with third-party providers. The good news is that insurers tend to be established and reliable.

Customer reviews are better than average for Huckleberry, but there are some complaints about customer service. The biggest issue is that support is only available through chat, so if you prefer to make a phone call, Huckleberry might not be the best option for your cleaning business.

You can also get an online quote from Hiscox, an insurer that specializes in small business insurance policies. Requesting a quote and managing your policy online is easy, but like other online insurers, some coverage is outsourced to third parties.

One downside to Hiscox is that business owners policies are limited. Some coverage isn’t available in all 50 states, as well. Some online reviews praise their customer service, but you’ll find plenty of complaints about claims handling and poor communication.

Business insurance for cleaners requires a policy that covers a wide variety of risks. From theft to employee injury to client property damage, it’s important to make sure you have an insurer who knows your unique needs. By bundling multiple coverage types, you may be able to save money while also getting a policy you can manage in one place.

What does employers liability limits mean?

Employer liability limits refers to the limits you select when you’re taking out your workers’ compensation policy. The basic employer liability coverage is usually $100,000/$500,000/$100,000, which is $100,000 per accident, $500,000 per policy, and $100,000 per employee.

What is the purpose of employer’s liability?

Employer’s liability insurance helps protect your business against worker claims due to illness or injury sustained on the job. In some cases, insurance can cover those costs to reduce the risk of a lawsuit, but if legal action does occur, insurance can help cover those costs.

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Cleaning Business Bonding: What Is It and How to Get Bonded

• November 30, 2019

Here we’ll explain cleaning business bonding, from what it is, to how it works and how to get it.

What Is Cleaning Business Bonding and How Does It Work?

By “cleaning business bonding,” we really mean a janitorial services bond, which is a type of fidelity bond. What does that mean? Here’s a simple explanation.

A janitorial services bond involves three parties: your cleaning business, your client, and your insurance company. Your cleaning business buys the bond from your insurance company to protect your client.

The bond expires after some time, so you’ll usually pay your insurance company on a yearly basis to renew the bond. Thankfully, bonds cost less than their actual coverage amount, which makes them much cheaper than insurance.

If one of your cleaning business’ employees steals money or property from your client—or is falsely accused of stealing—then your client can make a claim against your bond.

If your cleaning business’ employee is found guilty, your insurance company pays your client the value of the stolen goods up to the bond amount. Afterwards, you’ll need to pay your insurance company that amount back, but not necessarily immediately or all at once.

This way, the bond protects your clients from employee theft and protects you from being forced to make sudden payouts to your clients. Bonds also tend to pay clients faster and more smoothly than insurance.

But you might be thinking, “this seems like it might be complicated and expensive… do I really need a cleaning business bond?”

Do You Need a Cleaning Business Bond?

Whether you need cleaning business bonding depends on your state and local laws, but there are other reasons to consider getting a cleaning business bond too.

Some state and local laws require cleaning business bonds.

Other states require cleaning businesses to be licensed. Since licensure requires a cleaning business bond, it make a cleaning business bond indirectly required.

Some state and local laws don’t require a cleaning business bond at all.

However, it’s not all just about laws, it’s also about your clients.

If you’re working for local government agencies, you may be required to have a cleaning business bond. And some types of clients, especially large businesses, might require you to have a bond before they’ll even consider you.

So do you need a cleaning business bond? Not necessarily, but it is definitely recommended. Here’s why you should really consider getting a cleaning business bond.

What are the Benefits of a Cleaning Business Bond?

There are many benefits to having cleaning business bonding.

Being a licensed, insured, and bonded cleaning business means you are trustworthy and credible as a business. This can help you build your brand, build trust, and attract more clients. It also gives you one more bullet point for your marketing.

Speaking of marketing, having a cleaning business bond helps you beat your competition. With a cleaning business bond, you level the playing field against other bonded cleaning businesses and you get a leg up over unbonded cleaning businesses.

Being bonded matters to clients. Some clients, like local government agencies and large businesses, specifically require you to have a cleaning business bond before they’ll even consider hiring you.

And, in the unfortunate event that one of your employees steals (or is falsely accused of stealing) from your client, your bond mitigates the risk of a sudden and large payout. You’ll still pay your insurance company that amount back, but at least it’s not so sudden.

How Much Does a Cleaning Business Bond Cost?

First, we should clear up that a cleaning business bond has two different amounts of money associated with it: the premium you pay your insurance company, and the amount the bond covers.

The premium, or price, of the bond, is how much you pay your insurance company, usually on a yearly basis. The premium depends on how much coverage you want.

The amount the bond covers is how much money the bond can pay to clients. If a claim is made against the bond, your insurance company will pay your client the value of the stolen property up to the maximum amount covered by the bond. You’ll need to repay that amount later.

Usually, the premium is much lower than the amount covered. But if you want to cover a higher amount, you’ll end up paying a higher premium.

So how much will a cleaning business bond cost you? Well, that depends on a few things.

First, how many employees do you want to cover? If you have more employees, you’ll probably need to cover a larger amount.

Second, how many clients do you have? Multiple clients can make claims against your bond at the same time, meaning if you have a larger client base then you might need to cover more.

Third, what types of clients do you have and how valuable is their property? If you’re cleaning up banks and businesses, their property is worth more, and their claims could be bigger.

So what pricing should you expect?

As an example, SuretyBonds.com offers the following:

For 1-5 employees

$125 premium for $10,000 amount $175 premium for $25,000 amount $250 premium for $50,000 amount $350 premium for $100,000 amount

For 6-10 employees

$145 premium for $10,000 amount $200 premium for $25,000 amount $300  premium for $50,000 amount $450 premium for $100,000 amount

For 11-20 employees

$185 premium for $10,000 amount $250 premium for $25,000 amount $400  premium for $50,000 amount $650 premium for $100,000 amount

So SuretyBonds’ prices range between $125-$625 for coverage amounts between $10,000-$100,000. But those are prices from just one insurance company.

Of course, you should spend some time shopping around, looking at different insurance companies, and comparing prices. Unfortunately, most insurance companies won’t advertise their prices outright and will require you to contact them for a quote.

So, where to go shopping for a cleaning business bond?

Where to Go Next to Get a Cleaning Business Bond

The easiest place to start looking is online. You can find several insurance companies advertising cleaning business bonds as janitorial service bonds online. Here are a few:

• SuretyBonds.com’s Janitorial Service Bond
• Insureon’s Janitorial Bonds for Cleaning Businesses
• JW Surety Bonds’ Cleaning Business Insurance with a Janitorial Bond
• Surety1’s Janitorial Surety Bond
• NFP Surety’s Janitorial Service Bond

Of course, you can also look around for local insurance companies. And if you already have an insurance company, you can always talk to them and discuss a cleaning business bond.

But if you don’t have an insurance company yet, here are some things you might want to look into.

Operating a Cleaning Business? Here Are Some Other Things to Consider

First, do you need a cleaning business license or permit? This depends on your state and local laws, but you might need a license to operate legally.

Second, does your cleaning business need insurance? And which types? You should consider General Liability, Professional Liability, Workers’ Compensation, Commercial Auto, and Commercial Property Insurance. You could also consider a Business Owner’s Policy.

Third, are there any tools or software that could help you manage your cleaning business?

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What is Bonding Insurance for a Cleaning Business and Why is it So Important?

by Archie Heinl | Sep 14, 2020 | Business | 0 comments

Build a more substantial customer base and protect them and your employees with bonding insurance for a cleaning business.

Starting a new business is fun, exciting, and it can be complicated. You get to choose a business name, open a business bank account, and open your mail to find that treasured business license. But one of the checklist items you can’t forget as you   get your business off the ground , is bonding insurance for a cleaning business.

Not every state requires bonding insurance, so it may be tempting to skip the cost. However, it’s a cost that’s worth incurring since the bond will protect your business, your employees, and your customers in the event of an adverse incident.

Add value for your clients by using Janitorial Manager to bid on, plan, and monitor jobs. Learn more about all the great features by  scheduling a free demo  today!

What is bonding insurance for a cleaning business?

A bond is very similar to an insurance policy. It prevents a client from being held liable should something go wrong on the job. If an employee misbehaves or does something illegal on the job, like stealing client property, the bond ensures that the client will be reimbursed for the loss up to the bond limits. (Bond coverage usually runs anywhere from $10K-$100K.)

While bonding insurance for a cleaning business is similar to insurance, they aren’t quite the same. Liability insurance protects the company from any losses it may sustain and usually covers small claims to avoid lawsuits and litigation. A bond is designed more to protect the customer in the event they suffer any damages while your team is on the job. Hopefully, you’ll never have to use the bond, but it’s a good idea to have it in place, just like insurance, should something happen.

Why is it so important?

Bonding insurance is essential for several reasons. First and foremost, some states won’t issue a business license without a surety bond. In those cases, the bonds are mandatory if you want to start a business.

Even if the bond isn’t required, it’s highly advisable to have one because accidents and incidents do happen. Should one of your employees accidentally break something on a job site, or worse, steal something, the bond helps ensure sure that the client is reimbursed and that the matter doesn’t necessarily have to go to court.

Another reason bonds are essential is that they help establish your credibility when  acquiring new customers . If the difference between you and the competitors is that they have bonds and you don’t, a customer will likely go with another service. Clients like to know that they’re protected and that whoever they hire as their cleaning company has the resources it needs to handle an unfortunate situation resulting in a loss.

How to get bonded

There are dozens of companies out there that can provide bonding insurance for a cleaning business. We suggest getting a few different quotes to compare prices and service from the insurance companies. Most quotes are free and only require filling out a quick application.

In most cases, an insurance company will check your credit score, which may affect the bond price. Generally, poor credit won’t deny you a bond, it’ll just make it more expensive. As you rebuild your credit, you can renegotiate the bond when your score goes up.

Bonds do expire , but they can easily be renewed before the expiration date. Thankfully, the renewal fee isn’t as much as the initial premium, but it is something to keep in mind for your budget whenever the bond runs out. If your bond is close to expiring, look into renewal before it lapses. If the bond does lapse, you may have to apply for a new one, it may cost you more money, and for a temporary period, you won’t be able to tell clients that you’re bonded, which can hurt your business.

Bear in mind, too, that there’s a difference between surety bonds and fidelity bonds. A surety bond protects the client from losses sustained due to improper conduct by your employees. Your state or city may require a surety bond to start a business, though, as mentioned, they aren’t always necessary. (They are always recommended, though.)

A fidelity bond protects your cleaning business from fraudulent incidents caused by your employees against your business. So a fidelity bond wouldn’t pay anything out to a client if something happened on the job site due to negligence or malicious intent. Fidelity bonds are generally not required and won’t make much of a difference in attracting and retaining clients. However, taking out a fidelity bond isn’t a bad idea if you have the cash for it.

How much does it cost?

Bonding insurance for a cleaning business can cost anywhere from $125-$650 for a year. The bond premium depends on a few things. First, your credit history will play a large part in determining the bond price, so the better your credit score, the cheaper the premium will be.

The number of employees who work for your business will also influence the cost of the premium. If, for example, you only have five employees, you won’t need a ton of coverage from the bond, so you may opt for a bond with a lower limit, thereby lowering the premium as well.

One last word of caution regarding prices: bonding insurance for a cleaning business often requires that the policy-holder (your company) pay the bonding company back for the losses paid out to a client, unlike liability insurance, which settles and then likely raises your premium. The benefit of the bond is that a) you are guaranteeing clients that they are protected, and b) you can often pay back the amount owed in installments instead of a lump sum, which can make a big difference for a small business.

Impress customers with the modern technology you use to manage your cleaning business.  Contact us  today for a free demo of Janitorial Manager to see how we can help you!

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Free Cleaning Service Business Plan (Download PDF Sample)

Download Our Free Template to Get Started

A cleaning company business plan is a comprehensive document outlining your cleaning company’s objectives and explaining your marketing plan , cleaning services, and funding information. It serves as the blueprint for your cleaning business. 

• Savvy entrepreneurs create a business plan when starting a new business, and they continue to update it as their business grows. 
• A well-written business plan will guide you through your journey as a small business owner. It will help you make critical decisions as you work hard to reach your goals over the years.
• You’ll be able to glimpse the bigger picture and keep track of your progress when you’ve got it all written down.
• A business plan will significantly increase your company’s chances of success , setting a clear path to long-term growth and helping you plan efficient organizational processes. 

If you’re aiming to gain the trust of potential investors, a business plan is a must-have tool that will show them if your business is worth taking the risk.

We’ve created a downloadable cleaning services business plan PDF that you can easily edit to fit your needs. Get my sample template below:

Components of a Cleaning Services Business Plan 

Now that you understand the importance of a cleaning company business plan, the next step is to start creating your own. But there’s no need to worry! We’ve done much of the legwork to ease the process of creating a business plan for you. 

Our free downloadable cleaning services business plan PDF contains essential components to help you define your goals and make better business decisions. 

However, keep in mind that every business plan is unique. You can remove or add any section as you deem necessary to create the best business plan for your cleaning company. 

Include the following elements to get started in the right direction: 

1. Executive Summary 

The first part of a comprehensive business plan is an executive summary, which provides an overview of your company and summarizes your entire business plan.

Highlight what makes your cleaning business stand out from competitors in the cleaning industry. You can also describe the weaknesses and shortcomings of other cleaning firms and how your company aims to solve these problems. 

You can include the following information in your executive summary: 

• Owner’s experience
• Mission statement
• The leadership team and employees
• Financial and growth goals

2. Company Description 

• Why did you decide to start a cleaning services company?
• What particular problems are you trying to solve, and how do you intend to beat competitors in the cleaning industry?

Your company description is where you emphasize the strengths and competitive advantages of your cleaning business. 

3. Objectives

Set the best objectives that will help keep your cleaning business on the right track.

• Think about the key goals you want to achieve, whether to reach a certain amount of sales revenue or expand your operations to a broader service area.
• When you carefully define your main goals and objectives, you’ll be able to take the proper steps to get where you want to go. 

4. Market Analysis

Market analysis gives you an insight into your target market share, the needs and demands of your customers, and your competitors.

• Do some research about the cleaning company industry and what your competitors lack to know how your company can gain an edge over others.
• With proper market analysis, you can also analyze the need for funding from financial institutions and investors. 

5. Organizational Structure 

• Define the specific roles that need to be filled, such as cleaners, an office manager, and a project manager.
• You can also talk about hiring competent personnel as your company grows and outsourcing services for processes like digital marketing and accounting. 

6. Cleaning Services

An essential part of a cleaning company business plan is identifying the type of cleaning services you intend to provide: 

• Scope of Cleaning Services – Do you plan to focus on bidding on commercial janitorial jobs , residential cleaning, housekeeping, post-construction cleaning or all types?
• List of Specific Cleaning Services – Talk about your company’s services and prices, from interior home cleaning and damage restoration to industrial cleaning. 
• Benefits of Your Cleaning Services – How will your target market benefit from your company’s services? Think about the problems you’re trying to solve for your customers, like giving them a wide selection of cleaning services to reduce the need for hiring multiple contractors. 

7. Marketing and Sales 

To survive in a competitive industry, your cleaning business needs to employ tailored marketing strategies to help you stand out and beat competitors.

Outline your marketing and sales strategies to promote your cleaning services, gain leads, and ultimately boost sales. You should determine the number of clients you must win to achieve your cleaning company’s profit goals. 

The most effective marketing strategies for cleaning businesses include: 

• Online Marketing – Your objectives can include building an authoritative business cleaning service website design , using paid advertising like Facebook ads , leveraging social media, implementing email marketing, and maintaining an excellent reputation online. 
• Offline Advertising – Timeless strategies include direct mail, distributing pamphlets and flyers, connecting with the local community, and creating branded merchandise. 

8. Funding Requests 

• Add this section if you need additional funding for day-to-day functions and operational expenses.
• You can create a table outlining your cleaning company’s expenses, letting potential investors and lenders know precisely where their money will go. 

9. Financial Projections 

Your cleaning company business plan should have a realistic financial forecast based on your extensive market analysis and company goals.

• It should include well-researched financial projections for the future to demonstrate your targeted profits. 
• Try to include a cash flow estimate, capital expenditures, and approximate payrolls for the next few years.
• You can create an annual or quarterly target profit that your team can work to accomplish. 

Pro-Top : include a cash flow estimate, capital expenditures, and approximate payrolls for the next few years. You can create an annual or quarterly target profit that your team can work to accomplish. 

10. Appendix

Your business plan ends with an appendix where you add all relevant documents, definitions, legal notes, and other critical information.

• You can include resumes, certifications, bank statements, credit reports, charts, and other supporting documents. 
• Refer readers to this section anywhere in your business plan when necessary. For example: “See Appendix, page 5, for management team certifications.”

Example of a Cleaning Services Business Plan PDF

You can open or download our free cleaning business plan PDF below:

To get an editable version on Google Docs, enter your email below:

Why Does My Cleaning Company Need a Business Plan? 

You might think, “But making a business plan sounds like a lot of work! Do I really need it for my cleaning company?” The quick answer is: Yes, you definitely need that business plan!

As tedious as it sounds, preparing a strategic business plan is crucial to set yourself up for success and not get lost along the way. 

Take a look at the following key reasons why your business will benefit from a cleaning company business plan: 

Find Out If Your Cleaning Services Business Idea Is Viable

Creating a business plan will help you test if your business idea is feasible, saving you time, money, and energy. Many aspiring entrepreneurs believe they have outstanding ideas that could never fail.

However, around 20% of business startups fail during the first year due to a lack of planning, among other things. 

To survive the cleaning business startup phase, you must perform careful and methodical planning and create a well-developed business plan. It’s the key step between visualizing the concept for your cleaning company and turning your vision into a successful business. 

Increase Your Chances of Growth and Success 

The cleaning industry is enormous, and competitive residential and commercial cleaning businesses are everywhere. There’s always demand for cleaning services. Around 80% of households in the US are expected to use home cleaning services by 2024. 

Considering the competition you’ll be facing, it helps to create a business plan that will help you identify how your cleaning company will stand out. 

• Extensive planning will help you pinpoint your target market, determine your unique selling proposition, and develop a startup and operating expenses budget.
• This process will ultimately set your cleaning business up for long-term growth and success.

Secure Financing

Established financial institutions, lenders, and investors typically perform an extensive investigation before committing to an investment. With a solid business plan, you’ll be more likely to secure the funds you need to get your business up and running. 

Common Questions about Cleaning Company Business Plans

A business plan will help you determine if your cleaning business idea is viable, increase your chances of success, and secure financing.

An executive summary includes a mission statement, information about the leadership team, and financial goals.

Final Thoughts: Driving Your Cleaning Company’s Success With a Solid Business Plan 

Equipped with a well-researched business plan, you’ll have much higher chances of succeeding in the cleaning services industry. It’s also a valuable tool that can help you secure funding for your operational expenses as a cleaning startup. 

After downloading our free cleaning services business plan PDF, make sure to edit each section and include all essential information to create a comprehensive document.

Our free sample cleaning company business plan serves as an excellent starting point – a helpful template that you can personalize as necessary.

Written by Nelmie Jane Pardo

Nelmie Jane Pardo is a senior contributing writer who lends insight into digital marketing methods and business solutions. She regularly writes at BusinessHue to help business owners take their online marketing to the next level.

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Business Plan for a Cleaning Business: Complete Guide

• January 30, 2023

👇 Check all our resources on cleaning businesses 👇

Whether you’re looking to raise funding from private investors or to get a loan from a bank (like a SBA loan) for your cleaning business, you will need to prepare a solid business plan.

In this article we go through, step-by-step, all the different sections you need in the business plan of your cleaning business. Use this template to create a complete, clear and solid business plan that get you funded.

1. Executive Summary

The executive summary of a business plan gives a sneak peek of the information about your business plan to lenders and/or investors.

If the information you provide here is not concise, informative, and scannable, potential lenders and investors may lose interest.

Why do you need a business plan for a cleaning business?

The purpose of a business plan is to secure funding through one of the following channels:

• Obtain bank financing or secure a loan from other lenders (such as a SBA loan )
• Obtain private investments from investment funds, angel investors, etc.
• Obtain a public or private grant

How to write an executive summary for a cleaning business?

Provide a precise and high-level summary of every section that you have included in the business plan for your cleaning business. The information and the data you include in this segment should grab the attention of potential investors and lenders immediately. Ensure that the executive summary doesn’t exceed 2 pages in total.

The executive summary usually consists of the five major sub-sections that include:

• Business overview : introduce what services your cleaning business offers (commercial vs. residential cleaning), what type of customers you focus on (individuals, businesses, factories, etc.), any specific cleaning service you focus on (e.g. carpet cleaning), your company structure and, more importantly, how and why you want to start such a business today
• Market overview : the market overview section will contain an overview of the expected market size and growth of the cleaning industry in your area as well as your target customers. Another important part of any market overview is a clear and thorough analysis of your competitors
• People : introduce your company’s management and employee structure. Provide a brief (no more than a couple of sentences each) of the experience of the team. Also, speak about your hiring plans: who will you hire and who will report to whom?
• Financial plan : how much profit and revenue do you expect in the next 5 years? When will you reach break-even point and start making profits? Include here your key financials such as revenue, gross profits, and net profit
• Funding ask : what loan/investment/grant are you seeking? How much do you need? How long will this last?

Cleaning Financial Model

Download an expert-built 5-year Excel financial model for your business plan

2. Business Overview

The business overview section is sometimes called the company description and is one of the most important parts of the cleaning business plan.

Here, you will want to provide crucial information about your cleaning business, including your services, pricing structure , customers, and company structure.

a) History of the Project

This is a brief description of your business, outlining its origin and your reasons for venturing into this field. As one would put it, it answers a major question about business; why a cleaning company? 

When starting a cleaning business, you want to use all your best tools to show the lenders and investors that your passion is deeply built around the need to fill an existing market gap. For example, you would argue that many customers in your area need eco-friendly cleaning, tile and grout cleaning, or commercial kitchen cleaning services.

b) Business Model

You should be clear if you are opening an independent cleaning company or partnering. Also, make it clear if you are buying an existing franchise.

Franchising has an added advantage of simplicity, given an already established market base. However, every model has its risks and benefits. So, choose what’s best for your target market and long-term goals. 

c) Services

Don’t get it twisted. Cleaning companies offer a range of services to their consumers depending on the business location and demand. So, an important aspect of laying a solid foundation is to explain to your customers what they should expect from your business. In other words, what type of cleaning services do you intend to offer? 

The 2 main categories of cleaning services are: residential and commercial cleaning.

Residential cleaning targets private residences and homes. If you choose this option, you can specialize in home maintenance, move-in and move-out cleaning, deep cleaning, green cleaning, and residential event cleanups. 

On the other hand, commercial cleaning suits businesses and requires significant manpower, more space, and sophisticated equipment. You can’t run this business in some regions without enough vehicles to transport your equipment. 

If you plan to specialize in commercial cleaning, you can focus on general office cleaning tasks, large-scale specialized cleaning, construction cleanups, commercial kitchen cleaning, and hazardous waste cleaning.

d) Pricing Strategy

Another important part of the business overview section is your pricing structure. It should be as clear as possible because investors will rely on it when assessing your financial need.

Most cleaning companies in the US set their rates per square foot, per room, per hour, or as a flat fee. And the standard national hourly cost of house cleaning services in the US ranges from $50 to $90 per hour per cleaner.  

e) Target Customers

Who is your ideal customer? And which cleaning services do they need? You might have already identified your target market if you can answer these questions correctly. 

For instance, if private residences and apartments dominate the region, many individuals will probably need residential cleaning services. Make sure you offer that.

Similarly, a busy city center with many offices and commercial properties will probably benefit from commercial cleaning services as mentioned above. Identifying your target market is one of the fastest ways to increase revenue potential after assessing the competition. 

f) Legal Structure

Finally, your business overview section should specify what type of business structure you want. Is this a corporation or a partnership (LLC)? Who are the investors? How much equity percentage do they own? Is there a Board of Directors? If so, whom? Do they have experience in the industry?

3. Market Overview

To run a successful business, you need all the facts that back your decision to start a cleaning company in the region at that time. Market analysis will help you identify the level of competition in the region and whether the investment is worth it. 

For example, offering commercial cleaning services in a residential setup would make little sense. Similarly, overpricing your services when the dominant population is low to middle-income earners won’t fast-track business growth. 

a) Cleaning Business Industry Status Quo

This section should answer two obvious questions about your cleaning business;

• What is the market size of the cleaning industry in your area? 
• How fast is the cleaning industry growing? 

Both questions will help you set realistic expectations when getting into this field, having analyzed the market trends and size. 

How big is the cleaning industry in the US?

It’s always good to start any market overview by assessing the market size at a national level.

Of course, the figures may not represent the actual status of the cleaning business in your region, but they offer a solid foundation for building a thriving business. According to the latest statistics, the cleaning service industry in the US had a value of $97.6 billion in 2022 . 

The staggering need for cleaning services means that the commercial cleaning sector will likely grow at a steady rate of 5.4% up to 2025 . Although this may be a good sign for setting up your cleaning business, you should also assess market growth in your area (see below).

How big is the cleaning industry in your area?

Getting the market data at the city level gives you a clearer picture of what to expect from the market. It may complicated, but you only need the total number of cleaning companies in your region and their services to assess your area’s market size.

For example, let’s assume you want to get into the carpet cleaning business. With close to 32,000 carpet cleaning businesses in the US, and a total market value of $4 billion (carpet cleaning US market), we can safely assume each carpet cleaning business generates $125,000 in sales per year on average.

Now, assuming there are 25 competitors in your area, the estimated market size of the carpet cleaning industry in your area is $3.1 million.

How fast is the cleaning industry growing in your area?

You may need to analyze multiple factors to determine the growth rate of the cleaning industry in your region. Sometimes, this involves a few calculations to get an actual figure when drawing your conclusion. 

For example, if the region had 120 cleaning companies in 2020, which increased to 150 in 2022, you can assume that the industry is growing at a steady rate of 12% per year. 

Pay attention to all factors that may directly impact the growth rate, including a population influx, increased demand, and increased income potential. 

However, don’t be shocked if you notice a successive drop in the demand for cleaning services in the region. This is possible even when the national statistics show otherwise. Its part and parcel of the business and could indicate that this isn’t the right time to launch a cleaning company. 

b) Cleaning Business Competitor Analysis

Another crucial step in the business plan of your cleaning company is to assess the existing competition. There are a couple of questions to guide you here, including;

• How many cleaning companies are there in your region?
• What services do they offer (residential, commercial cleaning, or both)?
• What’s the average price of hiring a cleaning company in the region?
• What’s the total number of individuals employed by a typical cleaning company in the region? 
• How many customers do they serve per week/month? 

Why do you need a competitive analysis in the business plan of your cleaning business?

Assessing the competition in the area where you plan to start your cleaning business will allow to better understand whether there is sufficient demand, and whether you are well positioned to take market share from competitors.

For example, starting a new business would make perfect sense under the following circumstances;

• There’s a clear market gap that you can fill in the region (For example, offering a service that other companies might have missed, like eco-friendly/green cleaning) 
• There are no or inadequate cleaning companies in the region. This would present the perfect opportunity to tap into the market potential and grow a thriving business. 

c) Cleaning Business Customer Analysis

The customer analysis section is almost similar to your target audience . However, this is your chance to prove to the lenders that your target market is real and available. You can use the following questions to analyze your client base; 

• Which individuals need cleaning services in the region? 
• What’s the average income of the individuals in the region? (This is also important when determining your pricing structure)
• Which cleaning services are they interested in?
• How often do they need cleaning services? (daily, weekly, monthly)
• Are they more likely to benefit from commercial or residential cleaning services?

Usually, the level of competition in the region also influences your customer analysis. So, that should be clear to help you determine the market demand or predict the success of your cleaning business.

4. Sales & Marketing

The sales and marketing strategy sums up your plans for acquiring new clients. Here are a few helpful questions to guide you:

• Which marketing channels are best suited to your business (online vs. offline marketing)?
• Do you have a unique selling point? If so, what is it?
• What is your marketing budget for the first months / year?
• How can you track the success of your marketing strategy?
• Do you plan to offer any promotions to attract new customers? 

Cleaning Business Marketing Channels

You can use the following channels for marketing your cleaning business locally;

• Pay-per-click campaigns (e.g. Google ads)
• Email, SMS marketing
• Social media content & ads 
• Word-of-mouth advertising
• TV and radio advertisement

What are your Unique Selling Points (USPs)?

A unique selling point is what puts you ahead of the rest. It’s no secret that you will face stiff competition from established cleaning companies in the field. So, how you set yourself apart matters. Some factors to consider include;

• Price : Cheaper services than your competitors
• Location : Your proximity to the target market gives you a slight edge over the rest
• Quality : Stellar cleaning services with modern equipment will attract more clients

5. Management & People

You must address 2 things here:

• The management team and their experience/track record
• The organizational structure: different team members and who reports to whom?

a) Management

Small businesses often fail because of managerial weaknesses . Thus, having a strong management team is vital. Highlight the experience and education of senior managers that you intend to hire to oversee your commercial cleaning business.

Describe their duties, responsibilities, and roles. Also, highlight their previous experience and explain how they succeeded in their previous roles.

It is also important that you explain how their experiences and qualifications help you in offering the services you are proposing. If they have specialized training and education (such as carpet cleaning, industrial cleaning, etc.), add that information too.

b) Organizational Structure

Even if you haven’t already hired a senior manager and any other relevant staff members, you must provide a flowchart of the organizational structure defining the hierarchy of reporting as shown below.

6. Financial Plan

The financial plan is perhaps, with the executive summary, the most important section of any business plan for a cleaning company.

Indeed, a solid financial plan tells lenders that your business is viable and can repay the loan you need from them. If you’re looking to raise equity from private investors, a solid financial plan will prove them your cleaning business is an attractive investment.

There should be 3 sections to your financial plan section:

• Your historical financials (only if you already operate the business and have financial accounts to show)
• The startup costs of your project (if you plan to start a new cleaning business, purchase new equipment, etc.)
• The 5-year financial projections

a) Historical Financials (if any)

In the scenario where you already have some historical financials (a few quarters or a few years), include them. A summary of your financial statements in the form of charts e.g. revenue, gross profit and net profit is enough, save the rest for the appendix.

If you don’t have any, don’t worry, most new businesses don’t have any historical financials and that’s ok. If so, jump to Startup Costs instead.

b) Startup Costs

Before we expand on 5-year financial projections in the following section, it’s always best practice to start with listing the startup costs of your project.

For a cleaning business, startup costs are all the expenses you incur before you start making sales. Luckily, these expenses are rather low for cleaning companies and mostly include the cost to purchase equipment and the vehicle you will use to transport them.

As an example, it costs on average $73,500 – $167,500 to start a small commercial cleaning business with 2 vans and 4 employees. We have laid out below estimates for the key startup costs you can expect for a cleaning business.

Note that these costs are for illustrative purposes and may not be fully relevant for your business. For more information on how much it costs to start and run a cleaning business, read our article here .

c) Financial Projections

In addition to startup costs, you will now need to build a solid 5-year financial model for your cleaning business.

Your financial projections should be built using a spreadsheet (e.g. Excel or Google Sheets) and presented in the form of tables and charts in the business plan of your cleaning business.

As usual, keep it concise here and save details (for example detailed financial statements, financial metrics, key assumptions used for the projections) for the appendix instead.

Your financial projections should answer at least the following questions:

• How much revenue do you expect to generate over the next 5 years?
• When do you expect to break even?
• How much cash will you burn until you get there?
• What’s the impact of a change in pricing (say 20%) on your margins?
• What is your average customer acquisition cost?

You should include here your 3 financial statements (income statement, balance sheet and cash flow statement). This means you must forecast:

• The number of customers over time ;
• Your expected revenue ;
• Operating costs to run the business ;
• Any other cash flow items (e.g. capex, debt repayment, etc.).

When projecting your revenue, make sure to sensitize pricing and the number of customers as a small change in these assumptions will have a big impact on your revenues.

7. Funding Ask

This is the last section of the business plan of your cleaning business. Now that we have explained what your company is about, the services you offer and to whom, what’s your strategy, where you go and how you get there, this section must answer the following questions:

• How much funding do you need?
• What financial instrument(s) do you need: is this equity or debt, or even a free-money public grant?
• How long will this funding last?
• Where else does the money come from? If you apply for a SBA loan for example, where does the other part of the investment come from (your own capital, private investors?)

If you raise debt:

• What percentage of the total funding the loan represents?
• What is the corresponding Debt Service Coverage Ratio ?

If you raise equity

• What percentage ownership are you selling as part of this funding round?
• What is the corresponding valuation of your business?

Use of Funds

Any business plan should include a clear use of funds section. This is where you explain how the money will be spent.

Will you spend most of the loan / investment in paying your employees’ salaries? Or will it cover mostly the cost for the lease deposit and the renovation?

Those are very important questions you should be able to answer in the blink of an eye. Don’t worry, this should come straight from your financial projections. If you’ve built solid projections like in our Cleaning financial model template , you won’t have any issues answering these questions.

For the use of funds, we also recommend using a pie chart like the one we have in our financial model template where we outline the main expenses categories as shown below.

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How to Build a Financial Model for a Cleaning Business

Starting a Cleaning Business Costs $73,500 – $167,500

• May 8, 2023

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How to Get Bonded for a Cleaning Business

If you run a cleaning business, there’s a chance that one of your employees will steal from a  residential or commercial property where they are cleaning. If and when that happens, the client will expect the cleaning company to take responsibility for the employee’s actions by offering to pay for the lost property and any other damages. So what next? Paying for employee theft can create an unexpected (and often significant) cost for your company, one that could put your budget and bottom line in jeopardy. To plan for this unfortunate but common risk, you should consider getting bonding insurance for cleaning businesses – it could spare you lots of financial hardship later. This blog outlines everything you should know. 

The Basics of Cleaning Business Insurance and Bonding

Some types of surety bonds are mandatory for a business to get. However, in the cleaning industry, Janitorial service bonds are optional. They are an example of a fidelity bond, which businesses owners obtain voluntarily. Unlike normal surety bonds, janitorial services fidelity bonds act like an insurance policy involving two parties:

• The Insured– The cleaning company. The cleaning company can file a claim on the bond to help cover losses due to fraudulent acts of the cleaning company’s employees. 
• The Insurer– The bond underwriter. The surety will settle claims with the insured. Settlement is often dependent on the validation of the claim. In most cases claim validation involves the employee being legally convicted of the crime.

In essence, janitorial services bonds can provide a level of protection from dishonest employees for your janitorial services company .It’s worth mentioning again that the surety will require the employee be convicted of the crime in a court of law before settling the claim. 

Getting Bonded for Cleaning Businesses – Why it Makes Sense

It costs money to get one of these bonds. So why would you get a janitorial services bond if they aren’t required? Wouldn’t it make more sense to pay for stolen property out of pocket and be done with it? Not necessarily. 

The primary reason is to create a bond of trust between your business and potential clients. Clients take a risk by inviting unfamiliar individuals into their homes or businesses to have close contact with their property. Those people feel more comfortable hiring a cleaning services company with a bond because the bond provides a better chance of compensation if a theft occurs. Given the choice between a company with and without a bond, most people will choose the insured and bonded cleaning service – it’s an easy pick. 

Janitorial services bonds protect the bondholder too. Since the bond will only settle valid claims that get proven in court, the bond protects you from frivolous and fraudulent claims filed by angry clients. 

Many cleaning services use their bonded status as a competitive differentiator and marketing asset. They emphasize their bonded status in their advertising materials to signal that clients can trust who they are hiring.  

Getting Bonded for Cleaning Businesses – When it Makes Sense

It makes sense for any cleaning business, from small house cleaning providers to major janitorial services companies, to get the protection of a bond. Whenever cleaners are working independently, there’s the risk of theft – it’s an unfortunate truth. 

The best time to get a bond is before any cleaning services start. Not only can the bonded status help to attract early customers, but it also puts in important protection – for the business and its customers – in place from day one. If you’re about to start a cleaning services business or want to add an asset to your existing business, rely on Viking Bond Service to make getting bonded simple. 

How to Get Insured and Bonded for House Cleaning

We are focusing here on house cleaning because there are far more companies providing residential cleaning services than commercial services – but the steps for getting a bond will be the same for anyone seeking a janitorial services bond. Unlike other surety bond types, there is no credit check required. The surety only needs some basic information about the business:

• Amount of Bond Coverage
• Number of Cleaners
• Basic Business Info – name, address, etc.
• Contact Info

The surety will use this information to quote a cost for the bond. You will need to pay to activate coverage for a specific length of time, often 12 months. It will need to be renewed after that, which involves another premium payment. 

How much bond coverage should you get? It depends on how much financial damage employee theft might cause. As a general rule of thumb, commercial cleaners get more coverage than residential cleaners, and both seek out more coverage as the number of employees goes up. A company with 2-3 cleaners might get $10,000 in coverage while a company with 50 cleaners needs much higher coverage.

What Does Bonding Insurance for a Cleaning Business Cost?

The cost of a surety bond is a small percentage of the total coverage amount, less than $200 in some cases. Find out how much a bond would cost by submitting an application to a surety agency that can find competitive bond offers from providers across the country. Working with the right surety agency makes it faster and easier to get a bond and locates the best offers available. Don’t pay more than necessary – work with Viking Bond Service instead. 

Viking Bond Service – Serving All 50 States

Cleaning services providers in every state can rely on us for help getting bonded. From beginning to end, we make the process easy to understand, fast to finish, and affordable to take advantage of. Bonds are a smart addition to any cleaning service business, and with Viking Bond Service, they’re accessible to all. Request a quote at your convenience to get a quote in under 24 hours. We also have a team standing by to answer all your questions – contact us for assistance or call 1-888-2-SURETY (1-888-278-7389)

How to start a cleaning business in 10 steps

Even before the COVID-19 pandemic, the U.S. Bureau of Labor Statistics projected the cleaning industry would grow by 4% in the decade from 2019 to 2029. The demand for disinfecting divas and sanitizing soldiers will likely rise as the world battles microscopic enemies.

It’s an opportune time to launch a cleaning business. This step-by-step guide will help you avoid becoming one of the 50% of small businesses that fail within five years. Read on to find tips and strategies to start a successful cleaning business from scratch.

1) Choose your type of cleaning business

The first step for new cleaning business owners is to decide between a residential or commercial cleaning business. Your choice determines how you plan, finance, and market your new enterprise.

Most cleaning companies specialize in houses or businesses, but not both. Each type of cleaning company offers particular services and needs unique equipment. As a straightforward definition, residential cleaning services work in homes and are sometimes called house cleaners or maid services. Commercial cleaners , also called janitorial service providers, work at businesses and office buildings.

Residential cleaning businesses require less to start and offer a larger pool of potential customers. Residential cleaning has seen companies like TaskRabbit allow independent contractors to provide one-time services daily or hourly. On the other hand, the commercial side has larger contracts but a smaller, more competitive market of prospects.

New business owners can start from nothing or buy a franchise. No matter how you fund your operation, here’s a quick summary to help you decide which path is best:

2) Create a business plan

“Failing to plan is planning to fail.”

Benjamin Franklin opined that gem, and before he was a Founding Father, he was a savvy entrepreneur. Entrepreneurs looking to vacuum up more than a few notes with his face on them should follow his advice. Before you get to the revenue, here are questions to ask yourself before your start a business :

• Executive Summary: How would you describe the business and your potential success?
• Overview: What’s the business’s background, legal structure, and other key attributes?
• Industry Analysis: What does market research reveal about the cleaning industry in your area, including size, opportunity, and current trends?
• Competitive Analysis: Who are your competitors, and what are their strengths and weaknesses?
• Marketing: What is your marketing strategy to reach potential customers?
• Management: What unique skills do you bring to the business?
• Operations Plan: How will you manage the day-to-day tasks of the business?
• Financials: What are your estimated revenues, expenses, and profits for each of your first five years?

3) Find your cleaning niche

Your niche is a focus area that helps you specialize and differentiate your business from the competition. A niche is like raising your hand in a crowded marketplace so that the ideal client can find you.

Many new cleaning businesses make the mistake of saying yes to every opportunity. Say yes too often, and you may end up saying no to clients that are a better fit. Here are some common cleaning niches to help you generate ideas.

Residential:

• Airbnb/VRBO cleaning
• Air ducts and dryer vent cleaning
• Appliance cleaning
• Bedding, mattress, and furniture cleaning
• Boat and RV cleaning
• Carpet cleaning
• Eco-friendly cleaning
• Electronics cleaning
• Exterior cleaning
• Foreclosure cleaning
• Graffiti cleaning
• HOA cleaning
• House showing cleaning
• Pet-friendly cleaning
• Pool cleaning
• Post-construction cleaning
• Rental property cleaning
• Waste disposal

Commercial:

• Educational cleaning
• Event center cleaning
• Healthcare cleaning
• Hospitality cleaning
• Industrial/warehouse cleaning
• Office building cleaning
• Religious building cleaning

4) Uncover your unique selling proposition (USP)

After you find a niche, you’ll need a unique selling proposition. Your USP describes precisely what makes you different from the other cleaning businesses. Your potential clientele has more choice than ever before, and the number one type of any business is only a Google search away. Because of fierce competition across categories, some of the best business thinkers now agree it’s better to have 90% of a small market than 10% of a large market.

USPs help you aim for your 90%. For example, a residential cleaner might come up with the USP, “Anytime Airbnb Cleaners for Remote Investors,” and a commercial entrepreneur might try “Organic Cleaning for Child Care, Preschool, and Early Education Centers.”

USPs like the ones above tell potential clients what the business offers. Your company becomes memorable, referable, and focused. Your testimonials will be more influential because they are specific to a particular type of customer. You’ll be able to serve these customers better as you build expertise in the niche.

What if there are not enough remote investors or childcare centers to make your USP profitable, for example? You can enlarge your target market to find more customers. In the previous instances, you can expand to regular homeowners who Airbnb, and on the commercial side, maybe you open up to all educational facilities. It’s all about balancing your niche, USP, and the market’s demands.

5) Pick your cleaning business name

This might be the most enjoyable part of the whole process. Armed with the broom in one hand, a mop in the other, and a dream in your heart, you find a name. You want to mix your niche and USP in a bucket, swirl it around, and come up with a name that communicates what makes your cleaning business special . Try a simple moniker like “Airbnb and Investment Property Cleaners” or a colorful one like “Uncle Organics Daycare Cleaners.”

It’s okay to see what names the competition has or try a business name generator . Or you can turn the process into a party and invite your close friends and family over to brainstorm business names. When you have a few top names, type them into Google to see if they’re still available. If a favorite’s already off the table, can you find an alternative that embodies your USP and the brand you want to build?

After finding a few that you like that are still available, you might even use social media to poll potential customers. Once everyone else has given their input, the final and most important opinion is yours. Pick a name with polish that prospects can admire that shines in your mind even when your elbow deep in dirty jobs.

6) Select your cleaning equipment

You’ve decided between residential or commercial, your niche, and USP. You should have a pretty good idea of just what type of clients you will serve. There are a few ways to create a list of needed items.

First, you might use a little common sense to develop an intuitive list and then offer to clean a friend or family member’s house as a test. Any supplies or materials that you missed would be good things to add. A bonus is you might lock down your first couple of clients.

Another method would be to see if you could shadow or work at a cleaning company to note what equipment and supplies they use . A similar plan might be to call it the competition or check their websites. Probably one of the quickest ways to get started on the right foot is to visit a local cleaning supply store and ask an informed customer service worker what you need.

One benefit of the cleaning business is the small overhead needed to start. You likely won’t need a company vehicle or office space to get going. Just a few basic cleaning supplies should have you ready, including:

• All-purpose cleaner
• Apron or cleaning uniform
• Broom and dustpan
• Disinfectants
• Extendable duster
• Grout and tile cleaner
• Grout brush
• Latex gloves
• Microfiber cloths
• Miscellaneous cleaning products/chemical agents (differ based on the type of work)
• Paper towels
• Scrubbing brushes
• Shoe covers (to protect floors)
• Spray bottle
• Toilet bowl cleaner
• Toilet brush
• Wet floor signs
• Window cleaner
• Wood cleaner

7) Figure out your financial plan

Skipping this step could mean the difference between a business that thrives and one that barely hangs on. Consider the average net profit for janitorial services is between 10% and 28% of gross sales, and startup costs can be as low as a few thousand dollars. To map out your financial plan, you need to calculate your budget, decide your pricing model, and secure funds.

a) Calculate your budget

The first step to creating an accurate budget is forecasting how much it costs to get the business off the ground. After that, you need estimated monthly expenses before you move on to your pricing model. If this sounds like a calculus class, you can always use accounting software, a bookkeeper, or an accountant to run the numbers. What’s the upfront and recurring costs for:

• Advertising
• Cleaning equipment and products
• Licenses and permits

b) Decide your pricing model

At some point, every venture gets down to dollars and cents. Your clientele, competition, and location will all factor into your actual rates. There’s also the option to increase your revenue with upgrades like appliances, upholstery, or window cleaning.

How do you price your services if you’ve never done this before? In general, everything is a function of time, even if you don’t charge for it directly. On the residential side, you can go back to your “try it out on close friends and family” playbook like you did when buying cleaning supplies. Use a timer and then note how long you take to clean:

• Bathrooms (half and full)
• Family rooms
• Living rooms
• Other spaces included in your services

You can use a similar plan for commercial cleaning. Instead, you’ll be measuring square feet and noting how long you take. For residential and commercial alike, you can use your averages to set rates. The good news is as you gain experience and know-how, you become more efficient and, therefore, more profitable.

Along with doing test services, you can also call your local competition and precisely determine what they’re charging. Here’s how to price cleaning jobs:

• Hourly Rate: This is the most common way to bill for house cleaning companies.
• Flat Rate: Gives customers an exact price. You must estimate how long you take ahead of time to decide if the job is profitable.
• Square Foot Rate: The standard in commercial cleaning is to charge per square foot.

c) Secure funds

Many cleaning business startups get going as side hustles. You may have nothing more than your checking account, savings, and personal credit on day one. Depending on the type of business you start, you may need outside help. This is especially true on the commercial side and for those planning to buy a franchise.

Consider the following creative and straightforward strategies to finance your new venture:

• Ask friends or family.
• Crowdfund with community help.
• Finance equipment and with vendors.
• Invest your savings.
• Open a line of credit.
• Secure a personal or business loan, such as a Small Business Administration (SBA) loan.
• Use personal or business credit cards.

8) Get your paperwork in order

You’ve done all the planning, and now you’re ready to bring your future to the present tense.

a) Register your business name with the state

As eager as you are to take that first client, you must first register your name with the state and local business authorities. Start by selecting the type of business structure for your cleaning business, such as sole proprietorship, limited liability company (LLC), or corporation.

If you’re still in side-hustle mode or work as a sole proprietor, you can get a DBA, “doing business as,” to set up a business name other than your name to build your brand. However, a DBA isn’t a business structure. It’s simply a way to register a name that isn’t your legal business name.

b) Apply for your EIN

Your Employer Identification Number (EIN) identifies your business for taxes. Fortunately, it’s free and easy to get your EIN from the IRS.

c) Obtain licenses and janitorial bond

All states have different requirements for cleaning businesses. But generally, to get started, you need your business structure and vendor’s license. The vendor’s license is a basic business license that allows you to sell goods or services within a specific jurisdiction.

In a perfect world, janitorial bonds would exist. We like to believe the best in people, especially our employees. A janitorial bond is a type of surety bond that protects homeowners or commercial clients from employee theft.

If your employee stole something from a client, the bond company would pay for the replacement. The bond company would then put your business on a payment plan to reimburse the cost of the lost item. The idea is to reduce the number of lawsuits and give potential clients confidence in buying your services. That’s why many cleaning companies get bonded even if the state doesn’t require it.

d) Get cleaning business insurance

It can be tempting to skip this step in a mad dash to take on new clients. But being bonded and insured puts forth a level of professionalism that can help you attract more and better customers. Every cleaning company needs dependable small business insurance —that’s why it’s crucial to shop around to lock in the best deal.

Whether you want to insure a residential company or commercial company , below is a summary of key coverages:

• Workers’ compensation : This coverage protects your employees if they get sick or injured while working in your cleaning business. Every state requires worker’s comp, and the consequences of skipping this coverage could cause the state to close your business. (You can get a quick estimate on what you’d pay for workers’ comp with our 60-second workers’ compensation calculator .)
• General liability insurance : This policy protects your cleaning business if you’re sued for an injury or property damage claim. (Expensive lawsuits can quickly put a cleaning service out of business.)
• Property insurance : This policy protects your cleaning equipment, essential for expensive industrial-grade hardware.
• Commercial auto insurance : This policy covers vehicles that are used for business purposes.

9) Hire your first employees

As soon as you add your first team member, you’ll need workers’ compensation insurance to operate legally.

Once you’ve completed the proper paperwork and law requirements, you can find a summary of what’s needed before hiring from the Small Business Administration . It’s common for cleaning business owners to fly solo while they learn the ropes. But every employee that you hire is effectively like cloning yourself and doubling your productivity.

Friends, family, colleagues, and associated businesses are all excellent sources of potential employee referrals. You can also try temp agencies or job advertisements. Invest your limited funds into finding the most experienced cleaning help your budget will allow because you build a stellar reputation one immaculate room at a time.

10) Spread the word about your new cleaning business

Rarely in life do you get to roll out the red carpet for yourself, but when you’re the one who vacuums it, you may as well strut your stuff. How do you generate the right level of buzz and make sure all your ideal clients are invited to the party?

Here are some winning ways to market your new cleaning business:

• Build a website. Get the URL for your business name. A service with templates like Weebly or Squarespace can make this easy.
• List your business on Google and Yelp. Sign up for your Google My Business and a Yelp profile.
• Launch your social media profiles. Get your unique Facebook, Twitter, LinkedIn, Instagram, Pinterest, TikTok, and other handles relevant to your niche.
• Buy online advertising. If you can afford the pricing, focusing on longer keywords related to your niche and USP can attract new customers.
• Create word-of-mouth. Business owners know nothing builds a business better than word-of-mouth advertising, and the best way to garner it is one superbly cleaned home or office at a time. Ask satisfied clients for reviews that you can post to your social media profiles and website.
• Distribute brochures, business cards, and flyers. It’s an old-fashioned method that still gets new customers in the 21st century.
• Give branded gifts. A small hand sanitizer bottle or miniature duster with your company name can be both a reminder and a small incentive that might encourage a referral.
• Network. Join the Chamber of Commerce or Business Network International (BNI) to build relationships in your community.
• Offer discounts. Give price breaks to customers as part of a loyalty program or after they refer a new client.
• Write “thank you” cards. After every clean home, you can leave a personal handwritten note thanking the client and asking for a referral.

Bonus: Check out these tips for running a successful cleaning business

Learning how to start your own cleaning business can sweep you off your feet. Of course, there must be a bit of romance to fall in love with a new business venture, but then there’s just so much to absorb. Like any good sponge, here are some resources you can soak up:

• ISSA : The Worldwide Cleaning Industry Association offers ongoing education, certifications, market research, discount programs, and even mentoring. The site’s a fantastic resource for residential and commercial cleaners alike.
• Cleanfax : This is a 35-year-old publication that operates like a traditional and online magazine. Now part of ISSA, it supplies valuable insights, news, and information to help you grow your cleaning business.
• Grow My Cleaning Company Podcast : Mike Campion, former ServiceMaster Commercial Cleaning Franchisee, hosts the podcast with humor and charm. He interviews successful cleaning entrepreneurs to give you best practices to thrive in today’s industry.

Brush up on market trends as a method to stay sane as an entrepreneur .

And no matter how much you scrub, cleaning is perhaps the only business that will never wipe the smile off your face. Why? Because you offer a service people always need.

If you’re ready to move one step closer to making your client grin as much as you do, you can get business insurance with Huckleberry in about the time spent writing a thoughtful “thank you” card to yet another satisfied cleaning customer. (Getting a quote is free, easy, and 100% online.)

Buy business insurance online in less than 5 minutes.

No paperwork. Instant coverage. No-commitment quote.

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Bond Clean: A Comprehensive Guide to End of Lease Cleaning

Moving out of a rental property can be a daunting task, especially when it comes to ensuring the place is left spotless for the final inspection. In my experience with end of lease cleaning, a thorough bond clean is essential to reclaiming your full security deposit. This comprehensive guide will walk you through the key steps and tips to make the process as smooth and stress-free as possible.

From tackling stubborn stains on carpets to deep cleaning the kitchen appliances, I’ll share valuable insights on how to address every nook and cranny of your rental unit. Understanding the expectations of property managers and landlords is crucial, and I’ll provide expert advice on how to meet and exceed those standards. By following this guide, you’ll be well-equipped to handle your end of lease cleaning like a pro and secure a seamless transition to your next home.

Understanding Bond Cleaning

What is bond cleaning.

bond cleaning , also known as end of lease cleaning, is a crucial process that tenants need to undertake before moving out of a rental property. It involves thoroughly cleaning the entire premises to ensure that it meets the standards set by the landlord or property manager. The aim of bond cleaning is to leave the property in the same condition as it was at the start of the tenancy. This cleaning ensures the return of the full security deposit to the tenant.

The Importance of a Thorough Bond Clean

A comprehensive bond clean is essential for tenants to receive their full security deposit back at the end of the lease. Property managers and landlords typically conduct thorough inspections to assess the cleanliness and condition of the property before returning the deposit. By engaging in a professional bond cleaning  service, tenants can ensure that the property is left in pristine condition, including cleaning furniture, carpets, appliances, and all other areas as required by the lease agreement. This meticulous approach demonstrates respect for the property and helps to maintain a positive relationship with the property owner.

Preparing for a Bond Clean

Evaluating the scope of cleaning needed.

As I prepare for a bond clean, the first step is to evaluate the extent of cleaning required throughout the rental property. This assessment involves inspecting every area, from the living room to the bathroom, to identify specific areas that need attention. By examining the condition of the floors, walls, furniture , and appliances, I can determine the level of cleaning needed for each item. This evaluation ensures that no detail is overlooked and helps in planning the cleaning process efficiently.

Organizing Your Bond Cleaning Checklist

In preparation for the bond cleaning, I create a detailed checklist that outlines all the cleaning tasks that need to be completed. This checklist includes items such as cleaning the carpets, dusting furniture, scrubbing bathrooms, and degreasing kitchen surfaces.

Organizing the tasks systematically helps me stay focused and ensures that all areas of the rental property are thoroughly cleaned. By breaking down the cleaning process into specific tasks, I can tackle each one methodically, leading to a more effective and comprehensive bond clean.

Scheduling the Cleaning at the End of Your Lease

When scheduling the bond cleaning at the end of my lease, I make sure to plan it well in advance to allow sufficient time for thorough cleaning. I consider factors such as the size of the property, the level of cleaning required, and my availability to complete the tasks within the specified timeframe. By setting a realistic schedule and allocating time for each cleaning task, I can ensure that the bond cleaning is completed on time and to the satisfaction of the landlord or property manager. This proactive approach demonstrates my commitment to fulfilling the end of lease cleaning requirements and securing the return of my full security deposit.

The Bond Cleaning Process

When it comes to bond cleaning, thorough preparation is key. Before tackling the cleaning process, I evaluate the scope of work needed for each room, considering areas like furniture, appliances, and surfaces. Organizing a detailed checklist is crucial to ensure that no area is overlooked during the cleaning process. I find it helpful to schedule the cleaning at the end of the lease period to allow for a meticulous and timely completion of the bond cleaning process.

Kitchen Cleaning: Appliances and Surfaces

In the kitchen, cleaning appliances and surfaces is essential for a successful bond cleaning. I start by tackling the fridge, oven, and other appliances, ensuring they are free from any food residue and grime. I pay special attention to the stove, making sure to clean both the burners and the hood thoroughly. When cleaning surfaces, I use appropriate cleaning agents to remove stains and grease, leaving them spotless for the property inspection.

Bathroom Sanitation: Tiles and Fixtures

Bathroom sanitation is a critical aspect of bond cleaning. To effectively clean the bathroom tiles and fixtures, I use cleaning solutions that are suitable for removing soap scum and mold.

 I focus on scrubbing the grout lines to eliminate any discoloration and ensure a fresh appearance. It’s important to pay attention to details like faucets, showerheads, and mirrors to enhance the overall cleanliness of the bathroom for the final inspection.

Living Area and Bedroom Cleaning Strategies

In the living areas and bedrooms, I prioritize dusting and vacuuming to remove any dirt or debris from floors, carpets, and furniture. I make sure to clean upholstery and curtains to refresh the space and eliminate any odors. For thorough cleaning, I move furniture to access hidden areas and ensure a comprehensive clean of all surfaces. By following these strategies, I can maintain the cleanliness of these areas and meet the standards expected during the bond cleaning process.

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14 Essential Cleaning Business Forms: Templates and Examples for Success

• By William Boyton
• Last Updated: September 25, 2023
• Cleaning Business

Cleaning business forms hold an important place in business. The cleaning forms are the first official document that the customer views. So it must be drafted professionally and should be wholly customer-oriented.

Maintaining separate sets of cleaning business forms for residential and commercial clients is essential. However, in some cases, it may be convenient to use a single house cleaning document for all clients.

What You'll

Below you’ll find Best House Cleaning Business Forms

Importance of House Cleaning Business Forms

Best commercial and residential cleaning business forms, check out these 14 'done-for-you' cleaning business forms, what's included in the package.

The most apparent benefit of the cleaning business forms is that they hold valuable information about the client.

So you get to keep a record of the work you've done for them. This information is essential for your success if you have expansion in your business plan.

The key, however, is getting the correct information from the client, which is only possible if you design the forms correctly.

Here are a few factors you need to take care of for recording valuable information:

• Number of hours employees spend cleaning in the client's own home/office
• The proximity of the client's place
• Client preference for cleaning tasks
• The number of times your company has been hired for the job

All this information can help you get the most out of your cleaning business. For one, you can raise the price and justify it by the workers' performance, the number of hours spent in a house, and other such variables.

Then, knowing such details about the customers will give you advertising opportunities to achieve customer satisfaction owing to your exceptional services! So here we are with the cleaning business forms and ideas for getting all the client information you need.

Utilising a cleaning business form template instead of creating a unique form for each customer can be a time and effort-saving measure. However, ensuring that the selected template is comprehensive and contains only accurate information is crucial. Below are some excellent templates to consider to assist in launching your house cleaning business.

You can use these directly or edit bits according to your business forms requirements.

For commercial cleaning services, get your documents and brochures worded, organised, and phrased correctly. All these documents will show that your business has a robust and organised foundation, guide you to use suitable marketing materials, and enable you to pull in more clients and convert leads.

So, buying these business forms is worth it if you want to build your client base.

Instead of looking at different websites, why not go to one authentic place for all these cleaning business forms, templates, checklists, agreements, and proposals? That too for $14 only!

Here's why you should check out these forms for your cleaning service business:

• You can now purchase a bundle of forms at a discounted rate. While the regular price is $36, you can take advantage of a special offer and obtain the forms for only $14!
• The handy pack saves you time. These are complete cleaning forms that require no additions or corrections.
• Our templates and forms are professional and tested and provide value to your cleaning services business, making it look professional and formal.
• Each form is designed to get valuable customer suggestions and inquiries.
• The forms also lead to faster and higher lead conversions.
• Easy to edit in MS Word
• These come with a 100% satisfaction guarantee and a 30-day money-back guarantee!
• Acquiring all the organised information translates to higher returns and increased customer satisfaction.
• You can order the forms by clicking below

The forms are structured to get you the requisite information, and all questions are provided to help you find the right clients. So, you can target your business-suited clients instead of wasting time and resources.

The package contains fourteen complete forms and lists for your cleaning business. There are:

• Proposals and Letters: Residential Cleaning Proposal & Letter, Office Cleaning Proposal, and the Customer Welcome Letter
• Agreements & Invoices: Independent Contractor Agreement, Customer Agreement
• Checklists: Business Start-up Checklist, Residential Cleaning Specifications Checklist, Cleaning Supplies Checklist
• Estimates and Client Schedules: Client Scheduler, In-Home Walk-Through Estimate Form 
• Forms, Scripts, and Templates: Telephone Booking Script, Breakage Form / Report, Press Release Template, Client Feedback / Satisfaction Form

The Complete Residential Cleaning Checklist

The list has numbered tasks for the cleaning services required around the house. These are categorised room by room and have a complete enlisting of services your company provides for cleaning the:

• Bedrooms and living areas
• Laundry room
• Entryway, and
• Other house cleaning services include floor waxing, dishwashing, stove and oven cleaning, etc.

The form has a designated space and is editable, so you can customise it, add your logo, and give it a more customised look. There are also essential business details like your company's name, phone number, email address, and web address that you can add.

Office Cleaning Proposal

The next document in the package is the cleaning proposal. It is an important document to ensure that all the cleaning service tasks are listed and discussed with the client in detail. So each task is further divided into categories, frequency, and the cleaning required.

Additional cleaning services for the fountains, elevators, carpets, etc., can also be selected.

It further states the terms of the cleaning service at the end, a customer undertaking, and proposal acceptance. Moreover, there's also a section for special cleaning services requests at the end.

Residential Cleaning Proposal

Another essential document for a cleaning service provider is the residential cleaning proposal. Again, a detailed proposal comes as part of this pack.

It includes a template for basic information about your company. For example, who you are, your cleaning services, your USP, and how you provide exceptional service and stand out among competitors.

It also has sections for the cleaning schedule and the number of rooms in the house.

House Cleaning Service Agreement

The house cleaning service agreement is a significant component of your contract with the customer. This essential document is predesigned with all the vital information about the customers' residences. For example, the frequency, number of rooms, type of home, cleaning service, preferred times and days, etc., are all included here.

Again, there are designated spaces for the logo placement, and the forms are 100% editable, so you can personalise them per the company's services and policies.

Policies and Procedures Document

We know how important it is to compile the company policies and draft a document for the customer to view before signing the contract. So our policies and procedures document the liability, business, and cancellation policies. You may further amend the form to suit your business requirements.

Here's what is covered in each type of policy:

• Liability Policies: This part covers where there's a concern about who should be held responsible in case of accidents and claims. Moreover, the policy clearly states the areas covered under the cleaning services, such as the usage of ladders and weight limit for moving items, etc.
• Have your business policies clearly stated in your contract. These cover areas not included in the cleaning service, and everything is mentioned and written here. 
• Cancellation Policy: Lastly, the cancellation policy, the notice period, and all the details about cancelling the cleaning job are enlisted here.

Next, we have the invoice. This, too, is structured and has columns for the job description, the number of hours worked, the rate, and the amount charged for each job.

Further details about the payment and timelines are also mentioned.

Cleaning Business Start-up Checklist

Any new cleaning business needs a business startup checklist. This form covers all the documentation, paperwork, and market information. It is a necessary form for a new business, so everything is noticed when setting yourself up in the market.

Hence, there are no flanks or possibilities for legal action and claims against your business.

These top house cleaning business forms can assist you in expanding your business by attracting more clients. With all the necessary details covered in the forms, it will be more straightforward to establish contact and convert potential clients into active ones, thereby increasing your sales.

Please click below to take advantage of the special discounted price and purchase the form pack today. We are excited to hear from you soon!

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Getting Started

• Start a Cleaning Business Guide
• Buy a Cleaning Franchise Guide
• Cleaning Business Guides
• List Your Business
• Verification Process

the Complete Cleaning Business Starter Kit

Get our free comprehensive start-up guide, complete with a checklist, business card template, pricing calculator and invoice template..

What Licenses Do You Need to Start a Cleaning Business

Do you know What Licenses You Need to Start a Cleaning Business? Learn about the hurdles one will face when starting a cleaning business and how best to ways to navigate them in this definitive guide.

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ow is an excellent time for starting a cleaning business. Statista Research Department expects the residential cleaning industry to be worth up to $40.4 billion by 2025. The Department of Commerce further supports this outlook, predicting that as many as 80% of households will use a house cleaning service by 2024.

If you’re interested in getting a share of this foreseen revenue, this guide will fill you in on what licenses are needed to start a cleaning business.

The basics of starting a cleaning business

In addition to being in high demand, cleaning businesses have a low barrier to entry. You don’t have to invest significant amounts in an office building, employees, or inventory. You can get started with little more than yourself and some cleaning supplies, although you do need to make it legal to protect your business and your clients. Here’s how:

• Create a business plan: It doesn’t have to be a big production, but you should outline your services—residential, commercial, specialized cleaning—target market, pricing, and how you plan to stand out. Maybe you’re all about eco-friendly products or super speedy service. Whatever it is, make it clear.
• Register your business: Make it official by picking a business name, deciding on a structure, such as sole proprietorship or LLC, and getting the necessary licenses and permits—more on that later.
• Get insurance and bonding: Insurance protects you in case of damage or accidents. A bond guarantees that you’ll perform the work you agreed to do. Both will help customers feel more comfortable hiring you.
• Buy supplies: You’ll need the right tools for the job. This could be as simple as cleaning products and a vacuum cleaner or more specialized equipment if you’re doing things like carpet cleaning or pressure washing. Start with the basics and expand as you grow.
• Set your prices: Figure out how you’ll charge—by the hour, by the room, or by a flat rate. Research what others in your area are charging so you can be competitive but also fair to yourself.
• Market your business: Get your name out there. Set up a website, create some eye-catching business cards, and maybe even get some uniforms to look professional. Social media is a great way to connect with potential clients. Share before-and-after photos, cleaning tips, or special offers.

What licenses are needed to start a cleaning business?

Professionals register businesses by state, and cleaning business license costs and requirements are different from one state to another. However, you may need the following licenses to start a cleaning business:

• Business license: Most states require you to have a general business license to operate. This is the basic license that registers your business with your state government.
• Specialized cleaning licenses: If you offer specialized services like handling hazardous materials or medical waste, you might need additional licensing in some states.
• Sales tax permit: If your state or locality charges sales tax on services, you might need a permit to collect and pay these taxes.
• Home occupation permit : If you're running your business from home, this permit ensures your business activities are compatible with your city's zoning regulations.

What are the license options for a cleaning business?

For some types of cleaning, you may need specific types of licenses, certifications, or permits. Some of these are required, while others will equip you with needed skills and make you more marketable.

Medical and health facility cleaning

Cleaners who work in medical and healthcare facilities may get exposed to biohazards as well as sensitive patient information. Here are some permits, certifications, and licenses you may need in this specialty:

• Health department permits for handling biohazardous materials and medical waste
• OSHA compliance training
• Certification in infection control
• Bloodborne pathogen training
• Hazardous waste management training and certification
• Environmental Protection Agency (EPA) regulations compliance

Industrial cleaning

Industrial cleaning is another specialized area that often requires specific licenses, certifications, and permits due to the nature of the work and the environments involved. These facilities include factories, warehouses, power plants, and other industrial sites, where cleaning requires handling hazardous materials and heavy machinery and adhering to strict safety protocols. These might include:

• OSHA Compliance
• Hazardous Waste Operations and Emergency Response (HAZWOPER) Certification
• EPA compliance
• Local permits related to waste disposal, water usage, emissions, and other environmental concerns
• Training in specific cleaning techniques
• Contractor's license if your industrial cleaning services verge into more extensive work, such as major restorations or construction site cleanups

Mold removal and remediation

Mold remediation requires specific licenses, certifications, and permits due to the potential health risks associated with mold exposure and the technical knowledge needed to remove and prevent mold effectively. Here's an overview of the typical requirements:

• Mold remediation license that proves your knowledge and experience
• Certification for mold inspection and remediation such as the Institute of Inspection, Cleaning and Restoration Certification (IICRC) or the National Organization of Remediators and Mold Inspectors (NORMI)
• Contractor's license for larger projects or extensive restoration
• Environmental and health safety permits related to the use of certain chemicals or disposal of hazardous materials
• OSHA and EPA compliance

What are the benefits of obtaining a cleaning license?

Obtaining licenses and certifications related to your field of cleaning benefits you and your clients in the following ways:

• Credibility and trust: A professional license demonstrates to potential clients that your business is credible, knowledgeable, and adheres to industry standards.
• Compliance with legal requirements: Many jurisdictions require specific licenses for certain types of cleaning services to operate legally.
• Competitive advantage: A cleaning license can set you apart from competitors who may not have the same qualifications.
• Access to specialized markets: Certain cleaning niches, like medical or industrial cleaning, are only accessible to licensed professionals. These markets can be more lucrative and offer more long-term contracts than general residential or commercial cleaning services.
• Improved safety standards: Getting a license involves training and education, which can enhance your and your team's understanding of best practices in cleaning, sanitation, and safety.
• Networking and resources : Obtaining a license connects you with professional organizations and networks, providing access to resources, industry updates, and potential business opportunities.

What insurance options are available for a cleaning business?

The right insurance coverage will protect your cleaning business, employees, and clients. Here are the common types of insurance options available for cleaning businesses:

• General liability insurance: This is the most basic and essential type of insurance for any cleaning business. It protects against claims of property damage or bodily injury that your business activities might cause to third parties.
• Workers' compensation insurance: If you have employees, most states in the U.S. require you to have workers' compensation insurance. This covers medical costs and lost wages if an employee gets injured or sick because of their job.
• Commercial property insurance: If your cleaning business owns or leases a physical space or has valuable equipment (like specialized cleaning machines), commercial property insurance will protect it.
• Commercial auto insurance: If your business uses vehicles for transportation, you'll need commercial auto insurance.
• Janitorial bonds: While not strictly insurance, janitorial bonds are a type of fidelity bond that protects against theft by employees.
• Umbrella insurance: This liability insurance extends the limits of your existing liability policies.

Getting the right licenses and insurance is the first step to protecting your starting cleaning business and helping it grow. Since requirements vary by industry and state, check with your secretary of state’s website to find out what specific conditions you need to fulfill.

Another vital step in launching your new business is establishing a business checking account. Visit us at Novo and see how our banking platform can help your business keep financial records in order.

Novo Platform Inc. strives to provide accurate information but cannot guarantee that this content is correct, complete, or up-to-date. This page is for informational purposes only and is not financial or legal advice nor an endorsement of any third-party products or services. All products and services are presented without warranty. Novo Platform Inc. does not provide any financial or legal advice, and you should consult your own financial, legal, or tax advisors.

Novo is a fintech, not a bank. Banking services provided by Middlesex Federal Savings, F.A.: Member FDIC.

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