Commercial cleaning is in high demand, especially in big cities. Just look at all the rental properties and office buildings around you.
Many of these buildings have hired professional cleaning to clean their building interiors.
The owners or managers of the buildings don’t usually have the time or the resources to clean them.
This guide will help you in your entrepreneurial journey in creating your own commercial cleaning business.
Towards the end of this article, you’ll find answers to some of the most frequently asked questions on how to start a commercial cleaning business…
A business plan is essential to ensure the success of your business. You don’t have to make your business plan long, especially if you are starting. Your business plan must include a few essential components.
The first component is that your business plan must include the company’s information.
It includes the following: business name, business hours, and your contact information.
To determine your hours for your business, you must list the hours that you intend to work. You can modify these hours as you build your business. Do you prefer working in the mornings or the evenings?
Clients are often looking for evening or daytime cleanings in commercial cleaning. Some businesses prefer that you clean while the company is still open and the doors remain unlocked.
Some businesses might prefer that you clean up after business hours, even if all employees have gone home.
Knowing the hours you are available to work will make it easier to determine whether a potential client is the right one for you.
Next is to incorporate into the business plan your target market.
Are there specific areas in your city you would like to attract clients? Are you looking to invest in smaller commercial buildings or larger ones? Do you have a particular industry that you would like to be a specialist in?
You could, for example, specialize in cleaning offices or beauty salons for construction companies. These are the questions that you should ask yourself before you decide on your target market.
It will be much easier to market if you decide on your target market early in your business.
The third is to list your regular expenses.
What amount do you anticipate spending on business licenses, business insurance, and cleaning supplies to reach your clients? Do you have plans to invest in ads or hire employees?
If your focus is on large commercial buildings, you will likely need additional help to clean the premises on time.
It is essential to include in your business plan all anticipated expenses and an estimate of their cost. It is better not to have a lower estimate.
If you anticipate your expenses to remain low and have a low hourly wage, it may lead to your business losing money if you have higher expenses.
After identifying your target market and calculating your expenses, you can decide the rates you will charge clients.
You’d get a clear picture of how much running your business will cost by adding up your expenses. When setting your rate, the most important thing is to make sure it covers the company’s expenses while still making a profit.
You could find yourself working for free, or your company could face financial difficulties. How successful your business is will depend on how high the hourly rate is.
Next, ask yourself if you will be focusing on securing contracts with consistent cleaning or if you will stick to your hourly rate.
A contract is beneficial if you can land a client with a large commercial building. You will need to include information about the duration of the agreement, the frequency you will clean the facility (e.g., biweekly or weekly), and the cleaning fee.
Your agreement may be valid for three months. The contract can be reviewed and revised after three months if both parties wish to renew it.
Include that you will clean the build once a week for a flat fee of $200 and that the invoice is due each month.
By clearly stating the contract and the agreement, you can ensure that you and your client are on the same page. You will know what to expect.
If you have a business plan, you may decide to charge an hourly rate rather than writing out a contract. You should research the market rates for commercial cleaning companies in your area to determine if you will charge a flat fee or an hourly rate.
It is worth calling local commercial cleaning services to find out their charges for cleaning a particular area. It is worth calling multiple companies in your local area to get an idea of the charges for cleaning a building with specific square footage.
When starting your commercial cleaning business, it’s best to stick with the hourly rate or a flat fee. You can raise your prices as you gain more experience in the industry and grow it.
You will have to register your business with your local government to operate as a legal entity.
Before you apply for a business license, it is recommended that you do your research first. Depending on where you live, the requirements for registering your business may vary. We recommend that you visit the Small Business Administration Licenses and Permits page of your local government.
Your research should help you find out the exact fees, permits required and whether you need to provide insurance proof before submitting your application.
After completing all required documents, you may submit your application via your local government’s website.
You could also submit your documents to your local courthouse if you are unable to offer them online. These important documents should be kept safe and accessible in case you need them for reference.
If you have a paper copy, it is a good idea to scan the documents electronically. Clients may ask for proof of your license if you clean for large corporations.
A commercial cleaning company must have business insurance. Even though your city might not require proof that you have insurance to obtain a business license, you still need to purchase liability insurance.
Commercial buildings are often cleaned by people who are trusted with their safety.
You are protected if there is any damage to the building during cleaning. Otherwise, you could be held responsible if you don’t have coverage.
You can start your business with a small amount of coverage. You can change your coverage at any time as your business grows or you acquire larger commercial properties. Contact your insurance company.
You will need cleaning supplies before you can provide any cleaning services.
Start by buying the necessary items. When your business starts to gain momentum, you can invest in more cleaning supplies and equipment.
Commercial cleaning requires a vacuum, mop or broom, dustpan, and multipurpose cleaner. You would also need sponges, cloths, gloves, protective gloves, and a container to store your supplies.
If you have multiple and large cleaning jobs coming in, you might also consider investing in floor cleaners, cleaning brushes, and floor buffers.
These supplies and equipment will most likely need to be replenished regularly, so including them in your business expense list is crucial.
You may check for affordable cleaning supplies at your local discount store if you have a smaller budget.
Before you start looking for clients, it is a good idea to make a list of potential companies you would like to clean.
These companies should be right in your target market. Once you have a shortlist of 10 companies, call these companies to ask if anyone is currently cleaning their offices.
If the person doesn’t currently have a cleaning service, they can meet with you to discuss your services or provide a free estimate.
A website is crucial for building a commercial cleaning company, unlike residential cleaning companies.
When office managers or business owners are searching for a company to clean their offices, they’ll often start by looking on Google and browsing through websites belonging to commercial cleaning firms.
Social media is often not the first place people look when they search for a cleaning company.
A website will make it easier for potential clients to find you. It will also make you appear more trustworthy in their eyes.
A website gives potential clients the opportunity to see a full list of services you offer, and to get an idea of how your company operates. Your website can be updated with testimonials as your company grows.
Social media pages are an excellent tool to use for your commercial cleaning business. However, this should not be your primary focus.
Residential cleaning works the opposite way. Social media is best for commercial cleaning business advertising.
Once your website is all set, you may now focus your attention on driving traffic to your site.
There are many ways to market your company, and you don’t have to spend a lot of money on advertising. Before deciding what advertising or marketing will work best for your business, it is crucial to consider your budget. What amount can you spend on advertising?
Flyers printed with your company’s name, a brief description of the services offered, and contact information are a good alternative if you have a limited budget.
If you have a flyer to leave at large coffee shops or restaurants near office buildings, they may be able to help you.
Another way is social media advertising, which can be very affordable to reach your ideal client. You will need first to create a Facebook page to invest in this type of advertising.
With Facebook, you can set your budget and customize the audience the ad is targeted at. Ads can be as low as $1 a day.
There are many advertising opportunities available in this age of technology.
It’s up to you if you’re willing to invest small amounts at first or large amounts to grow your business.
Your company’s financial health is crucial for ensuring the success of your business. If your company is financially insolvent, it will not be able to survive. To make sure your cleaning business thrives, you need to find an accountant that you can trust.
An accountant will help to ensure that your finances operate correctly and that you’re in the positive.
Most importantly, your accountant can help you with tax planning. It may not be something that you enjoy doing, but you need to ensure you are paying the correct taxes and paid at the right times.
In some cases, paying late taxes can lead to the government charging you extra.
Hire an accountant, and it’s going to be one of the smartest investments you can make for your business.
Don’t risk your company’s financial future. It’s always better not to take chances in this area.
This step will give you a solid foundation for your business and allow you to start booking cleaning jobs on your calendar.
Commercial cleaning is a service that most clients want. They will request a schedule and consistent cleaning. Create a schedule for your business to keep it organized.
You can quickly see when each client is due to clean by creating a schedule. We found that a monthly calendar works best.
Either print a calendar or use the electronic version. Once the calendar is set up, add your clients to the cleaning days you are doing for them.
Follow these eight steps to build a strong foundation for your commercial cleaning business and generate a steady income stream.
Commercial cleaning businesses for commercial purposes have low overhead costs and unlimited growth potential.
The majority of companies for pay-by-the-hour cleaning services have a fixed cost that ranges anywhere between $30 to $50 per hour for each cleaner.
Based on the size of the business, the initial cost needed to start a cleaning business ranges between $2k and $6k. This amount includes legalities, insurance policies, tools, as well as labor and marketing. The initial capital requirement is significantly lower in comparison to other businesses or industries.
A typical commercial cleaning business makes between $70,000 to over $100,000 per year. The higher figure is because you can charge more for commercial buildings.
Cleaning companies can be profitable because cleaning services are in high demand, and they provide various growth opportunities. There are several kinds of cleaning services available so you can choose which to provide. Finally, cleaning businesses are profitable because they require a minimal amount of overhead costs.
Often, you will have to obtain a general business license to run your business legally. You might also need to get an additional bond or special permit to ensure compliance with the laws in your local area or to deal with specific customers. Alongside bonds and licenses, you may need to invest in business insurance.
The most crucial aspect of bids on a commercial cleaning contract is to determine an estimate. Researching by asking questions and making the correct price calculations will ensure that you get an estimate that reflects the level of service you offer to potential clients.
The following are the typical expenses for an affordable cleaning business:
Licenses and permits: $100 to $500 to incorporate in a limited liability business
Insurance: $500 to $3500 annually, based on how many employees you have.
Utilize a vacuum that comes with an upholstery brush to clean any debris or dust that has accumulated. With a microfiber cloth as well as an all-purpose cleaner spray, you may clean any hard surfaces. If the fabric used for cushioning is water-safe, then use spray bottles and dish soap to clean the fabric.
Our review team has come across a program in the real estate industry that is next level!
Although it’s not real estate in the traditional sense, it’s all digital.
With this digital real estate program, you can have the ability to completely walk away from manual labor!
Sound too good to be true?
Of course it does!
But it isn’t…in fact, business owners wish they had this skill!
All you have to do is build and rank a website and forward the jobs off to a business owner in town, you could even email it to them!
This works for literally any service based business, tree service, plumbing, towing, etc.
Simple, after you forward the jobs off to a business owner and he makes some money off of them, you simply ask to make the deal beneficial for each other.
A fair price to charge per lead, depending on the industry is 10-20%…let’s just use the tree service industry for example and go by worst case scenario.
Let’s say you build and rank the site and only 20 jobs a month come in. The average tree service job is anywhere from $500-$2000!
That means at bare minimum you have an asset worth $1000 a month!
See why they call it digital real estate now?
That’s a rent payment.
The great thing is how easy it is to scale. You don’t have to answer the phone…all you have to do is get the phone to ring.
Unlike the passive income ideas I mentioned earlier…
This one actually allows you to collect that without working in a brick and mortar business all day.
Truly passive income!
The training program takes making money online to a whole other level. The owner of the program walks you through how to build and rank a site hand in hand, with the occasional voice over when he is sharing his screen.
You will learn the importance of keywords, website name, how to send call notifications via email, backlinking, etc.
Once the training program is completed you will also have access to a Facebook group where you can ask questions and be in a community with others on the same journey as you.
Digital real estate allows you to have passive income with most of your day being spent OUT of the brick and mortar landscape.
Now, I know you probably have tons of questions… So, check this out to learn more.