How much money do I need to start a cleaning business? While it can seem like a relatively simple business to start, there are some key considerations in the startup phase. Merry Maids is a residential cleaning franchise and part of our package to franchisees includes their startup needs. Here are 6 startup cost categories — and 37 line items — we consider:
Typical Cleaning Business Startup Costs
You’ll need a variety of items that pertain to both the cleaning work and the operation of a business. To make it easier, we have put these costs into categories.
1. Establishment Costs
There are 3 key costs you may incur to establish your business:
- Choosing a business structure and registering your business name
- Obtaining any permits you may need
- Legal or accounting services to ensure the financial aspect of your business is set up appropriately
2. Administrative Costs
Here are 7 more cleaning business startup costs you should anticipate:
- Laptop or computer
- Software programs for bookkeeping and scheduling (outright purchase or license fees)
- Cellphone and internet (upfront costs and ongoing fees)
- Insurance (for your business, your employees, and your office location)
- Occupational health and safety registration fees
- Bank account setup including electronic transfer access and checks
- Service agreements for cleaning customers
3. Marketing Costs
We have chosen 8 important marketing costs for a startup cleaning business:
- Logo development
- Website, domain name, email, and hosting service
- Social media pages
- Advertising for online and offline marketing (i.e., flyers, business cards, social media ads, radio ads, grand opening promotion, etc.)
- Uniforms (for yourself and employees)
- Association membership (i.e., local chamber of commerce or industry organizations)
- Vehicle graphics
- Signage
4. Location Costs
Your location costs will vary depending on whether you run the business from home (check with your municipality to see if this is allowed) or from a separate location. Here are 8 costs to consider:
- Office space
- Utility deposits
- Washer and dryer
- Office furniture and décor
- Improvements to the office space
- Security deposit and video surveillance system
- Fire extinguishers and smoke detectors
- First-aid kit
5. Cleaning Business Supplies
The type of service you intend to offer will determine the supplies needed for a cleaning business. Here are 8 kinds of cleaning supplies we recommend:
- Cleaning products for ovens, stainless steel, bathrooms, floors, all-purpose cleaning and degreasers
- Protective gear such as gloves, glasses, aprons and knee pads
- Cloths, brushes, scrubbers, mops, buckets, steamers, sponges, and dusters
- An extension handle for long-reach dusting and cleaning
- A laundry bag for soiled cloths
- A step stool and a tote to carry supplies into the property
- Trash bags
- One or more vacuums with appropriate attachments
Additional cleaning business equipment such as floor polishers may be needed depending on your services. Remember to have enough supplies for 1-3 months for each employee.
6. Additional Costs
At Merry Maids, the cleaning business startup costs for franchise owners are part of their initial investment fee, which also includes these 3 things:
- Training. If you’re going to onboard employees, they all must be consistent in their cleaning. Inconsistency will ruin your reputation quickly.
- Operations manual. You need a guide of how things work – when clients are invoiced, what monthly reports are run from your accounting software, what suppliers you deal with, your ordering schedule, etc.
- Three months of funds. This is money to carry you while you’re building your business and covering expenses before you start generating revenues consistently.
Finally, additional costs you need to consider include employee screening costs, vehicle payments, and a contingency to cover anything you might have missed or an unexpected expense that occurs during the startup phase of your cleaning business.
Open a Cleaning Business Franchise
The residential cleaning market is significant — $12.5 billion in 2022 — and it is very fragmented, with plenty of individuals offering cleaning services. However, if you want to grow a company in this industry, Merry Maids offers a great opportunity to own a residential cleaning franchise . We also offer a franchise conversion option for people who have their own cleaning business and wish to become a Merry Maids franchisee. You can only earn so much income as one person cleaning houses. It’s more of a side hustle than a business that has growth potential. The cleaning franchise costs provide you with a business model that sets you up for success, and we’ve been proving that for more than 40 years at Merry Maids.
Explore Merry Maids
Find out more about the Merry Maids opportunity. Fill out our online form today and see how franchise ownership with us can put you on your path to running a successful cleaning business.