Do you wanna start a House Cleaning Business and Make Money? Here is the Ultimate Guide on How To Make Money Cleaning House Business 2022.
In this guide, we will share with you everything you wanna know about house cleaning business.
How to Make Money Cleaning Houses
Wondering how to earn an extra $200 each week? Did you know you can make money cleaning houses and did you know that it doesn’t have to be difficult to get started?
Cleaning houses for extra money can be a flexible business or side-business that you can fit around your current commitments.
Just think, an extra £100 a week gives you over £5,000 a year in your pocket! What would you do with the extra money?
Of course although it’s not difficult to get started, it’s not quite as simple as just starting without doing some groundwork.
There’s a few things you’ll need to think about before you can start to make money cleaning houses.
You’ll see from the guide that you could pay £1000’s for a cleaning franchise or you could go it yourself.
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How Much Money Can You Make Cleaning Houses?
ets look at covering the startup costs first of all:
We’ll base everything on an hourly rate of $12.50 an hour – we recommend you don’t go any lower than this.
To cover the initial costs of $175, you’d only need to do 14 hours.
Remember though you’re literally starting from scratch when you go it alone so it’s likely that it’ll take you a week or two to cover those 14 hours.
To earn an extra £100 a week, we’ll times the $100 by 4 to get a monthly income of $400 and add the $138 monthly expenses to give a total monthly income required of around $538.
To achieve the $538, giving you an extra $100 a week, you’d only need to work an average of 11 hours a week, at $12.50 an hour.
How to Start a Cleaning Business from Scratch
There are some people who genuinely enjoy cleaning and some just do it for extra income. No matter what category you fall within, this article will equip you with all the tools you will need to get started.
Below you will find out the 4 Key Elements you need to get started making money cleaning:
- How to get started
- How much you should charge
- What tools to use
- How to find clients
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What are the steps to setting up your own cleaning business?
- Register your sole proprietorship with your local county or state agency as a DBA “Doing Business As”. This costs between $20-$50.
- Register your DBA for a Federal EIN. This is free. Some may choose to set up as an S-Corp, LLC, or C-Corp for tax and liability protection. Unless you are building a big business model from the beginning, you don’t need to start here.
- Register your DBA at your state sales tax office (if your state requires cleaning companies to remit. This is free).
- Purchase General Liability insurance for $2M per year aggregate from a reputable local broker. Your annual policy should run between $400-$800/year.
- Open a business account at your bank or credit union with your DBA.
- Get your basic supplies together. You can either bootstrap it with the cleaners and vacuum you already have or you purchase a cleaning system for between $500-$1,000. (Remember to use all these expenses as a tax write-off)
- If you CANNOT do the cleaning yourself because of work commitments, you’ll need to hire employees or subcontractors. Start the process of identifying the ones you’d like to hire and get the proper insurances (Worker’s Comp, state disability, payroll & bookkeeping). I don’t recommend starting this way unless you have to. I’d like the new cleaner to get their hands dirty, learn the business solo, get proficient & profitable, and then grow.
- Go Clean!!! It’s an awesome business! Start. Stop re-reading this over and over. Take action for your family!!!
When Starting a Cleaning Business How Much Should you Charge?
Do not charge by the hour! That is the most critical first decision. You need to choose a starting rate for houses (or offices) at a price reasonable to your experience.
I suggest $100-$125 per house as a beginner. Then track your time to calculate your hourly rates. Strive to get to at least $30/hour to start. If you are not at $30, it means you are either undercharging or taking too long.
Over time, increase prices to the $40-$50/hour range. In some cases, like in my business, you can optimize to $80-$120/hour.
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How much money do you need to start a cleaning business?
This answer depends on the business model you select. If you follow my advice and start as a solo DBA, you can legally be cleaning houses for under $1,000 in startup costs. At the rates I mentioned above in #3, you can pay this initial investment back with 8 houses.
Is it worth starting a cleaning business and can this be done part-time and still lucrative?
Yes! I was able to build a flexible company earning $55k profit per year on 2 cleaning days per week and no employees or subcontractors. I worked around 20 hours per week for over $1,000 per week in profit. This gave me 5 days per week to enjoy my family and work on other projects.
This is a PERFECT business for moms to start. How do I know? Because over 90% of house cleaning owners are moms! They love this business because it’s simple, profitable, flexible, and rewarding.
How do you find clients or what are the best ways to get clients and retain them?
This age-old question isn’t so much about the tactics, rather the strategy. You have to understand the nature of being a “Go-Giver” and then apply it. But in general, here’s how you find clients.
- Identify your avatar (ideal client).
- Figure out where they hang out.
- Join that group and serve there.
- You can offer free or discounted service to get you started and only ask for reviews & recommendations in return. This is a personal service business and over time, word of mouth will be your greatest ally.
- If you’d like to buy leads, invest in your website, SEO, and other lead generating services you can but I don’t recommend starting here.
Do you have to set up any business requirements before getting started?
This is a simple business with a low barrier to entry. I have already over complicated it with my list of getting started previously in #2!
Go and clean, make some money! That’s the only requirement. Stop talking about doing this amazing business and go do it!
What supplies do you recommend to start with for a cleaning business?
For a house cleaning business, you need a vacuum cleaner & attachments, microfiber cloths for cleaning & dusting, a tote bin, spray bottles, sponges & scouring pads, toilet brush, and the basic cleaning supplies (all-purpose, glass, kitchen & disinfectant).
You can start with what you already have in your house to bootstrap or invest in your own cleaning system, I recommend studying the science of cleaning, so you understand why to use what you use!
Wow, thank you Ken for sharing such great information. We now know how to get started, how much to charge, what tools to use, and how to get clients.
How to Set Up Your Own Cleaning Business
Setting up your own cleaning business can be a good extra revenue source, but with hard work, high standards and a bit of luck you could see it become a full-time business. It’s an industry that’s worth about £10bn to the British economy, and one third of all cleaning businesses are owned and run by a single person.
There are three types of cleaning business:
- Domestic cleaning
- Commercial cleaning
- Specialised cleaning
Make money Domestic Cleaning
Becoming a domestic cleaner is the simplest of the three. And, it requires very little investment. For somebody to hand over their house keys and let a perfect stranger into their homes in their absence, a degree of trust is clearly required.
In the beginning, ask family and friends if they need a cleaner. This way, you’ll get a feel for the job and the standards people generally expect. Overall, customers will usually have much higher standards of cleanliness, if they are paying for it. You will also get recommendations from friends, which is helpful for advertising to the public.
Most services range from £6–£10 per hour for domestic and office cleaning, as well as window cleaning services. While domestic households have cleaning products, some cleaners and cleaning agencies provide their own, and it’s essential to have a supply of dusters, clothes and mops – at the bare minimum.
How much can you make?
- £5 – £10 an hour depending on your location. Office cleaning is similar.
- For total cleaning (where you clean a house after people have moved out), you can charge £100–£200 depending on size and complexity of job.
Make money Commercial and specialist cleaning
Running a company, even if you are a sole trader, involves a greater outlay than domestic cleaning. In order to secure work, it’s necessary to invest in a training course.
First, it’s a good idea to decide on an area of speciality. Cleaning graffiti, office cleaning, window cleaning and even cleaning police crime scenes are possibilities. By doing specialist training you can offer a bespoke service and premium rates, for instance upholstery cleaning and maintenance.
Offer an international accreditation on all of their courses, which covers a range of techniques for cleaning in different environments. Courses also include essential Health and Safety procedures.
As an idea of further costs for equipment you can expect to pay for the following:
- Industrial wet & dry vacuum cleaner – £300
- Rotary floor machine – £400–£800
- Pressure Washer – £1,700 +
- Ladders – From £70
- Cleaning chemicals – £7–12 per litre
You’ll also need a van to transport your equipment, which will incur road costs.
What Are The Steps To Make Money Cleaning Houses?
Starting your own house cleaning business can help provide you with the extra cash you need. But before you leap into this business venture, you need to do your research first. You have to know whether you want a franchise or an independent operation.
What equipment do you need? Would you rather have a home-based location or do you prefer to rent out a commercial space? Can you do it on your own or do you need to hire other employees? What about the price? How much will you charge for your cleaning services?
Always remember that there’s no glitz or glamor for this type of business. It’s a demanding job that requires your time and effort. But with careful planning and preparation, this type of business can be very profitable.
Is It Worth Starting a Cleaning Business?
The average cleaning business income is just under $56,000 (USD) per year for a one-person company. That amount can vary depending on:
- Whether you provide residential cleaning or commercial/industrial cleaning services
- How much you charge for your services and what your profit margins look like
- If you’re working on your own or employing other people
- If you offer specialty services, like green cleaning or carpet cleaning
How much do cleaners make?
On average, a cleaner in the United States makes $12.61/hour. They can make more money if they have years of experience and if pay rates in their state are higher than the average.
How much do cleaning companies make?
If you clean five homes each week for a year, charging a flat rate of $120–150 per home, your residential cleaning business could earn $31,200–39,000 in a year before taxes, insurance, and other deductions.
How much do commercial cleaning companies make?
Again, that depends on your rate and how much work you get. Commercial cleaning prices are often estimated per square foot, and 11¢ per square foot is the average rate.
So for a 10,000-square-foot facility, for example, your commercial cleaning business could earn $1,100 per visit.
How much profit does a cleaning company make?
The numbers above only account for your gross income, not your profits. Typically, a profit margin that’s anywhere above 10% is considered average for a small business.
Let’s assume you’ve quoted a flat rate of $225 for a cleaning job. If 60% of that amount covers your labor, overhead, insurance, and cleaning equipment costs, your business’ profit margin is 40%, or $90 for that job.
Should I start a cleaning business?
1. Startup costs are low
If you’re wondering how to start a cleaning business with no money, don’t worry—it’s simple and inexpensive to do.
It doesn’t cost much to get started, especially if you work from home and use your personal vehicle. You just need to create a basic business plan, purchase a few cleaning supplies, and bring out your can-do attitude.
2. Be your own boss
You can start your cleaning business with just one person: you! You get to run the day-to-day on your own terms and make the big decisions that help move your business forward.
3. Set your own quality standards
If you’ve had past experience with local cleaning businesses, you might have been frustrated by the poor service you received—or maybe you were inspired to reach the same high level!
4. High demand for cleaning services
Cleaning is a job that will never go away. As long as we have homes, offices, and other buildings where we spend our time, there will always be a demand for cleaners.
5. Do work that makes a difference
Your cleaning business gives you meaningful work and transforms the lives of your clients, giving them back their time and reducing the number of things they have to worry about.
13 Secrets for Making Your Cleaning Business a Success
Get the inside scoop from established cleaning service business owners who share their tips for building a successful cleaning business.
Never stop learning.
The cleaning industry may not be the most glamorous or complex, but established business owners say there’s always something to learn. Technology advances affect the equipment you use, safety issues affect the chemicals you clean with, and there will always be ways you can enhance your organizational and managerial skills. Read industry publications, go to meetings and conventions, participate in trade organizations and encourage your suppliers to keep you up to date.
Tap all your resources.
A wide range of associations serves various aspects of the professional cleaning industry. These groups can help with operational, marketing and management issues. Many state and government agencies also offer support and information for small businesses.
Clean it like it’s your own.
Regardless of what you’re cleaning and whether you’re doing traditional housecleaning, janitorial work or providing a specialty cleaning service, clean like you’re cleaning your own home or office.
Systems provide a structure that allows you to work consistently and efficiently, and also let you create a company that will continue to run whether you’re there or not. Create systems for every function: cleaning, laundry, supervision, reporting, customer service, accounting and management.
Though time is your most valuable commodity, don’t rush so much that you get careless. Customers will usually understand when accidents happen, but you’re better off if you don’t have to fall back on that. Also, the cost to repair or replace something — in out-of-pocket cash, time lost and damaged customer relations — is usually far more than the time you might save by working carelessly.
Don’t undersell yourself.
When you’re starting out, you may be tempted to try to undercut the competition’s prices. A better strategy is to simply outperform them by providing quality work.
Take care of your employees.
Your employees are critical to your success; after all, it’s the quality of their performance that determines whether your customers are satisfied. Look for ways to make them want to do their best. Train them well, don’t micromanage and treat them with respect. Provide bonuses and incentives for top performance, and consider offering perks such as letting them use company equipment in their own homes.
Find a niche.
Don’t try to be all things to all people; pick the market you can best serve, and focus on that. For example, if you choose to service smaller office buildings, you may not be able to provide quality work at a profitable price level to larger facilities. Excel in what you’re doing and build consistency in the services you provide. When you try to serve too many markets, you won’t be successful in any of them.
Develop your digital skills.
You need to be as skilled digitally as you are with a mop or buffer. The cleaning business may not be particularly high tech, but you don’t have time to do estimates, billing, payroll, inventory control and other record-keeping by hand. Your business should also have an extensive online presence with a website, social media accounts and an app (you could contract the building of one out).
Track labor costs.
The biggest single expense you have is labor, and you must stay on top of it. If you aren’t watching your labor costs every day, they’ll get away from you. Compile a daily over and under report, which makes it easy to spot trends before they become major issues. If labor is on the increase, figure out where the problem is. Is the customer asking for extra services you aren’t charging for? Did you underestimate the time it would take to do the work? If you’re under on your labor estimates, make sure your employees are providing the quality you’ve promised.
Invest in customer service.
The quality of your cleaning is important, but it’s not everything. Building strong relationships with your clients requires a serious commitment to customer service. Don’t assume that just because the work looks satisfactory to you that it is to your customers — or that there’s nothing else they want or need. Be sure to follow up with them consistently to find out how things are going.
Keep your eye on the economy.
As long as things get dirty, there’ll be a need for professionals to clean them. But economic changes can mean changes in your market. Residential cleaning services, for example, are often seen as luxuries, and an economic downturn could affect your customers’ willingness and ability to pay to have their homes cleaned. When business profits shrink, companies look for ways to cut expenses, which means they may examine their budgets for services that can be reduced or eliminated.
Also consider how the world economy can impact your profitability. If oil prices skyrocket, you’ll have to spend more to operate your vehicles, and your general utility costs will probably increase. When the cost of lumber goes up, so does the cost of bathroom tissue, paper towels and other disposable paper products you provide to your customers. You may be able to pass along some of those costs, but don’t depend on a thriving economy to keep your business profitable. Have plans in place so you can shift your market focus if necessary.
Don’t take every job.
If you can’t make money on a job, or if the work is undesirable for any reason, turn it down. It’s better to focus your time and energy on profitable work you enjoy.