Key Takeaways

  • Becoming a cleaning contractor requires choosing a business structure, registering with state and federal agencies, and obtaining proper insurance and bonds.
  • Decide early whether you’ll focus on residential, commercial, or government clients, as this affects staffing, equipment, and licensing needs.
  • Pricing strategies should account for labor, materials, overhead, and industry norms; offering transparent quotes helps win client trust.
  • A cleaning contractor must comply with state licensing rules, carry general liability insurance, and often secure a surety bond.
  • Marketing through online presence, referrals, networking, and targeted bids can help establish credibility and win long-term contracts.
  • Expanding services or specializing in niches like carpet care or eco-friendly cleaning can make your business more competitive.

Are you wondering how to become a cleaning contractor? In order to become a cleaning contractor, you must create a business entity, register with appropriate federal and state government authorities, and obtain necessary insurance policies and bonds as required by your contract work.

Cleaning businesses can be broadly divided into three categories:

  • Home cleaning
  • Commercial cleaning
  • Government contractors

You can become a cleaning contractor with an upfront investment of as little as $100.

1. Determine the Number of Employees

Determine how many employees you'll need for your business. This figure should be arrived at after considering how many and what size buildings you expect to service.

2. Determine the Type of Buildings

Are you looking to clean large skyscrapers or small convenience stores? Determine the size and type of buildings you are planning to service. You may want to start with a few employees initially and focus on small buildings like gyms and daycares. Later on down the line, you can scale up the operations and start servicing larger buildings.

Choose a Cleaning Niche

Specializing in a niche can make your cleaning contractor business more competitive. Residential cleaners may focus on recurring home services, while commercial contractors often manage offices, schools, or retail spaces. Government cleaning contracts require strict compliance with bidding rules and security standards. You might also explore sub-niches such as:

  • Medical facility cleaning (requiring compliance with health regulations).
  • Post-construction cleanup (removing dust, debris, and residues).
  • Green cleaning (using eco-friendly products to attract environmentally conscious clients).
  • Specialized services (carpet, window, or floor refinishing).

Selecting a niche helps define your target market, set pricing, and choose the right equipment.

3. Choose a Name for Your Business

Select a professional name for your business. It should reflect your strength and integrity as a janitorial or cleaning services provider.

4. Create a Business Entity

You must create a business entity to work as a contractor. You can form a sole proprietorship, set up a limited liability company, or create a corporation. After registering your business, obtain an Employer Identification Number (EIN) from the Internal Revenue Service (IRS).

Secure Insurance Coverage

Insurance is essential for protecting your cleaning contractor business. At a minimum, you should carry:

  • General liability insurance – protects against client claims for property damage or injury.
  • Workers’ compensation insurance – required if you have employees, covering medical expenses and lost wages.
  • Janitorial bond insurance – builds trust with clients by covering theft or misconduct by employees.

Some clients, especially commercial or government accounts, will require proof of coverage before signing a contract.

5. Establish Your Rates

Find out the rates prevailing in the market. You can either charge a discounted price or choose to offer a premium service. Whichever way you choose your pricing, make sure you consider the man hour, material, and travel costs.

You can quote your pricing on an hourly basis or as a flat price for the entire home or building. Quoting hourly rates is more useful for smaller homes, while a flat project bid would be more helpful in case of larger homes.

Draft Contracts and Service Agreements

A written service agreement establishes professionalism and reduces disputes. Your cleaning contractor contracts should include:

  • Scope of work (areas cleaned, frequency, and specific services).
  • Payment terms (hourly, per square foot, or flat fee).
  • Supplies and responsibilities (who provides cleaning materials).
  • Cancellation and renewal terms.

Clear agreements ensure expectations are met and give both parties a reference point if disagreements arise.

6. Obtain a Business License

Obtain all the necessary business licenses required in your state. Open a separate bank account for the business.

Understand State Licensing Requirements

Licensing requirements for cleaning contractors vary by state and city. Some states only require a general business license, while others require contractor registration or additional permits if you handle hazardous materials. For example:

  • California: A business license is required, and specialized cleaning may require permits.
  • Florida: A general business license plus registration with the Department of Revenue.
  • Texas: Typically requires only a local business license, but bonding may be necessary for larger contracts.

Check with your state’s small business office or local clerk’s office to avoid fines and ensure compliance.

7. File a Surety Bond

  • You may be required to file a surety bond to ensure that your business will comply with the bonding and insurance requirements of state and federal governments.
  • The state or city authority may ask for a bond as a precondition to issuing a business license.
  • This surety bond is often referred to as a cleaning surety bond or a janitorial surety bond.
  • A surety bond protects your clients from dishonest employees, misconduct, theft, fraud, and several other risks.
  • Bonding insurance protects the client against financial and legal risks while performing a service.
  • Surety bonds reassure your clients regarding your ability to reimburse the losses in the event of any damages or other issues.
  • The bonds also make your clients more confident about receiving the promised quality of service.
  • Licensed and bonded businesses are likely to attract more clients.
  • A surety bond is valid only for a specific period of time.
  • In order to legally operate the business, you must renew the surety bond before it expires.

8. Bid on Projects

Advertise and market your services to your targeted types of buildings. You need not pay to advertise your business. For example, you can offer to provide a free cleaning service to a church in return for a mention in the church bulletin.

Consider promoting your business through word-of-mouth advertising. For instance, you can offer a discount of $5 to your customers if someone they refer your name to hire your services. While advertising through traditional mediums like newspapers, radio, and television, try to make it more appealing by offering a first-use discount to new customers.

If you are targeting individual businesses, meet their owners and managers directly. For government contracts, visit the government websites and search for proposal requests. Understand the specific requirements of the bidding process, and submit your quotes accordingly.

Build Client Relationships and Reputation

Winning contracts is only the first step; maintaining long-term relationships is key to growth. To strengthen your reputation as a cleaning contractor:

  • Deliver consistent, high-quality results.
  • Communicate proactively with clients about schedules, special requests, or issues.
  • Offer flexible services to accommodate client needs (e.g., after-hours cleaning).
  • Request testimonials or reviews to showcase credibility.

Happy clients can become repeat customers and provide referrals, which are often the most effective source of new business.

9. Establish Online Presence

  • You can choose Facebook, Twitter, Instagram, and other free social media platforms to promote your business.
  • You can advertise through monthly specials and before and after pictures of some completed projects.
  • List your services and contact information on your website. You can share your experience, interest, and dedication in the cleaning industry through the "About Us" page.
  • Consider adding pictures of your staff on your website.

Invest in Equipment and Technology

Reliable equipment and modern tools improve efficiency and professionalism. Consider investing in:

  • Industrial vacuums and floor buffers for large commercial spaces.
  • Eco-friendly cleaning products to meet sustainability demands.
  • Scheduling and invoicing software to streamline client management.
  • Mobile apps for employee time tracking and communication.

Upgrading technology not only saves time but also presents your cleaning contractor business as organized and professional.

Frequently Asked Questions

  1. Do I need a license to be a cleaning contractor?
    Yes, most states require a business license, and some require additional permits depending on your services.
  2. How much does it cost to start a cleaning contractor business?
    Startup costs can be as low as $100 for basic supplies, but commercial operations may require thousands for equipment, bonding, and insurance.
  3. What insurance should a cleaning contractor have?
    General liability, workers’ compensation (if you hire employees), and janitorial bonds are the most common forms of coverage.
  4. How do I get cleaning contracts?
    Bid on projects, market through social media, and build referrals. Written agreements and competitive pricing also help secure contracts.
  5. Can I operate as a cleaning contractor without employees?
    Yes. Many start as solo operators, later hiring staff as their client base grows.

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