Key Takeaways

  • The janitorial business industry offers strong growth potential due to consistent demand for cleaning services across commercial, industrial, and residential sectors.
  • Compliance with federal and state labor laws—including overtime rules, worker classification, and safety standards—is crucial for avoiding fines and reputational harm.
  • Entrepreneurs should prepare for new legislative changes that may affect wages, contracts, and worker protections in the cleaning industry.
  • Strong client communication, professional certifications, and updated insurance coverage help build credibility and ensure long-term success.
  • A detailed business plan and careful budgeting—especially for startup equipment, licensing, and insurance—are key to profitability.

Commercial Cleaning Overview

When wondering how to start a janitorial business, you first need to learn a bit about commercial cleaning.

Keeping a facility clean requires following the same cleaning routine every day, which means commercial cleaning provides job security. Every building in the world must be cleaned by someone.

If you're interested in starting a janitorial business, you have the option of starting part-time and working out of your own home. A large number of the cleaning companies in America are independently owned and operated. After you've secured regular cleaning contracts, you will have a steady income and potentially large profits. The Bureau of Labor Standards rates janitorial businesses as some of the fastest growing commercial companies.

Earning $5,000 by the end of their first year in operation is a common goal for new janitorial businesses. It's important to understand that you will likely not turn a profit the first six months your business is in operation, as this time period will be spent growing your company.  Many people choose to continue their current career until they are earning an income from their janitorial company.

A great deal of businesses choose to outsource janitorial services instead of having a janitor on staff. Effective janitorial services can help to defend a client's assets, including furnishings and floor coverings. Cleaning services can also extend a facility's lifespan.

Understanding the Legal Landscape for Janitorial Businesses

Launching a janitorial business involves more than just cleaning expertise—it also requires navigating complex labor and employment laws. Recent updates to overtime and worker protection laws have significantly impacted the janitorial industry. For instance, the U.S. Department of Labor has raised the salary threshold for overtime pay, meaning janitorial company owners must ensure that salaried employees earning below this threshold receive overtime for hours worked beyond 40 per week.

Additionally, states like California and New York have introduced new wage transparency and worker retention laws that apply to cleaning and facilities service providers. These laws require companies to clearly communicate pay rates, maintain proper records, and sometimes retain staff when client contracts change hands.

Noncompliance can result in penalties, lawsuits, or even business license suspension. Therefore, every janitorial business owner should regularly review employment classifications (e.g., employee vs. contractor), wage documentation, and safety training procedures to remain compliant. Consulting with an employment law attorney through platforms like UpCounsel can help ensure your business meets all legal standards.

Traits for a Successful Business Owners

Being self-employed requires a specific set of skills, including an entrepreneurial spirit and good management abilities. It takes a great deal of determination to be self-employed, particularly in the face of obstacles such as sales rejection. You must also possess salesmanship to be an effective business owner. You need to be able to close a deal and should be ready to sell yourself or your business wherever you go. 

Organization is a key characteristic of the self-employed. You need to be able to develop a business plan that you can then follow effectively to achieve your goals. You will also need to be able to maintain a consistent level of performance, both from yourself and your employees.

Finally, you must be a good decision maker who is able to effectively take pros and cons into account when making a choice related to your business.

Building Trust and Client Relationships

The janitorial business thrives on reliability, consistency, and trust. Clients depend on cleaning professionals to maintain secure and hygienic work environments. Building long-term relationships starts with transparent communication, fair pricing, and attention to detail.

Successful janitorial business owners often invest in:

  • Quality assurance systems, such as digital checklists or inspection apps.
  • Client feedback loops to address concerns quickly.
  • Uniforms and branded vehicles that enhance professional appearance.
  • Training programs to ensure staff follow safety and sanitation standards.

Maintaining open communication with clients about schedules, supplies, and service adjustments helps create a loyal customer base and positive word-of-mouth referrals.

Commercial Cleaning Startup Basics

Your janitorial company's smaller accounts may only request service once a week. If you service a larger building, you will normally clean nightly after the end of business hours. Most janitorial companies start with cleaning smaller offices until they have the ability and manpower to tackle larger jobs.

The three most effective steps for starting your business are:

  • Marketing your janitorial services.
  • Finding and securing accounts.
  • Hiring employees for your business.

The routine you will use to clean an office or building will be similar to the routine you use in your own home.

The typical routine for a janitorial service includes:

  • Emptying trashcans.
  • Wiping up any spills and dusting all surfaces.
  • Dry and wet mopping floors.
  • Vacuuming any carpeted surfaces.
  • Thoroughly cleaning bathrooms, including restocking supplies like paper towels and soap.
  • Cleaning entryways.

In addition to common cleaning supplies such as all-purpose cleaner, mops, and dusters, you will need to invest in a commercial vacuum, which can cost as much as $300. Spending $500 on your cleaning supplies may allow you to earn up to $3,000 a month from your clients. If you're not sure what products you'll need for your business, you should be able to get help from your local supply store.

To control your costs, you should consider shopping at a home improvement center or wholesale club. Although you usually will not need a large starting investment for your janitorial business, it most likely will take you six months of building and marketing your business until you earn a profit. If you're very careful about controlling your costs, and you keep your normal job for a little while longer, you should be able to guide your business successfully through its earliest months.

Staying Compliant With Industry Regulations

Compliance extends beyond wage laws—it also includes health, safety, and environmental standards. Janitorial business owners must adhere to OSHA regulations, including chemical labeling (under the Hazard Communication Standard) and employee safety training. Using eco-friendly or “green certified” cleaning products can also help attract environmentally conscious clients and align with local sustainability initiatives.

Some states require janitorial contractors to carry janitorial surety bonds or register under special contractor laws. For instance, certain states mandate registration through a Janitorial Services Contractor Act, which helps ensure worker protections and prevents wage theft.

Regular audits of timekeeping systems, chemical storage, and waste disposal practices can minimize liability and improve efficiency. Keeping digital copies of certifications, Material Safety Data Sheets (MSDS), and insurance policies also helps demonstrate compliance during inspections.

Commercial Cleaning Startup General Cost Projections

There are several costs you will need to cover to start your janitorial business. The basic equipment you will need should cost $500. Acquiring your business license and opening your checking account will cost between $70 and $150. You will need both a fidelity bond and a general liability insurance policy, which will range from $450 to $1,200. It's also a good idea to invest in office supplies such as a computer and printer, which can cost between $150 and $3,000.

Marketing and Growth Strategies

To stand out in the competitive janitorial industry, business owners should combine traditional marketing with digital strategies. Start with local outreach—handing out flyers, networking with property managers, or joining local business associations. Then expand online visibility through:

  • Google Business Profile optimization.
  • Client testimonials and before-and-after photos on social media.
  • Website SEO focused on keywords like “janitorial business near me” or “commercial cleaning services.”
  • Referral programs offering discounts for clients who recommend new business.

Additionally, pursuing certifications such as CIMS (Cleaning Industry Management Standard) or Green Seal can give your janitorial company a competitive edge in bidding for large commercial contracts.

Frequently Asked Questions

  1. Do I need a business license to start a janitorial business?
    Yes. Most states require a general business license, and some require additional registration for janitorial or cleaning contractors.
  2. What insurance does a janitorial business need?
    You’ll typically need general liability insurance, workers’ compensation, and a janitorial bond to protect against damages or theft.
  3. How much does it cost to start a janitorial business?
    Startup costs range from $1,000 to $5,000, depending on equipment, insurance, and licensing.
  4. What legal issues should janitorial businesses watch for?
    New overtime laws, worker misclassification, and OSHA compliance are key areas to monitor regularly.
  5. How can I grow my janitorial business?
    Focus on building client trust, maintaining consistent service quality, and leveraging certifications or eco-friendly cleaning options to attract new contracts.

If you want to start a janitorial business and need help, you can post your legal needs on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.