There are several factors at the heart of running a business, but being profitable is perhaps the most important. Being able to start a business without much capital or experience can provide a leg up, like cleaning houses. But is a cleaning business profitable? Let’s take a deep dive to find out whether this is worth looking into and how Housecall Pro can help.
Jump ahead to each section
- Is a Cleaning Business Profitable?
- How Much Can You Make Cleaning Houses?
- Why Start a Cleaning Business?
- How Much Can a Residential Cleaning Business Make?
- How Much Can a Commercial Cleaning Business Make?
- Residential vs. Commercial: Which Business is Right for You?
- Should You Start a Cleaning Company?
- Tips for Starting a Cleaning Business
- How to Increase Your Cleaning Business Profit
- Is Starting Your Own Cleaning Business Worth It?
Is a Cleaning Business Profitable?
Starting a cleaning business can be quite profitable if you know what you are doing. How much can you make cleaning houses? Part of it depends on what area you service and what cleaning services you offer.
The reason that a cleaning business is so profitable is that it takes less startup capital to get going. Have a business plan and know how to budget before you get going. How much can you make cleaning houses? It is entirely up to you.
How Much Can You Make Cleaning Houses?
Is a cleaning business profitable? While each cleaning business varies, small businesses can make between $30,000 and $50,000 per year (depending on prices). Hiring additional cleaners can take that up to $70,000 per year or more.
The more services you offer, the more potential there is for earnings. Offering things like floor waxing and carpet cleaning will make your business available to a larger audience. Though there is technically no ceiling, many medium businesses top out at around $100,000 per year.
Why Start a Cleaning Business?
After asking yourself, “Is a cleaning business profitable?” it is time to analyze the startup process. One of the first things to do is to ask yourself why you would want to start a cleaning business. Aside from “how much can you make cleaning houses,” here are a few other important reasons to start a cleaning business.
High Demand
The cleaning industry has grown exponentially, even through Covid. Why is that important? Well, growth equates to business opportunities. There are more cleaning contracts available for businesses that know how to procure them.
Hygiene has been given more of a focus than ever before. New cleaning standards have been implemented and there is more of a need for cleaning businesses than ever. Is a cleaning business profitable? With the kind of demand there is now, it is hard not to be.
Low Start-Up Costs
How much can you make cleaning houses? The beautiful thing about starting up a cleaning business is that you don’t need exponential capital to get started. If you start out with just yourself, the tools and cleaning products required are fairly minimal.
Even better, there are free website builders available that can help you to market your business. It is possible to start out with a cleaning business that has a high profit margin because it takes so little to get moving in the right direction.
Flexible Schedule
A major benefit when it comes to owning a cleaning business is its flexibility. Many other businesses are rigid in their hours but cleaning services can operate 24 hours a day. Owning your own business means choosing your own jobs as well.
Flexibility is great for entrepreneurs who have family commitments or even another job. Start out small when you have time and make changes as growth and opportunity allow. Very few other startup businesses offer that kind of flexibility.
How Much Can a Residential Cleaning Business Make?
It is important to note that a residential cleaning service likely won’t make you rich. Your business can be profitable but most small cleaning businesses will make anywhere between $20,000 and $50,000 per year. Here are a few common services that residential house cleaners offer.
Standard House Cleaning
When asking, “Is a cleaning business profitable?” it comes down to the services you offer. One of the base services will be standard house cleaning. Dusting, vacuuming, mopping, sanitizing, and more are all part of the package.
The great thing about standard house cleaning is that it can be modified into different packages. Basic, deep, and recurring cleanings can be offered to a variety of customers. It is a fantastic way to take one basic service and turn it into so much more.
Window Cleaning
The majority of homeowners don’t take proper care of their windows. Cleaning them might seem as simple as a spray and a wipe, but it rarely does more than a peripheral job. By offering window cleaning services, your home cleaning business can stand out.
Window cleaning should be done both inside and outside. Cleaning windows effectively can help protect them from damage, increase the curb appeal of the home, and even extend the life of the windows. Best of all, it is another service that your business can offer.
Move In/Out Cleaning
Anyone who has moved before knows what a hassle the entire process is. In addition to packing and moving, cleaning of the old place is required (oftentimes to get a security deposit of some sort back). As a business, you can become more profitable by offering move-in/out cleaning services.
It is more of a deep clean than the standard house cleaning service for sure. Is a cleaning business profitable? By offering more niche and specialized services like this, it certainly can be. Those in the process of moving will definitely appreciate a service like this.
How Much Can a Commercial Cleaning Business Make?
How much can you make cleaning houses? That number will drastically jump when you expand to commercial services. It is possible to make in excess of $100,000 depending on the services you offer. Here are some of the best commercial cleaning services to offer.
Carpet Cleaning
Though hardwood flooring has become the most popular flooring option in homes and businesses, carpet is still going strong. Cleaning carpeting is a complex task, especially in commercial spaces that don’t have access to proper cleaning equipment.
By investing in particular supplies and equipment, your business can offer a niche service that can be quite valuable. Even better, carpet cleaning can be offered to both commercial and residential customers, providing greater versatility among your services.
Pressure Washing
Keeping a clean, neat outdoor setting is tougher than it looks. For instance, having stains on outdoor surfaces can be quite difficult to remove without the proper tools. By offering pressure washing services, you can expand to outdoor cleaning as well.
Cleaning driveways, sidewalks, parking lots, building exteriors, and more provides another avenue for your services. The more areas you can appeal to, the more profitable your business can be. Think about investing in a pressure washer to provide valuable outdoor services.
Janitorial Services
Think of this as house cleaning on a more expansive level. Janitorial services cover a wider range of cleaning tasks that keep a business or office space clean. Janitorial services can also include sanitation, cleaning refuse and disposing of trash, and more.
Customer-facing businesses, things such as legal offices, stores, and office complexes, can be the most profitable of them all. Is a cleaning business profitable? When you add commercial cleaning services to your repertoire, the potential for growth is certainly there.
Residential vs. Commercial: Which Business is Right for You?
Is a cleaning business profitable? While that may be the focal question at hand, the real question should be, “Do I start a residential or commercial cleaning business?” Let’s take a look at which one would be a better fit based on these factors.
Startup Costs
Perhaps the single biggest factor when starting a cleaning business is the startup costs. Those who are looking for something a bit more turnkey that can start up in no time may want to go with residential cleaning services.
If you have more startup capital, commercial has the better potential for profit in the long run. That said, you’ll need a greater selection of cleaning chemicals and equipment, things that might not necessarily be affordable for small residential cleaning services.
Operating Costs
At the end of the day, costs often have the biggest impact on the profitability of a business. While you need a certain amount of startup capital to get going, there are also operating costs to keep in mind. Those costs don’t go away and need to be addressed each month.
Supplies, equipment, taxes, marketing, labor (if applicable), and more need to be taken into consideration. Starting a residential cleaning service is definitely easier, though commercial cleaning businesses tend to be more profitable in the long run.
Available Employees
Are you planning on starting out with help or going it alone? That is an important distinction to make because it is one of the most critical factors in deciding whether to start a residential or commercial cleaning business.
How much can you make cleaning houses? It depends on how many workers are on the task. It is quicker, cheaper, and more flexible to start a cleaning business on your own but expanding to include others means being able to appeal to a broader audience base and even offer a wider range of services.
Should You Start a Cleaning Company?
If you have been debating on whether or not to start a cleaning company, now may be the time. Demand has never been higher and it shows no signs of slowing down. If you are still on the face about it, consider these reasons for starting a cleaning business.
Offer Services You Want
Running a business of any kind means that you get to make the decisions. The flexibility of a cleaning business means that you get to decide what services you offer. While worrying about, “Is a cleaning business profitable” you can narrow down your services to find the most profitable.
If you are starting out on your own, then it can begin with house cleaning, carpet cleaning, etc. There is always room for growth later on but the bare minimum is more than manageable. If you want to get a business off the ground in short order, a residential cleaning service is the way to go.
Low Overhead Costs
Perhaps the single biggest reason to start a residential cleaning service is because the overhead costs are minimal. Basic cleaning chemicals and tools are relatively affordable, so it is possible to get going with no more than a few hundred dollars.
The more services you offer, the more expensive things get. Having additional employees means needing more than one of each chemical or tool. Starting out on your own, it is possible to keep overhead costs to a minimum at least while you learn the business.
Call Your Shots
At the end of the day, one of the most appealing aspects of being an entrepreneur is the ability to call your own shots. There is nothing like being able to dictate what services you offer, what you charge, and what clients you take on.
The larger things get, the less apparent the flexibility becomes but that is a tradeoff for greater profits. Even still, being able to take clients in any area at any time of the day can be attractive depending on what your current schedule looks like.
Tips for Starting a Cleaning Business
Been wondering how much you can make cleaning houses? Want to know how you can get started with a cleaning business? Here are a few valuable tips that can help you when you start to put your business together.
Know What Services You Want to Offer
In order to be effective, you need to have a clear idea of what services you want to offer. Are you starting out on your own or will you have a staff there to help? What kind of overhead costs can you handle right from the start? These are all questions to ask before determining what services to offer.
When starting out on your own as a residential cleaner, basic house cleaning services are the way to go. As you grow and acquire more equipment, things like pressure washing, commercial business cleaning, and more can make sense to add.
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Get a Business License and Insurance
In order to have a business properly, you need to have a business license. That license legally allows you to run the business. Without one, you can face fines and even legal action that could wind up being seriously costly.
Likewise, you need to have insurance to protect yourself, your business, and your employees. Things happen all the time, so having insurance can keep you from going into debt trying to cover things like property damage. Vehicle insurance, health insurance, general liability insurance, and other policies may be necessary, so check with a local professional.
Stock Up on Supplies and Equipment
You can’t do the job if you don’t have the right equipment. Before you can begin offering services of any kind, you need to have the right supplies and equipment. Household cleaners, specific stain removers, and equipment like mops, vacuums, etc. are all part of the job.
The last thing you need is to commit to a service without the right tools. Do your homework on what kind of equipment you’ll need, the costs, and how long it will take you to procure everything. The more services you offer, the more equipment you are likely to need.
Price and Market Effectively
Though there are other things to keep in mind when starting a cleaning business, there are two things that you must be able to do: price fairly and market effectively. If your prices are out of whack or you fail to get the word out about your business, failure is likely.
Take the time to learn about pricing structure and strategies. Likewise, think about investing in a digital marketing firm to handle your advertising needs. You would be surprised how often these two factors go together.
How to Increase Your Cleaning Business Profit
In virtually any business, there is always room to improve profitability. Whether you have just started your business or plan to launch in the near future, a little bit of help goes a long way. These tips can help increase your business’s profitability and generate more income.
Reputation is Key
At the end of the day, it doesn’t matter how affordable your services are if you don’t have a good reputation. Customers leave reviews and share information about their experiences through a litany of online avenues.
The best and most successful businesses develop a reputation for quality work. Customers want to know that they are in good hands and positive reviews are essential. Worth of mouth is still a very reliable means of marketing and the best way to garner word of mouth is by being good at what you do. Satisfied customers will spread the word and act as free marketing.
Market Your Business
You could have the best service in the world but will anyone use it if they don’t know about it? The key to any business is marketing, getting word about your business out there to the public. In the digital age, there are several ways to get the word out and increase the number of potential customers you cater to.
Social media is a great way to go, especially because it can be free. Hand out flyers and brochures. Make sure to utilize SEO marketing services as well. If you don’t feel comfortable handling these duties yourself, digital marketing services are available at reasonable rates to help give you a boost.
Outsource
No matter the business, particular administrative tasks can take time away from other integral tasks like expanding your services or acquiring leads. Rather than taking on those tasks yourself or hiring others to manage them, try outsourcing.
With cleaning business software, in particular, you can make those daily tasks streamlined. Outsource things like invoicing, scheduling, and billing to free up time for other areas of the business. It will pay off in the end and virtually eliminate common errors.
Is Starting Your Own Cleaning Business Worth It?
Is a cleaning business profitable? It can be depending on your services, prices, and how many employees you have. Make life easier by utilizing Housecall Pro’s 14-day software trial. With house cleaning business software, you can better manage your schedule, expenses, clients, and more. Most importantly, you will have the tools at your disposal necessary to turn a profit and remain profitable.
