How to Start a Cleaning Contractor Business

Starting a cleaning contractor business can be a highly profitable industry for someone who doesn't mind hard work. Start-up costs for a cleaning contractor business can be tailored to fit financial circumstances by selecting smaller jobs or less equipment intensive services. Once the cleaning service is successful, services can be expanded. By understanding the basic considerations to take into account when planning the business, get the cleaning company off to a good start.

Suggestions

1. Find a niche in the cleaning market. Some examples of services offered by cleaning contractors include carpet and upholstery cleaning, janitorial services and window washing. Businesses to target for your services include offices, schools, hospitals, warehouses and even restaurants. Make a list of services your business could offer and write down the pros and cons of each type. For example, professional carpet cleaning requires a larger initial investment in equipment than office cleaning.
2. Study the competition for cleaning services in the area. Focus on companies offering cleaning services in the chosen niche. Places to look for information on the competitive market for cleaning services in your area include business directories, trade publications and organizations for cleaning contractors such as Building Service Contractors Association International.
3.  Call cleaning contractors that offer services in your niche and get an idea of the average rates charged. Pretend to be a customer considering their service if concerned they won't want to advise a potential competitor. Assess start-up costs. This assessment depends heavily on the chosen niche. If planning to contract cleaning services to large institutions, you may need employees and a truck to carry equipment. If planning to offer carpet or window cleaning services, an investment in more in equipment is needed.
4. Make a list of supplies needed to get the business started. Call cleaning supply vendors and compare prices to get a better overview of potential expenses. Find out if it is cost effective to rent expensive equipment until you can afford to buy. Figure out expenses for supplies, employees and gas mileage getting to and from jobs. Develop an overview of your monthly operating costs. Use the research on average rates charged for cleaning services to figure out how much your service should charge to cover costs and make a profit.
5. Seek advice from other cleaning contractors and small business advisors. Contact contractors with similar services outside the area to avoid competitor conflicts, and ask for advice on unexpected expenses and mistakes to avoid. Contact the Small Business Administration and the Service Corps of Retired Executives (SCORE) to get free assistance from counselors specializing in starting a janitorial service. Counselors can assist you in designing business cards, writing a business plan and applying for small business loans.

Tip

• Writing a business plan for a cleaning contractor company is especially important if seeking a business loan.

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