Opening a cleaning business can be a great way to earn extra money, or even make a full-time career out of it. However, there are several things to consider before you can start. These include legal, insurance, and marketing considerations.
Legal considerations
When opening a cleaning business, you will need to take certain legal steps. The legal structure of your business will affect your liability, how you raise money, and how much taxes you pay. You can get information about the law in your state by visiting the Secretary of State web site.
One of the most common types of cleaning businesses is a limited liability company (LLC). This is a business owned by a group of people who share the liability. Like a corporation, a limited liability company provides protection against personal liability.
A partnership is another type of business. It is similar to a sole proprietorship, but it offers a few more benefits. In addition to reducing personal liability, a partnership allows for the sharing of profits.
Marketing
Marketing a cleaning business has become easier thanks to the rise of social media. Using social media to spread your company’s image is a quicker way to garner more customers than word of mouth.
One effective marketing strategy is to create a website. This will allow your cleaning business to reach a global audience. It will also give you the opportunity to showcase your services and display customer reviews.
Other online tools include search engines like Google and social sites. The best websites for your cleaning business will use a constant color palette and a minimal design to make the most of your SEO.
Another useful marketing tool is a referral rewards program. When your existing clients recommend you to other people, you can reward them with free services, discounts, or freebies.
Funding
Whether you want to start a cleaning business as a side gig or on a full-time basis, you’ll need to secure funding to get your business off the ground. Fortunately, there are many options.
One option is to use personal funds. However, you might not be able to do this if your cleaning business has a physical location. This may include an office building, warehouse, or other building.
For new businesses, crowdfunding is an excellent way to raise startup capital. Crowdfunding can also help you to buy equipment or supplies for your cleaning business. Unlike traditional financing, crowdfunding campaigns do not require you to pay interest. You can choose from a variety of platforms, including Indiegogo, GoFundMe, and iFundWomen.
If you have good credit, a business credit card may be an option. These cards are convenient for purchases made on a frequent basis. The interest rates can be high, however.
Insurance
The best way to protect your cleaning business is to make sure you have adequate insurance coverage. This can help you to avoid claims of personal injury or property damage.
Whether you operate a small cleaning company or a large enterprise, the key is to find a policy that meets your needs. Your insurance should include a combination of liability and property coverage. If your insurance provider offers other types of coverage, consider adding them to your policy.
General liability insurance is one of the most common types of insurance used by cleaning businesses. It’s similar to liability coverage you find with your car insurance. However, it’s not going to cover every claim.
Business interruption insurance is another type of insurance that protects your business from loss of income. It replaces revenue you lose due to a covered property damage incident.
Starting a cleaning business from scratch is cheaper than buying an existing cleaning franchise
Starting a cleaning business from scratch can be cheaper than buying a cleaning franchise, but you need to do your research before you commit. You will have to consider how much money you have, how much work you can handle, and how much insurance you need.
Typically, you will need to start with a small budget. There are several ways to fund your business, including crowdfunding, credit cards, or a business loan. However, the process is complicated and you may need to pay for large advertising and other costs.
The upfront cost of starting a cleaning business from scratch varies based on the scale of your business and the equipment you will use. A residential cleaning business is generally cheaper to start up, but commercial cleaning services are more expensive.
