Cleaning businesses are booming. Controlling COVID-19 in the workplace means that a lot of extra work has been created for cleaning companies and professional cleaners are being called upon to keep things virus-free. So if you have been considering running a business in this industry then now could be the perfect time to start a cleaning company.
Starting a new business is exciting but it’s also a huge commitment. What you need to do to start a cleaning business depends on the type of business, where you work and whether you employ people to work for your cleaning business. Below we have laid out everything you need to know about how to start a cleaning company in a handy infographic.
Decide on the Type of Cleaning Company
Before you pull on your rubber gloves, you’ll need to decide what type of cleaning that your business will specialise in. Examples of types of cleaning companies include residential cleaning companies that clean people’s homes, including kitchens and bathrooms, with tasks such as polishing, dusting and mopping floors. Commercial cleaning, which typically involves cleaning shops and office blocks, with tasks such as wiping desks, clearing up canteens, vacuuming carpets and emptying the trash. Or specialised cleaning, which means that you specialise in a particular field of cleaning, such as cleaning up graffiti.
Decide on a Business Name
Next, you’ll need to decide on a memorable and unique business name. To do this you should think carefully about the type of cleaning that you’re going to do and try to pick a name that is consistent with your brand. Try to choose a simple but memorable name that people will be able to spell correctly easily. You will also want to avoid choosing a name similar to any local competition and check that the name isn’t trademarked.
Decide on the Type of Business
The legal structure of your business will determine which paperwork you need to get your business started, the business taxes you’ll have to pay and your financial responsibilities of the business.
- Sole Trader – If you’re self-employed (you work for yourself), then you are a sole trader. You run your business as an individual and are entitled to all profits after tax. You are personally responsible for any business losses. You can employ staff, but you are singularly responsible for the business. (If you don’t have any staff at all, this structure will probably serve you best.)
- Limited Company – A limited company is one you register with Companies House as the director of the organisation, and the organisation’s financial responsibilities are of the company, separate from your own personal finances. This means that you (and any other company directors) are not personally responsible for any business debts.
You can find out more in our Infographic Guide to Legal Structures for Business.
Decide How Much to Charge
You’ll need to work out how to price your business correctly within the market. Consider the competition and your unique selling points, it’s important that you stand out from the rest. Look for gaps in the market and think about what your customers might need that isn’t currently being provided. Providing the right incentives along with a competitive rate and even the odd discount can help to grow your business.
Get the Right Equipment
When starting a cleaning business you’ll need to think about what type of equipment you’re going to need. Decide what the minimum equipment required is to do a good job. This can include vacuum cleaners, mops, cloths and various cleaning products. Don’t forget though that it also extends to signage, specialist equipment and staff uniforms.
Create a Business Plan
Starting a new cleaning business can also be difficult, so it’s essential to prepare with a comprehensive business plan that outlines what your business does and what you are trying to achieve, covering things like the business objectives, strategies, sales, marketing and financial forecasts. We have recently provided our top tips for creating a great business plan that can help your cleaning business to evolve, well into the future!
Get the Right Insurance
When you are involved in keeping somewhere spick and span, residential or commercial, a simple misplacement of your vacuum cleaner could potentially cause a member of the public to trip and injure themselves. That is why public liability insurance for cleaners is recommended as a vital step in protecting your business and finances.
If you employ staff for your cleaning business then you’re also legally required to have employers liability insurance. You should always ensure that the policy is up-to-date and that you have the best cover available.
Compare business insurance quotes quickly and easily online or contact Ashburnham Insurance for more help or advice on FREEPHONE 0800 1696137.