Trades and home services · LLC guide · updated
How to start an LLC for a cleaning business
Cleaners work inside homes and offices, often with keys and alarm codes, and use chemicals all day. Broken items, missing jewelry accusations and slip injuries are the claims that come up. An LLC with a janitorial bond and insurance is what commercial clients and many homeowners expect.
Our registered agent is optional: $74.25 a year, the same at renewal. Questions first? Ray or Vinny picks up at (954) 470-8356.
- EIN
- Business license
- Janitorial bond
- General liability
- Workers' comp
Cleaning Business businesses in the U.S.
Source: U.S. Census Bureau, County Business Patterns 2022 (NAICS 561720) and U.S. Census Bureau, Nonemployer Statistics 2022 (NAICS 56172), the latest U.S. totals.
Why cleaning business owners form an LLC
Theft accusations
Accusations of missing items are common in residential cleaning. A janitorial bond helps.
Broken items
Damage to furniture, floors and valuables.
Chemical injuries
Mixing chemicals can injure staff or clients.
An LLC keeps the company's debts and claims away from your personal assets when you run it as its own business: its own bank account, contracts signed in its name, and no mixing of money. It does not cover your own negligence, and lenders often ask for a personal guarantee. Insurance comes first.
Licenses and registrations for a cleaning business
Federal items link to the agency's own page. State and local rules vary, so pick your state at the top for your state's business portal. Tick items off as you go; the list remembers your progress on this device.
- We do thisForm the LLC and get its EINAlmost every registration above asks for the company's legal name and EIN, so this comes first. We file the LLC with your state for $123.75 plus the state fee, and can get the EIN for $41.25; the IRS also issues it free online.
Insurance and taxes to plan for
Insurance
- General liability
Covers damage and injuries at clients' sites.
- Janitorial bond
Pays clients if an employee is convicted of theft; many commercial clients require it.
- Workers' compensation
Required with employees.
Taxes
- Supplies and mileage
Supplies, equipment and mileage between jobs are your main deductions.
- Sales tax on cleaning
A few states tax cleaning services.
Office and medical clients want a written agreement, a certificate of insurance and often a bond. Have all three in the company's name before you bid.
Forming the LLC itself: 7 steps in every state
- 1. Check the name
- 2. Name a registered agent
- 3. File with the state
- 4. Sign an operating agreement
- 5. Get an EIN
- 6. Open a bank account
- 7. Keep it in good standing
The filing office, fee and yearly report change by state. Open your state's step-by-step guide.
What it costs to form a cleaning business LLC
| Cost | File it yourself | With Vermilion Vitez |
|---|---|---|
| State filing fee (paid to the state) | $35 to $520 | $35 to $520 |
| Filing service, operating agreement included | $0 | $123.75 |
| EIN from the IRS | $0 | $0 yourself, or $41.25 if we get it |
| Registered agent, per year (optional) | $0 if you serve yourself | $74.25 |
State fees as charged at our checkout. Industry licenses, permits, bonds and insurance above are separate and set by each agency. Checkout shows the card processing fee before you pay.
Frequently asked questions
Do I need a license to start a cleaning business?
Usually only a local business license. Specialty work like mold or biohazard cleaning can need state licensing.
What is a janitorial bond?
A bond that pays the client if one of your employees steals from them. Many commercial clients require one.
Can my cleaners be 1099 contractors?
Usually not if you set their schedules, supply the equipment and direct the work. Misclassification can lead to back taxes and penalties.
Should a solo cleaner form an LLC?
Many do, to separate business and personal money and to look established to commercial clients.
How much does it cost to form an LLC for a cleaning business?
Your state's filing fee ($35 to $520 depending on the state) plus $123.75 if we file it, with the operating agreement included. Industry licenses, bonds and insurance are extra and set by each agency.
Is this page legal or tax advice for my cleaning business?
No. It summarizes public rules in general terms, with links to the agencies that set them. For your situation, talk to a licensed attorney or CPA, or book a free call with us.
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Ready when you are
Have us file your Cleaning Business LLC
$123.75 plus your state's filing fee, with the operating agreement included. Checkout shows the full total, card processing fee and all, before you pay.
Rather talk first? Call Ray or Vinny at (954) 470-8356.