How to Start a Cleaning Business

Register the Business Like Any Other

A cleaning business starts the same way any business does: choose a structure, such as a sole proprietorship or LLC, and if you form an LLC or corporation, file the formation paperwork with your state. Get a free EIN from the IRS once formed; see our guides on how to choose a business structure and how to register a new business for those general steps.

Check Local Licensing Requirements

Most cities and counties require a general business license for any business operating there, cleaning included, and some jurisdictions have additional requirements specific to home-service businesses, particularly if the business will enter clients' homes or handle keys. Check with your specific city or county clerk's office, since requirements vary significantly by location.

Get Bonded if Clients or Your License Require It

A surety bond protects a client financially if an employee causes a covered loss, such as theft from the client's property, and many commercial clients and some local licenses require proof of bonding before hiring a cleaning business, even though it isn't universally required by law. Being able to say the business is "licensed, bonded, and insured" is also a common expectation in this industry, so plan for a bond alongside insurance rather than treating it as optional marketing language.

Follow OSHA's Hazard Communication Standard

If the business uses hazardous cleaning chemicals, and most commercial cleaning supplies qualify, OSHA's Hazard Communication Standard requires maintaining a safety data sheet for each hazardous chemical in a standardized 16-section format, ensuring containers are properly labeled, and training employees to recognize and understand the labels and safety data sheets. This applies to any employer with hazardous chemicals in the workplace, not just larger operations, so build this into onboarding from the first employee you hire.

Get the Right Insurance

Per the SBA, general liability insurance, covering bodily injury, property damage, and legal defense costs, is the most commonly carried policy for a service business like cleaning and is frequently required by commercial clients even though no state mandates it universally. If the business hires employees, workers' compensation, unemployment, and disability insurance become legally required, with specifics set at the state level; see our guide on how to choose business insurance for how these coverages fit together.

Hire Within the Rules as You Grow

Once the business adds employees, it takes on state unemployment insurance registration, workers' compensation in most states, and federal and state payroll tax obligations. Factor the OSHA training requirement into onboarding for each new hire who will handle hazardous chemicals, not just at the time the business first starts using them.

"Licensed, Bonded, and Insured" Means Three Separate Things

A license permits the business to legally operate in its city or county, a bond protects clients financially from specific covered losses, and insurance covers the business's own liability for accidents or damage. Carrying one doesn't substitute for the others, and clients who ask for all three are asking for three distinct protections.

Chemical Safety Training Isn't a One-Time Task

OSHA's Hazard Communication Standard applies to every employee who works with hazardous chemicals, so training needs to be part of onboarding every new hire, not just a single session completed once when the business started. Keep records of who's been trained and when.

Residential and Commercial Clients Often Have Different Expectations

A commercial client is more likely to require specific proof of bonding, insurance limits, and sometimes a signed contract before work begins, compared to a typical residential client. Know which market the business is targeting, since it changes which of these steps matter most in practice.

Equipment and Chemical Storage May Trigger Additional Local Rules

Depending on the volume and type of chemicals stored, some localities have additional fire code or environmental rules beyond OSHA's workplace standard. Check with your local fire department or environmental agency if the business stores chemicals in bulk.

This Is Not Legal or Tax Advice

Which licenses, bonding, and insurance a specific cleaning business needs depend on its location and client base. Confirm requirements with your city or county licensing office and talk to a licensed insurance agent about coverage specific to this industry.