How to Start a Move-in Move-Out Cleaning Business in 14 Steps (In-Depth Guide)

Updated: April 4, 2024

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Are you tired of the 9-5 grind and looking for a lucrative business opportunity? Look no further than the booming move-in move-out cleaning industry! The thriving cleaning services market is looking to expand at a compound annual growth rate (CAGR) of 6.5% from 2023 and 2033

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Starting a move-in move-out cleaning business is an excellent way to tap into this growing market and build a successful enterprise. With the right strategies and tools, you can create a profitable business that provides a valuable service to homeowners, landlords, and property managers.

In this article, we’ll walk you through how to start a move-in move-out cleaning business. From defining your target market to marketing your services and sourcing your equipment, here’s everything to know about starting your new business.

1. Conduct Move In Move Out Cleaning Market Research

Conducting thorough market research is crucial when starting a move-in move-out cleaning business. It helps you understand the demand for your services, identify your target customers, and assess the competition in your area.

To begin your market research, start by analyzing the demographic and psychographic characteristics of your potential customers. Research the competition in your area. Use online directories, such as Yelp and Google My Business, to identify other move-in and move-out cleaning businesses.

Another important aspect of market research is understanding the seasonality of the move-in in the move out move-out cleaning industry. Moving.com reports that the peak moving season in the United States is typically from May to September, with the highest activity occurring in June, July, and August.

To further validate your business idea, consider conducting surveys or interviews with potential customers to gauge their interest in your services and gather feedback on their cleaning preferences and pain points.

By conducting thorough market research, you can make informed decisions about your target market, pricing strategy, and marketing efforts, setting your move-in move-out cleaning business up for success in a growing and competitive industry.

2. Analyze the Competition

Analyzing the competition is a critical step when starting a move-in move-out cleaning business. By understanding your competitors’ strengths, weaknesses, and market positioning, you can identify opportunities to differentiate your business and attract customers.

Direct competitors are other move-in move-out cleaning businesses that offer similar services to yours, while indirect competitors may include general cleaning services, property management companies, or even DIY cleaning solutions.

Consider which services they offer and how you can provide an even better customer experience based on those. For instance, yard cleaning can be a highly lucrative option if you’re targeting the suburbs. Most people are too busy with their own schedule so they sometimes neglect their yards.

To analyze brick-and-mortar competitors, visit their physical locations, websites, and social media profiles to assess their content, user experience, and customer engagement. Use tools like SEMrush or Ahrefs to analyze their search engine rankings, backlink profiles, and targeted keywords.

Read customer reviews to gain insights into your competitors’ customer satisfaction levels, common praise and complaints, and overall reputation. This information can help you identify areas where you can outperform your competitors and attract their customers.

Finally, consider conducting a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis for each of your main competitors. This will help you systematically evaluate their position in the market and identify potential gaps or opportunities for your business to exploit.

3. Costs to Start a Move In Move Out Cleaning Business

Starting a move-in move-out cleaning business requires careful planning and budgeting to ensure a successful launch and ongoing operation. In this section, we’ll discuss the start-up costs and ongoing expenses you can expect when establishing your cleaning business.

Start-up Costs

  • Business Registration and Licenses: Depending on your location, you may need to register your business as a legal entity (e.g., LLC or sole proprietorship) and obtain the necessary licenses and permits. These costs can range from $100 to $1,000, depending on your state and local requirements.
  • Insurance: Investing in business insurance is crucial to protect your company from potential liabilities. General liability insurance for a small cleaning business typically costs between $500 and $1,500 per year.
  • Equipment and Supplies: To provide high-quality cleaning services, you’ll need to invest in professional-grade equipment and supplies. This may include cleaning business software, vacuum cleaners ($200-$1,000), mops and buckets ($50-$200), and cleaning cloths and sponges ($50-$200).
  • Vehicle and Transportation: If you plan to offer services across a wide area, you may need to invest in a reliable vehicle for transportation. Depending on your needs, this can cost anywhere from $5,000 for a used vehicle to $20,000 or more for a new one.
  • Marketing and Advertising: To attract customers, you’ll need to invest in marketing and advertising efforts. This may include creating a website ($500-$2,000), designing and printing business cards and flyers ($100-$500), and running targeted online ads ($500-$1,500 per month).

Ongoing Costs

  • Supplies and Equipment Maintenance: Ongoing expenses for cleaning supplies, such as detergents, disinfectants, and paper products, can cost around $200 to $500 per month, depending on the size of your business.
  • Insurance and Licenses: Maintain your business insurance and licenses, which may require annual renewals. Budget around $500 to $1,500 per year for insurance and $100 to $500 for license renewals.
  • Vehicle Expenses: If you use a vehicle for your business, factor in ongoing costs for gas ($100-$300 per month), maintenance ($500-$1,000 per year), and vehicle insurance ($500-$1,500 per year).
  • Marketing and Advertising: Continuously invest in marketing and advertising to attract new customers and maintain brand awareness. Allocate around $500 to $1,500 per month for ongoing marketing efforts, such as social media advertising, email marketing, and local event sponsorships.
  • Administrative Costs: Don’t forget about administrative expenses, such as bookkeeping and accounting software ($20-$100 per month), office supplies ($50-$100 per month), and telephone and internet services ($100-$300 per month).

In total, expect to invest around $10,000 to $30,000 in start-up costs for your move out cleaning service, depending on factors such as location, size, and equipment needs. Ongoing monthly expenses can range from $3,000 to $8,000, with annual costs of $36,000 to $96,000.

4. Form a Legal Business Entity

When starting a commercial cleaning business, choosing the right legal structure is crucial for protecting your assets, limiting liability, and setting the foundation for growth. There are four main types of business entities to consider: Sole Proprietorship, Partnership, Limited Liability Company (LLC), and Corporation.

Sole Proprietorship

A sole proprietorship is the simplest and most common structure for residential or business cleaning services, including cleaning services. As a sole proprietor, you have complete control over your business and can make decisions quickly. However, you are personally responsible for all debts and liabilities incurred by your cleaning business.

Partnership

A partnership involves two or more individuals who share ownership of the cleaning business. Partnerships can be either general partnerships or limited partnerships. In a general partnership, all partners have equal responsibility for managing the business and are personally liable for its debts and obligations.

Limited Liability Company (LLC)

An LLC is a popular choice for move-in and move-out cleaning businesses as it combines the personal liability protection of a corporation with the tax benefits and flexibility of a partnership or sole proprietorship. This is the most appropriate legal formation for a deep cleaning business.

Corporation

A corporation is a separate legal entity from its owners, providing the highest level of personal liability protection. However, corporations are more complex and expensive to form and maintain than other business structures. They also face double taxation, as the corporation pays taxes on its profits, and shareholders pay taxes on their dividends.

5. Register Your Business For Taxes

Registering your move-in move-out home and carpet cleaning business for taxes is a crucial step in establishing your company as a legitimate entity. One of the first things you’ll need to do is obtain an Employer Identification Number (EIN) from the Internal Revenue Service (IRS).

Even if you’re operating as a sole proprietor with no employees, an EIN is required for various business activities, such as opening a business bank account, filing tax returns, and establishing credit with vendors. Additionally, having an EIN can help protect your personal Social Security number from potential identity theft.

Applying for an EIN is a straightforward process that can be completed online through the IRS website. To get started, visit the IRS EIN application page and click on the “Apply Online Now” button. The application process consists of several steps:

  1. Determine your eligibility: Make sure you have a valid Taxpayer Identification Number (TIN), such as a Social Security number or Individual Taxpayer Identification Number (ITIN).
  2. Provide your business information: You’ll need to enter details about your move-in in move-out cleaning business, including the legal structure, start date, and primary business activity.
  3. Provide responsible party information: Enter the details of the person responsible for the business, such as their name, address, and TIN.
  4. Review and submit: Carefully review the information you’ve provided and submit your application.

Once you’ve completed the online application, you’ll receive your EIN immediately. There is no cost associated with obtaining an EIN from the IRS.

In addition to obtaining an EIN, it’s essential to register your move-in move-out cleaning business with your state’s tax department. The process for registering for sales tax varies by state but generally involves visiting your state’s tax department website and completing an online application.

6. Setup Your Accounting

Setting up proper accounting practices is crucial for the success and longevity of your house cleaning business. Accurate financial records not only help you make informed business decisions but also ensure compliance with tax regulations and avoid potential legal issues.

Accounting Software

One of the most effective ways to streamline your accounting process is by using accounting software. QuickBooks is a popular choice among small business owners, including those in the cleaning industry. This software allows you to automate many aspects of your accounting, such as invoicing, expense tracking, and bank account reconciliation.

Hire an Accountant

Working with a professional accountant can provide additional benefits. An accountant can offer expert advice on tax planning, financial strategy, and compliance with local and federal regulations. They can handle tasks such as monthly bookkeeping, bank reconciliations, and preparation of financial statements.

Open a Business Bank Account

To further simplify your accounting and avoid potential issues with the IRS, it’s essential to separate your personal and business finances. Opening a dedicated business bank account for your own cleaning business will make it easier to track income and expenses, as well as maintain accurate records for tax purposes.

Apply for a Business Credit Card

In addition to a business bank account, consider applying for a business credit card. Business credit cards often offer higher credit limits compared to personal cards, as they are based on the creditworthiness of your company rather than your personal credit history.

7. Obtain Licenses and Permits

Obtaining the proper licenses and permits is a critical step in establishing your move-in move-out cleaning business. Find federal license information through the U.S. Small Business Administration. The SBA also offers a local search tool for state and city requirements.

One of the most common licenses required for a move-in move-out cleaning business is a general business license. This license is issued by your city or county and grants you the right to operate your business within that jurisdiction.

Depending on your location, you may also need to obtain a cleaning service license or a specialty cleaning license. These licenses demonstrate that your business meets specific standards and regulations set by your state or local government.

In addition to business and cleaning service licenses, your move-in move-out cleaning company may need to acquire permits related to specific aspects of your operations. For instance, if you plan to use a vehicle for your cleaning services, you may need to obtain a commercial vehicle permit.

Another important consideration is liability insurance. While not technically a license or permit, having the right insurance coverage is crucial for protecting your cleaning business from potential legal issues.

To determine the specific licenses and permits required for your move-in move-out cleaning business, start by contacting your local Small Business Administration (SBA) office or chamber of commerce.

8. Get Business Insurance

Business insurance is a critical component of running a successful move-in move-out cleaning business, providing financial protection against various risks and liabilities that your company may face, such as property damage, bodily injury, and legal claims.

Imagine these scenarios:

  1. One of your employees accidentally knocks over and breaks an expensive vase while cleaning a client’s home. Without property damage coverage, you would be responsible for paying to replace the item out of pocket.
  2. A client slips and falls on a wet floor while your team is cleaning their home, resulting in serious injuries. If you don’t have liability insurance, you could be faced with substantial medical bills and potential legal fees.

To protect your move-in move-out cleaning business from these and other risks, it’s essential to obtain the right insurance coverage. Start by assessing your risks and identifying the specific risks your cleaning business faces, such as property damage, bodily injury, and professional liability.

Next, research and compare insurance providers that offer coverage for cleaning businesses, considering factors such as coverage limits, deductibles, and premiums. Contact several insurance providers and request quotes based on your specific coverage needs, being prepared to provide information about your business.

Carefully review the insurance quotes and policy terms to ensure they meet your business’s needs. Once you’ve selected the best coverage, purchase the policy and keep a copy of the insurance documents on file.

9. Create an Office Space

Creating an office space for your move in move out cleaning business can provide numerous benefits and help you maintain a professional image. An office space can serve as a central hub for managing your business operations, storing cleaning equipment and supplies, and meeting with potential clients or employees.

Home Office

For many move-in-in-move-out cleaning businesses, especially those just starting, a home office can be a practical and cost-effective solution. If you have a spare room or dedicated space in your home, you can set up a home office equipped with a desk, computer, and basic office supplies.

Coworking Office

Coworking spaces, such as WeWork, offer a flexible and affordable alternative to traditional office spaces. These shared workspaces provide a professional environment where you can rent a desk or private office every month. Coworking spaces often come with amenities such as high-speed internet, and conference rooms.

Retail Office

If your move-in move-out cleaning business also offers retail products, such as eco-friendly cleaning supplies or equipment, retail office space may be a good fit. A retail office can provide a storefront for displaying and selling your products while also serving as a base for your cleaning operations.

10. Source Your Equipment

When starting a move-in or move-out cleaning business, sourcing the right materials and equipment is crucial for delivering high-quality services and ensuring customer satisfaction. The essential equipment for a move-in move-out cleaning business typically includes vacuum cleaners, mops, brooms, and dustpans.

Buying New

Purchasing new equipment is a good option if you want reliable, high-quality tools that come with warranties. You can find new cleaning equipment at local janitorial supply stores, home improvement centers like Home Depot or Lowe’s, or online retailers such as Amazon.

Buying Used

If you’re on a tight budget, buying used equipment can be a cost-effective way to get started. You can find used cleaning equipment on online marketplaces like Facebook Marketplace, eBay, Craigslist, or Letgo.

Renting

Renting cleaning equipment can be a smart choice if you need specialized tools for specific jobs or if you’re not ready to invest in purchasing equipment outright. Many local hardware stores and rental companies offer a wide range of cleaning equipment for rent, such as carpet cleaners, pressure washers, and floor buffers.

Leasing

Leasing cleaning equipment is another option to consider, particularly for larger or more expensive items like commercial-grade vacuum cleaners or floor-cleaning machines. Leasing allows you to spread the cost of equipment over a longer period, making it more manageable for your business’s cash flow.

11. Establish Your Brand Assets

Establishing a strong brand is crucial for any move-in move-out cleaning business looking to stand out in a competitive industry. A well-defined brand helps create a memorable and recognizable identity, builds trust with potential customers, and sets the foundation for long-term success.

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Getting a Business Phone Number

A dedicated business phone number is essential for projecting a professional image and ensuring that customers can easily reach you. Ring Central is a reliable and feature-rich option for businesses looking to establish a professional phone presence.

Creating a Logo and Brand Assets

A well-designed logo is the cornerstone of your brand identity, helping customers recognize and remember your business. Looka is an AI-powered logo design platform that can help you create a professional logo and brand assets quickly and easily.

Creating Business Cards and Signage: Business cards are a must-have for any professional, providing a tangible way to share your contact information and promote your brand. Vistaprint offers a wide range of high-quality, customizable business cards and signage options to suit your needs and budget.

Purchasing a Domain Name

Securing a domain name is a crucial step in establishing your online presence. When choosing a domain name, aim for one that is short, memorable, and easy to spell. Namecheap is a reliable and affordable domain registrar that offers a user-friendly interface and excellent customer support.

Building a Website

A professional website is essential for showcasing your services, sharing customer reviews, and providing potential clients with an easy way to contact you. Website builders like Wix offer user-friendly templates and drag-and-drop interfaces. Alternatively, hire a freelancer from a platform like Fiverr.

12. Join Associations and Groups

Joining associations and groups is a valuable strategy for anyone starting or growing a move-in move-out cleaning business. These organizations provide opportunities to network with other professionals in the industry, learn about best practices, and stay up-to-date on the latest trends and technologies.

Local Associations

Local associations are an excellent resource for move-in move-out cleaning businesses. The Association of Residential Cleaning Services International (ARCSI) has local chapters across the United States, offering members access to training, certifications, and industry events.

Local Meetups

Attending local meetups and trade shows is another great way to connect with others in the move-in move-out cleaning industry. Meetup is an excellent platform for finding local events related to your industry. Simply search for “cleaning” or “janitorial” events in your area, and you’ll find a variety of meetups, workshops, and networking events to attend.

Facebook Groups

Facebook Groups are a valuable resource for move-in in move-out cleaning businesses, offering a platform to connect with other professionals, ask questions, and share advice. Try joining groups like Professional House Cleaners Support and Commercial & Residential Cleaning Business Owners.

13. How to Market a Move In Move Out Cleaning Business

Marketing is essential for any move-in move-out cleaning business looking to grow and succeed in today’s competitive market. Without a solid marketing strategy, potential customers may never learn about your services, and your business may struggle to attract new clients and generate revenue.

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Personal Networking

One of the most valuable assets for any new move-in move-out cleaning business is the owner’s network. Leveraging existing relationships with friends, family, and colleagues can help spread the word about your services and generate initial referrals. As you begin to serve customers, focus on providing exceptional service.

Digital Marketing

  • Develop a strong social media presence on platforms like Facebook, Instagram, and Twitter, sharing helpful cleaning tips, before-and-after photos, and special promotions.
  • Create a Google My Business listing to improve your local search visibility and make it easier for potential customers to find and contact you.
  • Launch a targeted Google Ads campaign focusing on relevant keywords like “move-in move-out cleaning” and “apartment cleaning services” to attract qualified leads.
  • Start a blog on your website, sharing expert cleaning advice, industry news, and customer success stories to establish your authority and improve your search engine rankings.
  • Partner with local real estate agents, property managers, and moving companies to cross-promote your services and reach new audiences.

Traditional Marketing

  • Design and distribute eye-catching flyers and door hangers in targeted neighborhoods, apartment complexes, and new development areas.
  • Sponsor local events, such as community festivals or charity fundraisers, to increase brand visibility and demonstrate your commitment to the community.
  • Invest in branded company uniforms and vehicle wraps to create a professional image and increase brand recognition as your team travels to and from job sites.
  • Consider running targeted direct mail campaigns to introduce your services to new homeowners or residents in specific neighborhoods.
  • While often more expensive and less targeted than digital marketing, traditional tactics like radio ads or billboards can be effective for building brand awareness in your local market.

It’s important to note that the most effective marketing strategies for your move-in move-out cleaning business will depend on your specific goals, target audience, and budget.

14. Focus on the Customer

Customer service is the cornerstone of any successful move-in move-out cleaning business. In an industry where clients entrust you with their personal space and belongings, providing exceptional service is not just a nice-to-have; it’s an absolute necessity.

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Word-of-mouth referrals are incredibly valuable for move-in and move-out cleaning businesses. By consistently delivering exceptional customer service, you can tap into this powerful marketing channel and grow your business organically.

To ensure that your move-out cleaning business is providing top-notch customer service, focus on the following key areas:

  • Communication: Keep your clients informed every step of the way, from scheduling to completion. Respond promptly to inquiries, and be clear about your services, pricing, and any special requirements.
  • Reliability: Show up on time, every time. If you encounter any delays or issues, communicate with your client immediately and work to find a solution.
  • Quality: Set high standards for your cleaning services, and make sure your team is well-trained and equipped to meet those standards consistently.
  • Flexibility: Be willing to accommodate your client’s specific needs and preferences, whether that means using eco-friendly cleaning products or working around their schedule.

By prioritizing customer service, you’ll not only create a loyal customer base but also build a strong reputation in your community. As your satisfied clients spread the word about your exceptional move-in and move-out cleaning services, you’ll find new opportunities for growth and success in your market.

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