3 Big Mistakes to Avoid When Starting a House Cleaning Business

Do you want to start a house cleaning business but you’re nervous about it?

Starting a house cleaning business is an excellent idea. You’ll be in charge of your schedule and you’ll be able to build a solid client base. However, many people who otherwise would be great cleaners make a few blunders upfront.

This means they wind up with a cleaning business that doesn’t work. But what are these missteps? Here are the mistakes to avoid when starting a house cleaning business.

Table of Contents

1. Neglecting to Get Insurance and Licensure

When starting a house cleaning business, it’s important to get the proper insurance and licensure to be fully protected. Neglecting to get the proper documentation can lead to major problems down the line. Failing to carry the right insurance can leave your business vulnerable to lawsuits, while not having the right licenses can prevent your business from doing certain jobs.

Moreover, it is important to consider other types of licensure and permits, such as a business license, food safety permit, and any other specific needs that are necessary to complete your services. By not doing so, you risk legal ramifications and lengthy delays. Additionally, your insurance coverage is an important asset in protecting your assets and your business in the event of an unexpected accident or situation.

2. Ignoring Your Tax Liabilities

House cleaning business owners need to be aware of the importance of organizing their tax liabilities and planning for how much their income will be taxed. Ignoring these tax responsibilities can be costly; with the IRS levying heavy fines, steep taxes, and potentially jail time for those who evade taxes.

Without understanding your tax responsibilities, you risk having your business account:

frozen
seized
audited

Furthermore, if you do not make estimated quarterly payments throughout the year, you could face incredibly high tax bills – ones that could put your business in peril.

In addition, you must make sure you are registered to collect the appropriate state and local taxes, including sales tax. Make sure you have the approval to collect credit card payments and have the right licenses to conduct business. Failing to comply with all the regulations governing taxes can ultimately destroy your business.

3. Underestimating Your Startup Costs

One of the biggest mistakes to avoid when you start a cleaning business is underestimating your startup costs. Creating a realistic budget before you get started is key to ensuring the success of your business. You need to factor in all aspects such as:

cleaning supplies
equipment
licenses
fees
transportation
insurance
marketing
website costs

While you may be tempted to cut corners, this could end up costing you more in the long run if you don’t account for these expenses in advance. Without an accurate budget in place, you could run out of money for necessary items and end up shutting your business down. See more advice for starting a cleaning business at https://themaidcoach.com/programs/cbf-cleaning-business-coaching/.

Avoid These Mistakes When Starting a House Cleaning Business

It is important to wisely take the steps when starting a house cleaning business to ensure success. Despite the potential risks, there are plenty of measurable successes that have been achieved by those who have done well.

Take the time to avoid big mistakes like not having a comprehensive business plan, having the wrong attitude, and not asking for help, and soon you will reap the benefits!

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