How to start a cleaning business: costs, steps and tips

Published Monday 26 October 2026

Table of contents

• Why start a cleaning service?
• Types of cleaning businesses
• How much does it cost to start a cleaning business?
• How to start a cleaning business: 5 essential steps
• Managing your cleaning business finances
• Start your cleaning business with Xero
• FAQs on starting a cleaning business

Key takeaways

• Research local competitors and their prices to spot underserved niches. Then write a business plan that sets your break-even point and pricing strategy.
• Choose your business structure early, as a company protects your personal assets. Then register your business, arrange insurance and get any licences your risk tier needs.
• Build a local presence through personal networks and referral partners such as real estate agents and Airbnb hosts. Back it up with a mobile-friendly website.
• Plan for growth beyond solo work by documenting your cleaning processes and quality checklists, so you’re ready to hire employees or subcontractors.

Why start a cleaning service?

A cleaning business offers one of the lowest barriers to entry of any service business. You can start with minimal capital, work flexible hours, and scale at your own pace.

Here’s why cleaning is worth considering:

• Low startup costs: you can base the business from home, and your largest expenses will be equipment and a vehicle, both of which you can buy second-hand.
• Flexible schedule: you can start part-time while keeping your current job.
• Consistent demand: cleaners are needed year-round. Credence Research estimates Indonesia’s contract-cleaning market at about US$2.0 billion (approx. Rp36 trillion) in 2023, growing 5.98% a year to 2032.

There are challenges to consider:

• Physical demands: cleaning work requires stamina and consistent effort.
• Competition: many cleaners compete for the same homes and offices, so you’ll need to differentiate your services.
• Pricing pressure: rates can be tight, so price strategically.
• Admin workload: running any business involves paperwork and stress.

If you have time-management skills, attention to detail, and a reliable, friendly approach, you’re well-suited to succeed.

Types of cleaning businesses

Cleaning businesses fall into three main groups:

• Residential cleaning: services for private homes and apartments. You can start solo with basic equipment and minimal investment.
• Commercial cleaning: services for offices, retail spaces, and government properties. These businesses typically require industrial equipment, certified staff, and the ability to compete for contracts.
• Specialist cleaning: niche services that command higher prices and face less competition.

Specialist services help you stand out and command higher prices, though some require specific equipment or certification:

• oven, window, and carpet cleaning
• move-in and move-out cleaning
• eco-friendly or “green” cleaning
• post-construction, crime scene, disaster, and hazardous cleaning

How much does it cost to start a cleaning business?

Based on the estimates below, starting a cleaning business can cost roughly Rp30 million–Rp135 million, depending on your scale and whether you buy new or used equipment. This makes cleaning one of the most affordable businesses to launch.

These estimates convert US dollar figures at about Rp18,000 per US$1, the rupiah exchange rate in October 2026, so local prices may vary. Here’s a breakdown of typical startup costs:

• Equipment and supplies: Rp5 million–Rp27 million for vacuum, mop, bucket, cleaning products, and safety items
• Business registration and licences: Rp1 million–Rp9 million depending on your location and business structure
• Insurance: Rp9 million–Rp36 million a year for liability cover
• Marketing and website: Rp3.5 million–Rp18 million for a basic website, business cards, and initial advertising
• Vehicle signage: Rp2 million–Rp9 million for professional branding on your car or van
• Working capital: Rp9 million–Rp36 million to cover expenses before revenue starts flowing

You can reduce costs by starting with equipment you already own, buying second-hand, and building your own website using a free or low-cost platform.

How to start a cleaning business: 5 essential steps

Follow these five steps to launch your cleaning business the right way.

1. Do your market research and create a business plan

Market research helps you understand local demand, identify gaps, and position your business well. Start by answering these questions:

• What cleaning services already exist in your area?
• How do competitors price their work?
• What are their strengths and weaknesses?
• Are there underserved niches you could fill?

Talk to potential customers: friends, family, shopkeepers, local Airbnbs, and business associations.

Your business plan turns this research into a roadmap. You’ll need one whether you’re seeking a startup loan, applying for a government grant, pitching to investors, or simply guiding your own decisions.

Your plan defines your business goals, services, and pricing strategy. Include these elements:

• Calculate your break-even point. Factor in marketing, website development, insurance, and professional advice.
• Determine your running costs. Know your expenses so you can set appropriate profit margins.
• Establish your pricing model. Decide whether to charge by the room, square metre, or per job.
• Position your prices strategically. Stay competitive without being the cheapest option.
• Test your pricing. Gather customer feedback and adjust based on market response.
• Create proposal templates. Prepare quotes for larger jobs to speed up your sales process.

Here’s a business plan template to get you started.

2. Choose your business structure and handle legal requirements

Choosing the right business structure affects your taxes, liability, and growth options. Here are your main choices.

Sole trader

A sole trader is a business operated by one person. This is the simplest structure: you take all profits and losses, and report them on your personal tax return.

• Advantage: it’s easy to set up with minimal paperwork.
• Risk: there’s no legal separation between you and the business, so personal assets like your home and savings are at risk if something goes wrong.

Partnership

A partnership is a business owned by two or more people. Your partnership agreement should define profit shares and startup contributions (money, assets, time).

• Advantage: you share the workload and combine resources.
• Risk: there’s no legal separation from the business, so all partners share liability.

Company

Operating as a company is more complex but offers real benefits:

• Flat tax rate: companies pay a flat 22% income tax rate, with a discount for smaller companies, while individual rates rise to 35%.
• Asset protection: business debts stay separate from your personal assets.
• Growth potential: it’s easier to secure funding, attract investment, and sell the business later.

Franchise

Buying into a cleaning franchise means operating under an established brand with existing systems.

• Brand recognition: you benefit from existing marketing and customer awareness.
• Training provided: you receive support for yourself and staff.
• Proven model: you follow established systems and processes.

However, franchises come with trade-offs:

• High upfront costs: franchise fees can be substantial.
• Limited control: you may have little say over business decisions.
• Variable support: the quality of ongoing support varies by franchisor.

Research thoroughly before committing to any franchise agreement.

Legal requirements in Indonesia

Complete these legal requirements before you start:

• Business registration: get a Nomor Induk Berusaha (NIB), your official business identity, through the Online Single Submission (OSS) system.
• Permits and licences: check your Klasifikasi Baku Lapangan Usaha Indonesia (KBLI) business code in OSS, as extra licences beyond the NIB depend on its risk tier.
• Tax registration: register for a Nomor Pokok Wajib Pajak (NPWP), your tax ID, with the Directorate General of Taxes (DJP).
• Value added tax: register as a Pengusaha Kena Pajak (PKP) to charge Pajak Pertambahan Nilai (PPN) once gross turnover exceeds Rp4.8 billion in a financial year.
• PPN rate: under Minister of Finance Regulation (PMK) 131/2024, PPN is 12% on 11/12 of the value for non-luxury supplies, so the effective rate is 11%.
• Insurance: secure liability insurance to protect your business and assets.

3. Buy cleaning supplies and equipment

Basic cleaning equipment costs between Rp5 million and Rp27 million depending on whether you buy new or second-hand. You can start with what you already own and add items as needed.

Essential supplies include:

• Floor care: vacuum cleaner, mop, bucket, broom, dustpan and brush
• Surface cleaning: cloths, wipes, scourers, sponges, dusters, window squeegees
• Bathroom supplies: toilet brush, disposable gloves, cleaning bottles and spray triggers
• Safety items: face masks, paper towels, hand sanitiser, safety signs (for commercial work)

You’ll need reliable transport to reach clients and carry supplies. A second-hand vehicle or van works well, especially when starting out.

Consider adding signage to your vehicle with your business name, logo, and contact details. It’s mobile advertising that works whenever you’re on the road.

Choose commercial-grade products rather than supermarket cleaners. Many suppliers offer training and product guidance. Keep a small supply in stock, and order only what you’ll use within a month.

Consider eco-friendly products as a point of difference: Grand View Research reports that 78% of consumers globally are prioritising green cleaning solutions due to health and environmental concerns. Options include cruelty-free, hypoallergenic, pet-safe, and chemical-free cleaners that appeal to these environmentally conscious clients.

Wear a simple uniform like a branded shirt and dark trousers to project professionalism. Track all business expenses from day one to simplify tax preparation and understand your true costs.

4. Develop a marketing strategy to get clients

Finding clients is often the biggest challenge for new cleaning businesses. A simple marketing plan helps you reach potential customers consistently and build your reputation.

Once you’ve chosen your business name, created a logo, and printed business cards, focus on these client acquisition strategies.

Spread the word locally

Your first clients often come from people who already know you. Start close to home:

• Build a database of potential clients from your personal network
• Ask friends and family to recommend you to others
• Distribute flyers with introductory offers in your target neighbourhoods
• Advertise in local publications and on community radio
• Attend community events to meet potential customers

Build referral partnerships

Some businesses regularly need cleaners for their clients. Reach out to them:

• Connect with real estate agents and property managers who need reliable cleaners
• Approach Airbnb hosts and holiday rental companies
• Introduce yourself to local shops and businesses

Build your online presence

Many customers look for and book cleaners online. Make it easy for them to find you:

• Create a mobile-friendly website explaining your services and how to book, as Grand View Research finds 62% of cleaning service bookings now happen online
• Include your values and what makes you different from competitors
• Set up a Facebook business page to connect with local customers
• Use Instagram to showcase before-and-after photos of your work

Set competitive prices

Your prices shape how clients see your business. Set them with care:

• Research local rates to understand the market
• Price for the value you deliver
• Create packages that bundle services for better perceived value
• Offer referral discounts to encourage word-of-mouth recommendations

Deliver excellent service

Great service keeps clients coming back. Focus on the details:

• Answer calls professionally and arrive when you say you will
• Vet all employees thoroughly, including police checks, since they enter clients’ homes
• Exceed expectations with small touches like handwritten thank-you notes or birthday cards
• Offer loyalty discounts to encourage repeat bookings
• Respond quickly to feedback and use it to improve your service

Collect social proof

Happy clients are your best marketing. Put their words to work:

• Ask satisfied clients for testimonials and online reviews
• Encourage referrals by offering incentives to existing customers
• Display ratings and reviews on your website and social media profiles

5. Manage daily operations and plan for growth

Plan for growth beyond solo work. When you do all the cleaning yourself, your income is limited to the hours you can work. You also risk losing clients if you’re sick or on holiday.

To scale with confidence:

• Document your cleaning processes in detail so others can follow them consistently
• Create checklists and quality standards to maintain service levels
• Build systems now that will support hiring later

Choose your hiring approach

You can grow your team in two ways, each with its own trade-offs:

• Subcontractors: they’re available immediately with their own equipment and training, but cost more and make quality harder to control.
• Employees: they need more upfront investment in hiring and training, but give you greater control over service quality.

When you hire employees, you’ll need to:

• advertise positions and interview candidates
• conduct background checks and verify references
• train new hires in your documented processes
• meet legal obligations for tax, BPJS Ketenagakerjaan and BPJS Kesehatan contributions, sick leave, and holiday pay

Employers must register their workers with BPJS Ketenagakerjaan, Indonesia’s employment social security agency. Its Jaminan Kecelakaan Kerja (JKK) work accident cover is paid entirely by the employer.

Xero accounting software and a connected payroll app from the Xero App Store make employee management simpler.

Scale through specialisation

Consider adding specialist services as you grow:

• Higher margins: specialist cleaning commands premium prices.
• Less competition: niche services have fewer competitors.
• Investment required: you may need additional training and equipment.

Options include carpet cleaning, window cleaning, post-construction cleanup, or eco-friendly services.

Managing your cleaning business finances

Good financial management helps cleaning businesses grow steadily. Even with strong client demand, poor cash flow or disorganised records can slow your growth.

Here’s how to stay on top of your finances:

• Track income and expenses from day one. Record every transaction to understand your true profitability.
• Send quotes for larger jobs. Price commercial and end-of-lease work upfront with a professional quote layout.
• Set up a simple invoicing system.send professional invoices promptly and follow up on late payments.
• Separate business and personal finances. Open a dedicated business bank account to simplify bookkeeping.
• Monitor cash flow. Know when money comes in and goes out so you can plan for slow periods.
• Prepare for tax obligations. Set aside money for tax payments and keep records organised year-round.
• Manage payroll if you hire. Handle employee wages, BPJS contributions, and leave entitlements correctly.

Xero accounting software automates much of this work. You can send invoices, reconcile bank transactions, and track expenses in one place, then connect a payroll app to pay your team. This gives you more time to focus on growing your business.

Start your cleaning business with Xero

Starting a cleaning business takes planning, but with low startup costs and consistent demand, it’s one of the most accessible paths to business ownership.

Xero helps you track your first expenses and invoice a growing client base, so you can focus on delivering excellent service. Get one month free and see how easy managing your business finances can be.

FAQs on starting a cleaning business

Here are answers to common questions about launching your cleaning business.

How much can I expect to earn from a cleaning business?

Earnings vary based on your location, services, and hours worked. As a wage benchmark, the 2026 DKI Jakarta provincial minimum wage (UMP) is Rp5,729,876 a month, and other provinces set different rates.

Do I need insurance to start a cleaning business?

Yes: liability cover from one of the general insurers supervised by OJK (the Financial Services Authority) protects you if you accidentally damage a client’s property or someone is injured. If you hire employees, BPJS Ketenagakerjaan’s JKK programme covers workplace accidents.

Should I start my cleaning business part-time or full-time?

Starting part-time lets you test demand and build clients while keeping income from your current job. Many successful cleaning business owners move to full-time once they have enough regular clients to replace their salary.

How long does it take to get your first clients?

With active marketing, referrals from friends and family often bring in your first clients fastest. Building a steady client base takes consistent effort over several months.

What’s the difference between working as an independent cleaner and starting a cleaning company?

An independent cleaner trades time for money, so growth depends on the hours you can work. A cleaning company builds systems, hires staff, scales beyond your personal capacity, and gives your personal assets legal protection.