Thinking about starting your own cleaning business? Great! It’s an excellent idea. This might just be a perfect time. However, you can’t just start right away. You will need to obtain a name for your business and a cleaning license to get things going.
The cleaning business license is that license that allows you to operate your cleaning business in any region. This license includes a Doing Business As (DBA) registration and a vendor’s license.
It is essential to know all of these things. How much does this cleaning business license cost? How do you go about obtaining this license?
This article will teach you everything you need to know about how to obtain a cleaning business license, how much it costs, and even more, the demands of running a profitable cleaning enterprise.
Is it worth starting a cleaning business?
Absolutely! It is worth it to start a cleaning business. Starting a cleaning business provides you with more money, more time, and more value to the life you live in general.
Over the last few years, studies have been carried out in Canada on just how much a cleaning business can yield in a month. Over 2,800 salaries were compared, and an average was obtained. Would it surprise you that, on average, a cleaner in Canada rolls in almost $30,000 every single year? Yes! That’s true!
Accurate figures revealed that the 2870 cleaners estimated averaged $29,713 per year. That’s $15.24 per hour. And this is just an average!
This pay is even much more depending on the region. For instance, in Quebec, the pay per year averages $34,075; in British Columbia, about $31,200; in Ontario, over $30,000.
Therefore, if a singular cleaner can make this much, you can imagine how much the cleaning businesses can fetch within a year that you get major cleaning contracts and expand your business.
How much does a cleaning business license cost?
Cleaning business licenses generally cost from between $60 to $100 if you’re registering your business as a sole proprietor. The cost ranges from $200 to $300 if you’re registering as a limited liability Cleaning Business Company.
The amount you pay to obtain your cleaning business license depends significantly on your location in Canada, and the type of cleaning business services you’re looking to establish.
We’ll be giving more information according to provinces in Canada later on.
How much does it cost to get bonded and insured for a cleaning business?
Generally, it costs about $700 to $5,000 to insure a cleaning business locally. The major criteria here are the size of your business and the strength of your employees. If you’re running a small-scale cleaning business, it will cost less to get your cleaning business insured.
Conversely, it will cost you a lot more money to insure a larger cleaning business company.
Surety bonds for your cleaning business generally cost about $175 to $910.
Know that when you insure your cleaning business, you attract more customers. Also, surety bonds give your company an edge over the competitors without them.
How do you get a cleaning business license in Canada?
To get your cleaning business license, you will need to visit the licensing department in your state.
Want to know more about the licenses you might require for your cleaning business? Please visit www.canadabusiness.ca/starting/checklists-and-guides-for-starting-a-business/cleaning-business-start-up-checklist/
Starting your Cleaning Business in Ontario
How much does a cleaning business license cost in Ontario?
It costs about $145 to get your sole proprietorship cleaning business license in Ontario. The registration fee is fixed at $60 for a sole proprietorship. The government charges a handling fee of $60, while you also pay a minimal tax of about $10.
If you need your license within two hours, you can get it. However, you will incur an extra charge of $19.99. This charge will bring your total cost to $166.21.
That is for the license. You might also need to get some specific permits to operate within some particular regions of Ontario.
Please visit www.canadabusiness.ca/search-permits/ to know more about the type of licenses you need to get in Ontario.
You can know more about the required licenses for other locations within Canada as well.
How to start your cleaning business in Ontario
Cleaning business in Ontario can be very rewarding. However, things can be a little bit difficult if you know how to go about it. For real! How do you set up your cleaning business right there in Ontario or any other region in Canada? What steps should you take to get it all together? How do you keep it going?
It seems overwhelming, but it doesn’t have to be. We want to make things easy for you. Therefore, we have arranged all the answers to your questions in very simple steps that you can follow to start up a reputable cleaning business in Ontario and any region in Canada.
Here’s everything you need to know:
- Learn the basics:
Did you know that the cleaning business is made up of two major markets? If you don’t already know, you might want to carry out more research on that. Either way, there are two major markets:
- Commercial market
- Consumer market
Consumer cleaning deals mostly with upholstery cleaning and residential carpet cleaning. It also entails some other minor maid services that might be required of you.
Commercial cleaning, on the other hand, is more extensive in its scope. It covers from window and carpet cleaning to collecting and removing hazardous materials from the cleaning locations.
It is when you know the nitty-gritty of the business that you wish to undertake that you can be successful in the long run.
- Register your cleaning industry: You must have chosen a market before you can move on to this stage. If you have not, please make more findings. Determine what is most appealing to you in terms of opportunities. Then, you can proceed to register your cleaning industry.
Stages in registration involve the following:
- Choose a brand name for your business
- Verify with the Newly Updated Automated Name Search (NUANS) to ensure the name you chose is unique
- Register your business on the Service Ontario website.
- Pay the registration fee
- Obtain all the licenses and permits that you might require to carry out your processes.
See, it might not be that easy, but it is not the hardest thing to start up your cleaning business in Ontario. Follow the processes involved, and in a few weeks or months, you will be all set up and good to resume with your cleaning services in Ontario.
Starting your Cleaning business in Quebec
How much does a cleaning business license cost in Quebec?
A cleaning business license in Quebec costs about $60 on average to register. That is if you want to register as a Sole Proprietor. It costs about $210-$250 on average if you intend to register as a full-scale Limited Liability Company.
How to go about starting your Cleaning Business in Quebec
One of the first things to do is to register your business. In Quebec, you will need to do the following:
- Register with the Registraire des enterprises.
- Register your business for Revenu Quebec files.
- Pay your registration fees with the board.
- Obtain your license and your registration certificate.
How much would it cost to launch a cleaning business in Quebec?
You can start your own cleaning business in Quebec with as low as $1,330. About $63 to $84 will handle the registration.
It will cost about $700 to get insurance. Purchasing your cleaning equipment might cost about $420.
You can improve on the standard of this equipment. You can also expand your business by getting a van for your business. This van will make you more mobile. It will also provide ease to getting where you need to be.
More expensive equipment can cost from $840 upwards. That’s for when you choose to get it.
Also, you will need to do some advertising. Online Marketing and Printing Ads and fliers will cost you about $140 to put together.
This sum leads you to a rough $950 estimate. So, good news, if you have just that $1,400, you might be good to get started on running your cleaning business in Quebec.
Starting your Cleaning Business in British Columbia
Cost of getting a cleaning business license in British Columbia
All businesses require a license to operate in British Columbia, just as it is in all the other regions in Canada. The prices of these licenses cost roughly the same as that of all the different regions in British Columbia. To get this license, please visit the licensing office in Vancouver BC at Ground Floor, City Hall 453 West 12th Avenue.
Updating your cleaning business license in British Columbia
In British Columbia, your license expires on the 31st of December, every year. The licensing office sends out notification by November to remind you about the process.
Renewal fees of your cleaning business license cost an average of $60. You will also require your Business Identification Number to complete the process. The BIN is a 9-digit number that you get when you register your cleaning business.
If you cannot remember this number, you will incur an extra charge of $6.50.
Also, you should try to renew your license on time because there are penalties for late renewal as well. Contact the licensing office to renew your license.
Here are the necessary steps to follow to renew your cleaning business license:
- Update your license info
- Renew your license by making the required payments
- Receive the renewed license for your cleaning business
How long will it take to process your license in British Columbia?
The processing time for your license depends mostly on what time of the year you obtain it. Sometimes, it also depends on the kind of business that you operate.
Most people want to renew their license in November and December or around that time. Therefore, the fall is a hectic time for renewing your license. It would take some time to obtain your license in those periods.
Penalty for late payment of renewal fees for your cleaning business in BC
All payments for renewal are expected to be received on or before the 31st of December. You will incur some extra charges if you fail to meet this requirement. The cost can come in any of the two forms:
- 10% of your license fee
- A $40 charge
The levy that is collected depends on the greater of the two options. We advise that you renew your license on time to avoid incurring these extra charges.
Moving your cleaning business to another location in Canada
Are you looking to move your business from one province in Canada to the next? If you are, it is most definitely a welcome development.
In that case, what you will need to do is to register your cleaning business at the new location. Then, go through all the procedures required for licensing, and you’re good to go.
Please note that licensing information and requirements vary with the states across the country. So if you are in other states in Canada, check with your city to determine the conditions at your new location.
Dealing with Taxes on your Cleaning Business
The taxes on your business will depend mostly on the type of business you register. As a sole proprietor, there would be no need to tender your company’s profit and loss report sheets. All you’ll have to do is to fill out a form for your business tax.
On the other hand, when you register a Limited Liability Company, you will be charged corporate tax rates.
Take your business to the next level!
Obtaining your cleaning business has never been easier. If you’re a newbie in the cleaning business, you can start up anytime you want to. You can run through the procedures like a pro with all this information at your fingertips.