Commercial Cleaning Business Plan
You’ve come to the right place to create your Commercial Cleaning business plan.
We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Commercial Cleaning businesses.
Below is a template to help you create each section of your Commercial Cleaning business plan.
Executive Summary
Business Overview
Denver Corporate Cleaning is a new commercial cleaning service that serves the Denver, Colorado area. We offer the best quality services in the industry and can work with any type of business that needs our services. We offer several cleaning services including office cleaning, emergency cleanings, sanitization, and carpet cleaning. With our stellar work ethic, high-quality cleaning services, and client focused service, we plan to be the #1 commercial cleaning company in the Denver area in the next five years.
Denver Corporate Cleaning is founded by Pedro Hernandez. Pedro has worked in several cleaning companies over the past twenty years, but was disappointed in the lack of good customer service that these companies provided. For years, Pedro has been planning his own business that will provide client focused service as well as a longer list of cleaning services than the competition. After years of planning, he is now ready to launch his business.
Product Offering
Denver Corporate Cleaning offers a full suite of commercial cleaning services for businesses located in Denver, Colorado. These services include office cleaning, breakroom cleaning, window cleaning, emergency cleaning, and sanitizing. Clients can order a one-time cleaning service or regular services that occur monthly, weekly, or daily. Long-term clients will be charged monthly for their plans.
Customer Focus
Denver Corporate Cleaning will provide cleaning services to businesses located in Denver, Colorado. We expect most of our clientele will be corporate offices, but we will also work with churches, gyms, restaurants, schools, and other establishments.
Management Team
Denver Corporate Cleaning is founded by Pedro Hernandez. Pedro has worked in several cleaning companies over the past twenty years, but was disappointed in the lack of client-oriented service that these companies provided. For years, Pedro has been planning his own business that will emphasize client focused service and provide a longer list of cleaning services than the competition. After years of planning, he is now ready to launch his business.
Success Factors
Denver Corporate Cleaning is primed for success by offering the following competitive advantages:
- Professional cleaning services for an affordable price.
- Client-focused service where the owner will keep in touch with clients on a monthly basis.
- A referral program where clients can earn a free cleaning for every business they recruit.
- A focus on maintaining long-lasting relationships with our clients.
Download the Commercial Cleaning business plan template (including a customizable financial model) to your computer here <–
Financial Highlights
Denver Corporate Cleaning is seeking $225,000 in debt financing to launch. The funding will be dedicated to the office build out, purchase of initial supplies, working capital, marketing costs, and startup overhead expenses. The breakout of the funding is below:
- Office location design/build: $50,000
- Initial supplies and equipment: $50,000
- Three months of overhead expenses (payroll, rent, utilities): $50,000
- Working capital: $25,000
- Marketing: $50,000
The following graph below outlines the pro forma financial projections for Denver Corporate Cleaning.
Company Overview
Who is Denver Corporate Cleaning?
Denver Corporate Cleaning is a new commercial cleaning service that serves the Denver, Colorado area. We offer several cleaning services to the businesses located in the area including office cleaning, emergency cleanings, sanitization, and carpet cleaning. We are open to working with any business (including churches, gyms, and restaurants) but we expect much of our clientele will be corporate offices.
Denver Corporate Cleaning is founded by Pedro Hernandez. Pedro has worked in several cleaning companies over the past twenty years, but wasn’t satisfied with the level of service these companies offered their clientele. Pedro has been planning his business for years and is now ready to launch.
He recently conducted a market analysis and consumer survey to see if the business would be in high demand. The results from these were very positive, with many consumers saying that they would be interested in hiring the company’s services as soon as the business launches.
Denver Corporate Cleaning’s History
After spending several years in the cleaning industry, Pedro Hernandez gained the knowledge, skills, and expertise to start his own commercial cleaning business. In April 2023, he quit his job at his employer and incorporated Denver Corporate Cleaning as an S Corporation.
Since incorporation, Pedro has achieved the following milestones for Denver Corporate Cleaning:
- Developed the company’s name, logo and website
- Finished the list of services the company will provide
- Determined equipment and inventory requirements
- Found a potential office location
Denver Corporate Cleaning’s Services
Denver Corporate Cleaning will provide the following services to our clientele:
- Office cleaning
- Breakroom/kitchen cleaning
- Emergency cleaning
- Sanitization
- Window cleaning
- Carpet cleaning
- Weekend services
Industry Analysis
Revenue for the commercial cleaning industry is expected to grow over the next five years. This growth is due partially by the increase in demand from businesses across all sectors. Businesses are expected to continue outsourcing cleaning activities to janitorial and cleaning service specialists. In particular, education, healthcare and medical-related industries, which outsource the majority of their cleaning requirements, will likely provide sustained demand for industry services. Most businesses save money by outsourcing cleaning services, so this will be a major factor in the industry’s growth.
According to Grand View Research, the contract cleaning services industry was valued at $343.34 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 6.3% from now until 2030. This shows that commercial cleaning services are still in great demand and will continue to be. Therefore, this is a great time to start a commercial cleaning business.
Download the Commercial Cleaning business plan template (including a customizable financial model) to your computer here <–
Customer Analysis
Demographic Profile of Target Market
Denver Corporate Cleaning will serve the businesses located in the Denver area. Most of our clientele will include corporate offices, but we will also serve churches, gyms, restaurants, schools, and other establishments.
The demographics of the Denver area are as follows:
| Total | Percent | |
|---|---|---|
| Total population | 1,680,988 | 100% |
| Male | 838,675 | 49.9% |
| Female | 842,313 | 50.1% |
| 20 to 24 years | 114,872 | 6.8% |
| 25 to 34 years | 273,588 | 16.3% |
| 35 to 44 years | 235,946 | 14.0% |
| 45 to 54 years | 210,256 | 12.5% |
| 55 to 59 years | 105,057 | 6.2% |
| 60 to 64 years | 87,484 | 5.2% |
| 65 to 74 years | 116,878 | 7.0% |
| 75 to 84 years | 52,524 | 3.1% |
Customer Segmentation
Denver Corporate Cleaning will primarily target the following customer profiles:
- Corporate offices
- Restaurants
- Churches
Competitive Analysis
Direct and Indirect Competitors
Denver Corporate Cleaning will face competition from other companies with similar business profiles. A description of each competitor company is below.
Denver Cleaning Solutions
Denver Cleaning Solutions is a local cleaning business that primarily services office buildings in downtown Denver. The company has a team of over 40 cleaners who provide a long list of services to their clients. These services include cubicle cleaning, office cleaning, breakroom cleaning, and sanitization. Unfortunately Denver Cleaning solutions suffers from high turnover which results in low quality services. Therefore, the company is seen as a low-end budget quality option and will not be a major competitor for clients who want higher quality services.
Smith Premium Family Cleaning Services
Smith Premium Family Cleaning Services is a family-owned company that has operated since 1990. They have a small, yet highly trained cleaning staff that cleans residential homes and commercial spaces located around the Denver area. As the name suggests, they offer premium services that have given them a great reputation, but also allow them to charge premium prices. Though Smith Premium Family Cleaning Services will continue to succeed, the company is small enough that we don’t expect them to be a major competitor.
Denver Maids
Denver Maids is a popular cleaning service that serves the Denver area. They clean both residential and commercial locations and offer a wide suite of services and contract options. They have more than 100 cleaners on staff and are fully equipped to manage hundreds of contracts throughout the year. Though most of Denver Maid’s contracts are for residential cleaning services, they also service many businesses, making them a strong competitor in the market.
Download the Commercial Cleaning business plan template (including a customizable financial model) to your computer here <–
Competitive Advantage
Denver Corporate Cleaning will be able to offer the following advantages over their competition:
- Client-focused service: Customer service is our #1 priority. Our entire mission is to provide high-quality client focused service that focuses on maintaining long-term relationships with our clients.
- Management: Pedro has significant experience in the industry and knows what it takes to offer the best cleaning services and keep clients happy. Pedro will interact with each client on a weekly or monthly basis to ensure they are completely satisfied with their cleaning service. He will ask for any constructive criticism in order to implement strategies beneficial to client retention and referrals.
- Referral Program: We will offer a referral program where clients can earn a free cleaning for every business and/or household they recruit.
Marketing Plan
Brand & Value Proposition
Denver Corporate Cleaning will offer the unique value proposition to its clientele:
- Affordable and quality cleaning services
- Highly trained staff
- Wide variety of commercial cleaning services
- Ability to work with any commercial business in the area
Promotions Strategy
The promotions strategy for Denver Corporate Cleaning is as follows:
Referral Program
Denver Corporate Cleaning will implement a referral program that will reward an existing client with a free cleaning service if they recruit a fellow business to our services.
Social Media Marketing
The company will have several social media accounts and invest in ads on all social media platforms. These accounts will showcase pictures of our cleaning crew as well as a list of the services we provide. The company will use targeted marketing to appeal to our target demographics.
SEO Website Marketing
Denver Corporate Cleaning will invest funds into maintaining a strong SEO presence on search engines like Google and Bing. When a person types in “local commercial cleaning services” or “Denver cleaning services”, Denver Corporate Cleaning will appear in the top three choices.
Advertisement
Advertisements in print publications like newspapers, magazines, etc., are an excellent way for businesses to connect with their audience. Denver Corporate Cleaning will advertise its services in popular magazines and news dailies. Obtaining relevant placements in industry magazines and journals will also help in increasing brand visibility.
Pricing
The pricing of Denver Corporate Cleaning will be moderate and on par with competitors so customers feel they receive value when hiring our cleaning services.
Operations Plan
Denver Corporate Cleaning will utilize the following operations plan.
Operation Functions:
- Pedro Hernandez will be the Owner of Denver Corporate Cleaning. He will oversee the general operations and keep in touch with all clients to ensure they are satisfied with the company’s services. To efficiently run the business, Pedro will hire the following:
- An Accountant who will manage all client invoicing, billing, and payables.
- A Human Resources Manager who will oversee all employee hiring, onboarding, payroll, retention, and benefits programs.
- A Training Manager who will develop and implement a strict cleaning protocol program that every employee will have to pass.
- 20 hourly cleaning professionals to provide cleaning services to our clients.
Download the Commercial Cleaning business plan template (including a customizable financial model) to your computer here <–
Milestones:
Denver Corporate Cleaning will have the following milestones complete in the next six months:
- 5/1/202X – Finalize lease agreement for office space
- 6/1/202X – Office build out
- 7/1/202X – Hire and train essential staff
- 8/1/202X – Begin marketing campaign
- 9/1/202X – Launch Denver Corporate Cleaning
- 10/1/202X – Reach break even
Management Team
Denver Corporate Cleaning is founded by Pedro Hernandez. Pedro has worked in several cleaning companies over the past twenty years, but was disappointed in the lack of client-oriented service that these companies provided. For years, Pedro has been planning his own business that will emphasize client focused service. We will also provide a longer list of cleaning services than the competition. After years of planning, he is now ready to launch his business.
Since he has worked in the industry for decades, Pedro has in-depth knowledge of what it takes to provide premium cleaning services. Though he has never run a business, he will hire several staff members who will help him run the operations, marketing, management, and accounting aspects of the company.
Financial Plan
Key Revenue & Costs
The revenue drivers for Denver Corporate Cleaning will come charging our clients for our professional cleaning services. We expect most of our clients will stick with us long term, so we will charge them monthly for our services. Businesses that need a one-time cleaning will be charged the day of the cleaning.
The cost drivers for Denver Corporate Cleaning will include the overhead costs, salaries, cost of supplies, and marketing expenses.
Funding Requirements and Use of Funds
Denver Corporate Cleaning is seeking $225,000 in debt financing to launch. The funding will be dedicated to the office build out, purchase of initial supplies, working capital, marketing costs, and startup overhead expenses. The breakout of the funding is below:
- Office location design/build: $50,000
- Initial supplies and equipment: $50,000
- Three months of overhead expenses (payroll, rent, utilities): $50,000
- Working capital: $25,000
- Marketing: $50,000
Download the Commercial Cleaning business plan template (including a customizable financial model) to your computer here <–
Key Assumptions
The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and pay off the startup business loan.
- Number Of Clients:
- FY 1: 20
- FY 2: 30
- FY 3: 40
- FY 4: 50
- FY 5: 60
- Average Client Contract Per Month: $500
- Annual Lease: $25,000
Financial Projections
Income Statement
| FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
|---|---|---|---|---|---|---|
| Revenues | ||||||
| Total Revenues | $360,000 | $793,728 | $875,006 | $964,606 | $1,063,382 | |
| Expenses & Costs | ||||||
| Cost of goods sold | $64,800 | $142,871 | $157,501 | $173,629 | $191,409 | |
| Lease | $50,000 | $51,250 | $52,531 | $53,845 | $55,191 | |
| Marketing | $10,000 | $8,000 | $8,000 | $8,000 | $8,000 | |
| Salaries | $157,015 | $214,030 | $235,968 | $247,766 | $260,155 | |
| Initial expenditure | $10,000 | $0 | $0 | $0 | $0 | |
| Total Expenses & Costs | $291,815 | $416,151 | $454,000 | $483,240 | $514,754 | |
| EBITDA | $68,185 | $377,577 | $421,005 | $481,366 | $548,628 | |
| Depreciation | $27,160 | $27,160 | $27,160 | $27,160 | $27,160 | |
| EBIT | $41,025 | $350,417 | $393,845 | $454,206 | $521,468 | |
| Interest | $23,462 | $20,529 | $17,596 | $14,664 | $11,731 | |
| PRETAX INCOME | $17,563 | $329,888 | $376,249 | $439,543 | $509,737 | |
| Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
| Use of Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
| Taxable Income | $17,563 | $329,888 | $376,249 | $439,543 | $509,737 | |
| Income Tax Expense | $6,147 | $115,461 | $131,687 | $153,840 | $178,408 | |
| NET INCOME | $11,416 | $214,427 | $244,562 | $285,703 | $331,329 |
Balance Sheet
| FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
|---|---|---|---|---|---|---|
| ASSETS | ||||||
| Cash | $154,257 | $348,760 | $573,195 | $838,550 | $1,149,286 | |
| Accounts receivable | $0 | $0 | $0 | $0 | $0 | |
| Inventory | $30,000 | $33,072 | $36,459 | $40,192 | $44,308 | |
| Total Current Assets | $184,257 | $381,832 | $609,654 | $878,742 | $1,193,594 | |
| Fixed assets | $180,950 | $180,950 | $180,950 | $180,950 | $180,950 | |
| Depreciation | $27,160 | $54,320 | $81,480 | $108,640 | $135,800 | |
| Net fixed assets | $153,790 | $126,630 | $99,470 | $72,310 | $45,150 | |
| TOTAL ASSETS | $338,047 | $508,462 | $709,124 | $951,052 | $1,238,744 | |
| LIABILITIES & EQUITY | ||||||
| Debt | $315,831 | $270,713 | $225,594 | $180,475 | $135,356 | |
| Accounts payable | $10,800 | $11,906 | $13,125 | $14,469 | $15,951 | |
| Total Liability | $326,631 | $282,618 | $238,719 | $194,944 | $151,307 | |
| Share Capital | $0 | $0 | $0 | $0 | $0 | |
| Retained earnings | $11,416 | $225,843 | $470,405 | $756,108 | $1,087,437 | |
| Total Equity | $11,416 | $225,843 | $470,405 | $756,108 | $1,087,437 | |
| TOTAL LIABILITIES & EQUITY | $338,047 | $508,462 | $709,124 | $951,052 | $1,238,744 |
Cash Flow Statement
| FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
|---|---|---|---|---|---|---|
| CASH FLOW FROM OPERATIONS | ||||||
| Net Income (Loss) | $11,416 | $214,427 | $244,562 | $285,703 | $331,329 | |
| Change in working capital | ($19,200) | ($1,966) | ($2,167) | ($2,389) | ($2,634) | |
| Depreciation | $27,160 | $27,160 | $27,160 | $27,160 | $27,160 | |
| Net Cash Flow from Operations | $19,376 | $239,621 | $269,554 | $310,473 | $355,855 | |
| CASH FLOW FROM INVESTMENTS | ||||||
| Investment | ($180,950) | $0 | $0 | $0 | $0 | |
| Net Cash Flow from Investments | ($180,950) | $0 | $0 | $0 | $0 | |
| CASH FLOW FROM FINANCING | ||||||
| Cash from equity | $0 | $0 | $0 | $0 | $0 | |
| Cash from debt | $315,831 | ($45,119) | ($45,119) | ($45,119) | ($45,119) | |
| Net Cash Flow from Financing | $315,831 | ($45,119) | ($45,119) | ($45,119) | ($45,119) | |
| Net Cash Flow | $154,257 | $194,502 | $224,436 | $265,355 | $310,736 | |
| Cash at Beginning of Period | $0 | $154,257 | $348,760 | $573,195 | $838,550 | |
| Cash at End of Period | $154,257 | $348,760 | $573,195 | $838,550 | $1,149,286 |
Commercial Cleaning Business Plan FAQs
What Is a Commercial Cleaning Business Plan?
A commercial cleaning business plan is a plan to start and/or grow your commercial cleaning business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.
What are the Main Types of Commercial Cleaning Businesses?
There are a number of different kinds of commercial cleaning businesses, some examples include: General Commercial Cleaning, Healthcare and Lab Cleaning, and Damage Restoration.
How Do You Get Funding for Your Commercial Cleaning Business Plan?
Commercial Cleaning businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.
What are the Steps To Start a Commercial Cleaning Business?
Starting a commercial cleaning business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.
1. Develop A Commercial Cleaning Business Plan - The first step in starting a business is to create a detailed commercial cleaning business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.
2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your commercial cleaning business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your commercial cleaning business is in compliance with local laws.
3. Register Your Commercial Cleaning Business - Once you have chosen a legal structure, the next step is to register your commercial cleaning business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.
4. Identify Financing Options - It’s likely that you’ll need some capital to start your commercial cleaning business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.
5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.
6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.
7. Acquire Necessary Commercial Cleaning Equipment & Supplies - In order to start your commercial cleaning business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.
8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your commercial cleaning business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.
Learn more about how to start a successful commercial cleaning business: