View Full Version : What steps do I need to make to become official cleaning company
traceyhenry
May 15, 2009, 06:53 AM
Hello anyone, I work for a cleaning company but realize I can do this on my own. I pretty much know what supplies and equipment I may need when dealing with corporate or commercial accounts. I have been in the cleaning business for about 10 years and I have knowledge and push to start my own cleaning business probably starting smaller. Just for other opinions, can anyone suggest the first steps I need to make as far as turning into an official company. I have company name, so far. I have problem determining llc, sole prop. etc. I also know I need ein #. I do have access to supplies and equipment. Can somebody lead me in right direction?
excon
May 15, 2009, 07:17 AM
Hello t:
See, here's the problem.. You don't need an employer identification number unless you're going to have employees.
So, you DON'T know what you need. Therefore, hire a CPA. He can tell you exactly what licenses you need, what insurance you need, and whether you should be bonded or not. He can tell you if you should be a sole prop or a corp, or an LLC. He'll set your books up right, so filing your tax returns will be simple and accurate. CPA's aren't expensive either.
There's no such designation as an "official" company. You're a company because you declare it to be so.
You say you have experience in the cleaning business, but a proprietor needs experience in SELLING, not cleaning. THAT will become your primary job - not cleaning the toilet.
excon
Cleaningman23
May 15, 2009, 02:36 PM
Tracy.
I own my own cleaning company in Illinois.
It all depends what and how you want to run your company..
Do you have a business plan?
How big do you want your cleaning company to be?
If you want to have a large company one day( like molly maids or some other big company)
Then you are going to want file Articles of Incorporation* Incorporate*( If you do not plan on selling shares in the company and having an elected board of officials then you will want to be elected as a Sub S Corporation which allows you to have a tax advantage )( You are only taxed once)( Not Twice)
If you want to stay small
Very Small that is...
You are going to want to be a sole propreitor
You still are selling your service and its tricky to land customers
Not everyone is willing just to have you come clean their homes.
To do all this You have to visit the website for your nearby Secretary of state...
You are not required to be bonded... Insurance is fine unless a bond is required by the company.. then get one issued...