Cleaning Business For Sale

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Why Buy a Cleaning Business?

The commercial cleaning industry represents one of the most stable and recession-resistant business opportunities available today. With businesses and facilities requiring ongoing maintenance regardless of economic conditions, cleaning businesses offer predictable recurring revenue streams and relatively low overhead compared to other service industries.

Whether you're looking for a small residential cleaning operation that can be run part-time or a large commercial janitorial company with multiple contracts, the cleaning industry offers opportunities at every scale. The barrier to entry is low, but buying an established business gives you immediate cash flow, existing customer relationships, and proven systems.

Types of Cleaning Businesses For Sale

Commercial Cleaning

Office buildings, retail spaces, and corporate facilities. Typically contract-based with recurring monthly revenue and evening/weekend service schedules.

  • • Recurring contract revenue
  • • B2B relationships
  • • Scalable operations
  • • Property management accounts

Janitorial Services

Schools, medical facilities, industrial spaces. Often includes specialized cleaning requirements and higher margins due to certification needs.

  • • Long-term contracts
  • • Government opportunities
  • • Specialized services
  • • Higher barriers to entry

Residential Cleaning

Home cleaning services with recurring weekly or bi-weekly clients. Lower contract values but highly scalable with the right systems.

  • • Recurring residential accounts
  • • Daytime schedules
  • • Lower equipment costs
  • • Online booking systems

Specialty Cleaning

Carpet cleaning, window washing, pressure washing, post-construction cleanup. Higher margins with specialized equipment and expertise.

  • • Premium pricing
  • • Specialized equipment
  • • Project-based work
  • • Upsell opportunities

What to Look For When Buying a Cleaning Business

Financial Due Diligence

The most critical aspect of buying any business is understanding the true financials. For cleaning businesses, focus on:

  • Recurring Revenue: What percentage of revenue comes from monthly contracts versus one-time jobs? Higher recurring revenue means more predictable cash flow.
  • Customer Concentration: Is revenue spread across many clients or dependent on a few large accounts? Ideally, no single client represents more than 20% of revenue.
  • Contract Terms: Review actual contracts. How long are terms? What are cancellation clauses? Are contracts transferable to new ownership?
  • True Owner Involvement: How many hours does the current owner work? Are they on the tools cleaning, or managing? This affects the actual cash flow you'll receive.

Operations Assessment

  • Employee Retention: High turnover is common in cleaning, but the best businesses have long-tenured staff. Check average employee tenure.
  • Systems and Processes: Are operations documented? Is there training material? Software for scheduling and billing? These systems protect value.
  • Equipment and Assets: What equipment is included? What's its condition? Factor in replacement costs for aging equipment.
  • Insurance and Licensing: Verify all required licenses, bonding, and insurance are current and transferable.

Growth Potential

  • Market Position: Is the business well-known locally? Strong online reviews? Good reputation makes growth easier.
  • Capacity: Can the business handle more clients with existing staff and equipment? Or is it maxed out?
  • Service Expansion: Are there natural upsell opportunities? Can you add carpet cleaning, window washing, or specialty services?
  • Geographic Expansion: Can you expand to adjacent territories or add locations?

How Are Cleaning Businesses Valued?

Cleaning businesses are typically valued as a multiple of Seller's Discretionary Earnings (SDE), which includes the owner's salary, benefits, and net profit. The multiple varies based on several factors:

Typical Valuation Multiples

2.0x - 2.5x SDE
Small residential or owner-operator businesses with limited systems
2.5x - 3.5x SDE
Established commercial cleaning with good contract mix and some management in place
3.5x - 4.5x SDE
Well-systematized businesses with diversified client base, strong contracts, and minimal owner involvement

Factors That Increase Value

  • Long-term contracts (2+ years)
  • High recurring revenue (80%+)
  • Diversified client base
  • Documented systems
  • Strong management team
  • Proprietary technology/software
  • Strong online presence/reputation
  • Growth trajectory

Financing Your Cleaning Business Purchase

Most cleaning business acquisitions under $500K are financed through SBA loans, specifically the SBA 7(a) program. These loans allow you to purchase a business with as little as 10% down, making business ownership accessible without requiring substantial capital.

SBA 7(a) Loans

  • • 10% down payment typical
  • • Up to $5M loan amount
  • • 10-year term for business purchases
  • • Competitive interest rates
  • • Can include working capital

Seller Financing

  • • Typically 20-30% of purchase price
  • • 3-5 year terms common
  • • Shows seller confidence
  • • Can bridge financing gaps
  • • Often subordinated to SBA loan

Example: A $300K cleaning business with $100K SDE

  • • Purchase Price: $300,000
  • • SBA Loan (90%): $270,000
  • • Your Down Payment (10%): $30,000
  • • Monthly Loan Payment: ~$3,200
  • • Monthly Cash Flow (after debt service): ~$5,100

Why Use CleaningExits to Find Your Cleaning Business?

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Ready to Find Your Cleaning Business?

Browse 824+ verified listings from commercial janitorial companies to specialty cleaning services. Start your search today.

Frequently Asked Questions

How much does it cost to buy a cleaning business?

Cleaning businesses range from $50,000 for small residential operations to $2M+ for large commercial janitorial companies. Most businesses are priced between $150K-$500K and valued at 2-4x annual cash flow (SDE). With SBA financing, you can acquire a business with 10% down.

Do I need experience in cleaning to buy a cleaning business?

No prior cleaning experience is required, especially for commercial operations where you'll be managing rather than performing the work. However, understanding the operations, quality standards, and customer service expectations is important. Many buyers spend time shadowing the current owner during transition.

What's the difference between a cleaning business and a janitorial business?

The terms are often used interchangeably, but "janitorial" typically refers to commercial and institutional cleaning (offices, schools, medical facilities) while "cleaning business" can include residential services. Janitorial businesses usually have higher contract values, longer terms, and more predictable revenue.

How long does it take to close on a cleaning business purchase?

From accepted offer to closing typically takes 60-90 days. This includes due diligence (2-4 weeks), SBA loan approval (4-6 weeks), and final closing preparations. All-cash purchases can close much faster, sometimes in 30 days.

Will customers stay after I buy the business?

Commercial cleaning businesses typically have high customer retention through ownership transitions, especially when contracts are in place. The key is maintaining service quality and building relationships during the transition period. Retention rates of 80-90% are common with proper transition planning.

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