Start-up Costs For Maid And Janitorial Services

While most cleaning service owners in the industry admit to using personal finances and savings to capitalize on their cleaning business, some choose to take out loans. Especially for bigger or expanding cleaning businesses, it is sometimes essential to borrow money from various financing firms to buy equipment, rent larger spaces, or to infuse working capital. Nonetheless, aside from these conventional ways of financing, you do have a variety of options to raise money.

The first choice is to take a look into your own assets. Sometimes, you might overlook these potential money makers; you forget about the resources you already have under your nose. Catalog all your resources, such as your savings account, home equity, vehicles, valuable collections, and any thing you own that is of value. You can sell these or borrow against them from a lending company. You can also loan money or apply for a small business credit card or a line of credit. There has been no lack in businesses that began with credit cards.

You can also opt to try and approach your family and logically explain to them the value of the business you are about to start up. Family members are usually very giving because they would like to help you reach your goals and be financially independent or capable. Friends can also be a very big help in these situations. But do not forget to make sure that your loans from family and friends are documented. You should always be careful in financial matters with friends and family. You should show a business like approach when dealing with something as delicate as finances and you do not want to ruin any ties.

Another good concept for raising money to fund your cleaning service is to look for partners. There will always be someone around willing to partner with you in putting up your own business. There are two types of partners; one that invests in the business then stays silent, and another one that puts in money and wants to be very active in handling the cleaning service. If the partner you find is the latter type, have all your duties and responsibilities delineated, documented, and signed. This makes both of you more productive and more results oriented.

There also is the matter of government programs that offer financial support to small businesses. You may even find help in all three levels; the local, the sate and the federal. You could start browsing through government websites online or you can investigate via leafing through government books in your library.

Aside from the start up capital you should also always be aware that you might need to infuse cash into the business at some point. Remember, you do have employees that base their own personal finances with the company.

If you think you have to hire cleaners immediately for you to concentrate on the customers, you might be biting off more than you can chew. List down all accounts receivables so you’ll know who to hold responsible.

For more info: Start a janitorial cleaning service