search

How to Open a Cleaning Business in Hawaii

POR Hispanic Entrepreneurs July 27, 2022
Featured image from the article

The service industry continues to grow in the United States and other countries in the region. That of the companies that are responsible for sanitizing the spaces is one of its most important items. So if you want to undertake we tell you how to open a cleaning business in hawaii

Cleaning Industry Numbers

If before the pandemic this type of company was growing, in the post-pandemic it has been seen that it continues to be a commercial niche with great projection. However, some parameters have changed, for example, the cost of the service rose 9.4% in 2021 according to Jobber. As a result, profits grew by 14%.

The residential cleaning market is estimated to be valued at $40.38 billion in 2025. While, by 2024, 80% of households will turn to these companies. Grandview Research projects that the global commercial cleaning market will reach $2027 billion in revenue by 468,2, up 51,67% from 2020.

According to the United States Bureau of Labor, hourly wages for commercial cleaners range from $9,80 to $22,54. In the United States alone, there will be more than 236.500 new jobs in the industry. In Hawaii, the average salary for house cleaners is $73 per hour.

Among the trends that will continue this year is cleaning due to covid-19. Given the constant emergence of variants, certified sanitization and disinfection services continue to be offered.

Also cleaning companies Special services requested by large industries such as laundry and carpet cleaning, as well as ecological cleaning, will continue. Business owners will continue to bet on digital marketing and technology to promote and simplify their tasks.

But they will not escape some challenges such as cost reduction in the use of materials and supplies. Likewise, due to the lack of personnel.

How to Open a Cleaning Business in Hawaii

To start a residential or commercial cleaning service company in Hawaii you need to first get financing. Next, choose the market in which you are going to work, define what you are going to specialize in and what characteristic will differentiate you from the rest.

Then prepare the budget and business plan. The next thing is to register the business to be able to search for clients without legal problems. Part of the strategy should focus on advertising the business with a view to expansion.

As in any business that will start in the United States, entrepreneurs residing on the island must comply with the registration of their company. The Hawaii Department of State directs that you first look up the business name and check to see if it is available or registered by another business. Do it by entering https://hbe.ehawaii.gov/documents/search.html

Then register your business online on the page https://hbe.ehawaii.gov/BizEx/login-s.eb of the Department of Commerce and Consumer Affairs, Business Registration Division. Create an account and log in to submit the presentation and receive the receipt. You can also use this platform to present the annual report or make any changes.

Provide the requirements that are indicated to you according to the commercial structure you choose. In Hawaii you have the option to choose between sole proprietorships, corporations, limited partnerships and limited liability companies.

Then register the name, obtain the General Excise Tax (GET) license from the Tax Department. Check what type of taxes you have to pay for being a cleaning company. You also need to apply for a federal employer identification number (EIN) from the Internal Revenue Service.

Another important requirement is online registration as an employer with the Department of Labor and Industrial Relations. You will probably have to take out workers' compensation insurance, temporary disability insurance, among others, apart from commercial insurance.  

Open a bank account and proceed to request the necessary licenses and permits for your commercial activity.

Costs to start a cleaning business

The great advantage of house cleaning companies or companies is that they require a minimum initial investment. Most of the budget after registering the company and the salary of the employees goes to buy the material and work tools.

The investment can amount to about $2.000 if you already have a car to get around. Purchase items such as paper towels, rags, disinfectant, latex gloves, window cleaner, etc. In addition, scrub brushes, vacuum cleaners, mops, brooms, buckets, dusters and uniforms. This makes it an accessible and profitable enterprise. Remember that you can set your fees by flat rate, per hour or per square meter.

As for registration fees, we have that the formation of the business entity can reach $51, the county business license at 100 and the excise tax at $20.

You can also choose to buy a franchise, a wide variety of these work in Hawaii. In addition to offering conventional cleaning services or special sanitation, they can carry out industrial cleaning, in shopping centers and surfaces.

As well as elimination of bad odors through ozonation, etc., which require more money to start. As well as the water extraction service, carpet cleaning, mold infestation and other hygiene problems caused by floods that usually affect the island.

Opening a cleaning business in Hawaii can be profitable. In Hispanic Entrepreneurs We offer you the advice you need to start and carry out your own company.

Related Notes: