Friday, April 24, 2009

The Typical $1000 Cleaning Business News Article

JACKSONVILLE, FL -- With the nation's economy in disarray, people around the country are searching for ways to supplement and earn additional income.

While many may consider starting a home based business an interesting solution, the thought of sinking tens of thousands of dollars into a start-up is scary.

But some people have found a less expensive solution. When Lawrence Yancy retired as a food inspector he decided to start his own business, and he did for less than $1,000. "It cost me $529," said Yancy.

These are some other potential businesses that cost $1,000 or less:

E-Commerce Consultant:
Use your computer smarts to help others grow their online businesses.

Theft Prevention: Many people don't know how vulnerable they are. If you have police or a security background you can teach other business owners how to prevent thefts.

Residential Cleaning: Secure a number of clients, whether for homes or apartments and go to work. On average a cleaning company will charge $15-to-$25 an hour.

And there you have it. Just like I've been telling you for years now. Starting a housecleaning company takes little money. It takes little initiative. It takes little education. And it takes little courage. After all, it's only a few hundred bucks down the drain if your new company goes belly up.

Of course, a real professional cleaning company costs much more than $1,000 to start.

A real cleaning company has to provide its customers maximum protection such as general liability insurance, workers' compensation and bonding. Maximum protection will cost a real cleaning company at least $5,000 annually.

A real cleaning company also provides cleaning supplies and equipment. Professional cleaning supplies cost about $500 for each cleaning crew.

A real cleaning company also has to follow the law. Following the law means paying payroll taxes, paying local licensing fees and paying federal income taxes. The amount of this cost is based on two things; 1) How busy you are - and 2) How honest you are. A conservative estimate is for all three taxes to cost a cleaning company somewhere between $5,000 - $15,000 annually.
The costs continue to build as the legitimacy of your business increases. But that's not the point of this story anyway. The point is this:

If you started a housecleaning business and it costs you less than $1,000, what will you do when:

1. One of your employees steals from one of your customers?
2. One of your employees breaks a customer's expensive vase?
3. One of your employees breaks her ankle while cleaning your stairway?
4. Your customer base suddenly drops off?
5. Your husband gets a new job in another town?
6. You get the flu?
7. You find a stable job?

The answer should be obvious. You'll quit. You'll quit for the very same reason you started. Because starting a housecleaning business takes little money. Little initiative. Little education. And little courage.

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