📌 Recap: How Anna Grew Her Cleaning Business
In Part 1 , we followed Anna’s transformation from a McDonald’s cashier to a cleaning business owner. She started with no money, no experience, and no equipment—just determination. By using clients’ cleaning supplies and keeping costs low, she landed her first few clients and started making $2,000/month.
By Part 2, she had quit her 9-5 job, expanded her client base, and worked full-time hours. But the workload became overwhelming, pushing her to hire her first employee, Emma. She also registered an LLC, raised her prices, and streamlined her business operations—allowing her to increase her revenue while working 20 hours less per week.
Now, in Part 3, Anna faces new challenges:
✔️ How does she scale beyond one employee to multiple employees?
✔️ Should she invest in company vehicles for efficiency and branding?
✔️ How can she take on larger contracts to keep growing?
✔️ What systems does she need to manage multiple employees?
In this blog, we’ll follow Anna’s next steps as she:
✅ Invests in company vehicles and business branding.
✅ Hires more employees to handle increasing demand.
✅ Lands larger commercial contracts to maximize growth.
✅ Implements business systems to manage her growing team.
By the end of this article, you’ll learn exactly how to scale a cleaning business, take on larger clients, and transition from a small local service to a growing company.
Investing in Company Vehicles: The Key to Scaling a Professional Cleaning Business
At the end of Part 2, Anna faced a big decision: Should she invest in company vehicles to professionalize her business?
Crunching the Numbers: Can Anna Afford Company Vehicles?
Initially, Anna planned to purchase one vehicle for herself and another for Emma to enhance efficiency and establish a more professional brand. But before making a decision, she needed to run the numbers and see if her business could handle the additional expenses.
Assessing the Costs of Leasing Two Cars
At the moment, Anna had $15,000 in her business account—a solid financial cushion, but not unlimited.
Rather than opting for large cleaning vans, which were expensive and unnecessary for her supply needs, she decided that regular-sized cars would be a more practical and budget-friendly choice.
She used an online lease calculator (Lease Calculator: https://www.calculator.net/lease-calculator.html) to estimate the costs of leasing two $25,000 vehicles for her business. The vehicles would be worth 8.000 dollars after their leasing period.
Here’s what the breakdown looked like:
📌 Lease Payment per Car:
- Down Payment: $3,000
- Monthly Lease Payment (5 years): $340
📌 Additional Monthly Costs:
- Commercial Auto Insurance: $140 per car per month (Source:https://www.insureon.com/small-business-insurance/commercial-auto)
- Gasoline: $60 per car per month
Total Monthly Costs per Car: $540
Total Monthly Costs for Two Cars: $1,080
Upfront Cost (Down Payment for Two Cars): $6,000
Is This a Smart Business Move?
While leasing company vehicles would make FreshNest Cleaning Co. look more professional and streamline operations, it would also add significant monthly expenses. At $1,080 per month, plus a $6,000 upfront payment, Anna needed to decide:
1️⃣ Would her current revenue be enough to sustain these costs?
2️⃣ Could she increase her earnings to make up for the added expenses?
3️⃣ Was now the right time to invest, or should she wait until the business had grown further?
Anna realized that at her current pricing model, these costs would put a strain on profitability. If she wanted to invest in vehicles, she needed to increase revenue first.
That’s when she remembered something she had recently learned from a business podcast:
💡 “If you want to scale your cleaning business, shifting from residential to commercial cleaning can be a game changer.”
Was this the solution she was looking for?
At first, Anna was hesitant.
✔️ Her residential clients were happy.
✔️ She had built strong relationships.
✔️ Letting go of home cleaning felt risky.
But at the same time, she knew that commercial cleaning contracts:
✅ Paid more per job than residential services.
✅ Had long-term agreements (providing stable income).
✅ Would justify the investment in company vehicles.
Still, she couldn’t afford to suddenly drop all her residential clients without a reliable backup plan. She needed a transition strategy—one that would allow her to take on commercial jobs while maintaining her existing revenue.
So, she came up with a plan.
Transitioning from Residential to Commercial Cleaning for Bigger Profits
If you want to read the full article of how to transition from residential to commercial cleaning, read here: https://www.getjobber.com/academy/cleaning/how-to-get-cleaning-contracts/
Currently, Anna had a revenue of $10,615 per month, with a profit of $5,025. While her profit margin had temporarily dipped due to her investment in company vehicles, she was laying the foundation for long-term growth.
One major advantage of the company cars? Fixed costs.
- As she hired more employees, the car expenses wouldn’t increase, but her revenue could double by sending two cleaners per car instead of just one.
However, Anna still had bigger challenges ahead:
📌 Securing commercial cleaning contracts to bring in higher, more consistent revenue.
📌 Hiring another employee to handle the increasing workload.
Since Anna was already cleaning houses in wealthy neighbourhoods, some of the people she cleaned at were business owners who owned offices. During cleaning at one of the houses she talked to one of the business owners that came home when she just finished working.
‘’Hey Dean, how are you today?’’ ‘’I’m fine Anna how are you?’’ ‘’I’m fine thanks!
‘’Dean, can I ask you something, you own a office right? does your office need cleaning too? I want to expand my business to commercial cleaning, I have all the insurance in order, leased company cars, but now I need commercial cleaning contracts. Do you maybe know anyone?’’
Dean smiled and nodded, “Actually, that’s a great question. Our current cleaning company isn’t the best—we’ve had issues with reliability. If you’re serious about commercial cleaning, we might be open to switching.”
Anna’s heart raced. This was the break she needed.
“Absolutely, Dean! I’d love to put together a proposal for you. What kind of cleaning schedule does your office need?”
Dean explained that his office required cleaning three times per week, focusing on floors, desks, trash removal, and restrooms. It was a mid-sized office which would require about 10 hours per week of cleaning which she would split in two times a week.
Anna quickly realized that landing just a few of these commercial contracts would provide consistent revenue without the unpredictability of residential bookings.
Landing the First Commercial Cleaning Contract
Anna knew that to make this deal work, she had to approach it professionally. She immediately took the following steps:
✅ Created a formal cleaning proposal – Outlining services, pricing, and terms.
✅ Researched industry pricing – She wanted to remain competitive while ensuring profitability.
✅ Prepared an office cleaning checklist – To assure Dean that his company would receive a thorough service.
✅ Drafted a contract – Ensuring a structured agreement with clear payment terms.
The Financial Impact of Landing Her First Commercial Cleaning Contract
By securing her first commercial cleaning contract, Anna immediately saw a significant revenue boost.
📌 New Commercial Rate: $42.50/hour
📌 New Weekly Revenue from Dean’s Office: $425
📌 New Monthly Revenue Increase: $1,840
Updated Financial Breakdown
With this one commercial cleaning contract, Anna’s total monthly numbers jumped:
📌 Previous Monthly Revenue: $10,615
📌 New Monthly Revenue: $12,455
📌 New Monthly Profit: $6,865
This was just one contract—and Anna knew that securing a few more would put her on track to scale much faster than she could with residential clients alone.
Planning for More Growth
Anna also looked ahead to next year, realizing she needed to adjust her pricing strategy to stay profitable:
📌 Increase home cleaning rate from $35 → $37.50 per hour in January
📌 Continue targeting more commercial contracts at $42.50 per hour
Her business was transforming—she was no longer just a home cleaner; she was becoming the owner of a full-fledged commercial cleaning business.
The next steps were clear: hiring another employee and scaling her commercial contracts. Now that Anna had a steady commercial contract, she needed more help to keep growing. She couldn’t handle everything alone as she was back to working 50 to 60 hours per week again. and she needed to focus on bringing in more contracts instead of cleaning every day. Because she was so busy, she didn’t have much time to rake in the new contracts. So she tried to hire a new employee again.
She also asked Emma to look around for a new employee and if she could find one, she would get a 1.000 dollar signing bonus!
The Power of Referrals for Your Commercial Cleaning Business
As Emma was busy cleaning Dean’s office, Anna’s business phone rang.
On the other end was another business owner, someone who had recently spoken with Dean. During their conversation, the topic of office cleaning came up, and the entrepreneur mentioned that he was struggling to keep up with the cleaning himself.
“Dean told me about your company,” he said. “I’m looking for a reliable commercial cleaning service. Are you taking on new clients?”
📌 The Potential Job:
✔ 8 hours per week of cleaning
✔ $42.50/hour commercial rate
✔ New potential revenue: $1,475/month
This was huge, another commercial contract without even marketing for it. The power of referrals was already working in Anna’s favor!
Why you need new employees fast to scale your cleaning business
There was just one issue—Anna hadn’t hired another employee yet.
At her current workload, taking on this new client meant working 60–70 hours per week until she could find another cleaner. But saying no wasn’t an option:
- If she declined, she risked losing future referrals from Dean.
- She couldn’t afford to turn down steady commercial revenue.
- She wouldn’t decline any business opportunity that was given to her.
So, Anna took the job, knowing it would be a tough few weeks—but also knowing it was a necessary step to grow her business.
Strategic Hiring – Building a Strong Foundation for Growth
Instead of waiting for the perfect moment to hire, Anna jumped in and took action. She couldn’t afford delays—her business was growing too fast, and she needed trusted employees to help her keep up.
The First Call – A Bold Proposition
Anna immediately thought of Charlotte, the same friend who had originally introduced her to cleaning jobs. She knew Charlotte was still cleaning houses for cash under the table and didn’t have a stable job.
This time, Anna had a bold proposition for her:
💡 “I want you to come work for me—not just as a cleaner, but as a future manager.”
She knew that if she wanted to scale her company, she needed strong, reliable people who could grow alongside the business. She had already made a similar offer to Emma, and now Charlotte had the same opportunity.
Retaining Key Employees with Growth Potential
Instead of just offering another cleaning position, Anna took a long-term approach to hiring:
✅ Charlotte started at $19/hour—a fair wage with room to grow.
✅ Emma received a raise to $20/hour, recognizing her experience and time with the company.
✅ Both were given the opportunity to eventually step into managerial roles.
Why This Hiring Strategy Worked
🔹 Reliable Employees = Sustainable Growth
Anna had no time to constantly hire and train new people. She needed a team she could trust—people who would stick around and help grow the business with her.
🔹 Giving Employees a Vision = Higher Retention
Most cleaning jobs have high turnover because they don’t offer career advancement and low pay. By presenting a clear growth path, Anna ensured that Emma and Charlotte were invested in the company’s success. By paying a higher wage than average, Anna also ensured that her employees had a bigger incentive to stay at her company. Yes, she would have less profit at the end, but the hassle when a employee quits and you have to find a new one is a lot bigger!
🔹 Promoting from Within = Stronger Leadership
Anna knew that one day, she wouldn’t be handling day-to-day cleaning anymore. When that time came, she wanted leaders in place who understood the business inside and out.
Charlotte immediately accepted the offer, and Anna couldn’t believe she hadn’t thought of calling her earlier!
Now, with a second employee on board, FreshNest Cleaning Co. was officially ready to expand to bigger commercial contracts.
H7: Fast revenue growth! Why scaling increases your profits.
With Charlotte onboard, Anna could give her 40 hours of work from herself which left Anna with 25 hours of work left. Charlotte and Emma would travel together to cleaning jobs, that way, Anna didn’t have to lease another car. Emma took the onboarding out of the hands of Anna, which saved her precious time which she could use to get more commercial cleaning contracts. It was almost the end of the year and Anna had to set new goals for the next year, which she would do later as the year would be finished.
First, she had to finish this year strong, right now, profits dropped as the salary of Charlotte ate into the profit. But it wasn’t a problem, from here, she could grow again.
Right now, these were the numbers.
How Much Are the Monthly Expenses for a Small Commercial Cleaning Business?
🔹 Insurance Costs
✔ General Liability Insurance – $42/month
✔ Business Owner’s Policy (BOP) – $57/month
✔ Professional Liability (E&O) Insurance – $61/month
✔ Workers’ Compensation Insurance – $260/month
💰 Total Monthly Insurance Cost: $420/month
🔹 Other Fixed Business Expenses
✔ Accountant & Payroll Services – $350/month
✔ Marketing & Website Maintenance – $250/month (SEO, website hosting, social media ads)
✔ Supplies & Equipment Savings – $400/month (cleaning supplies, tools, and equipment upgrades)
✔ Car Payments, Insurance & Gas – $1,080/month
💰 Total Fixed Business Expenses: $2,497/month
🔹 Employee Salary Costs
✔ Emma’s Salary – $3,466/month (40-hour workweeks @ $20/hour)
✔ Charlotte’s Salary – $3,293/month (40-hour workweeks @ $19/hour)
💰 Total Employee Salaries: $6,759/month
Final Financial Overview
✔ Total Monthly Business Costs: $9,289/month
✔ Total Monthly Revenue: $12,425/month
✔ Total Monthly Profit: $3,196/month
H9: Hiring new personnel and scaling your cleaning business
Anna’s strategic approach to hiring was now proving to be a key factor in her business’s ability to scale.
Instead of running herself into the ground, she had learned that as soon as she was working 60+ hours a week, she needed to hire a new full-time employee to bring her workload down to a manageable level. This strategy allowed her to free up time to focus on expansion, rather than constantly being trapped in day-to-day cleaning tasks.
But her strategy wasn’t just about reducing her workload, it was about building a strong foundation for future growth.
✅ Creating a Buffer for Growth – Every time Anna hired a new employee, she shifted from overworking to having time for business development and bringing in new commercial cleaning contracts through marketing and referrals.
✅ Investing in Future Leaders – Both Emma and Charlotte had management potential, meaning they could eventually step into leadership roles as the company expanded. Later, the could onboard new personnel and maybe even hire new personnel.
✅ Long-Term Thinking Over Short-Term Gains – While hiring reduced short-term profits, it was the only way to scale sustainably and take on bigger commercial contracts in the long run. Most small businesses are stuck at this level, they don’t want the hassle of extra employees, but this also means that they will not be able to scale into a larger and more profitable cleaning business.
When to hire new personnel for your cleaning business?
As the year ended, Anna’s shift toward commercial cleaning was paying off.
By securing larger commercial contracts, she significantly reduced travel time between jobs while increasing revenue per hour. With a new commercial rate of $42.50/hour (compared to $35/hour for home cleaning), her company was growing without adding extra work hours.
📌 Key Business Milestones at Year-End:
– 50/50 Split – Half of FreshNest Cleaning Co.’s revenue now came from commercial clients.
– Efficient Scheduling – Fewer home cleaning jobs meant higher-paying jobs with less travel and more billable hours.
– Employee Utilization – Emma and Charlotte were fully booked with 70 billable hours weekly, and Anna worked 30 billable hours herself.
– Sustained Revenue Growth – More income without increasing workload.
But as demand for commercial cleaning continued to outpace home cleaning, a new challenge arose:
Anna didn’t want to turn away loyal home cleaning clients.
The Problem of scaling your cleaning business
With Emma and Charlotte at full capacity, FreshNest Cleaning Co. couldn’t take on any more home cleaning jobs without hiring another employee. Anna had still 20 hours of buffer left, but with the growth her company was experiencing now, she didn’t want to give up all her hours cleaning again.
The Solution of scaling your cleaning business
Anna needed to hire a third employee to ensure:
✔️ Continued service for residential clients without sacrificing commercial growth.
✔️ Balanced workload between home and commercial cleaning.
✔️ Future scalability—a third employee would allow for even more expansion opportunities.
Wrapping Up the Year – The Results of Scaling a Cleaning Business
As December came to a close, Anna sat down to review her final business numbers for the year. Looking back at the goals she had set just one year ago, she realized she had surpassed them by a mile.
✔ Revenue Goal: $90,000 ✅ Actual Revenue: $125,000 🎉
✔ Hiring Goal: 1 employee ✅ Actual Hires: 2 employees 👥
✔ Commercial Contracts: 50% of her total revenue 🏢
While profit wasn’t at its peak, Anna understood that this was a year of scaling, not maximizing profit. By reinvesting into employees, vehicles, and securing commercial contracts, she had set up her business for long-term success.
📌 The Trade-Off of Scaling:
⚡ More Revenue = More clients, more demand, and bigger contracts.
📉 Lower Short-Term Profits = New hires, vehicle leases, and scaling costs.
💰 Higher Future Profits = More commercial contracts, better efficiency, and a fully functioning team.
Anna knew that this short-term sacrifice was necessary to grow her business beyond just herself. Instead of staying a small operation, she was now on her way to building a highly profitable and scalable cleaning company.
🚀 What’s Next?
In Part 4, Anna focuses on optimizing profitability, streamlining operations, and scaling beyond 5 employees. Stay tuned as FreshNest Cleaning Co. grows into a six-figure business and beyond!
📌 5 Key Takeaways from Part 3: Scaling & Commercial Cleaning Business Growth
1️⃣ Investing in Business Infrastructure Enables Long-Term Growth
Anna’s decision to lease company vehicles was a big financial commitment, but it positioned her business for efficiency and professionalism. This allowed her to double revenue per trip by sending two cleaners per car instead of just one.
2️⃣ Transitioning to Commercial Cleaning Increases Revenue & Stability
Shifting from home cleaning to commercial contracts meant higher hourly rates ($42.50 vs. $35), more predictable income, and less time spent traveling between jobs. Securing long-term contracts made revenue more consistent, reducing dependency on one-time home cleanings.
3️⃣ Referrals Are the Most Powerful Way to Get New Clients
Anna’s first commercial contract led to another without spending a dollar on marketing—just by providing great service and getting referrals from existing clients. When you focus on quality, clients will bring you more clients.
4️⃣ Hiring is an Investment, Not Just an Expense
Bringing Charlotte on board reduced Anna’s profit at first, but it freed her up to focus on securing more contracts and growing the business. Instead of burning out, Anna learned that every time she got too busy, it was a sign she needed to hire again.
5️⃣ Scaling Requires Thinking Like a CEO, Not Just a Worker
Anna realized that working more hours herself wasn’t the answer—she needed to hire, delegate, and build a leadership team. By setting up Emma and Charlotte as potential managers, she was laying the foundation for a future where she wouldn’t need to clean at all.
Bonus Lesson: Growth temporarily lowers profit margins, but if done strategically, it leads to higher long-term profits and a sustainable business.
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