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How To Start A Cleaning Business In Colorado (CO)

How To Start A Cleaning Business In Colorado (CO)

Starting a cleaning business in Colorado, like any other business for that matter, can be a major undertaking and as such, it requires your full attention.

This means you should educate yourself as much as possible when it comes to the industry and its unique requirements as well as the State of Colorado laws and regulations.

This guide will start with some basic information about Colorado itself but feel free to skip that part if you’re familiar with that information.
How To Start A Cleaning Business In Colorado

The State of Colorado

The state borrow its name from the Colorado river.  The state is abut the states of Wyoming, Nebraska, Kansas and New Mexico as well as Oklahoma by a fraction. Colorado is the 22nd most populous state of the United States of America and, currently, the 8th most expensive in terms of cost of living. The capital and most populous city of Colorado is Denver. Notably, the state came in third in CNBC’s list of the “Top States for Business for 2010″, only outmatched by Texas and Virginia. Colorado’s State Gross Domestic Product is valued at $258 billion and the state’s per capita income (personal income) was $51,940 back in 2010, the 11th highest in the United States.

Overall, Colorado is a great place to start your own cleaning business.

So, how to start a cleaning business in Colorado?

1. Research, Plan, Educate Yourself

Doing extensive research and planning couldn’t but be the number one, most important step to take in our guide on how to start a cleaning business in Colorado. Any business start-up is a major undertaking and a thorough research is necessary before moving forward. To begin with, read our full and comprehensive guide on starting a cleaning business which will allow you to get a good glimpse inside the industry, why it’s profitable and how to get cleaning contracts and take full advantage of your prospects down the road. We also have a Cleaning Business Start-Up Resources Section for you to review in order to successfully launch and operate a cleaning business. Always remember that if you don’t act fast and pursue you education, if you don’t acquire the tools necessary, you’ll always be a step behind (or more) from your competitors who will. Make sure that you bookmark this website and any other website that is related to the industry for quick references in the future. We publish cleaning business tips, methods to getting more clients as well as cleaning tips and so much more you surely wouldn’t want to miss out. Subscribe to our RSS feed, follow us on Twitter and Like us on Facebook to make sure you keep up to date with the latest.

2. Perhaps You Need To Finance Your Cleaning Business

May be too soon to look for financing; assuming you haven’t finalized your decision to start a cleaning business in Colorado yet. However, keep in mind that you can visit the United States Business Portal to find financing opportunities. Reading Part II of our Cleaning Business Start-Up Guide will also let you in some financing ideas.

3. Come Up With a Great Cleaning Business Name

Finding a name for your cleaning business is essential. It will follow you anywhere and thus, you need to make sure you get it right from the beginning. Consider a name that can be branded, that is memorable and catchy. For relevant advice on coming up with a name, the things to look into before making a final decision and source ideas, read our cleaning business names article.

4. Register Your Business Name With The State Of Colorado

Before filing for a business name registration with the State Of Colorado, head over to the United States Patent and Trademark Office to check your name availability and whether or not it’s associated with third party trademarks. You can also search Colorado’s Records online for this.

Next, it’s highly advisable that you file for a trademark registration using a reputable firm to handle the paperwork for you. The process may take several months and you may be required to file again or alter some elements of your application letter. This is not a hassle free process and that is why you should probably hire a firm to do it for you, along with ensuring it’s done right of course and have someone hold liable if it doesn’t.

After you’ve done the above and assuming you’ve determined the legal structure of your business, you must file for a business name registration with Colorado’s Secretary Of State. You may find useful to check Colorado’s Business Start-Up Resources, here. To complete your business registration in Colorado, you’ll have to consult with your county authorities regarding special licenses or permits that may apply, zoning and environmental regulations and more. These may very much vary from location to location.

5. Register The Respective Domain Name

Ensuring your internet presence is vital. Use a domain name provider like GoDaddy.com or NameCheap.com to register the domain name that is best describing your cleaning business. Ideally, you want an exact match .com domain. If your business is called “Colorado Pro Cleaners” for instance, register the domain coloradoprocleaners.com. If that’s not available, try looking into the same, exact much domain in .net and possibly .us variation. It wouldn’t be a bad idea to register ALL the domain names that mention your registered business name; use one as your primary domain and have the rest redirect to that. Do this to avoid others from grabbing your domains and using them to for their own benefit taking advantage of your own branding. Obviously, getting a website designed is the next step; it will help you increase your reach and get more leads.

6. Location, Location, Location

Selecting a location to base your cleaning business is highly important and can very much determine your success. For business location selection tips, read Choosing A Business Location For Your Cleaning Company.

7. Get An Employer Identification Number (EIN)

This is mandatory. The EIN is used to identify a business entity much like the SSN is used to identify a person. To apply for an EIN, you simply have to visit the IRS and submit an online form, call or visit.

8. Get A Business Bank Account

As required by law, when starting a cleaning business or any other business for that matter, you must open a new, business bank account for the state to be able to tell your business from your personal transactions.

9. Get Insurance

You absolutely need to get liability insurance but it’s also advised to get bonding insurance as well (some clients will require bonding insurance). This step is crucial to protect yourself and your business from various troubles that may arise while operating. As required by federal law, you must also pay for Worker’s Compensation Insurance. Visit this page within Colorado’s official website to get more information.

10. File for Taxation with the state of Colorado

This is one of the most important steps of this step-by-step guide on how to start a cleaning business in Colorado.To file for taxation with the state of Colorado, visit this link. You’ll need to get a Sales Tax account to begin with. To find the respective forms and more information, go here. To find out what’s the exact amount of taxes you need to pay when selling your cleaning services you must further consult with the local authorities of the county your cleaning business is based to. You’re also obliged by federal law to pay the Unemployment Insurance Tax.

11. Reporting New Hires

Every time you hire someone to work for you or re-hire a former employee, you need to report the fact to the authorities; usually within 20 days the (re)hire took place. You should visit the Colorado New Hire Reporting Center to do that.

12. Comply with Colorado’s Payroll Tax Recordkeeping Requirements

As a Colorado employer, you are required to keep record files for a minimum period of two years about the following:

  1. Your employees’ names, addresses, occupation and dates of employment.
  2. Daily records of starting and stopping times.
  3. The birth date of minors.
  4. Any applicable credits taken
  5. The rate of pay and net pay, deductions and gross wages

13. Comply with Federal Law Requirements

It is necessary to comply with all federal laws and requirements of your cleaning business. It’s crucial that you ask for advice from the local authorities and follow their instructions to the letter. To get a first glimpse on the most important requirements, read Federal and State Law Requirements of your Cleaning Business.

This concludes our guide on how to start a cleaning business in Colorado. Good luck with your endeavor.

 

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