Look, I get it. You’re working your tail off, but your bank account doesn’t show it. Been there.
When I started my cleaning business back in 2018, I was putting in 60-hour weeks and still barely making rent. Fast forward to today? I’m working fewer hours and taking home more money than I ever thought possible in this industry.
The game-changer wasn’t working harder—it was getting smarter about my profit margins.
I’m going to share the exact strategies that took my cleaning business from a stressful 11% profit margin to a comfortable 28%. No fluff, just the real-world tactics that actually work. And if you’re looking how to get leads for your cleaning business then check out our guide here.
First, Let’s Talk About What a Profit Margin Actually Is
Before I stumbled into the cleaning world, I thought profit was just whatever money was left over after paying bills. Boy, was I wrong.
Your profit margin is what percentage of your revenue actually ends up in your pocket after ALL costs are covered. It’s your scorecard—the true measure of your business health.
Here’s the no-BS formula: Profit Margin = (Revenue – Costs) ÷ Revenue × 100%
So if you charge $180 for a cleaning job and it costs you $144 to complete it (including labor, supplies, gas, insurance—everything), your profit margin is: ($180 – $144) ÷ $180 × 100% = 20%
In my first year, I was scraping by at around 11%. The average cleaning business sits at 10-20%, but the pros? They’re hitting 25-35%.
Let me show you how to join that second group.
Strategy #1: Stop Undercharging (I’m Looking at You)
I was terrified of raising my prices for years. Convinced clients would run for the hills.
When I finally grew a backbone and increased rates by 15%, guess how many clients I lost? Zero. Not a single one.
Truth bomb: Most cleaning businesses are significantly undercharging. Your expertise is valuable. Act like it.
What worked for me:
- I checked out 8 competitors’ websites and made mystery shopper calls to gauge their pricing
- Created three distinct packages instead of one-size-fits-all pricing
- Added a $75 minimum fee (goodbye unprofitable small jobs!)
- Started charging separately for extras like oven cleaning and fridge interiors
- Raised existing client rates gradually—5% every 6 months
My client Maria actually thanked me after I raised her rates. Said it made her feel more confident in the service quality. Go figure!
Strategy #2: Get Ruthless About Labor Costs
Labor eats up about 65% of your revenue. It’s the profit-killer if you’re not careful.
I used to schedule cleaning teams randomly based on who was available. The result? Wasted drive time, inefficient teams, and bloated payroll.
My wake-up call came when I tracked hours for two weeks and realized I was paying for about 12 hours of unnecessary labor every single week. That’s $13,000+ a year going down the drain!
Game-changing moves:
- Got serious about route planning (we use MaidManage now, but I started with just Google Maps)
- Paired my detail-oriented cleaner (hi, Jessica!) with my speed demon (that’s you, Marcus)
- Set clear time expectations for each job type
- Started a monthly bonus program for teams that consistently finish on time
- Cut drive time by 40% by clustering appointments by neighborhood
The payroll savings alone covered the cost of our management software twenty times over.
Strategy #3: The Supply Cabinet Isn’t a Free-For-All
This one’s embarrassing. For TWO YEARS I had no idea how much product we were using per job.
Turns out my teams were using nearly twice the product needed because—why not? It wasn’t their money.
Once I implemented actual tracking:
- Discovered we were going through 3 bottles of all-purpose cleaner weekly instead of the expected 1.5
- Found we were leaving about $800 of products at clients’ homes each year (those spray bottles add up!)
- Realized our “eco-friendly” products were dilutable but no one was diluting them
My fix:
- Created pre-measured supply kits for each job type
- Bought concentrates and pre-diluted them in labeled bottles
- Negotiated with our supplier for a 12% discount on bulk orders
- Switched to microfiber cloths that last 5x longer than the cheap ones
- Started tracking inventory with actual counts, not guesswork
Supply costs dropped from 8% of revenue to under 5%. That’s straight profit.
Strategy #4: Stop the Revolving Door of Clients
I used to do the marketing happy dance whenever a new client called. Then I ran the numbers.
It was costing me about $175 to acquire each new client through Google Ads. Meanwhile, I was losing existing clients simply because I wasn’t giving them enough attention.
Eye-opening stat: It costs 5-7 times more to acquire a new client than to keep an existing one.
My retention revolution:
- Created a stupid-simple referral program ($30 credit for both parties)
- Set up automatic check-in texts after the 1st, 3rd, and 10th cleaning
- Sent handwritten birthday cards to long-term clients (my assistant Jessica’s idea—it KILLED)
- Offered 10% off to one-time clients who converted to bi-weekly service
- Started a quarterly “deep clean upgrade” at regular cleaning prices for loyal customers
My best client—the one who has single-handedly referred 9 others to us—almost left because we missed a spot under her fridge. A quick response and free touch-up saved a $14,000/year account.
Strategy #5: Admin Work Is Stealing Your Profits
I didn’t realize how much time I was wasting on admin work until my kid got sick, and I could only work 3 hours a day for a week.
Suddenly, I had to get ruthlessly efficient. And guess what? The business ran better than ever.
My admin elimination strategy:
- Batched all scheduling to Monday mornings and Thursday afternoons only
- Created email templates for EVERYTHING (seriously, I have 27 different templates)
- Set up online booking that syncs directly with our cleaning calendar
- Automated payment reminders (chasing payments was consuming 5+ hours weekly)
- Started using voice-to-text for all client notes while driving between site checks
The biggest time-saver? Getting our cleaning teams to take before/after photos of problem areas. Eliminated about 90% of the “you missed a spot” calls.
Strategy #6: Recurring Clients = Predictable Profit
One-time cleanings are the junk food of the cleaning business. They seem good at the moment but leave you hungry for more.
When I started, about 70% of my business was one-time cleanings. Now it’s reversed—75% recurring, 25% one-time.
My recurring client blueprint:
- Designed a recurring client discount that increases with frequency (10% bi-weekly, 15% weekly)
- Created a “first-time deep clean” that transitions into recurring service
- Focused our Google Ads specifically on terms like “bi-weekly house cleaning service”
- Added a line in our one-time cleaning follow-up: “Did you know switching to bi-weekly saves you $X per year?”
- Incentivized our teams with a $20 bonus for each one-time client they convert to recurring
My recurring clients have an average lifespan of 23 months. One-time clients? They’re one and done.
Strategy #7: Embrace Tech or Get Left Behind
I resisted technology for years. Spreadsheets were “good enough.”
They weren’t. I was just too stubborn to admit it.
When I finally bit the bullet and invested in proper cleaning business software, I nearly cried seeing how much time and money I’d wasted.
Tech that actually paid for itself:
- A proper CRM that tracks client preferences (no more “don’t forget Mr. Johnson hates the smell of vinegar” sticky notes)
- Digital checklists that cleaners complete on their phones
- Scheduling software that factors in drive time between appointments
- Automated feedback requests that catch issues before they become problems
- Analytics that show which services and which teams are most profitable
We’re now using MaidManage to handle most of this, but I started with a patchwork of cheaper apps. Either way, the ROI is undeniable.
The Bottom Line: From Surviving to Thriving
I remember sitting at my kitchen table three years ago, staring at a bank account that didn’t reflect the insane hours I was putting in.
Fast forward to today: My profit margin has more than doubled. I work 35 hours a week instead of 60+. I actually took a two-week vacation last year—my first in five years.
The cleaning business can be brutally difficult or surprisingly profitable. The difference isn’t luck. It’s margins.
Start with one strategy. Track your numbers obsessively. Adjust as needed. Then move to the next strategy.
And if you ever want to chat about how we’re using MaidManage to keep those margins healthy, drop me a line. This industry’s tough enough—we might as well help each other out.
If you’re looking to scale your cleaning business, you may be eligible for an SBA loan to help fund your growth. Learn more about SBA loan options and business management here.”
