How to Start a Cleaning Business in Texas: Complete Guide

Starting a cleaning business in Texas typically costs $1,000 to $5,000 depending on your business structure and insurance needs. Each state has different rules for registration, taxes, and workers' compensation. This guide covers everything you need to start a cleaning business in Texas, including filing fees, licenses, insurance, labor laws, and local tips.

Why Start a Cleaning Business in Texas?

Texas is the second largest state by population. Almost 30 million people live here. That means millions of homes and offices need cleaning.

Texas has no state income tax. You keep more of what you earn. This is one of the biggest advantages of running a business here.

The state also makes it easy to start. There is no statewide business license. Workers' compensation is optional. These perks save you money and time compared to most states.

How Do You Choose a Business Structure?

You need to decide how to set up your business. Texas offers two main choices for cleaning companies.

Sole Proprietorship

This is the simplest way to start. You do not file anything with the state. Texas considers you a sole owner right away.

If you want a business name, file an Assumed Name Certificate. You file this with your county clerk. The fee is usually $15 to $25.

The downside is you have no personal protection. If something goes wrong, your personal savings are at risk.

Limited Liability Company

This is the better choice for most cleaning businesses. It keeps your personal money separate from your business. If a client sues, your personal savings stay protected.

To form one in Texas, file a Certificate of Formation. You do this through the Secretary of State website. The filing fee is $300.

Texas does not require an operating agreement by law. But you should create one to set clear rules for your business.

How Do You Get an Employer Identification Number and Tax Accounts?

An Employer Identification Number is a free number from the federal government. You need it to open a business bank account. You also need it to file taxes and hire workers.

Apply for free at the Internal Revenue Service website. You get your number right away when you apply online.

No State Income Tax

Texas has no state income tax on individuals. This is one of the biggest benefits of running a business here. You only pay federal income tax on your earnings.

This means more money stays in your pocket. It also makes tax filing simpler than in most states.

Texas Franchise Tax

Texas does have a franchise tax for businesses. This applies to limited liability companies. But there is good news for small businesses.

If your total revenue is under $2.47 million, you owe no franchise tax. Most new cleaning businesses fall well below this amount. You still need to file a "no tax due" report each year.

Cleaning Services and Sales Tax

This is important: cleaning services are taxable in Texas. The state sales tax rate is 6.25 percent. Local taxes can add up to 2 percent more. The combined rate can reach 8.25 percent.

You must collect sales tax from your clients on every job. Send the tax to the Texas Comptroller on a regular schedule. Get a free sales tax permit before you start.

What Licenses and Permits Do You Need?

Texas has no statewide business license. There is also no special cleaning license at the state level. This keeps things simple.

However, most cities require a local business license or permit. Requirements vary by where you are located.

Local Business Licenses

Each city in Texas sets its own license rules. Houston, Dallas, San Antonio, and Austin all have different requirements. If you serve clients in multiple cities, check each one.

Fees are usually low. Most range from $25 to $200 per year.

Sales Tax Permit

Since cleaning services are taxable, you need a sales tax permit. This is free from the Texas Comptroller. Apply online before you start charging clients.

You will file sales tax returns on a monthly, quarterly, or annual basis. The Comptroller tells you your filing schedule.

What Insurance Do You Need?

Insurance protects you from one bad day ending your business. Texas has unique rules about insurance. Here is what you need.

• General liability insurance — Covers property damage and injuries at a client's home or office. Costs $400 to $1,200 per year. Every cleaning business needs this
• Workers' compensation insurance — Optional in Texas. You are not required to carry it. But without it, injured workers can sue you directly. Many owners still buy it for protection
• Surety bond — Protects clients if an employee steals something. Not required but highly recommended. Costs $100 to $500 per year
• Commercial auto insurance — Needed if you use a vehicle for business. Texas requires minimum liability coverage on all vehicles

For more details on each type of coverage, read our Cleaning Business Insurance Guide.

What Are Texas Labor Laws?

If you plan to hire workers, you need to follow Texas labor laws from day one.

Minimum Wage

Texas follows the federal minimum wage of $7.25 per hour. The state does not set a higher rate. Texas law also prevents cities from setting higher local rates.

This means $7.25 per hour applies everywhere in Texas. However, most cleaning businesses pay $10 to $16 per hour to attract good workers.

Worker Classification

Texas follows federal standards for worker classification. You must decide if a worker is an employee or an independent contractor. Cleaning workers who follow your schedule usually count as employees.

Classifying them wrong leads to fines and back-pay penalties. When in doubt, hire them as employees.

Unemployment Insurance

When you hire employees, you must register for unemployment insurance. Register through the Texas Workforce Commission. New employers pay a starting rate.

The taxable wage base is $9,000 per employee per year.

What Safety Rules Apply?

Texas uses federal workplace safety rules. The state does not have its own safety agency. Federal offices in Texas oversee workplace safety.

Hazard Communication

You must keep Safety Data Sheets for every cleaning chemical you use. Train your workers on each product they handle. Show them what to do if a spill or skin contact happens.

Injury Prevention

Have a plan to prevent common cleaning injuries. Slips, falls, and chemical burns are the main risks. Train your workers before they start cleaning.

Keep records of all training you provide.

Heat Safety

Texas heat is a serious risk for cleaning workers. Outdoor work and non-cooled buildings get very hot in summer. Provide water, shade breaks, and training on heat illness signs.

Watch your workers for signs of heat exhaustion. This is a real danger in Texas from May through September.

How Do You Set Cleaning Prices in Texas?

Texas is a big state with wide price ranges. Major cities support higher rates. Smaller towns need lower prices.

Typical pricing ranges in Texas:

• Home cleaning (hourly) — $25 to $55 per hour
• Home cleaning (flat rate) — $120 to $300 for a standard 3-bedroom home
• Deep cleaning — $200 to $450 depending on home size
• Move-in or move-out cleaning — $250 to $500
• Office cleaning — $0.05 to $0.15 per square foot
• Vacation rental turnover — $75 to $150 per turnover

Prices in Austin, Dallas, and Houston run at the high end. San Antonio and smaller cities tend toward the lower end.

Remember to add sales tax on top of your prices. Use our Price Calculator to find the right rate for your area.

What Cleaning Niches Are Profitable in Texas?

Texas has cleaning niches that do especially well. The state's size and diversity create many options.

Gulf Coast Vacation Rental Cleaning

Cities like Galveston, South Padre Island, and Port Aransas have thousands of vacation rentals. Hosts need fast turnover cleaning between guests. You can earn $75 to $150 per turnover.

Demand peaks in summer months. Beach properties need extra attention for sand removal.

New Construction Cleaning

Texas has one of the hottest building markets in the country. Houston, Dallas, Austin, and San Antonio add thousands of new homes each year. Each home needs cleaning before owners move in.

This specialty pays well and has less competition.

Commercial Office Cleaning

Texas has major business districts in every large city. Office buildings need nightly cleaning. Land one large contract and you have steady income for months or years.

Dallas and Houston have especially strong demand for commercial cleaning.

Move-In and Move-Out Cleaning

Texas is one of the top states people move to. That means constant turnover in housing. Property managers need move-out cleaning regularly.

Build a few good relationships for steady work.

Green Cleaning

Austin leads the state in demand for eco-friendly services. Many Austin residents will choose you over a competitor just for using green products. This niche lets you charge more.

How Do You Market a Cleaning Business in Texas?

Getting clients in Texas follows many of the same steps as elsewhere. But a few strategies work especially well here.

Google Business Profile

This is the most important free marketing step. Set up your profile with your city, services, and photos. Ask every happy client for a Google review.

Most people search online before hiring any service.

Nextdoor and Local Facebook Groups

Texas residents are very active on Nextdoor and Facebook. Join groups for your service area. Share helpful cleaning tips.

When someone asks for a cleaner, your name will come up.

Partner with Real Estate Agents

Texas has a massive real estate market. Agents need move-out cleaning for listings. Property managers need regular cleaning between tenants.

Offer them special rates or a referral bonus.

Target New Homeowners

With so many people moving to Texas, new homeowners need cleaning right away. Partner with moving companies to get referrals. Offer a first-time discount to new residents.

For a complete marketing plan, read our Marketing Your Cleaning Business guide and How to Get Cleaning Clients Fast.

How Much Does It Cost to Start in Texas?

Texas is affordable to start a cleaning business. No income tax and optional workers' compensation keep costs down.

• Limited liability company filing — $300 (one-time, through the Secretary of State)
• Assumed Name Certificate — $15 to $25 (if using a different business name)
• Sales tax permit — Free (required since cleaning is taxable)
• Local business license — $25 to $200 per year (varies by city)
• General liability insurance — $400 to $1,200 per year
• Workers' compensation insurance — Optional (rates vary if you choose to buy)
• Surety bond — $100 to $500 per year (recommended)
• Cleaning supplies and equipment — $200 to $500 to start
• Marketing (initial) — $100 to $500

What Is on Your Texas Startup Checklist?

Follow these steps in order. Complete each one before moving on.

1. Choose your business structure — Form a limited liability company at sos.state.tx.us ($300)
2. Get an Employer Identification Number — Apply free at irs.gov
3. Get a sales tax permit — Apply free at comptroller.texas.gov
4. Open a business bank account — Keep personal and business money separate
5. Get your local business license — Check your city or county requirements
6. Buy general liability insurance — Get at least $1 million in coverage
7. Buy cleaning supplies — Start with the basics and upgrade as you grow
8. Set your prices — Use our Price Calculator and factor in Texas sales tax
9. Set up your Google Business Profile — This is your most important marketing tool
10. Book your first clients — Tell friends, post on Nextdoor, reach out to property managers
11. Decide on workers' compensation — Optional in Texas but recommended before hiring
12. Register for unemployment insurance — Required before your first employee starts

What Are the Best Tips for Texas?

Here are practical tips for success in Texas.

• Start solo to keep costs low — The $300 filing fee and no income tax help you launch cheaply. Work alone until you have enough clients to justify hiring
• Always collect sales tax — Cleaning is taxable in Texas. Build it into your quotes so clients know the total upfront. File your returns on time
• Consider workers' compensation anyway — It is optional, but without it you lose legal protections. One injury lawsuit can cost far more than years of premiums
• Price based on your market — Austin and Dallas support higher prices. Smaller towns need lower rates to match local budgets
• Plan for the heat — Texas summers are brutal. Carry extra water and take breaks. Non-cooled buildings are dangerous in July and August
• Target Gulf Coast vacation rentals — Beach towns need turnover cleaning year-round, with peak demand in summer
• Partner with new-home builders — Texas builds more new homes than almost any other state. Post-construction cleaning is steady work
• Keep great records — Sales tax audits happen in Texas. Track every dollar from day one
• Use MaidProfit to manage bookings — Track jobs, invoices, and sales tax with one tool

What Are the Guides for Nearby States?

If you serve areas near the Texas border, these guides may help.

Where Do You Find Texas Government Resources?

Here is a complete list of every government website in this guide. Bookmark these for later.

What Other Guides Can Help Your Business?

These free guides cover topics every cleaning business owner needs. They work hand-in-hand with this state guide.

Start Your Texas Cleaning Business Today

Texas makes it affordable and simple to start. No income tax keeps more money in your pocket. Optional workers' compensation gives you flexibility.

Start by forming your limited liability company. Get your Employer Identification Number and sales tax permit. Buy insurance, find your local licenses, and set your prices.

Then focus on getting clients through Google and local partnerships.

The huge population, growing cities, and strong economy create massive demand. Every successful Texas cleaning company started with one owner and one first client. Take action today.