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How to Start a Cleaning Company: 2025 Country-by-Country Guide

Complete guide to starting a cleaning company in UAE, Saudi Arabia, Germany, Poland, Romania, USA, Singapore, Japan, and Azerbaijan. Licenses, taxes, visa requirements, and legal compliance.

SaasTech TeamJanuary 30, 202513 min read
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How to Start a Cleaning Company: 2025 Country-by-Country Guide

The cleaning industry is a consistently growing sector with high demand worldwide. However, each country has unique legal requirements, licensing procedures, and tax regulations. This comprehensive guide examines the cleaning company setup process in major markets.

United Arab Emirates (UAE)#

The UAE, particularly Dubai, is one of the most attractive markets for the cleaning sector. The industry is projected to exceed AED 2.3 billion by 2026, with a 5.3% annual growth rate.

Company Type Selection

Mainland Setup:

  • Unlimited operation rights across the UAE
  • Eligibility for government tenders
  • Direct service to residential, commercial, and industrial clients
  • 100% foreign ownership (local partner no longer required)
  • Cost: AED 18,000-35,000

Free Zone Setup:

  • 100% foreign ownership
  • Tax advantages
  • Lower startup cost: AED 15,000-25,000
  • Disadvantage: Services limited to free zone businesses and international clients only

Required Licenses and Permits

License/PermitAuthorityCost
Trade License (Professional/Commercial)DED (Department of Economic Development)AED 10,000-18,000
Dubai Municipality RegistrationDubai MunicipalityAED 2,000-5,000
Name ApprovalDEDAED 600-1,000
Initial ApprovalDEDAED 1,000-2,000

DED Activity Codes

  • 812100: General Cleaning Services
  • 812101: Building Cleaning Services
  • 812102: Industrial Cleaning
  • 812109: Specialized Cleaning Services

Visa and Worker Sponsorship

  • Visa sponsorship rights for owner and employees
  • MOHRE (Ministry of Human Resources) registration mandatory
  • Emirates ID and health insurance required for each employee
  • Visa cost: Approximately AED 3,000-5,000 per person

Tax Situation

  • Corporate Tax: 9% (for profits above AED 375,000)
  • VAT: 5%
  • Personal Income Tax: NONE
  • Profit repatriation: Unrestricted

Important Notes

  • Office space mandatory (Ejari contract required)
  • Annual license renewal
  • Regular health and safety inspections

Saudi Arabia#

Saudi Arabia, opening to foreign investment under Vision 2030, offers a complex but profitable market.

MISA License (Mandatory)

Ministry of Investment of Saudi Arabia (MISA) license is required for foreign investors:

Requirements:

  • Minimum capital: SAR 25,000 (higher for some activities)
  • 100% foreign ownership possible (in most sectors)
  • Parent company commercial registration (notarized, Arabic translated)
  • Audited financial statements
  • Business plan

Process and Timeline:

  1. Application via MISA E-Services Portal
  2. Approval time: 5-10 business days
  3. Commercial Registration (CR) via MoC (Ministry of Commerce)
  4. Total duration: 4-8 weeks

Saudization (Nitaqat) Requirement

Saudi national employment quota applies:

Company SizeMinimum Saudi Employees
Up to 5 employeesAt least 1 Saudi
100+ employeesMinimum 30% Saudi

April 2024 Update: Foreign investor owners now count as Saudi nationals in Saudization calculations.

Visa and Work Permit Process

  1. Block Visa Application: Obtain worker quota from MHRSD (Ministry of Human Resources)
  2. Qiwa Platform: Individual work visa applications
  3. Iqama (Residence Permit): Mandatory application within 90 days of arrival
  4. GOSI Registration: Social insurance registration mandatory
  5. Mudad (WPS): Salary payment system registration mandatory

Visa Fees:

  • Employment Visa: SAR 1,000
  • Skilled Worker Visa: SAR 2,000
  • Health Insurance: Mandatory

Tax Situation

  • Corporate Tax: 20% (for foreign companies)
  • Zakat: 2.5% (for Saudi companies)
  • VAT: 15%
  • Withholding Tax: Variable

Important Considerations

  • All documents must be attested by Saudi Embassy
  • Arabic translation mandatory
  • Municipality (Balady) registration required
  • ZATCA (tax) registration mandatory

Germany#

Starting a cleaning company in Germany is relatively simple but requires attention to bureaucratic processes.

Company Type Selection

Gewerbetreibende (Commercial Enterprise):

  • Cleaning services fall into this category
  • Registration with Gewerbeamt (Trade Office) mandatory

Freiberufler (Freelance):

  • Some cleaning types (Hausmeister - caretaker/maintenance) may qualify
  • Tax advantages available

Registration Process

  1. Address Registration: Residence registration at Bürgeramt
  2. Residence Permit: Work authorization from Ausländerbehörde
  3. Trade Registration: Business registration at Gewerbeamt (Gewerbeanmeldung)
  4. Tax Registration: Tax number from Finanzamt

Required Documents:

  • Valid passport
  • Residence permit (for self-employment)
  • Business address proof (rental agreement)
  • Registration form (GewA 1)

Registration Fee: EUR 20-60 (varies by city)

License Requirements

  • No special license required for basic cleaning services
  • Additional certifications may be needed for industrial cleaning and disinfection
  • Safety training mandatory for height work

Tax Situation

Tax TypeRate
Income Tax14-45% (progressive)
VAT (Mehrwertsteuer)19% (standard) / 7% (reduced)
Trade Tax (Gewerbesteuer)Varies by municipality

Kleinunternehmerregelung (Small Business Exemption):

  • VAT exemption for revenue under EUR 25,000 in first year
  • EUR 100,000 threshold for subsequent years

Insurance Requirements

  • Krankenversicherung (Health Insurance): Mandatory, EUR 220-950/month
  • Haftpflichtversicherung (Liability Insurance): Recommended, EUR 5-10/month
  • Berufsunfallversicherung (Work Accident Insurance): Mandatory if employing staff

Residence Permit

Self-Employment Visa Requirements:

  • Proof of contribution to German economy
  • Business plan
  • Sufficient financial resources
  • Pension security for those over 45

Poland#

EU member Poland offers attractive conditions for foreign investors.

Company Types

Sp. z o.o. (Limited Liability Company):

  • Most popular choice
  • Minimum capital: PLN 5,000 (approximately EUR 1,150)
  • Limited liability
  • Remote setup possible (S24 system)

Individual Business (JDG):

  • For EU/EFTA/USA/Switzerland citizens
  • Residence permit required for others
  • CEIDG registration

Registration Process

  1. Obtain PESEL number (for tax purposes)
  2. Register with KRS (National Court Register) or CEIDG
  3. Obtain NIP (Tax Identification Number)
  4. Obtain REGON (Statistical Number)
  5. Register with ZUS (Social Security)

Duration: 3-5 business days (with online registration)

License Situation

No special license required for cleaning companies!

However, note:

  • Permits may be required for height work
  • Certifications may be needed for specialized cleaning
  • RODO (GDPR) compliance mandatory

Tax Situation

Tax TypeRate
Corporate Tax (CIT)19% (standard) / 9% (small businesses)
VAT23% (standard)
Personal Income Tax12-32%

KSeF (Mandatory E-Invoicing): Mandatory from 2026

Rules for Foreigners

  • EU/EFTA citizens: Same rights as Polish nationals
  • USA/Switzerland citizens: Same rights
  • Other countries: Residence permit required (not for company ownership, but for management)

Romania#

Romania, one of Eastern Europe's fastest-growing economies, offers low-cost business setup opportunities.

Company Types

SRL (Limited Liability Company):

  • Most common choice
  • Minimum capital: RON 1 (symbolic)
  • Maximum 50 shareholders
  • Foreign director allowed

SA (Joint Stock Company):

  • For large enterprises
  • Minimum capital: RON 90,000 (approximately EUR 18,000)

Registration Process

  1. Company name reservation
  2. Prepare articles of association
  3. Register with Trade Registry (ONRC)
  4. Tax registration
  5. Open bank account

Duration: 3-4 weeks

License Situation

  • No special license required for basic cleaning services
  • Special permits may be required for certain industries
  • Environmental permit for hazardous materials

Tax Advantages

Tax TypeRate
Corporate Tax16%
Micro-enterprise Tax1-3% (based on turnover)
VAT19% (standard)
Dividend Tax8%

IT Sector Incentive: Income tax exemption for IT employees

Foreign Investor Visa

Commercial Activity Visa (D/AC):

  • MEIMMMA (Ministry of Economy) approval required
  • 90-day visa, 1-year residence permit
  • EUR 500,000+ investment: 3-year residence right
  • EUR 1,000,000+ investment: Accelerated citizenship path

United States of America#

Starting a cleaning company in the USA is subject to requirements that vary by state.

Federal Requirements

  • EIN (Employer Identification Number): Obtained from IRS, free
  • Business Structure: LLC, Corporation, Sole Proprietorship

State-by-State Differences

California:

  • Register through CalGold
  • California Franchise Tax Board registration
  • Janitorial License: Mandatory! $500 application fee
  • Sexual harassment training (every 2 years)
  • Unlicensed operation penalty: $100/day (first 100 days)

Texas:

  • Secretary of State registration
  • Sales Tax Permit (Texas Comptroller)
  • No special cleaning license
  • Additional city/county permits may be required

Florida:

  • Florida Department of Revenue registration
  • Sales tax collection obligation
  • Special permits in some cities

New York:

  • Special permit for hazardous waste cleaning
  • Business Certificate mandatory in NYC

Insurance Requirements

Insurance TypeRequirement
General LiabilityRecommended
Workers' CompensationMandatory in most states (except Texas)
Commercial AutoMandatory if using vehicles
Janitorial BondFor theft protection

Tax Situation

  • Federal Corporate Tax: 21%
  • State Tax: 0-12% depending on state
  • Self-Employment Tax: 15.3%
  • Sales Tax: Varies by state

Singapore#

Singapore is one of the world's most business-friendly countries but has strict regulations for the cleaning sector.

NEA Cleaning License (Mandatory)

National Environment Agency (NEA) license is absolutely mandatory:

License Classes (January 2024 update):

ClassCapitalWSQ TrainingFeature
Class 1Min. SGD 250,0003 modulesLarge projects
Class 2Min. SGD 25,0001 modulebizSAFE certification required
Class 3NoneNoneTransitional, non-renewable

License Fee: SGD 130 (2-year validity) Unlicensed Operation Penalty: SGD 10,000 + SGD 1,000/day

Progressive Wage Model (PWM)

Mandatory minimum wage system in cleaning sector:

  • Applies to all resident cleaners (Singapore citizens and PR)
  • Progressive wage increases mandatory
  • PWM plan submission to NEA required

Company Setup

  1. ACRA Registration: Accounting and Corporate Regulatory Authority
  2. Company Secretary: Mandatory (free first-year packages available)
  3. Registered Address: Physical address in Singapore mandatory
  4. NEA License Application: Through CIMS system

Minimum Requirements:

  • 1 existing/completed cleaning contract OR
  • 1 employee with 2 years experience OR
  • WSQ-trained supervisor

Tax Situation

  • Corporate Tax: 17%
  • GST (VAT): 9%
  • Personal Income Tax: 0-24% (progressive)
  • Dividend Tax: NONE

Foreign Worker Quota

  • Dependency Ratio Ceiling (DRC) applies for service sector
  • Levy (foreign worker tax) payment required

Japan#

Japan significantly tightened Business Manager visa requirements in October 2025.

New Visa Requirements (October 2025)

Business Manager Visa:

  • Minimum Capital: JPY 30 million (previously: JPY 5 million)
  • Full-time Employee: At least 1 person (Japanese or permanent resident)
  • Experience/Education: 3 years management experience OR master's degree
  • Japanese Proficiency: JLPT N2 or BJT 400+ points (for applicant or employee)
  • Physical Office: Mandatory

Company Types

Kabushiki-Kaisha (KK - Stock Company):

  • Minimum capital: Theoretically JPY 0 (not recommended in practice)
  • Notary fee: Approximately JPY 50,000
  • Registration tax: Minimum JPY 150,000

Godo-Kaisha (GK - LLC):

  • More flexible structure
  • Registration tax: Minimum JPY 60,000
  • Suitable for foreigners

Cleaning Business Notification

  • Seiketsu-gyo Todokede (清掃業届出): Building Sanitation Management Business registration
  • Notification to municipality mandatory
  • No special license required but notification mandatory

Tax Situation

Tax TypeRate
Corporate TaxApproximately 23-30% (national + local)
Consumption Tax10%
Individual Income Tax5-45%

Social Insurance

  • Health Insurance: Mandatory
  • Pension Insurance: Mandatory
  • Unemployment Insurance: Mandatory
  • Work Accident Insurance: Mandatory

Important Notes

  • Capital source thoroughly examined
  • "Window dressing" capital not accepted
  • Opening bank account can be difficult
  • Tax advisor (Zeirishi) recommended

Azerbaijan#

Azerbaijan is an attractive market with its strategic location and investment incentives.

Company Setup

LLC (Məhdud Məsuliyyətli Cəmiyyət - MMC):

  • Most common choice
  • No minimum capital requirement (for most activities)
  • 100% foreign ownership possible
  • Remote setup possible

JSC (Səhmdar Cəmiyyəti):

  • For large investments
  • Minimum capital required

Registration Process

  1. Company name reservation
  2. Register with State Tax Service
  3. Obtain TIN (Tax Identification Number)
  4. Register with Social Protection Fund
  5. Municipal permits (if required)

Duration: 2-3 business days Required Document: Only passport (notarized and apostilled copy)

License Situation

  • No special license required for cleaning services!
  • License required for special activities like hazardous waste processing
  • Licenses issued for unlimited period

Tax Incentives

Industrial Park Residents:

  • Property tax: 10-year exemption
  • Land tax: 10-year exemption
  • Income/Profit tax: 10-year exemption
  • VAT and customs: 7-year exemption (for imported equipment)

Investment Promotion Certificate:

  • Profit tax: 50% reduction for 7 years
  • Property/land tax: 7-year exemption

Standard Tax Rates

Tax TypeRate
Corporate Tax20%
VAT18%
Personal Income Tax14%
Dividend Tax5%

Visa and Work Permit

  • Simplified procedure for EU/US citizens
  • Work permit: From State Employment Agency
  • Residence permit: From State Migration Service

Comparison Table#

CountrySetup TimeStartup CostSpecial LicenseCorporate TaxDifficulty Level
UAE2-4 weeksAED 15,000-35,000Municipality reg.9%Medium
Saudi Arabia4-8 weeksSAR 25,000+MISA license20%Hard
Germany1-2 weeksEUR 20-60None15-30%Easy
Poland3-5 daysPLN 5,000None9-19%Easy
Romania3-4 weeksRON 1+None16%Easy
USA1-4 weeksVaries by stateBy state21% + stateMedium
Singapore2-4 weeksSGD 25,000+NEA Mandatory17%Hard
Japan2-6 monthsJPY 30M+Notification23-30%Very Hard
Azerbaijan2-3 daysLowNone20%Very Easy

Simplify Management with SaasTech#

Regardless of which country you operate in, digitize your operations with SaasTech cleaning company management software:

  • Multi-language Support: 45+ languages
  • Staff Management: Shift planning, leave tracking
  • Payment Calculation: Hourly, commission, salary models
  • Customer Management: CRM and appointment system
  • Mobile App: iOS and Android

Create Your Demo Now and manage your global operations from a single platform.


Conclusion#

While each country has unique requirements, the cleaning sector continues to grow worldwide. With proper preparation and legal compliance, success in these markets is achievable.

Recommendations:

  1. Research your target market thoroughly
  2. Work with local legal counsel
  3. Get expert support for tax optimization
  4. Streamline your operations with digital tools

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