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What determines a cleaner’s profit margins? scsgroup.com.au
At its core, cleaning is a business of time, tools, and territory. The profit a cleaner can generate depends on:
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Type of cleaning: Residential often commands lower rates per hour, while commercial contracts—especially in sectors like healthcare or education—can command premium pricing.
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Overheads: From equipment and transport to insurance and staff wages, overheads will bite into margins. Savvy cleaners keep these lean.
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Efficiency: The faster the job gets done (without compromising quality), the better the hourly return.
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Client base: Reliable, long-term contracts are worth gold. One-off gigs? Less so.
A solo cleaner in Melbourne might charge $40–$60 per hour for residential work. Scale that up with a couple of employees, and monthly revenue could reach $15,000 or more—provided bookings stay consistent and cancellations are low.
Are commercial cleaning businesses more profitable than residential?
In most cases, yes. Commercial cleaning doesn’t just pay more—it often pays more predictably.
Here’s why:
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Scheduled routines: Offices and public spaces require regular, often daily cleaning. That’s recurring income.
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Larger contracts: A single commercial client might be worth ten residential ones.
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Off-peak work hours: Cleaners can work nights or early mornings, freeing up daytime hours for other contracts or admin.
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Bulk supply savings: Larger jobs allow for better deals on chemicals and consumables.
Take, for instance, an office block in Melbourne’s CBD. A cleaner with the right credentials and reliability might secure a 12-month contract worth $60,000. After expenses—say, $30,000 in labour and supplies—they’re still walking away with a healthy margin.
How much do cleaning businesses make in Australia?
According to IBISWorld, the Australian commercial cleaning industry generated over $12 billion in revenue in recent years. While exact profits vary wildly depending on size, niche, and location, some trends hold steady:
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Solo operators: Can net $50,000–$80,000 annually, depending on hustle and niche.
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Small cleaning businesses (2–10 staff): May generate $250,000–$600,000 in revenue, with profit margins ranging from 10% to 30%.
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Established commercial cleaners: With streamlined systems and high-volume clients, profits can exceed seven figures.
The real secret sauce? Specialisation. Cleaners who focus on niches—say, medical facilities or strata cleaning—can charge more, differentiate themselves, and build loyalty that’s hard to undercut.
What expenses cut into profitability?
Even the best hourly rate means little if costs aren’t kept in check. Here are common profit killers:
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Underquoting: A classic pitfall, especially with inexperienced cleaners who underestimate job complexity.
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Wasted travel time: A scattered client base across Melbourne can eat into usable hours fast.
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High staff turnover: Recruitment, training, and supervision costs can balloon quickly.
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Low retention: One-off cleans may pad revenue, but without repeat business, scaling is tough.
Smart operators mitigate this with route optimisation, performance-based staff incentives, and rock-solid client onboarding.
Can cleaners scale their income beyond the mop?
Absolutely. In fact, the most profitable cleaning businesses often step away from cleaning itself. They:
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Delegate operations: Hiring and training staff allows owners to focus on growth and sales.
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Offer bundled services: Think cleaning plus window washing, pest control, or hygiene supplies.
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Automate admin: Scheduling, quoting, and invoicing can all be systemised for smoother cash flow.
And then there’s the leverage of reputation. A cleaner who’s known for reliability and results can often raise prices—and still retain clients.
Are there seasonal fluctuations in cleaning profitability?
Residential cleaners can hit slow patches during holidays or winter. But commercial work? It’s usually steady year-round. In fact, flu season or post-COVID sanitation spikes can increase demand for deep cleans, fogging, or infection control.
And during Melbourne’s EOFY and spring-cleaning months, even residential demand can spike. For adaptable businesses, seasonality becomes opportunity—not a threat.
What’s the long-term outlook for cleaning industry profits?
Automation might be replacing some human tasks, but there’s no robot that can replace a trusted cleaner—yet. In fact, as hygiene expectations climb, the value of cleaning professionals is only growing.
Sustainability is also a new frontier. Eco-conscious clients will pay more for green products, low-impact methods, and waste-minimising routines. That’s not just good for the planet—it’s good for margins, too.
And in large metros like Melbourne, commercial clients continue to seek reliable, professional service providers. For those positioned well, demand isn’t slowing down.
FAQs
Is cleaning a good business to start in Melbourne?
Yes, particularly commercial cleaning. Low entry barriers and consistent demand make it attractive—if you’ve got the work ethic and smart systems.
Do you need certifications to be a cleaner?
Not always for residential, but commercial work often requires insurances, police checks, and sometimes specific training (like handling biohazards).
What’s the hardest part of running a cleaning business?
Scaling. It’s one thing to clean; it’s another to manage teams, keep quality high, and juggle admin without burning out.
In a city that never sleeps, the office lights keep glowing—and with them, the quiet army of cleaners who keep things running. Their work may be unseen, but their value is felt in every spotless surface. For those who play it right, especially in competitive regions like Melbourne, office cleaning Melbourne isn’t just a necessity—it’s a genuinely profitable path.
And if you’re curious how this stacks up against other trade sectors, this industry data from the ABS gives a solid benchmark.