Business funding for cleaning and janitorial companies
Janitorial contracts pay net 30 or net 60, but cleaning crews get paid weekly whether the client account has settled or not. Most companies in this trade end up needing a way to turn signed contracts into cash before the invoice clears.
- One application, several lenders
- No credit pull to see your options
- No fee to you, ever
Common funding needs
- Making weekly payroll before a commercial client's invoice is paid
- Buying floor machines, vacuums or a new van
- Winning a large contract that requires staffing up before the first payment
- Covering supply costs across several building accounts at once
What usually fits
Products that usually fit
- Invoice factoring turns signed janitorial contracts into cash instead of waiting 30 to 60 days.
- Line of credit for payroll timing gaps between weekly crews and monthly billing.
- Equipment financing for scrubbers, extractors and vehicles.
- Working capital for a short staffing ramp on a new contract.
Compare term loans, lines of credit, cash advances and equipment financing side by side →
Illustrative example
A worked example
A janitorial company has $45,000 in invoices out to three commercial accounts on net-30 terms. With factoring at an illustrative 90% advance, it collects about $40,500 within days. At an illustrative 2.5% fee for the month outstanding, the fee is roughly $1,125, with the remainder paid when the accounts settle.
Illustrative only: the advance rate and fee depend on how reliably each building account pays.
Illustrative example only, not an offer or a quote. Rates, fees and terms are set by each lender and depend on your business. Fees are not included unless stated.
Underwriting
What lenders look at
- Signed contracts and how many buildings or accounts you service
- How reliably your commercial clients pay (for factoring)
- Payroll size relative to monthly deposits
- Insurance and bonding, since many commercial clients require it
- Owner credit and time in business
Honestly
Who this is not for
- A company with only one or two residential clients: factoring works best with steady commercial billing
- Staffing up for a contract that has not been signed yet
- Borrowing against a client known to dispute or delay invoices
If borrowing does not make sense, we will say so.
Are you a match?
Lender network minimums
Close but not quite there? Apply anyway and we will tell you honestly what is possible.
*Best available terms from lenders in our network. Every lender sets its own criteria; approval, amount and funding time are decided by the lender and not guaranteed.
| Time in business | 1 year+ |
|---|---|
| Monthly bank deposits | $20,000+ |
| Credit score | 500+ |
| Bank account | Business |
| Fee to you | $0 |
| Credit pull to start | None |
FAQ
Cleaning & janitorial funding questions
Can a small cleaning company use invoice factoring?
Yes, as long as you bill commercial clients on terms rather than collecting cash at the time of service. Even two or three steady building accounts can qualify.
Do lenders care if I only have residential clients?
Residential cleaning usually gets paid at time of service, so factoring does not apply. A line of credit or working capital fits better there.
Can I finance a new cleaning van or floor equipment?
Often, yes, through equipment financing, with the equipment or vehicle securing the loan.
What if a client disputes an invoice after it's factored?
Recourse factoring means you buy back an unpaid or disputed invoice; non-recourse shifts more of that risk to the factoring company at a different price. Ask which type is being offered.
Guides
Guides for cleaning & janitorial
Related
Similar businesses
Daycare & child care · Staffing agencies · IT & managed service providers · Marketing & creative agencies · Printing & commercial print · Laundromats & dry cleaners
Where we work: all US states · all Canadian provinces
See your options
Two minutes, no credit pull, no fee. We come back with real options from lenders that fit.