Cleaning Business Valuation Calculator
Find what your cleaning company is worth. Recurring residential and commercial contracts can push your multiple from 3x to 6x or higher.
📋 Your P&L Numbers
Your annual profit and loss numbers for your cleaning business. Use your most recent full year.
💰 Owner Compensation & Perks
What you take from the business. PE firms normalize this to market rates.
🔧 One-Time & Non-Recurring
Expenses that will not repeat under new ownership.
📊 EBITDA Components
Standard accounting add-backs. Pull these from your tax return.
📈 Valuation Multiple Range
Your Business Valuation
$0
estimated business value
Comparison Valuations
The PE Gap
$0
Enter your numbers to see your business valuation and PE readiness assessment.
📤 Share This Tool
Know someone who could use this? Send it their way.
📊 Want the full picture?
See what we install in your business
AI call handling, review automation, lead pipeline, and full back-office operations. Installed in 48 hours.
See the Growth System →No commitment. See exactly what gets installed and how it works.
Business Valuation for Cleaning Companies
Cleaning businesses have lower revenue and margins than most trades, but the recurring revenue model can create surprisingly strong valuations. A cleaning company with a base of 100 biweekly residential customers and 10 commercial contracts has predictable, growing revenue that buyers will pay a premium for.
This calculator shows you what your cleaning business is worth using adjusted EBITDA. For cleaning companies, the add-backs can significantly change the picture because owner compensation relative to business size is typically high. See the difference between selling at 2x (owner-dependent) and 5x (managed with recurring base).
How Cleaning Valuation Works
Cleaning business valuation uses adjusted EBITDA with emphasis on recurring customer percentage and retention. Owner add-backs typically include excess compensation above a $45K to $60K manager rate, personal vehicle costs, and any personal expenses run through the business. Because cleaning companies have minimal equipment, depreciation add-backs are small. The key multiplier is the percentage of revenue from recurring clients vs one-time cleans.
Cleaning Valuation Benchmarks
Cleaning industry benchmarks: average EBITDA margin 15% to 25%, owner compensation typically $60K to $120K, market-rate operations manager salary $45K to $65K. PE multiples: residential one-time only 2x to 3x, residential with recurring 3x to 5x, commercial contract-based 4x to 6x. Average customer lifetime value for biweekly residential: $7,800 to $15,600. Customer retention for recurring accounts: 70% to 85%.
Tips for Increasing Cleaning Business Value
- Your recurring customer base is your most valuable asset. Track and report the number of recurring customers, their average frequency, and your retention rate. Buyers will value this above almost anything else.
- Commercial cleaning contracts with 1 to 3 year terms command the highest valuations. Build a portfolio of 10+ commercial contracts to shift your revenue mix and increase your multiple.
- Hire an operations manager as soon as financially possible. The jump from owner-operated to manager-operated can add 1x to 2x to your multiple. It is the highest-ROI hire in the business.
- Document your cleaning processes, checklists, and quality standards. Standardized operations demonstrate scalability. Buyers want to know they can add customers and teams without the quality falling apart.
Frequently Asked Questions
What is my cleaning business worth?
Most cleaning businesses sell at 2x to 5x adjusted EBITDA. A $600K revenue cleaning company with $150K adjusted EBITDA would be valued at $300K to $750K. Companies with 60%+ of revenue from recurring weekly or biweekly clients can reach 4x to 6x. Commercial cleaning companies with contract revenue often get higher multiples than residential-only operations.
What EBITDA multiples do cleaning companies get?
Cleaning company multiples range from 2x for small residential operations to 6x for commercial cleaning companies with contract bases. The biggest factor is recurring revenue. A residential cleaning company where 70% of revenue comes from biweekly recurring clients gets a higher multiple than one relying on one-time deep cleans. Commercial cleaning with multi-year contracts commands the highest multiples.
How does recurring revenue affect cleaning valuations?
Recurring revenue is the primary valuation driver for cleaning companies. A customer on biweekly service at $200 per clean generates $5,200 per year in predictable revenue. A base of 50 recurring customers represents $260,000 in annual recurring revenue. PE firms and strategic buyers pay 1.5x to 2x more for recurring revenue compared to one-time project revenue.
What do buyers look for in a cleaning company?
Buyers target cleaning companies with high recurring customer percentages (60%+), trained and reliable cleaning teams, documented processes, customer management systems, and a manager who handles scheduling and quality control. Companies where the owner is still cleaning houses or managing every team daily are considered owner-dependent and sell at lower multiples.
How do I increase my cleaning business valuation?
Convert every new customer to recurring service. Track your conversion rate from first clean to biweekly or weekly. Hire an operations manager to handle scheduling, quality control, and customer communications. Build commercial contracts with offices, medical facilities, and property management companies. A cleaning company with $200K EBITDA and 70% recurring revenue could command 4x to 5x vs 2x for a one-time service company.
Knowing Your Numbers Is Step One
This calculator shows you one piece. The Growth Report shows you the full picture: where you're leaking revenue, what to fix first, and how contractors like you are growing past the ceiling.