How to Start a Cleaning Service in Delaware (2026)

Last updated: February 26, 2026

Starting a cleaning service in Delaware is one of the more straightforward business launches in the state. There is no specialized state-level cleaning contractor license – your primary requirements are the Delaware Business License ($75/year from the Division of Revenue), proper business entity registration, workers’ compensation if you hire employees, and general liability insurance. Delaware’s no-sales-tax environment and the Gross Receipts Tax monthly exclusion mean most cleaning businesses starting out owe $0 in GRT. This guide covers exactly what you need, what it costs, and where to apply using official Delaware sources.

Cleaning Service Requirements in Delaware at a Glance

Requirement	Agency	Cost	Timeline
Delaware Business License	Division of Revenue	$75/year	Immediate (temp license) / 10 days (permanent)
LLC Formation (Certificate of Formation)	Division of Corporations	$90	Varies; expedited same-day available
LLC Annual Franchise Tax	Division of Corporations	$300/year (due June 1)	Annual payment
Gross Receipts Tax Registration	Division of Revenue	No fee; 0.3983% on receipts over $100K/month	Register before first receipt
EIN (Federal)	IRS	Free	Immediate online
Workers’ Compensation Insurance	Private Insurer (required at 1+ employee)	Varies by carrier	Before hiring
General Liability Insurance	Private Insurer (recommended)	Varies by carrier	Before first client
DBA / Trade Name (if using business name)	Division of Revenue	$25	Immediate online

How to Start a Cleaning Service in Delaware (Step by Step)

Step 1: Form Your Business Entity

Most cleaning business owners choose an LLC for liability protection. File your Certificate of Formation online with the Delaware Division of Corporations at icis.corp.delaware.gov/ecorp. Filing fee: $90. You will also need a registered agent with a physical Delaware address (can be yourself if you have a DE address, or a commercial service for $49-$300/year).

After formation, pay the $300 annual franchise tax by June 1 each year at corp.delaware.gov/paytaxes. No annual report is required for LLCs – just the payment.

If you prefer to start as a sole proprietor, no state entity registration is required – but you will still need the Delaware Business License.

Step 2: Obtain Your Delaware Business License

Every cleaning business operating in Delaware must have a Delaware Business License from the Division of Revenue. This is a statewide requirement – not optional. Annual fee: $75 (first location). Apply online at onestop.delaware.gov. A temporary license prints immediately; the permanent license arrives within about 10 business days. Renew annually by December 31. Contact: Division of Revenue Licensing, (302) 577-8778.

Step 3: Register a Trade Name (DBA) If Needed

If your cleaning business operates under a name different from your LLC’s legal name (e.g., “Sparkling Clean Delaware LLC” doing business as “Diamond Clean”), register a Trade Name with the Division of Revenue. As of February 2, 2026, this is done online at onestop.delaware.gov for $25. No notarization required. The registration does not expire.

Step 4: Get Your EIN from the IRS

Apply for a free Employer Identification Number (EIN) from the IRS at irs.gov. An EIN is required if you have employees or are a multi-member LLC, and strongly recommended for all LLCs to open a business bank account and keep personal and business finances separate.

Step 5: Register for the Gross Receipts Tax

Delaware has no sales tax. Instead, service businesses pay the Gross Receipts Tax (GRT) on total revenues. For cleaning and personal service businesses, the rate is 0.3983%. The good news: the first $100,000 of receipts per month is excluded, so most starting cleaning businesses owe $0 in GRT. Register at grossreceiptstax.delaware.gov and file monthly or quarterly. Phone: (302) 577-8780.

Step 6: Get Business Insurance

General liability insurance is essential for a cleaning business – customers want to know you are covered if something is damaged or broken. Industry standard is $1 million per occurrence. Also consider a janitorial services bond (typically $5,000-$25,000), which protects clients if an employee steals. Many commercial cleaning contracts will require proof of both before you can start work.

Step 7: Get Workers’ Comp If You Hire Employees

Delaware law requires workers’ compensation coverage as soon as you have one employee. There is no minimum headcount threshold. Purchase coverage from any licensed private insurance carrier before the employee’s first day. Contact the Delaware Office of Workers’ Compensation: industrialaffairs.delaware.gov/workers-compensation.

Step 8: Check Municipal Requirements

Delaware’s counties do not issue general business licenses, but some cities and towns do. If you operate in Wilmington, Dover, Newark, or other incorporated municipalities, check with city/town hall about any local business license or permit requirement. Wilmington, for example, requires a City of Wilmington business license for businesses operating within city limits.

Cost to Start a Cleaning Service in Delaware

Item	Cost	Notes
LLC Formation (Certificate of Formation)	$90	One-time; Division of Corporations
LLC Annual Franchise Tax	$300/year	Due June 1; no report required
Delaware Business License	$75/year	Division of Revenue; renew December 31
Registered Agent	$49-$300/year	If using commercial service; free if self-serving
Trade Name / DBA (if needed)	$25	One-time; no expiration
EIN	Free	IRS; instant online
General Liability Insurance	$500-$1,500/year	Varies by coverage and carrier
Janitorial Bond	$100-$300/year	Optional but recommended for commercial clients
Cleaning Equipment & Supplies	$300-$2,000+	Vacuums, mops, chemicals, buckets, etc.
Workers’ Comp (if hiring)	Varies by payroll	Required at first employee

Estimated total startup cost: $1,300-$4,500+ (first year, depending on equipment, registered agent, and insurance levels)

Related Delaware Business Guides

• How to Start a Food Truck in Delaware
• How to Start a Daycare in Delaware
• How to Start an HVAC Business in Delaware
• How to Start a Hair Salon in Delaware
• How to Start a Landscaping Business in Delaware
• How to Become a Private Investigator in Delaware

← Back to all Delaware business guides

Frequently Asked Questions

Do I need a special license to start a cleaning business in Delaware?

No specialized cleaning contractor license exists in Delaware. Your primary requirement is the Delaware Business License ($75/year) from the Division of Revenue at onestop.delaware.gov. You will also need an LLC if you want liability protection ($90 to form), general liability insurance, and workers’ comp if you hire anyone. Some municipalities may require a local business license as well.

Does a cleaning business in Delaware need to collect sales tax?

No. Delaware has no state or local sales tax. You do not collect or remit sales tax from clients. Instead, your cleaning revenues may be subject to the Gross Receipts Tax (0.3983% for service businesses) – but the first $100,000 per month is excluded, so most small cleaning businesses starting out owe $0 in GRT. Register at grossreceiptstax.delaware.gov.

How much does general liability insurance cost for a cleaning business in Delaware?

General liability insurance for a Delaware cleaning business typically costs $500-$1,500 per year for a $1 million per occurrence policy. Cost depends on your annual revenue, number of employees, and coverage limits. Commercial clients often require a Certificate of Insurance (COI) naming them as an additional insured before you can start work. A janitorial bond ($5,000-$25,000) adds about $100-$300/year and protects clients against employee theft.

When do I need workers’ comp for my cleaning business?

Delaware requires workers’ compensation coverage as soon as you hire one employee. There is no minimum number of employees – the threshold is 1. This includes part-time and seasonal workers. Sole proprietors with no employees are exempt. Purchase coverage from any licensed private insurance carrier before the employee’s first day of work.

Can I run a cleaning business from home in Delaware?

Yes. A home-based cleaning business is common in Delaware. You still need the Delaware Business License ($75/year) and any applicable insurance. Check your local zoning rules – some municipalities have home occupation ordinances that restrict commercial activity from residences. If your home is in an HOA-governed community, review your HOA rules as well. Clients are visited at their locations, so a home base typically does not require a commercial lease.