Cleaning Business Funding
Independent ISO | Signed Application + 6 Months of Business Bank Statements | The Provider Sets the Terms
Recurring weekly clients, predictable monthly revenue, and consistent bank deposits make cleaning businesses excellent MCA candidates. A new van, a supply run, or payroll for a new crew: here's how cleaning service owners get funded once the provider approves your file.
Commercial cleaning businesses qualify for MCA funding based on 6 consecutive months of bank deposits, not a business plan or collateral. Initial review needs a 1-page application plus those statements. Amount, cost and payment structure are set by the funding provider after that review.
All cleaning segments qualify: here's how each type's deposit profile gets reviewed.
Most cleaning businesses run some mix of both, and the two sides put very different pressure on your bank account.
A residential client pays close to the day the job is done: cash, a card swipe, a check you deposit that afternoon, or a payment app. A commercial account works differently. The cleaning still happens on schedule, but the invoice goes out afterward, and commercial payment terms are commonly Net-30 or Net-45, so the same labor and supplies can sit uncollected for a month or more. That's not a weakness in the commercial side of the business: those accounts tend to be larger and more predictable over time than residential bookings. It's a timing problem, and it's the specific kind of gap MCA financing is built to bridge: covering payroll and supplies on the residential side's faster cash flow while a signed commercial contract's first invoice is still working through the client's accounts-payable cycle.
This is also why the type breakdown above matters for your own file: janitorial and post-construction jobs tend to carry the largest single deposits and the widest timing gaps, while residential and window/pressure-washing work tends to collect fastest. A business running both looks stronger on paper, since the faster residential deposits smooth out the lumpier commercial ones.
Cleaning business tip: If clients pay by check or cash, deposit them the same day into your business account. Delays between when work is done and when payments are deposited create gaps in your bank statement that funding providers notice. Consistent, frequent deposits tell the best story about your business's activity level.
MCA amounts are typically 75%-150% of average monthly bank deposits. Cleaning businesses with recurring contracts qualify at the higher end.
Cleaning Business MCA Estimate
| Monthly Deposits | Conservative (75%) | Standard (100%) | Strong File (150%) |
|---|---|---|---|
| $4,000-$6,000/month | $6,000 | $8,000 | $12,000 |
| $15,000/month | $11,250 | $15,000 | $22,500 |
| $25,000/month | $18,750 | $25,000 | $37,500 |
| $40,000/month | $30,000 | $40,000 | $60,000 |
| $60,000/month | $45,000 | $60,000 | $90,000 |
Illustrative examples built from typical funding profiles for this industry, not records of specific named customers or guaranteed outcomes. Actual approval amount, timeline, and rate depend on your own bank statements and profile.
A merchant cash advance is a purchase of future receivables, not a loan. The right tool depends on what you're funding and how your deposits look.
| Feature | Merchant Cash Advance | Term Loan | Equipment Financing |
|---|---|---|---|
| What it is | Purchase of a fixed amount of future receivables | Fixed-term borrowed principal, repaid with interest | Loan secured specifically by the equipment purchased |
| Cost structure | Factor rate (typically 1.10-1.50) applied once, not annualized | Interest rate (APR), compounds over the loan term | Interest rate (APR), tied to equipment value and term |
| Repayment | Daily/weekly holdback as a % of deposits, rising and falling with revenue | Fixed monthly payment regardless of revenue | Fixed monthly payment over the equipment's useful life |
| Collateral | None required: a UCC-1 is filed against future receivables | Often required (business or personal assets) | The equipment itself is the collateral |
| Best fit for a cleaning business when... | You need working capital fast: payroll, supplies, or a slow-season bridge | You have 2+ years of financials and want the lowest annualized cost | You're buying a specific van, buffer, or extractor and want it as the sole collateral |
| Approval basis | Primarily average monthly deposits: 500+ FICO, 6+ months in business | Credit history, financials, time in business (typically 2+ years) | Credit history plus the resale value of the equipment |
T.A.G. Business Funding is an Independent Sales Organization (ISO), not a direct lender, connecting business owners to funding partners across MCA, term loan, and equipment-financing products. Compare all funding types in detail →
Winning a commercial janitorial contract creates a funding gap before it creates revenue: equipment, insurance, and staffing all have to be in place before the first invoice is paid.
MCA review evaluates your existing deposit history, not the pending contract's projected revenue, so funding for a new contract is sized on your current business, not the deal you're about to win. Apply once the contract is signed and startup costs are known.
The question isn't "can I use MCA for a cleaning contract"; it's whether the financing cost is smaller than the margin the contract itself will generate. Here's how to run that math on your own numbers. All figures below are illustrative and hypothetical, not sourced statistics or a guaranteed outcome. Use them as a template, not a benchmark.
| Line item | Illustrative amount |
|---|---|
| Monthly contract revenue | $15,000/month |
| Initial equipment/supply cost | $6,000 (one-time, before first invoice) |
| Weekly payroll for this contract | $2,200/week (2 cleaners) |
| Customer payment timing | Net-30 (first payment ~30 days after work begins) |
| Cash needed before first payment arrives | $6,000 equipment + ~4 weeks payroll ($8,800) = $14,800 cash gap |
| Illustrative MCA advance to cover the gap | $15,000 at a 1.30 factor rate = $19,500 total repayment |
| Financing cost (cost of capital) | $19,500 − $15,000 = $4,500 |
| Estimated contract margin, Year 1, before financing cost | Illustrative: $15,000/mo × 12 − ($6,000 equipment + $2,200/wk × 52) = $180,000 − $120,400 = $59,600 |
| Estimated contract margin, Year 1, after financing cost | $59,600 − $4,500 = $55,100 |
The Net-30 example above is one common case. Here's the broader picture across residential, commercial, and specialty cleaning work.
Florida is one of eleven states that has enacted a commercial financing disclosure law, and it changes what you should be reading on the paperwork.
Florida's law is HB 1353, codified at Fla. Stat. 559.961 and following. It applies to commercial financing of $500,000 or less for transactions entered from January 1, 2024, which covers essentially every advance a cleaning or janitorial company would request: a floor scrubber, a quarter's supply stock, a second van, or payroll while a new contract's first invoice works through the client's accounts payable.
The practical effect is that the provider has to give you a written disclosure stating the total cost of capital, not only a factor rate. That is worth knowing when you are weighing two offers on the same equipment. Factor rates get quoted on different bases by different providers, so they are awkward to compare side by side. The total cost of capital figure is the one both providers had to calculate under the same rule, which makes it the number actually worth comparing.
T.A.G. is an independent ISO and intermediary, not a lender, so we do not set that figure. The funding provider does, and it appears on the provider's own disclosure after it has reviewed your file. If you want the wider picture before you apply, the state commercial financing disclosure matrix sets out all eleven states and what each one requires. If you run a janitorial operation in Florida specifically, the Florida janitorial funding page covers the state in more detail.
Yes. Cleaning businesses qualify for MCA with 6+ months in business, $4,000-$6,000+/month in deposits, and 500+ FICO. Recurring client payment patterns create consistent deposit histories that funding providers evaluate favorably. Amount and terms come from the funding provider once it has reviewed the file.
Cleaning business MCA amounts are typically 75%-150% of average monthly deposits. A service averaging $10,000/month qualifies for $7,500-$15,000. Commercial cleaning with larger recurring contracts can qualify for $25,000-$75,000+.
Yes. Solo cleaners operating as sole proprietors qualify with the same criteria: 6+ months in business, $4,000-$6,000+/month in deposits, 500+ FICO. Review is based on business bank statements, so a dedicated business bank account is required: personal account statements are not accepted.
Common uses: service van purchase, professional equipment, team hiring, cleaning supply inventory, insurance prepayment, scheduling software, marketing campaigns, and payroll bridge during slow months. No restrictions on use within the business.
Yes. Commercial cleaning contracts with recurring monthly payments demonstrate predictable revenue, which funding providers view positively. The cleaner and more predictable your deposit pattern, the stronger your file.
MCA is based on actual deposits, not invoiced revenue. If slow-pay clients delay deposits, your qualifying average may be lower than your invoiced revenue. For heavily B2B cleaning businesses with net-30/60 terms, invoice factoring may be a better fit. For businesses collecting within 1-2 weeks, MCA works well.
Tax liens do not automatically disqualify a cleaning business from MCA. Most funders allow tax liens if the business demonstrates consistent monthly deposits and the lien is documented. An active IRS payment plan is viewed more favorably than an unresolved lien. Tax liens typically add 0.05-0.12 to the factor rate.
Most established cleaning businesses with a complete file receive an offer after the provider reviews it, then funding after accepting. A complete file (a signed application plus 6 consecutive months of business bank statements) typically funds once the provider approves your file.
A factor rate is a one-time multiplier, not an annualized interest rate. A $20,000 advance at a 1.30 factor rate means $26,000 total repayment. Cleaning businesses typically see factor rates between 1.10 and 1.50, driven by monthly deposit volume, time in business, and personal credit: recurring commercial contracts tend to earn rates at the lower end of that range.
The 6 most recent consecutive months of business bank statements are reviewed to verify real deposit volume and an average ending balance of $4,000+ across your 6 statements, not invoiced revenue or projections. For cleaning businesses, this window captures at least one slow season and one peak season, giving a more accurate picture than a shorter snapshot would.
The most common: a second van or vehicle when adding routes, commercial-grade equipment (floor buffers, steam cleaners, extractors) for a new contract, payroll coverage when hiring ahead of a signed contract's start date, and a working-capital bridge through a seasonally slow month. Growth-driven needs (new contract, new hire) typically move through review more easily than needs tied to an existing cash shortfall.
No. An MCA is a purchase of a fixed amount of your future receivables, not a loan: there's no interest rate, no fixed monthly payment, and no fixed maturity date. A term loan has a fixed rate, fixed payment, and a set payoff date regardless of how your revenue moves month to month. See what a merchant cash advance is for the full breakdown.
Commercial cleaning businesses qualify for MCA funding based on 6 consecutive months of bank deposits, not a business plan or collateral. Initial review needs a 1-page application plus those statements. Amount, cost and payment structure are set by the funding provider after that review.
One-page application, 6 consecutive months of bank statements, funded once the provider approves your file. Built for cleaning service owners who need to move fast on a van, equipment, or new hire.
Or call/text: 330-238-3003
T.A.G. Business Funding
500 FICO minimum. Bank declines OK. Providers weigh deposit history more heavily than credit score.
500 FICO minimum · $4K-$6K+/month revenue · Funding timing is set by the funding provider after review
Janitorial & Cleaning Funding by State
