How to Set up a Cleaning Business in Singapore
How to Set up a Cleaning Agency in Singapore
Singapore is one of the cleanest and greenest country in the world.
There is a saying that Singapore is not just a clean country, but actually the most cleaned country in the world.
With Covid-19 spreading in Singapore, the Cleaning industry has been gaining strength and revitalized by the added demand to keep things clean.
The government has also made it a requirement for disinfection to be done when Covid-19 cases are identified in the location.
Let us use this opportunity to share with you, how to set up a cleaning company in Singapore, what are the requirements and what are some of the things to take note of.
Steps to Start a Cleaning Services Company in Singapore
Plan out what are the services that you will be providing (Commercial, Office, Residential, Industrial, Moving out Cleaning, etc.)
Prepare a Business Plan with how you intend to run the company and grow the company
Figured a way to acquire manpower for your cleaning jobs
Attend the requisite training modules as required by NEA
Prepare Documentations required by NEA
Incorporate a company or register a business
Submit Cleaning License application through NEA website, here.
Through a General Insurance provider, get a Liability Insurance and also accident insurance for your cleaning employees
Purchase Cleaning equipment and supplies
This are some of the steps that you need to take to get your company ready for getting the Cleaning Services license.
But before we go on, there are some requirements when it comes to getting the Cleaning License.
License Requirements for a Singapore Cleaning company setup
In the year 2014, the Singapore government made it mandatory for cleaning companies to be licensed with the goal to improve the overall standards and professionalism of the cleaning industry.
Together with it, better employment practices and productivity.
The government has also adopted the progressive wage model to map out a career path to help cleaning workers improve their wages and progress in training.
It cost $130 for the yearly basis license and is valid for 1 year.
It takes about 30 working days for the processing and issuing of licenses.
Companies need to be registered with ACRA or ROS, as a Sole Proprietorship, partnership, LP, LLP or a company.
For companies that are new applicants, 1 employee needs to have at least 2 years of experience in supervising cleaning work or have attended two requisite modules under the Environmental Cleaning Singapore Workforce Skills Qualifications.
Whereas those with existing license, to have at least 1 cleaning contract ongoing or completed with the 12 months preceding the license application.
Business owners are also required to send all cleaners to at least 1 modle under the Environmental Cleaning WSQ Framework for those with at least 3 months of work wiht the company.
All this includes resident or foreign cleaners, including part-time, full-time or casual cleaners.
Progressive Wage Plan
Cleaning businesses are required to submit and follow a progressive wage plan
The plan is to specify the basic wage of each class of cleaners and conform to the guidelines specified by the Commissioner for Labour.
This plan will apply to all resident cleaners whether part-time, full-time or temporary.
Penalties relating to the Cleaning Business Licence
If you do not have a valid cleaning business license, below are some of the penalties.
Cleaning businesses found operating without a valid cleaning business licence
Maximum fine of $10,000 or up to 12 months' imprisonment or both and $1,000 every day for continuing offences
Service buyers found engaging unlicensed cleaning businesses
Maximum fine of $10,000 and $1,000 every day for continuing offences
Maximum fine of $5,000. For subsequent convictions, maximum fine of $10,000 or imprisonment for a term not exceeding 3 months, or both
Failure to comply with licensing conditions
Maximum financial penalty of $5,000. Cleaning business licence may be suspended or revoked
Setting up a cleaning company is not too difficult considering that the demand for such services has increased tremendously during the pandemic period.
The difficulty of running a cleaning business will be acquiring new business and also to acquire local help as there are too little local cleaners compared to the required demand.
The Cleaning Business is also much more sophisticated with machines and cleaning solutions that require special training to administer and may take some time to grasp and learn.
If you are keen on setting up a Singapore Company to run your Cleaning Business, Speak to Tommy at +65 98638665.
How to Set up a Cleaning Business in Singapore