Licensing by State

Cincinnati's license is a tax account, and the rate is 1.8%

Answer

Ohio requires no specialized janitorial license. Register your LLC with OH SOS ($99), obtain an EIN, and file Cincinnati's 1.8% earnings tax on all wages and profits earned inside city limits. Cleaning services are sales tax exempt; only tangible supplies sold to clients face the 7.8% combined rate.

  • LLC formation costs $99; Cincinnati earnings tax hits 1.8% of wages and business profits from work performed within the city.
  • Workers' comp is mandatory at 1+ employee through Ohio BWC, typically $4 to $7 per $100 payroll for NCCI 9014.
  • Cleaning services are exempt from Ohio sales tax; tangible supplies sold to clients are taxable at 7.8%.

1.8% Cincinnati earnings tax rate

Opora Editorial team Published Updated 4 min read 909 words Sourced & fact-checked

Cincinnati Cleaning Business License Requirements

Launching a cleaning business in Cincinnati, Ohio requires coordinating registrations across state and (where applicable) local agencies. There is no specialized "janitorial contractor license" in Ohio — cleaning companies operate under general business licensing and state entity registration rules. For the full reference, see Indiana janitorial licensing rules For the full reference, see the full Georgia cleaning business license guide

1.8%

Cincinnati earnings tax rate on wages and business profits earned within city limits

Source: OH SOS, 2025

Cincinnati Cleaning Business Licensing Requirements (2025) Sources: OH SOS, City of Cincinnati, State DOR
Requirement Agency Fee Resource
Ohio entity registration (LLC or Corp) OH SOS $99 (LLC) / $99 (Corp) www.ohiosos.gov
Annual state fee / franchise tax State revenue or SOS OH biennial agent report: $0; Cincinnati Earnings Tax: 1.8% on income See state filing portal
Local business license / registration City/County of Cincinnati Cincinnati Earnings Tax: 1.8% on wages/profits earned within Cincinnati www.cincinnati-oh.gov
State sales/excise tax permit State DOR Free (registration) State tax portal
EIN (Federal) IRS Free irs.gov

Step-by-Step Registration Process

Step 1 — Form Your Entity. Register your LLC or corporation with OH SOS at https://www.ohiosos.gov/businesses/. Fee: $99 (LLC) / $99 (Corp).

Step 2 — Obtain Your EIN. Apply for a federal Employer Identification Number at irs.gov. Free and immediate. Required before opening a business bank account.

Step 3 — Local Business License. City of Cincinnati Business License — income tax registration required. Fee: Cincinnati Earnings Tax: 1.8% on wages/profits earned within Cincinnati. Obtain at: https://www.cincinnati-oh.gov/finance/citywide-accounting-auditing/tax-commissioner-cincinnati-income-tax-division/.

Step 4 — Sales Tax Registration. Cleaning services are EXEMPT in Ohio. Ohio does NOT tax cleaning/janitorial services. Tangible cleaning supplies are taxable at Cincinnati's combined rate of 7.8%.

Step 5 — Workers' Compensation. Required for 1+ employee (Ohio BWC, bwc.ohio.gov).

Special Permits

Ohio EPA permit for regulated waste; Hamilton County Health Dept permit for certain cleaning operations.

Insurance Minimums

Standard Insurance Requirements — Cincinnati Commercial Cleaning (2025)
Coverage Minimum Notes
General Liability (per occurrence) $1,000,000 Many commercial property managers require $2M
GL Aggregate $2,000,000 Healthcare and government may require $5M umbrella
Workers' Compensation Required for 1+ employee (Ohio BWC, bwc.ohio.gov) State-specific threshold applies
Commercial Auto $100,000/$300,000 If employees drive to job sites

Sales Tax: Cincinnati (7.8% (5.75% state + 2.05% Hamilton County/Cincinnati))

Ohio does NOT tax cleaning/janitorial services. Tangible cleaning supplies are taxable at Cincinnati's combined rate of 7.8%.

Union Considerations

Ohio is NOT right-to-work. SEIU has some presence in Cincinnati commercial buildings. Hamilton County and Cincinnati city contracts subject to Ohio Prevailing Wage Act.

Cincinnati Local Market Context

Cincinnati's cleaning market is anchored by Procter & Gamble HQ, Cincinnati Children's Hospital Medical Center (one of the top-ranked children's hospitals nationally), and a growing bio/medical tech corridor. The Over-the-Rhine commercial district and downtown office market offer strong demand for commercial BSCs. BLS 2024 median janitorial wage: $16.30/hr. Ohio's state-fund workers' comp system means no private insurer shopping.

Frequently Asked Questions

Does Cincinnati's earnings tax apply to my cleaning company?

It applies if any of your work happens inside city limits. Cincinnati imposes a 1.8% earnings tax on wages earned in the city and on net profits from business activity conducted there. Residents pay on all income; non-residents pay only on the Cincinnati-sourced portion. A suburban-based company with three downtown accounts still owes on the hours crews work in those buildings and on the profit tied to that work.

Do I charge sales tax on cleaning services in Cincinnati?

No. Ohio exempts cleaning services from sales tax statewide, so your labor invoices go out untaxed in Cincinnati the same as anywhere else in Ohio. Hamilton County's 7.8% combined rate only enters the picture when you sell tangible cleaning supplies to a client, such as pass-through liners, paper, or chemicals. Break those items out as their own line so the taxable portion is unmistakable at audit time.

How do I get workers' comp coverage for crews in Ohio?

Through the state, not a broker. Ohio operates a monopoly workers' compensation system, so private insurance isn't available to most employers and you obtain coverage directly from the Ohio Bureau of Workers' Compensation at bwc.ohio.gov. Janitorial payroll sits in NCCI class 9014, which typically runs $4 to $7 per $100 of payroll through BWC. Fold that number into your bill rate before you quote anything.

What catches out-of-state owners off guard when they expand here?

Usually two things. Cincinnati's 1.8% earnings tax reaches non-residents on Cincinnati-sourced income, which surprises companies headquartered outside the city that assumed only their home jurisdiction mattered. And if you've always bought workers' comp from a private carrier, you'll have to open a policy with Ohio BWC instead, at $4 to $7 per $100 of janitorial payroll. Neither is difficult, but both belong in your first-year budget.

How we built this guide

Opora editorial sources from BLS OEWS wage tables, ISSA-447 production rates, NCCI workers' compensation classifications, EPA List N, OSHA 29 CFR standards, and primary state regulatory filings. We don't recycle blog posts — we audit primary documents.

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