Licensing by State

Ohio charges you once and then leaves the entity alone

Answer

Columbus requires Ohio SOS entity registration ($99 LLC/Corp) and no separate city business license. Cleaning services are sales tax exempt in Ohio; only tangible supplies sold to clients are taxed at 7.5%. Ohio CAT applies at $150/yr when annual revenue exceeds $150,000.

  • Ohio LLC formation costs $99 at OH SOS; no annual report fee, only a biennial agent report.
  • Commercial Activity Tax starts at $150/yr for revenue $150K to $1M, $800/yr for $1M to $2M.
  • Columbus city contracts above $50K may trigger prevailing wage under ORC §4115.

$99 Ohio LLC formation fee

Opora Editorial team Published Updated 4 min read 981 words Sourced & fact-checked

Columbus Cleaning Business License Requirements

Starting a cleaning business in Columbus, Ohio requires coordinating registrations across state and local agencies. There is no specialized "janitorial contractor license" in Ohio — cleaning businesses operate under general business licensing and state entity registration requirements. For the full reference, see do you need a license for cleaning in Indiana For the full reference, see janitorial licensing in Georgia For the full reference, see the full California janitorial licensing guide

$99

Ohio LLC formation fee at OH SOS (2025)

Source: OH SOS, 2025

Columbus Cleaning Business Licensing Requirements (2025) Sources: OH SOS, City of Columbus, State DOR
Requirement Agency Fee Resource
Ohio entity registration (LLC or Corp) OH SOS $99 (LLC) / $99 (Corp); Annual Report: $0 (biennial agent report only) www.ohiosos.gov
Annual state fee / franchise tax State revenue or SOS Ohio Commercial Activity Tax (CAT): $150/yr for $150K–$1M revenue; $800 for $1M–$2M See state filing portal
Local business license / BTR City of Columbus N/A — Columbus requires only OH SOS registration www.columbus.gov
State sales tax permit (if applicable) State DOR/DFR Free 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); Annual Report: $0 (biennial agent report only). Most states process online filings within 3–5 business days.

Step 2 — Obtain Your EIN. Apply for a federal Employer Identification Number at irs.gov. Free and immediate online. Required before opening a business bank account or registering with state tax agencies.

Step 3 — Local Business License. Columbus does NOT require a separate city business license. Fee: N/A — Columbus requires only OH SOS registration. Obtain from: https://www.columbus.gov/Development-Section/.

Step 4 — Sales Tax Registration. Cleaning services are EXEMPT in Ohio. Ohio does NOT tax janitorial/cleaning services. The Ohio Department of Taxation has ruled that cleaning services are not taxable. Tangible supplies sold to clients are taxable at 7.5% (Franklin County). Register with the state revenue department before collecting any taxes from clients.

Step 5 — Workers' Compensation. Required for 1+ employee (Ohio Bureau of Workers' Compensation — bwc.ohio.gov). Contact your state workers' comp agency before your first hire.

Special Permits

Ohio EPA permit for regulated cleaning waste disposal; Franklin County Health Dept permit not typically required for cleaning.

Insurance Minimums for Columbus

Standard Insurance Requirements — Columbus 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 Bureau of Workers' Compensation — bwc.ohio.gov) Required for all cleaning employees in most states
Commercial Auto $100,000/$300,000 If employees drive to job sites

Sales Tax: Columbus (7.5% (5.75% state + 1.75% Franklin County))

Ohio does NOT tax janitorial/cleaning services. The Ohio Department of Taxation has ruled that cleaning services are not taxable. Tangible supplies sold to clients are taxable at 7.5% (Franklin County).

Union Considerations

Ohio is NOT right-to-work. SEIU Ohio has presence at major Columbus commercial buildings and OSU facilities. Columbus city contracts above $50K may be subject to prevailing wage (ORC §4115).

Columbus Local Market Context

Columbus is the fastest-growing major city in the Midwest. The Short North, Arena District, and Easton commercial corridors are hot markets for commercial cleaning. Ohio State University (one of the largest employers in the state) offers significant custodial contract opportunities via its eSourcing portal. Intel's new semiconductor facility in New Albany (nearby) will also generate large-scale industrial cleaning contracts.

Frequently Asked Questions

Do I need a city business license to clean offices in Columbus?

No city license required. Columbus does not require a separate city business license for most cleaning businesses, so the paperwork that actually matters happens at the state level. Register your entity with the Ohio Secretary of State, then register for the Ohio Commercial Activity Tax once revenue crosses $150K. Nothing at City Hall gates your first contract.

Do I charge sales tax on a janitorial invoice in Ohio?

Not on the cleaning itself. Ohio specifically exempts janitorial and cleaning services from sales tax, so the labor line on your invoice stays clean. The exception is product: cleaning supplies sold or separately billed to a customer are taxable at the Franklin County rate of 7.5%. If supplies are built into your service rate rather than itemized, the question rarely comes up.

When does the Commercial Activity Tax start costing me money?

Once your Ohio taxable gross receipts pass $150,000 in a year. In the $150K to $1M band, the CAT runs a $150 annual minimum, which is small next to the trouble of missing the registration entirely. Cleaning startups below $150,000 are exempt. Registration goes through ohiobusinesscentral.gov.

I clean part-time and gross about $40,000 — what do I actually owe?

Less than most new owners expect. There is no Columbus city business license to buy, no sales tax to collect on your cleaning labor, and no CAT obligation at that revenue since the threshold sits at $150,000 in Ohio taxable gross receipts. Your real task is entity registration with the Ohio Secretary of State. Circle back to ohiobusinesscentral.gov as you approach the threshold.

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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