Licensing by State

Long Beach's rate is the highest here, and it only bites when you sell product

Answer

Long Beach cleaning businesses pay $70-$100 to form at CA SOS, an $800 annual franchise tax to the state, and $91-$500+/year to the city based on gross receipts. Cleaning labor is sales-tax exempt in California; separately billed supplies are taxable at Long Beach's 10.25% combined rate.

  • California franchise tax is $800 minimum per year for any LLC or Corp, separate from city fees.
  • Long Beach Business License Tax runs $91-$500+/year on a tiered gross-receipts schedule.
  • Workers' comp is mandatory at 1+ employee; California rates rank among the highest nationally.

10.25% Long Beach combined sales tax

Opora Editorial team Published Updated 4 min read 899 words Sourced & fact-checked

Long Beach Cleaning Business License Requirements

Launching a cleaning business in Long Beach, California requires coordinating registrations across state and local agencies. There is no specialized "janitorial contractor license" in California — cleaning companies operate under general business licensing.

$800

California minimum annual franchise tax for any LLC or Corp (CA FTB, 2025)

Source: CA SOS, 2025

Long Beach Cleaning Business Licensing Requirements (2025) Sources: CA SOS, City of Long Beach, State DOR
Requirement Agency Fee Resource
California entity registration (LLC or Corp) CA SOS $70 (LLC) / $100 (Corp); Annual Franchise Tax: $800 minimum www.sos.ca.gov
Annual state fee / franchise tax State revenue or SOS $800 CA Franchise Tax + Long Beach Business License Tax State filing portal
Local business license / registration City of Long Beach $91–$500+/yr based on gross receipts (tiered) www.longbeach.gov
State sales/excise tax permit State DOR Free State tax portal
EIN (Federal) IRS Free irs.gov

Registration Steps

Step 1 — Form your entity at CA SOS (https://www.sos.ca.gov/business-programs/business-entities/). Fee: $70 (LLC) / $100 (Corp); Annual Franchise Tax: $800 minimum.
Step 2 — Obtain EIN at irs.gov (free).
Step 3 — Local license: City of Long Beach Business License Tax Certificate. Fee: $91–$500+/yr based on gross receipts (tiered). URL: https://www.longbeach.gov/finance/business/business-license/.
Step 4 — Sales tax: Cleaning services are EXEMPT in California. California does NOT tax janitorial service labor. Separately billed cleaning supplies are taxable at Long Beach's combined rate of 10.25% (6% state + 1.25% Los Angeles County + 1% city + 2% Measure US district). Mixed contracts must itemize labor.
Step 5 — Workers' comp: Required for 1+ employee (CA DIR). Rates among the highest nationally..

Special Permits

CalEPA Safer Consumer Products compliance; CARB VOC compliance; Port of Long Beach vendor registration if cleaning port facilities.

Insurance Minimums

Standard Insurance Requirements — Long Beach Cleaning (2025)
Coverage Minimum Notes
GL per occurrence $1,000,000 Most property managers require $2M
GL aggregate $2,000,000 Healthcare/gov may require $5M umbrella
Workers' Comp Required for 1+ employee (CA DIR). Rates among the State-specific threshold
Commercial Auto $100K/$300K min If employees drive to sites

Sales Tax: Long Beach (10.25%)

California does NOT tax janitorial service labor. Separately billed cleaning supplies are taxable at Long Beach's combined rate of 10.25% (6% state + 1.25% Los Angeles County + 1% city + 2% Measure US district). Mixed contracts must itemize labor.

Union Considerations

SEIU-USWW Local 1 and Local 87 cover commercial BSC workers in the LA Basin. Port of Long Beach facility cleaning requires specific port authority clearances and may involve union agreements.

Long Beach Local Market Context

Long Beach is a major port city with extensive warehouse and logistics cleaning needs (Amazon, UPS, USPS distribution centers near the port), healthcare facilities (Long Beach Memorial Medical Center), and a growing downtown commercial district. The LGBTQ+ and arts communities along Pine Avenue generate retail and hospitality cleaning demand. BLS 2024 median janitorial wage: $17.80/hr (LA metro).

Frequently Asked Questions

Does Long Beach require a separate business license from Los Angeles County?

Yes. Long Beach is an independent charter city inside LA County, so it issues its own Business License Tax Certificate that stands entirely apart from anything the county handles. Plan on three layers of paperwork: the Long Beach city license, entity registration with the California Secretary of State, and franchise tax compliance with the CA Franchise Tax Board. Assuming a county-area registration covers you here is the mistake that stalls first invoices.

How do I get in on Port of Long Beach cleaning contracts?

Port work is posted on the Port's own procurement portal at polb.com, and the adjacent Port of Los Angeles runs its solicitations the same way. Before you bid, price in the credentialing: port facility cleaning requires physical security clearances for your employees, and anyone working waterside needs a TWIC (Transportation Worker Identification Credential) card. Build that vetting into your staffing plan, because a crew that cannot clear the gate cannot service the account.

Are cleaning services taxable in Long Beach?

No — California exempts cleaning service labor from sales tax, so your janitorial billing stays clean. The exposure is on the supply side. Long Beach carries one of the highest combined sales tax rates in California at 10.25%, and cleaning supplies sold separately to a client are taxable at that full rate. If you pass chemicals or paper goods through to accounts, quote them knowing 10.25% rides along.

I'm relocating a solo operation from elsewhere in LA County — what actually changes?

The city layer changes, and it is not optional. Because Long Beach is a charter city, your prior registration elsewhere in the county does nothing here; you need a Long Beach Business License Tax Certificate in your company's name. Your CA Secretary of State entity registration and Franchise Tax Board standing carry over, so the real work is the city filing, plus repricing any supply pass-throughs at the local 10.25% combined rate.

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.

Methodology · Editorial standards · Corrections policy · About Opora

Licensing