Knowing When and Why to Sell Your Janitorial Business 

By Tim Murch, CBSE, and Andrew Rust 

4M Building Solutions, a leading commercial cleaning provider established in 1978, has completed 40 successful acquisitions in the cleaning industry. Drawing from extensive experience, 4M presents this article to guide business owners through the process of determining when and why to sell their commercial cleaning business. 

For most janitorial business owners, the company represents far more than income. It reflects years of effort, relationships, and personal investment. Because of that, selling can feel uncomfortable or even disloyal. Yet selling is a natural stage in the life of any successful business. Understanding both when and why to sell is key to making a decision that aligns with long-term personal and professional goals. 

A single event rarely sparks the decision to sell. Instead, it is usually the result of a convergence between market conditions, internal business health, and personal readiness. This article explores why janitorial service owners decide to sell, the signals that indicate the timing may be right, and how owners can think strategically about the decision. 

The Lifecycle of a Janitorial Business 

Most janitorial businesses grow the same way. In the beginning, the owner does just about everything: selling accounts, cleaning buildings, hiring and training staff, filling in on the frontline when needed, and managing billing. As the company grows, systems take shape, supervisors are added, and day-to-day operations become more organized, allowing the business to rely less on the owner being involved in every detail. It’s often at this stage that owners begin to think about what comes next. 

The Why

Before determining when to sell, an owner must first grapple with the why. One of the most common reasons for a sale is personal change. Life circumstances evolve, and what once made sense may no longer fit. The following are some common personal reasons why owners sell their janitorial services business. 

1. Burnout

Janitorial services is an extremely demanding business. It’s a 24/7 job including nights, weekends, and holidays. Owners must deal with high employee turnover, and customers require constant attention to ensure quality control. After decades of managing schedules, client complaints, staffing shortages, and emergencies, naturally, many owners experience burnout. Even if the business is profitable and stable, the mental and physical toll can lead owners to want to relieve themselves of the intense responsibility of owning and operating their own business. 

2. Something New 

Some owners reach a point where they want to do something different. This may include retiring, spending more time with family, pursuing another business opportunity, or focusing on personal interests that were put on hold during the growth years. Selling the business can provide the freedom to redirect time and energy without the ongoing demands of ownership. 

3. Health or Family 

Health challenges, either personal or within the family, can make the round-the-clock nature of a janitorial business difficult to sustain. Similarly, changes such as caring for aging parents, supporting a spouse’s career move, or wanting greater geographic flexibility can influence the decision to sell. 

4. No Succession Plan 

Many janitorial businesses are closely held, and owners often assume that a family member or long-time employee will eventually take over. When that assumption proves unrealistic, selling becomes a practical alternative. If there is no clear successor who wants and can run the business, an external transition may be the most responsible option for employees and customers. 

Beyond personal motivations, operational and market factors can make selling a logical step. 

5. Plateauing growth 

A janitorial business may reach a size where organic growth becomes increasingly difficult. Competition increases, margins tighten, and winning new accounts requires more resources than before. If the owner feels that taking the business to the next level would require changes they are unwilling or unable to make, such as expanding into new markets or service lines, selling may be preferable. 

6. Increasing complexity 

As janitorial companies grow, complexity increases. Compliance requirements, insurance costs, labor regulations, technology systems, and customer expectations are becoming increasingly demanding. Some owners enjoy managing this complexity, while others find it draining. When the business becomes more bureaucratic than entrepreneurial, it can prompt owners to consider a sale. 

7. Labor challenges 

Recruiting, training, and retaining frontline cleaning staff has become increasingly difficult in many markets. Rising wages, competition from other industries, and changing workforce expectations add pressure to owners. For some, these challenges are manageable; for others, they signal that it may be time to step away. 

When to Sell 

Deciding why to sell is only part of the equation. Recognizing when to sell requires honest reflection on the business’s condition and the owner’s readiness. A successful exit is a proactive choice, not a reactive escape. Owners should look for the following indicators to determine if the time is right. 

1. Business is Fine 

One key indicator that timing may be right is when the business no longer depends on the owner’s constant presence. If supervisors, managers, and systems are in place to handle operations, customer communication, and staffing issues, the company is likely more transferable and less stressful to transition. 

2. Financial Stability 

Numbers aren’t everything, but consistency counts. Steady revenue, solid customer relationships, and reliable growth are signs of a well-run business. Many owners find it feels better—and more in their control—to consider a sale from a place of stability rather than waiting until issues start to pile up. 

3. It’s Time 

Emotional readiness is frequently overlooked but is one of the most important factors to consider when determining when to sell. Owners who feel relief rather than anxiety when imagining life after the business are often closer to being ready to sell. Conversely, those who cannot envision stepping away or who feel deep resentment at the idea may need more time to prepare mentally. 

4. External Changes 

Changes such as lease expirations, major contract renewals, or upcoming capital investments can also influence timing. Owners may decide that transitioning ownership before these events allows someone else to navigate the next phase. 

Common Misconceptions 

Many janitorial business owners delay selling because of misconceptions. One common belief is that selling means leaving employees or customers behind. In reality, a well-planned transition often creates continuity and new opportunities for both. Another misconception is that owners need to wait until they’re exhausted or forced by circumstances before considering a sale. In practice, selling earlier while the business is strong and the owner is energized can lead to a more positive experience for everyone involved. 

There is also the idea that selling is an all-or-nothing decision. Some owners assume they must completely walk away immediately. While every situation is different, many transitions involve phased exits that allow owners to remain involved for a period of time after a sale. 

Preparing for the Decision 

Even when the motivations and timing align, selling a janitorial service business is a significant emotional event. Owners often underestimate how tied their identity is to the company. The business may have defined their daily routine, social interactions, and sense of purpose for decades. Preparing mentally means acknowledging that selling is not just a transaction; it is a life transition. Owners benefit from thinking ahead about how they will spend their time, what will replace the sense of responsibility they are letting go of, and how they will stay engaged and fulfilled after the sale. Owners should take the time to reflect and plan for life after a sale before pursuing a sale. Doing so not only alleviates uncertainty but can also create excitement and enthusiasm for a transition, both of which increase the probability of a successful sale. 

Selling as a Strategic Choice 

Selling a janitorial service business should be viewed as a strategic choice rather than a reaction to stress or external pressure. The best decisions come when owners pause and think honestly about what they want next. For some, that means staying involved in the industry in a new way. For others, it’s stepping away to focus on personal priorities. There’s no right or wrong path, only what’s right for the individual. 

Tim M. Murch, CBSE, is CEO & Managing Partner of 4M Building Solutions, a 46-year-old janitorial services company with sales just under $250million, operating in 27 states with 6,700 team members. Tim and 4M have successfully completed 34 acquisitions (as of press time). 4M partnered with O2 Investment Partners at the end of 2022 with 4M being the platform company leading acquisitions and further organic growth.  

Andrew Rust is Head of Corporate Development & M&A for 4M Building Solutions. Andrew has over a decade of experience in finance, operations, corporate strategy, and mergers and acquisitions. Having closed more than 30 transactions representing over $700 million in transaction value, Andrew is an expert in acquiring and partnering with founder-owned & operated businesses.