Are you interested in investing in a coin laundry? Like all investments, laundromats come with a variety of pros and cons. It is up to you to compare the advantages and disadvantages, reflect on the possibilities, and decide if an opportunity lines up well with your personal business goals. To help you decide, today we’ve compiled a list of significant benefits that come with opening a coin laundry business.
Benefits of Investing in a Coin Laundry
Impressive Success Rate. According to Speed Queen, laundromats have a nearly 94.5% success rate (source). This may be because 90% of laundromat patrons become repeat customers. As long as you choose your location carefully, research and respond to your competitors, and create a business that reflects customers’ needs, there is no reason you can’t succeed. Plus, laundromats are resistant to recession because laundry is not typically viewed as a luxury, and families won’t sacrifice it in tough times.
Tax Advantages. Did you know that you can claim your laundry equipment’s depreciation as a loss on your annual taxes? Over time, this can be a lucrative tax advantage, giving you more revenue to invest back into your business.
High Return on Investment (ROI). Assuming you take care of your laundromat by using high-quality equipment, completing repairs quickly, and offering great customer service, you can expect to see a high return on your investment. Although laundromat revenue varies greatly from business to business, on average, American laundromats see a 20-35% ROI (source).
Cash Only. Your customers will be paying up front and in cash: a dream for most small business owners. You won’t have to worry about spending time or money on many tiresome, monotonous accounting responsibilities.
Low Startup Costs and Few Labor Costs. As you compare laundromats to other investment opportunities (such as car washes and franchises), you’ll find that they often have a significantly lower startup cost. Plus, because your customers will operate the machines on their own, you will have very few labor costs as well. In fact, most laundromats only hire 0-2 employees.
Adaptable to Your Lifestyle. Some laundry owners run their business as a full-time job, while others moonlight and continue to work a day job. Some own only one laundromat, while others balance multiple locations. A coin-operated laundry business can be adapted to your lifestyle and goals, making it very flexible and undemanding. You won’t have to sacrifice your personal life in order to run a successful business.
Are you ready to invest in a coin laundry business? If you’re looking for a reliable distributor, be sure to check out Laundry Solutions Company, a full-service provider of premium vended, on-premises, and multi-housing commercial laundry equipment.
Since 1976, we have been providing exceptional sales support, laundry design services, commercial laundry equipment (and leasing options), and laundry equipment service and parts. Although headquartered in Springfield, MO, we also operate out of Tulsa, Kansas City, and St. Louis, and we’re proud to be the sole authorized distributor for Speed Queen equipment in the states of Arkansas, Missouri, and Oklahoma. To learn more about our products and services, please give us a call at 800-383-9274 or contact us online. We look forward to hearing from you!