A well-run laundromat can be a profitable venture, but a business’s first impression on a community can also have a huge impact on its overall success. It’s important to do a little research before you open a laundromat in order to put your best foot forward. What do you need to know before opening a laundromat?
What Do I Need to Know Before Opening a Laundromat?
On its face, a laundromat may seem like a simple operation. However, if you want to run a business you can be proud of, it’s worth your time to learn as much as you can about the complexities of the laundry business before you open your doors. What kind of things do you need to know before opening a laundromat?
What Does the Local Competition Look Like?
Before you open your laundromat, it’s good to know who else in your area is already operating one and what specific kinds of laundry services they provide their customers. This may feel like being nosey, but it’s actually a great way to identify unique opportunities to attract people to your business. Scope out the equipment and services offered by your competition, and see what gaps you can fill for your prospective customers.
Do You Have the Start-Up Capital You Need?
While laundromats make a lot of money, it’s undeniable that it does cost a little bit of cash to get one off of the ground. In smaller cities, a laundromat can cost upwards of $200,000 to purchase and operate. In more expensive locales, like New York City, a laundromat owner could find themselves investing upward of one million dollars before the doors even open! In addition to that, you may need to be able to cover expenses like utility bills before the location starts to turn a profit. Be sure to plan and budget carefully.
Who Is Your Ideal Customer?
You probably already have an idea of who your ideal laundromat customer is. However, if you don’t do some customer research, you might miss out on potential markets in your neighborhood. For example, restaurants with napkins and tablecloths can become long-term contract customers, providing reliable income. Do some research into who is located in the neighborhood and what they use laundromats for. Be prepared to make some cold calls if needed.
Is Your Laundromat a Legally-Operating Business?
Is your laundromat an LLC, a partnership, or a corporation? If you aren’t sure how to answer that question, it’s important for you to find out before your laundromat opens. The paperwork required to turn your laundromat into a legal business entity may be complicated, but doing it correctly can save you big headaches down the line, especially if something goes wrong. The right legal structure for your laundromat can also make aspects of running your business easier, such as keeping up with business taxes. Consult with a lawyer to find the right legal solution for your situation.
How Can You Give Your Customers the Best Experience Possible?
In the end, your success as a laundromat owner will come down to the customers you attract and maintain. Because of that, it’s worth it to take a little time and consider how you can go the extra mile to keep them happy. Modern perks like wi-fi and digital payment systems are a small investment that can have a big payoff. How can you make a customer’s time at your laundromat the best that it can be?
Opening a laundromat can be a challenging thing, so don’t do it alone. Laundry Solutions Company has been in the business for over 40 years, and we are ready to use our experience to help you find the answers you need.
Are you looking for the equipment you need to run a truly modern laundromat? 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. 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!