Washers, dryers and pressing lines cost a lot to buy and keep running. Replacement and build-out are the big-ticket decisions in this trade.
Apply Now →A laundromat sells the use of machines, and a dry cleaner sells the work done by them. In both cases, equipment is the business. When washers, dryers or cleaning and pressing machines are running, income comes in a steady stream of small payments. When they are not, the income is zero. That is why equipment replacement dominates the finances of this trade.
In dense neighborhoods, many customers have no machines at home, so a laundromat's volume is steady, but its customers are quick to switch if machines are broken or the store looks run-down.
| Laundromat | Dry cleaner | |
|---|---|---|
| Revenue pattern | Many small payments through coin, card or app | Per-garment orders, plus pickup and delivery accounts |
| Main equipment | Commercial washers and dryers | Cleaning machines, presses, conveyors, finishing equipment |
| Staffing | Attendants, wash-and-fold workers | Counter staff, pressers, spotters |
| Ongoing costs | Water, gas, electricity, rent | Solvents or cleaning supplies, utilities, rent |
Commercial machines can run for years but they do not last forever, and replacements come as a bill for many machines at once. A new store, or a renovation of an existing one, adds plumbing, venting, electrical capacity and flooring work to the machine price. Landlords in older buildings may also limit what can be changed, which affects scheduling and cost.
Card readers and app-based payment systems are also now standard. They cost money to install but can raise convenience and make revenue easier to track.
Many laundromats add drop-off service. It takes staff time and may need extra space, but it brings recurring revenue that does not depend on foot traffic in the same way.
Water, gas and electricity are major ongoing costs in this trade, and newer machines are often more efficient. When you compare a replacement with continuing repairs, include utility savings along with the purchase price. An old dryer that runs inefficiently may cost more to operate than it appears.
Leases deserve attention too. A short remaining lease term makes a large equipment investment riskier, since you may not stay long enough to recover it. Many owners negotiate a lease extension before committing to a major upgrade. Finally, put a price on downtime. A row of broken machines on a busy Saturday is lost income, plus lost customers who may not come back.
For illustration only: an owner replacing eight dryers and adding card readers might face a bill of $90,000. The operating question is how much additional revenue the newer machines and a better-looking store will earn, and over what period. Machines that break less often, use less energy and attract more customers can help repay themselves, but only if the neighborhood has the demand.
Funding runs from $25,000 to $5,000,000, as little as 24 hours. We consider FICO 500 and up and ask for about three months of business bank statements. No tax returns are required. The application takes five minutes and uses a soft credit pull. Sole proprietors can apply. Apply here.
Yes. Sole proprietors can apply. About three months of business bank statements are requested, and no tax returns are required.
Equipment replacement is one of the most common uses for this trade, since many machines often need replacing together.
Build-out costs, including plumbing, venting and electrical work, are typical expenses that working capital can cover. Check your lease for what the landlord allows.
It can bring recurring revenue, but it requires staff and space. Plan for payroll before the new revenue builds.
No. A soft credit pull is used.
Three months of business bank statements and a 5-minute application. FICO 500+ considered. $25,000 to $5,000,000, funded in as little as 24 hours.
Apply Now →It takes about two minutes and it will not affect your credit score.
No obligation • No impact to your credit score
