How To Make A Profitable Laundromat In Florida
Launching a profitable laundromat business becomes simpler when you have the right information about how much do laundromats make. Florida, being a bustling commercial hub, is stacked with endless possibilities for you to buy a laundromat. Whether you’re seeking out a laundromat for sale in Florida or are interested in coin laundry for sale, the endeavor requires meticulous business judgment and savvy. The process of buying a laundromat involves taking into account multiple considerations such as location, capacity, maintenance, and more.
The potential to grow is significant, with plenty of laundromats for sale. So, if you’ve been considering this business endeavor, learning how to buy a laundromat should be your next move. Embrace the possibility and prepare to operate a profitable laundromat business with the best available laundry mat for sale opportunities.
Benefits Of Owning or Buying A Laundromat
- Your business is a necessity
- Not affected by seasonality
- Repeat customers
- Low labor cost
- Low risk of failure
Run Down Of The Investment
The average initial investment for a laundromat starts at $200,000. This will increase with added laundry machines and equipment, number of square feet of the facility, and the types of machines. The more you add to a customer’s experience, the more you will see back in returns.
It is recommended to have a minimum of 20 washers and 20 dryers.
The $200,000 is just an estimate and varies largely on preference and other factors. Here are some other factors that will affect your initial investment.
- Business entity fees- cost around $200-$1,000
- Buying vs building a laundromat- a new build will cost around $200,000-$500,000
- Municipal fees- this varies largely by location and is priced per washer
- Cost of machines- varies by manufacturer
- Card readers- cost around $40,000-$80,000
- Water heating system- cost varies from $15,000-$40,000 depending on the size of the location
- Supplies- laundry carts cost about $75 each and you will want at least 10
- Down Payment- banks generally ask for 20-30% down payment
Low Labor Cost
Since laundromats are self-service the number of staff needed is extremely low. The savings on labor is extremely unique to this business and is a big money saver, which is why many people are interesting in buying a laundromat. Most laundromats function perfectly with just one staff member at a time. This staff member can also function as an in-house laundry service member. This is a common option given by most laundromats where people can bring their clothes and have them washed, dried, and folded by a staff member for an additional fee.
Revenue Generation Ideas
Operating a laundromat is advantageous because most people stay in the location while their clothes are being washed. This allows the business about one to three hours to increase revenue while they’re in the store. Make their wait more enjoyable and increase revenue with these options:
- Arcade games
- Food and drink vending machines
Add-ons For Additional Profit Generation:
- Laundry detergent, fabric softener, and dryer sheet vending machines
- Special wash/dry cycles
- In-house staff to wash and fold people’s laundry
- Drop off laundry services
- Amazon pickup boxes
Differentiate Your Laundromat With These Features:
Laundromats are similar to car washes in a lot of ways, the main one being they’re both chores and they both require people to go to a business to get the task done. Instead of being somewhere they have to go to, be a destination they want to go to. Make the experience more desirable and convenient by offering amenities such as:
- Free Wi-Fi
- Business stations for working professionals
- Reloadable cards to use on the machines instead of coins
- Kids play areas
If you’re wondering how much profit you can make from a laundromat business, the answer is a high return on investment (ROI). Laundromats can net around 20-35%, while other businesses typically see only 10-15% ROI.
To give you an idea, if you invest $200,000 in opening a laundromat, you can expect to make $40,000-$75,000 in profit. It’s a smart investment with a great ROI.
Why Florida is an Ideal Location for a Laundromat Business
Florida is a great place for a laundromat business for several reasons. The hot and humid weather in the state means that people have to do more laundry. This translates into a greater demand for laundromat services, making it a profitable business idea.
The Climate Creates a Need for Frequent Laundry Services
The climate in Florida is hot and humid, which means that residents and visitors have to deal with sweaty clothes and frequent trips to the laundry. Owning a coin-operated laundry business in Florida can be lucrative, as it meets the needs of customers who require laundry services frequently.
The Tourist Industry Boosts Business
Florida’s tourist industry attracts visitors all year round. Although they may not be repeat customers, tourists have the potential to increase business in the laundromat industry. Visitors often need laundry services while they’re away from home, which creates a new set of customers for laundromats.
High Demand for Laundry Services
In Florida, there are many cities with older buildings that may not have the capability to hook up washers and dryers. This creates a demand for laundromat services among residents who do not have the option of installing a washer and dryer in their home. Additionally, some people find that using a laundromat is more cost-effective than investing in their own washer and dryer.
Picking The Right Location
Choosing the location of your laundromat is crucial. Keep in mind the factors listed above when choosing your location. The rent to own percentage should be 35% renters in the area you choose. Placing a laundromat in a suburb with newly constructed houses may not be the best decision, but a densely populated area with older homes and buildings would be.
More specifically a shopping plaza is a great location for a laundromat. Since people are there doing other chores it makes it convenient and accessible if your customer doesn’t own a car.
Consider laundromats already in the area you are choosing. Competition can negatively affect your business so finding an area that doesn’t have many laundromats or that is up-and-coming with a large rental population would be ideal.
There is also the option of finding a struggling laundromat and giving it a facelift if you’re a go-getter that’s willing to put in the time and money. This would be beneficial for you because people would have already frequented that location and would be even more willing to come back to a nicer one.
What Should Your Laundromat Look Like?
You will want your laundromat to be inviting. Clean signage and an immediate street appeal are crucial. You will notice a lot of laundromats nowadays are large with colorful signs. They look like an adult playground at first glance.
Parking is also very important. There should be ample spaces conveniently located near the entrance.
Making And Maintaining Profits
Cleanliness, friendly staff, working machines, and extra services offered are ways to gain repeat customers. People are going to a laundromat to clean their clothes, so if it’s dirty that’s the fastest way to drive away business.
According to Brian Wallace of the Coin Laundry Association laundromats that follow the things listed above should see 35% profit margins.
Hours Of Operation
Hours of operation is an important factor to consider that will change based on location, customer base, and your preference. For example, if you’re in a college town it would be best to keep your facility open 24 hours a day since their schedules are often variable.
Saturday and Sunday have the highest foot traffic in laundromats so definitely be open those days.
If you’re not going to be open 24 hours a day it’s best to have an easily memorizable schedule that opens early in the morning and stays open till late at night. A 6 a.m. to 11 p.m. schedule is how most laundromats operate.
As mentioned above it is critical to have all your machines running at tip-top shape, not only for the customer’s convenience but for your profits. If a washer or dryer is out of service that’s money you’re not making. When you buy, lease or rent with Commercial Laundries of West Florida we back all of our products, therefore when something needs to be serviced we come and repair it.
While the cost to create a laundromat may be high we are here to help you with financing options that help you generate profit quickly.
At Commercial Laundries of West Florida were committed to helping you find the best quality commercial laundry equipment in Florida. We have multiple commercial laundry locations across the state in Tampa, Orlando, and Brevard. Our seasoned staff is ready to listen to your needs and provide the best recommendations from top quality brands like Huebsch, Maytag, Whirlpool, and Speed Queen. So whether you are looking to rent, lease, or buy commercial laundry equipment we are here to help. Don’t worry about installation, we have that covered too.
Contact us online or by phone at 1-800-876-1477.