Laundromats depend on large amounts of essential equipment and therefore must keep them in top shape. But it’s only natural for washing machines and driers to break down, especially older models. If one machine breaks, there’s a good chance another one made in the same year will follow suit.
In addition to broken machines, laundromats often deal with plumbing problems caused by excessive water usage. These issues must be fixed immediately, and not just because new technology is more efficient. Too many “out-of-order” signs will persuade customers to give their business to one of the several other laundromats in the area.
Maintaining an up-to-date supply of machines would likely be a lot easier were it not for the massive utility bills associated of thriving laundromats. They use a high amount of electricity, water and sewage on a daily basis. Monthly rent is incredibly high as well, which isn’t much of a surprise when you consider the role of location in a laundromat’s success.
Speaking of location, adding property is extremely difficult for laundromats. They can only open new locations in busy, expensive areas, and that’s assuming they can afford to buy all those new machines. Another popular route to expansion for laundromats is offering new services, like dry-cleaning. It could take a number of months, however, for these new services to bring in enough revenue to finance their cost.
Fundture Capital has many years of experience providing Small Business Loans for Laundromats & Dry Cleaners. We can provide all types of business lending products. Contact us today for your FREE business funding consultation!