How To Start A Laundromat Business

To start a Laundromat, one should begin with researching how to create a business plan and a marketing plan. Creating a business plan and a marketing plan for a Laundromat is the most effective way to explore the potential viability of a new or existing Laundromat business.

Business and Marketing Plans

If borrowing money from banks or investors will be needed for your start- up cost, it will be most important to start with well-prepared business and marketing plans. These will insure the banks or investors of the potential long term success of the Laundromat business. This will be a great time to think about naming your business. You may want a new name, or you may want to keep the established name of the existing Laundromat business.

Location

Location, location, location! It is crucial to find an existing Laundromat business or to start a new Laundromat business in a demographic area that responds best to this public service. Locations that are in high traffic areas afford visibility for the Laundromat service. How to start a Laundromat in the best location, of course, is to start the business in the most visible location, but also in a community with the greatest need for Laundromat services.

Demographics

The most efficient demographics for Laundromat businesses are businesses that are in high traffic areas located near apartment complexes, college students, and low income families. Many apartment complexes provide Laundromat services, however, for various reasons, the Laundromat services that are provided may not meet the needs of all of the tenants. As for college students that live on and off campus, they need available laundry services. Many Junior and Community Colleges do not provide dorm living and students attending these colleges may benefit from the use of public laundry services. Low income families’ benefit from having Laundromat business’s in their areas, because it is not always affordable to own, replace, or repair washers and dryers.

Fictitious Business Name

Name your business or keep the name of the pre-existing establishment that you are interested in purchasing. The new or old name of the business is called a fictitious business name. The fictitious business name must be registered with the City or County that keeps the vital records for the area where your Laundromat business will be in service. A fictitious business name will be needed before you are able to open up an official business banking account for your Laundromat business. Your business and marketing plans should reflect your fictitious business name.

Business licenses

Your local, state, and federal agencies are where you must start while learning what licenses you need to start a Laundromat Business. It will be pertinent to contact your city clerk’s office or your county courthouse for licenses that are needed for starting a Laundromat business. Your city or county may require special licenses or certifications for your particular area. A Federal ID Number for your Laundromat business must be issued by The State Board of Equalization. You will need to obtain a vendor’s license from the Franchise Tax Board.

INSURANCES

Insurance for your Laundromat Business will be part of securing the business against unexpected problems. Liability and property damage insurance will cover the business against losses that customers may face, or losses that may be incurred by unexpected property damage. You may consider getting additional insurances that may cover damages that could be caused by natural disasters or some unforeseen catastrophe.

COMMERCIAL LAUNDROMAT EQUIPMENT

If your establishment is new, you will be purchasing commercial Laundromat equipment. There are companies that specialize in supplying vendors with new and use equipment. Speed Queen is a very popular establishment in providing services for coin operated businesses. The Coin Laundry Association is an established organization that is dedicated to servicing coin laundry vendors.