A laundromat is an equipment-and-lease business: machines and the build-out are the main investment, and revenue comes from customers in a dense neighbourhood who don't have in-home laundry. Location demographics and the lease term matter more than almost anything else.
1. Buy existing or build new. Buying an existing laundromat gives you a sales history to verify; building new lets you choose modern efficient equipment.
2. Study the location. Look for renter-dense neighbourhoods, limited competition, parking and visibility.
3. Negotiate a long lease. Equipment is financed over years, so lenders often want a lease that runs at least as long as the loan.
4. Choose equipment and payments. Efficient washers lower utility bills. Card and app payment systems reduce coin handling.
5. Plumbing, venting and permits. Laundromats need heavy water, drain, gas and electrical capacity. Get building permits and utility upgrades priced early.
6. Add services. Wash-dry-fold, pickup and delivery and commercial accounts make better use of the space.
7. Write the business plan. Equipment lenders and SBA loans require a plan with turns per day, vend pricing and utility costs.
Revenue is self-service wash and dry vends, plus wash-dry-fold, pickup and delivery, and commercial accounts (salons, gyms, Airbnb hosts). Service revenue raises sales per square foot. Rent, utilities (water, gas, electricity) and machine maintenance are the main costs; staffing is light for self-service.
Is buying an existing laundromat better than building one?
Buying gives you a verifiable sales history; building gives newer, more efficient equipment. Either way, check utility bills and lease terms closely.
How do laundromats make more money?
Adding wash-dry-fold, pickup and delivery and commercial accounts on top of self-service vends.
Can I get an SBA loan for a laundromat?
Yes — laundromats are commonly financed with SBA and equipment loans, which require a business plan.