Jul 2, 2025
How to Buy a Laundromat: Step-by-Step Guide
Buying a laundromat can be one of the most rewarding small business investments you’ll ever make—if you do it right. In this comprehensive guide, you’ll find practical, actionable advice on how to find, evaluate, and purchase a laundromat, along with insights on preparing your business for long-term success.
Few industries offer recession-resistant revenue, minimal inventory, and high success rates—over 90% of laundromats stay in business. Coupled with average profit margins of 20-35%, laundromats provide a stable income opportunity.
Research Your Local Laundry Market
Understanding your market is the bedrock of a successful laundromat purchase. Solid research helps you avoid costly mistakes and ensures you a location with strong demand.
Analyze Local Demographics
Look for areas with high renter populations, multi-unit housing, and limited in-unit laundry. These customers rely on laundromats for everyday needs, making locations near apartments, colleges, or densely populated neighborhoods ideal.
Evaluate Demand for Services
Research whether local customers prefer self-service laundry, wash-and-fold, or pickup and delivery. Communities on Reddit (r/Laundromats), or industry forums (Laundromat Resource, Laundromat Millionaire) can give real-world insight into evolving customer preferences.
Assess Competition
Visit other laundromats at different times of day. Note their foot traffic, cleanliness, equipment quality, and pricing. This will help you identify gaps you can fill—like better hours, cleaner facilities, or modern services.
Study Local Regulations
Check zoning laws and local ordinances early. Some municipalities have strict water usage regulations, equipment restrictions, or licensing requirements.
Determine Your Budget and Costs
A detailed understanding of costs ensures your investment is financially sound and sets realistic expectations.
Upfront Costs: How Much Does It Cost to Buy a Laundromat?
Laundromat purchase prices typically range from $200,000 to over $1 million depending on size, location, and equipment. Beyond the purchase price, plan for:
Renovations: Updating interiors, improving lighting, and modernizing décor.
Equipment upgrades: Replacing outdated machines can cost $100,000–$300,000.
Working capital: Covering ongoing costs for at least 3–6 months.
Ongoing Expenses
Expect ongoing costs for utilities (often 15–25% of revenue), rent or mortgage, insurance, maintenance, supplies, and marketing. Sites like BizBuySell often list estimated utility bills and expense breakdowns in laundromat listings.
Financing Options
Explore SBA loans for favorable rates, or seller financing for flexible terms. Compare lenders, including conventional banks and private lenders, to find what suits your financial situation.
Find Laundromats for Sale
You’re ready to start your search—here’s where to look for the best deals.
Online Marketplaces
LoopNet & CREXi: Search commercial listings, filter by state, price, and size, and find laundromats with photos, financial summaries, and broker details.
BizBuySell & BizQuest: Offer thousands of laundromat listings nationwide, with insights on gross income, net profits, and seller notes.
Local Resources
Check Craigslist for unlisted opportunities. Join local small business associations or attend real estate networking events—word-of-mouth tips often uncover laundromats before they hit the market.
Brokers and Direct Contact
Engage laundromat brokers experienced in your region. Or take a proactive approach: visit laundromats you admire and chat with owners—some might be considering a sale or know of others who are.
Social Media and Forums
Join laundromat groups on Facebook (Laundromats For Sale US, The Laundromat: Commercial Equipment Sales, Solutions & Funding), LinkedIn, or Reddit’s r/laundromats to find leads and advice directly from owners and operators.
Evaluating Listings
Once you find potential opportunities, dig deeper to ensure they’re worth pursuing.
Key Evaluation Factors
Location Quality: Accessibility, parking, foot traffic, and neighborhood safety.
Lease Terms: Favorable lease conditions provide long-term stability; watch for hidden escalations.
Equipment Condition: Determine age, efficiency, and maintenance history.
Revenue Streams: Wash-and-fold, pickup and delivery, vending, and commercial accounts all increase earnings potential.
Financial Performance: Review income statements, utility bills, and cash flow. Compare reported revenue with utility usage—a mismatch can signal unreported cash sales or inflated figures.
Conducting Due Diligence
Due diligence protects your investment by verifying the business’s financial, legal, and operational health.
Financial Review
Analyze 2–3 years of tax returns, bank statements, and utility bills. Reconcile reported income with actual utility usage to validate earnings.
Operational Assessment
Inspect equipment in person. Look for signs of wear, inconsistent maintenance, or outdated models. Confirm service contracts or warranties.
Legal and Compliance Checks
Verify zoning compliance, licenses, and permits. Consult an attorney experienced in small business acquisitions to review lease agreements and business documentation for hidden liabilities.
Use the Laundromat Due Diligence Checklist from the Coin Laundry Association or consult a laundromat accountant to analyze financials, identify red flags, and confirm seller claims.
Negotiate Smartly and Secure Financing
With due diligence complete, you’re ready to make an informed offer and secure financing.
Make an Offer
Use your research to determine fair market value. Include contingencies like financing approval, satisfactory final inspection, or updated equipment servicing.
Negotiate Terms
Beyond price, negotiate lease assignments, transition support from the seller, and equipment warranties. A skilled broker can help structure terms to protect your interests.
Secure Financing
Finalize financing by providing lenders with business plans, financial statements, and your acquisition proposal. Strong documentation improves your chance of approval and favorable terms.
Close the Deal and Transition Operations
Once your offer is accepted, you’re almost there—but the final steps are critical.
Prepare Legal Documentation
Work with professionals to draft a purchase agreement, lease transfer documents, and any licensing updates. Enter escrow until all conditions are met.
Conduct Final Inspections
Before closing, inspect the premises, confirm inventory, and ensure equipment is operational and matches the terms of your agreement.
Finalize the Purchase
Sign closing documents, transfer funds, and receive keys and business records. Notify customers and suppliers of the change in ownership.
Optimize and Grow Your Laundromat Post-Purchase
The first months after purchase set the tone for your success. Use this period to make improvements and establish your reputation.
Upgrade Equipment and Facilities
Modern, energy-efficient machines reduce operating costs and attract new customers. Refresh the space with updated décor, comfortable seating, and good lighting.
Streamline Operations
Consider implementing laundromat management software to handle POS transactions, pickup scheduling, and customer loyalty programs.
Boost Your Online Presence
Your online reputation is critical—many customers will search online before ever visiting your store. A professional, mobile-friendly website increases credibility and generates new business.
At Studio Ecks, we specialize in laundromat websites that are beautifully designed, easy to navigate, and optimized for search. We also offer paid advertising and branding services tailored to laundromats, so your business looks as professional online as it does in person—and reaches more local customers from day one.
Invest in Marketing
Launch local SEO campaigns so your laundromat ranks highly on Google Maps and local search results. Run targeted paid ads to reach customers in your neighborhood. Promote your services with clear, professional branding to stand out.
Build Long-Term Profitability
Introduce profitable services like wash-and-fold or pickup and delivery. Consider corporate accounts with apartment buildings or hotels. Reward loyal customers with promotions and referral programs.
