Investing in a Laundromat is one of the smartest moves you can make. This is especially the case if you purchase the property where your Laundromat will operate. Not only will you have a fully functioning business – you will also have property that you can sell later on. However, buying a Laundromat will require thinking about a number of important factors. The last thing you want is to make a bad bet and wind up losing money. However, with a little planning, you will have an ideal blueprint for a business that doesn’t require you to be in an office all day and that can net you some serious profits. Here is how to evaluate and buy a Laundromat.
- Survey the property – make sure there are no issues with the foundation or other essential structural elements. When it comes down to it, structural issues can make a good investment turn instantly bad. This is because major structural issues can be expensive to fix. Ideally, you want to have the property thoroughly inspected before you buy.
- Make sure there are plenty of areas for ventilation – ventilation is the key to building a successful Laundromat business. Most state, and municipality, laws require Laundromats to have ventilation and ducts that send exhaust out of the building. If there are not channels for ducts, or if there isn’t proper ventilation, you will need to install ventilation, which can be expensive. If you are looking to purchase a Laundromat business and simply move in, you may want to check out the status of the ventilation.
- Examine the location of the Laundromat – is there plenty of foot and car traffic? When you purchase any business, foot and car traffic is an incredibly important factor. If your customers can’t find your business, you may not have any business. This is why you want to visit different locations and measure their proximity to major communities, cities and neighborhoods. For instance, your Laundromat may be a block off a main road, but if you are the only Laundromat in the area, it may not matter. If there are other Laundromats in the area, your business may take a hit.
- Do you need to upgrade the machines and equipment – this may not be such a bad thing. Most of the time – when you purchase a new business – you will have to buy new equipment. Of course, if the person you are buying from is liquidating, there may be old machines, but you may have to visit Laundry Equipment Services for an update. If you want to be the best new Laundromat in town, you will need new machines.
- Is the property zoned for other purposes – what happens when you want to sell the property? The truth of the matter is that you will probably want to sell the property when you are ready to sell your business. Yet, if you sell your Laundromat to a developer and the property isn’t zoned, you may not be able to go through with the sale. In the end, this is exactly why you want to make sure the space has dual zoning before you invest.