BUILD NEW OR BUY AN EXISTING LAUNDROMAT

THIS CAN MAKE YOU THINK LONG AND HARD

Sometimes you just want to sit down and think "should I buy an existing Laundromat or build a brand new Laundromat from scratch?" There are benefits to both sides of the question. When you

buy an established Laundromat you have a  track record of your customer base and you feel comfortable that people want to use your services at its current location. If you just maintain the current level of service you should maintain the current level of income. With an established business you may also get a below market rate lease, such as if the previous owner negotiated a very long term lease and did not accept an adjustment provision raising rent to the "market rate" at the time of the exercise of any option. An established Laundromat has a reputation and a provable history of need that is in demand; potential growth may also be possible. The biggest single advantage to people who elect to purchase an existing store is the concern that a new store may not perform to projections of income.

These are solid arguments for buying an established Laundromat, however the down side of an existing location is that you are purchasing older equipment that is less reliable, less energy efficient and more likely to suffer breakdowns. This will means higher monthly utility expenses, parts costs and repair labor expenses. If the store is an older design, it might not have all the features you would like to see in your business. Some owners believe that the extra space saved from the installation of newer stack dryers allows the owner to install play areas for customer's children, water vending machines, video games, lounge areas, sky lights and other features not usually found in existing sites.