CLA Connect Open Forum

Topic: Laundromat For Sale

1.  Laundromat For Sale

Posted 04-19-2017 15:01
Some/most of the brokers who advertise laundromats for sale in Biz Ben and the likes,  provide little or no information. Many never answer or return a phone call/email when contacted on the lead. I wonder these advertised sales leads are even real? Seems like there are not many money making laundromats for sale?

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Shawn Kumar
Potential Investor
Chino CA
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2.  RE: Laundromat For Sale

Posted 04-19-2017 19:38
You need to understand there are a lot of tire kickers out there. Some people actually think that you just set a washer on the floor and start collecting the quarters. Well ok, these days collecting the dollar coins. If you have actually done your homework you need to let the broker know that.

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Curt Harrington

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3.  RE: Laundromat For Sale

Posted 04-20-2017 12:34
That is good to know, I am not ready to list ours yet and it does make money but that is one of the other reasons I am not ready to list yet, (prior owner let too many quarters fall out of the bag and didn't keep close enough track to be able to answer anything exactly).

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Janet Carson
Store Owner/ Employee
Busy Bubbles LLC
Port Orford OR
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4.  RE: Laundromat For Sale

Posted 04-20-2017 16:40
Tire kickers or not, you really never know. When I bought my mat I wasn't even looking nor cared enough to consider the industry.

 I understand what & why you make a statement like that but you have to also realize that some or a few of those "tire kickers" do have capacity to put cash on the table.

 All you need to do is land one tire kicker with the financial capacity to sell your business. Would you rather sell to a partial audience or a full audience?

 Obviously there are different ways to view this business & the owners who, let's be real here, we're an interesting mixed bunch of individuals / owners with an equally as mixed approach & backgrounds. That's clearly evident in this subset of members on this forum. Consider the rest & greater percentage of owners that are not members of this forum / CLA.



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Juan
Store Owner/ Employee
Coin Laundry Super Center II
Cocoa FL
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5.  RE: Laundromat For Sale

Posted 04-20-2017 20:06

Juan
I would not want to sell a business like this to someone who I knew for a fact would fail. But that's just me.
To your point...there are some very interesting people here. Well, what kind of person would intentionally get into a business where you have to deal with problems constantly. If it is not machines it is something else. It never stops. That takes a person who is cut from a different kind of cloth. The likes of which we see here. No doubt that is why they are successful.



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Curt Harrington

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6.  RE: Laundromat For Sale

Posted 04-21-2017 00:29
With all due respect let me state the following:-

I come from a remodeling business background.  In this business leads are considered  your life line.  Successful companies/ people follow up almost all leads and run through a qualifying process, which determines the next step. Follow up is critical to move on hot leads and weed out or go slow others. Otherwise you never know what you are missing out.

PS.  After reading my post, a broker sent me an email saying that if I "declare" that " I am not a broker ",  and allow him to exclude me as a broker, it  may help !!


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Shawn Kumar
Potential Investor
Chino CA
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7.  RE: Laundromat For Sale

Posted 04-21-2017 01:05
Curt,

 I understand what you're saying. That just says you're not ready to let go of or sell your business. Which is perfectly fine as well.

 If I understand your implication, you are saying that if some person has the cash in hand to purchase your business, you won't sell it to him or her because of a moral obligation?

 When an owner chooses to sell their business, car, home or any other item for that matter (and is ready) the expectation is that the deal is closed everyone wishes ea other the best & moves on. Otherwise, there is no point in selling is there?

 Insofar as maintenance goes we have days even weeks where we don't have machine or customer issues that warrant or require 100% oversight.  We decide to get into this business. Like any business it requires attention, time, patience, sacrifice, & compromise. Implement all of that and your chances @ success are very good.

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Juan
Store Owner/ Employee
Coin Laundry Super Center II
Cocoa FL
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8.  RE: Laundromat For Sale

Posted 04-21-2017 02:38
IMO, It's a buyer beware, seller beware business in that order.  I come from a construction and management background and since the 1970's have owned small business ventures of various varieties that are mostly buttressed by the real estate investments, which doubles the investment.  Before I bought the small strip mall that came with the L Mat, I was already qualified to operate both and determine the fair market value of both the L Mat and Strip Mall as separate business ventures.  I also knew where to seek the specialty advice to navigate the intricacies of the L Mat business to perfect my plans and optimize the ROI.

I would not consider buying an accounting business, or a small engine repair business, or an auto shop, or a restaurant, etc etc to operate, because I have no knowledge of the businesses, am not qualified to operate them, and don't have enough interest to go thru the learning curve.  Nor  would I ask the most basic questions on a forum such as this in order to attempt to garner enough insight to make a purchase decision to invest in such businesses.

If you don't already have enough relative basic background and or ability to operate the majority of any small business venture that interests you, then get out there and get enough hands on experience to determine if that small business is your cup of tea.

There are plenty of small business owners out there that will be happy to make you a victim of unscrupulous sales tactics, and they count on you taking their word as the gospel.   Get your hands dirty people.



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Les Monthei
Potential Investor
Redding CA
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9.  RE: Laundromat For Sale

Posted 04-21-2017 08:29
Edited by Paulie B 04-21-2017 10:48
Les,

VERY well said!

Our industry tends to attract many of the exact opposite personalities that are required to succeed....People who are looking at laundromats as a sideline to something else that they deem more important.
These personalities often will not have the determined push that's necessary to make the mat successful. As soon as the going gets tough, and I guarantee you it will, these personalities will start to see the mat as a "headache".... that they "made a mistake", and they will retreat back to their "real job".

Laundromats are a business, and like any other business, they require that you "get your hands dirty" as you so wisely said.
To succeed, a person needs to learn as much as he/she can before pulling the trigger.
Laundromats are far from a hobby...they must be managed...All kinds of potential threats...Leases, Govt regs, competitors, vandalism, crime, customer abuse, employees, machine breakdowns, fires, floods, utility interruptions, and on and on....

I've often said that the newbies here have made a great start by finding the CLA and this BB. However, this is far from enough.
After they have learned as much as they can, they need to make a serious commitment to putting a plan in action, and to follow through on that plan. Another big factor is to get back up after a setback (and there will be plenty of setbacks), reevaluate what caused the setback, correct it, and then implement your NEW plan of action.

In short....
- Learn as much as you can (this BB is a great source)
- Come up with a plan that makes good business sense
- Implement your plan
- Don't give up when the going gets tough...come back harder!



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Paulie B
Store Owner/ Employee
Mr Machine
New York City NY
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10.  RE: Laundromat For Sale

Posted 04-21-2017 11:26
Les. Paulie very well stated stated by you both. I agree 100%.

 The reality is that what makes this business appealing yet at the same time very risky is those owners, sellers, & yes sometimes even distributors that inflate prices, sell u their nightmare packaged as a dream, and then run away with the $ leaving the new person with the daunting task of figuring it all out or realizing they overpaid for a location replete with older often times subpar equipment, utility issues etc.

 You have to be committed and as you said get your hands dirty and be willing to quickly learn the lessons.

 That being said, as daunting & risky as it might be it could be very rewarding once you've mastered the intricacies & have an excellent team to support.

 If you don't have that (I.e. Wife or business partner) that doesn't share the same perspective or plan, the likelihood of success @ ownership  is clearly @ high risk at best.

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Juan
Store Owner/ Employee
Coin Laundry Super Center II
Cocoa FL
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11.  RE: Laundromat For Sale

Posted 04-22-2017 21:11
Juan
I wanted to take a W.C. Fields position here and just sit down and shut up. However your comment has haunted me ever since you made it. I really do hope that you understand that you are dealing with a family's lives here? What you are suggesting is sell at all cost because the buyer is required to do his due dillagence. Ok, you will sell a busines that the family hopes will allow them to support their children and them only to discover that it will not. Chances are that they will need to take whatever money they can out of their home to support a business that you knew from the begining would fail. They will loose their home because of that sale. There is nothing wrong with this. It is perfectly legal. The fact that it may end in devorce and the destrucion of that family has nothing to do with you.

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Curt Harrington



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12.  RE: Laundromat For Sale

Posted 04-22-2017 23:43
Curt,

To begin with. I'm not selling my business nor have any desire to. Instead, I'm investing more into my business as I look forward to what lies ahead in my life vs what I make now.

 I understand all too well about the money, what's on the line, people's lives etc. If you read my replies & others that is what we're touching on. The potential buyers / investors Ned to understand that clearly. It takes a team, commitment, sacrifice,& compromise. I'm pretty sure I stated that on this discussion.

 Referring back to your statement, you are saying that you personally would not sell your business to someone that was going to fail. My response stands. That simply means you're not ready to sell.

 When I bought my mat, I knew absolutely nothing about the business yet I was committed enough to make sure my business survived & thrived enough to do all of those things that have been stated by me, Paulie, & Les (I think. I really hate not being able to scroll back on this darn forum).

 Not only that but I've actually met & even helped some of those people that clearly bit of more than they could chew. So I hope you can rest easy as I am not one of those owners or distributors that will do just that. I've lived it trust me.

 But if I had a tire kicker with cash in hand & IF I was selling my mat, I would walk him through it all carefully, assist as much as possible over some given amount of time & then I'd be done.

 There are ways to make sure everybody walks away happy.  Which is far more than what other shady people will do.

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Juan
Store Owner/ Employee
Coin Laundry Super Center II
Cocoa FL
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13.  RE: Laundromat For Sale

Posted 04-23-2017 16:10
I ran in to the same problem on bizben.

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Don Dieu
Potential Investor
Fountain Valley CA

[Orange County]
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14.  RE: Laundromat For Sale

Posted 04-29-2017 21:58
Before I built my last laundromat I talked to the owner of the other one in town and told her I was thinking about building she said great I'm tired of the riff raff in this town. I built mine and hers closed shortly after and I have not yet saw the riff raff, I think if her washers would have cleaned, the customers would not have looked so dirty. I had one customer come in and and said she, the customer, would not even allow her children in the store because they got too dirty from the floor, and if her clothes fell out of the dryer she had to rewash them. Just saying your store image makes up who uses your store and most people want to look as good as they can afford, and will copy the best one in your business.

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Tony May
Store owner
Osage Iowa
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