CLA Connect Open Forum

new invester

  • 1.  new invester

    Posted 8 days ago
    I am looking to purchase a laundromat. What is average turns per day and how do you figure average turns on dryer,

    joseph petrarca
    Potential Investor
    Hainesport NJ

  • 2.  RE: new invester

    Posted 8 days ago
    .    There is no reliable average "turns per day" of washers that should be used for your purchase analysis. If a store has all front load equipment, it might have more turns than an almost all top load store, even though the first store might generate more income than the second.
         If you are building a brand new Laundromat and want to get a range of potential income you might produce, then you might use a range or 3 to 10 turns per day.
         The most frequently used projected turns is 5 to 7. You need to consider the vending prices in the area, the demographics, the competitors (including apartment laundry rooms and other Laundromats) and the design of your store.
         As a general rule, a store built with 100 washers would have fewer turns per day than a store with 40 washers. That's why it's important to determine the demand for your services before you pick a rental space. A very large stores with lots of unused washers is only going to put more money in the pocket of your Landlord.
         I've never seen dryer turns per day used in any normal analysis. I'm sure that someone who is totally wrapped up in Excel projections has produced a dryer turns analysis, but I've never seen it.  It's still just a guess.
         The "guess" frequently used is 30% to 50% of washer income. This is not anything more than a guess
         A more reliable method of analysis would be to view income records, bank statements, insurance application (often shows income), schedule C tax forms and do an all day counting on a Saturday and Wednesday. Much better than a coin count.
         I hope I was able to stay on message. Good luck in your search.

    Larry Larsen
    Anaheim, CA
    Distributor - Insurance - Consulting

  • 3.  RE: new invester

    Posted 7 days ago
    Larry said it well.  There are lots of variables and I'd look at other things.  For what it's worth, I run between 3 and 3.5 per day.  Here's what I do for dryers...Calculate total daily volume by taking turns per day times each machines rated capacity and number of each machine.  That's how many pounds of wash you'll have per day.  Divide that by your rated dryer capacity and there you go.   Here's the math on one of my stores...600 pounds of washer capacity.  3 turns per day.  That gives you 1,800 pounds of wet laundry.  All my dryers are 30 pounders.  That means 60 dryers cycles, I have 20 dryers, so 3 TPD on dryers.  It assumes loads are split perfectly into 30 pounds, which doesn't happen but things average out more than you think.

    For most reasonably configured stores, dryer TPD should be pretty close to washer TPD.  It's a good back of the napkin exercise, but don't take it as gospel. It will get you a decent ballpark number.  That's all.  The biggest assumption (which I know is not true) is all machines will be used equally.

    Good luck.

    Paul Kludt
    Multi Store Owner
    Lake Worth Coin Laundry
    West Palm Bch FL