CLA Connect Open Forum

Potential newbie in Canada

  • 1.  Potential newbie in Canada

    Posted 05-16-2018 12:47

    Hey everyone, I am a total newbie and I am looking for all the advice I can get. I am also located in Canada so I don't know if that will change things. 

    I currently have a pretty secure job that I can climb the "corporate ladder" but I am looking for some income on the side. So this brings me to my first question unattended vs attended. 

    I know attended will make more money, but is it even worth it to go unattended? I'm guessing attended locations do WDF and that is one of their main selling features. For the owners who are running unattended how often do you check in? Do you have a janitorial service, or anyone else that checks in for you?

    I know breakdowns will happen, but how often are they big breakdowns and not fixable? If I do have to buy new machines how much do they usually average? I have seen 700 bucks but that seems cheap to me. What's the average length of warranty? I have read 10 years which seems really good. What is the average lifespan of the machines? It every 2-3 years machines are being upgrade or worked on?

    A lot of the locations I am looking do not have statements. Is there a reason why they don't provide statements besides asking for more then it's worth?

    I know I am missing a lot but I will follow up with more questions. 

    Matt H
    Brampton ON

  • 2.  RE: Potential newbie in Canada

    Posted 05-16-2018 19:19

    I can't comment about unattended laundromats but I can answer some of your questions about machinery. If you have older machines that require lots of maintenance it is just a matter of time until you have to replace them. To give you an idea of how much it will cost to replace washers and dryers in Canadian dollars, here are some examples of list prices.

     67 lb. dryer $7000.00
    30lb. stacked dryer $11,000.00
    60 lb. 450G washer $15,000.00
    60 lb. 200G washer $12,000.00
    45 lb 200G washer $9000.00
    20 lb. 200G washer $5500.00

    I don't even think shipping would be less than $700.00 so not sure where you got that number from.

    As far as warranty goes I've never seen anything more than 3 years and that is only on certain parts.

    I still have machines that are 25 years old that look almost new. We'll see how long the new models last, hopefully just as long....that is if they are taken care of.

    Not having financial statements should be a BIG red flag, if you're planning on selling a business wouldn't you like to show a potential buyer what a good deal it is and that it's a money maker? Something's fishy if there are no financials.

    Richard H
    Store owner
    B.C. Canada

  • 3.  RE: Potential newbie in Canada

    Posted 05-17-2018 09:57

     Richard has provided you with good data and information.  Whether you go attended or unattended matters of course but it's not that important.  The business model is basically the same.  The only difference is you have more employees to pay.

     There are several owners that have or had jobs & careers on & off this forum.  I'm one of them.  The choice is a good one. It means more work for you to do or manage but very well worth it.  Think long term.  There is nothing wrong with adding another steady & reliable income stream to to your pension, 401k, existing income, plus whatever other investments you might already have.

     Contingent on how long you've been working or what kind of money you make you have that to always fall back on & rely on while your business gets traction if that's what's needed.

     My place made a small profit from the beginning and kept getting better since then.  It's come along quite well for my expectations & in line with my end game strategy.  Which was to have another revenue stream for when I need it or I get tired of working.  Right now I continue to enjoy what I do so don't see the point in retiring.

     Besides once you get the business, the equipment & customers figured out it becomes very easy. But be true to yourself & honesst about your capabilities plan & dedication.  Equally as important make sure everyone that is close to you especially your family are on the same page.  A "no" answer to any of that & you will have to make sure you have all of that addresses before you get into this business.

     Feel free to email or call me if you have questions.  Good luck.

    Store Owner/ Employee
    Cocoa FL