Case Study – New Build
Understanding Lifetime Value
Laundromat Case Study
Our Laundromat Case Study investor was looking for the best way to invest their money. So they came to us for some answers. As a result, we bring you this in-depth study of a real laundromat build so that you can better understand what Laundry Equipment Services, Inc. can do for your investment portfolio.
Laundromat Investor’s Goals
When we were approached by the investor, we made sure to first gain a clear understanding of what their long-term and short-term goals were. It was very important for LES to understand both our investor’s financial and personal goals.
The Financial Goals
- Invest money into a profitable business.
- Turn the investment around into residual income within 5-10 years.
The Personal Goals
- To be as hands-off as possible.
- Let someone else run the laundromat for them.
The LES Difference
Once we gained a clear understanding of what the investor needed to be successful, our staff of skilled employees went to work to give them a comprehensive packet of information and details so that they could better understand how to reach their goal.
Know The Details
We provided them with a demographic report that went into excruciating details with population percentages. We explained what we look for in a demo when looking to open a laundromat and went over those specific percentages with the customer.
Design The Laundromat
Our Huebsch design team did detailed 3D and regular drawings of the laundromat. Our goal is to make sure that everything would fit, and that the laundry’s workflow is optimal for their layout and situation.
We reviewed the layout with them and tweaked it as needed until it was just right.
Understand The Needs
Our detailed proforma is based on the mix of equipment, size, and area of the potential laundromat.
With this proforma, we are able to give the investor a breakdown of revenue per washer capacity based upon “turns per day”, dollar amount for expenses such as, rent, labor, repair costs, insurance, etc. and in the end provide a projected monthly and annual revenue report before their equipment note payment. This directly puts them at ease to see what their business has the potential of doing.
Overview of Expenses
LES provides this customer with a detailed equipment quote. This quote included everything that the customer would need to open their laundromat.
- Equipment
- Ancillary Items
- Labor
- Freight
The prices shown here are for information purposes only, and are based off of current 2018 list pricing.
Get The Financing
We worked with trusted financial partners to help them get the financing approval that they needed within one to two days.
Complete The Build
Once everything from the layout to the financing was approved and finalized, we scheduled and oversaw the entire build from start to finish. We made sure to keep in touch with the investor throughout the entire process, but our goal was to make this as pain-free and effortless on their part to ultimately help them meet their original hands-off goal.