If you are looking into starting a coin-operated laundry business, there are several things to consider – financing and start-up costs, equipment required, location, potential customers, and your daily routine.
Laundries usually have areas to pick up and leave dry cleaning, and some also have video games and snack bars. There are also laundries that accept swipe cards similar to debit and credit cards. Systems that accept swipe cards, debit and credit cards, and coins are a popular choice, offering advantages such as increased profits, convenience, and quick and simple installation. Other amenities to consider include kids play zones, complimentary Wi-Fi, and lounge areas. Start-ups may need to buy equipment such as card systems, soap vendors, water heaters, and bill chargers. Some vended laundries also have multi-load machines that can be used for bulky and big items such as blankets, comforters, and bedspreads.
Before you apply for financing, it is important to factor in start-up costs such as accessories and supplies, water heater costs, card-reader costs, cost of machines, rent, and municipal fees. The cost of machines, for example, depends on size, type, brand, and other factors. Cost also depends on whether you are buying stacked dryers, front-loaders, or top-load machines.
Having a good business plan is a must if you need financing for your laundry start-up. Make sure you include sections with a focus on your yearly profit potential, start-up financing, facilities and business locations, and keys to success. It is a good idea to list competitive advantages such as professional service, extended business hours, convenience, and accessible location. Don’t forget to mention all services offered, including laundry supplies, optional folding, drying, and washing. Other sections to include in your business plan are your personnel plan, marketing strategy, break-even analysis, and pay-back plan. Additional information that financial institutions may request includes your projected cash flow, projected profit and loss, business ratio, and projected balance sheet.
Business financing is available in the form of lines of credit, business loans, credit cards, and other instruments. Many big and local banks offer start-up financing, among which TD Bank, CIBC, BMO, and others. CIBC, for example, features loans with competitive rates and flexible repayment schedules. Borrowers who offer a valuable asset as collateral qualify for a lower interest rate. The same applies to those with a high credit score. Customers can choose from secured and unsecured loans with a variable or fixed rate. Business customers with a good credit score, industry experience, and a comprehensive business plan qualify for financing. Other factors that financial advisors look into are positive revenue and personal investments in the business. Typically, borrowers will be asked to provide information and documents such as their personal net worth and income documents, current property tax assessment, and business registration or articles of incorporation. Personal net worth documents include the customer’s net worth worksheet, current mortgage statement, and current investment statements. In addition, borrowers may be asked to provide environmental assessment, bank statement, lease agreement, property valuation, and purchase and sale agreement. If they are applying for a Canada Small Business Financing Loan, they will also need to submit a contract agreement, detailed list of leasehold and equipment, and proof of payment. Loans under the Canada Small Business Financing Program are available through many financial institutions, including TD Bank, CIBC, and others. Businesses applying for government financing pay a registration fee equal to 2 percent of the loan amount. Only Canada-based businesses are eligible to apply for financing.
Read More Read MoreIf you are concerned about allergens and harmful chemicals in laundry products, you can make your own dryer sheets. They are easy and cheap to make, and you probably already have all that you need in your pantry or closet. You can use white vinegar, hair conditioner, or fabric softener as the main ingredient.
To make dryer sheets, you will need a sealable container, several strips of cloth, essential oil, and white vinegar. You can use geranium, citrus, lavender, or tea tree oil. For the strips of cloth, you can use old t-shirts, bed linens, or dishtowels. Fold all pieces of cloth and put them in a glass container. Pour ½ cup of white vinegar into a jar or bowl and add 7 – 8 drops of essential oil. Pour the mix in the container to dampen the pile but make sure the strips are not soaking. Remove excess moisture before using the dryer sheets. Make sure you wash them after a few uses.
You can also use hair conditioner to make dryer sheets but make sure that it is free of chemicals, preservatives, synthetic fragrances, and parabens. Some conditioners also contain dimethicone and sulfates. You will also need a sealable jar, strips of cloth, and white vinegar. Pour 1 part vinegar and 3 parts conditioner in the jar and mix. Place the strips of cloth in the jar and make sure they are damp. Remove them from the jar, squeeze excess liquid, and let them dry. Place them in another jar that is securely closed. Wash the strips after three uses.
Another option is to use fabric softener that is free of preservatives, parabens, and other synthetic substances. To make your dryer sheets, place several squares of cloth in a bowl and pour 1 cup of softener. Make sure they are fully soaked and then squeeze them to remove excess moisture. Let them air dry and store in a sealable container. Again, you must wash them after a few loads. Repeat all steps above to reuse the dryer sheets.
You can also make natural fabric softener from baking soda, essential oil, and white vinegar. Take a large bowl and pour vinegar. Add 10 – 15 drops of essential oil of your choice and stir to mix. Then add 1 cup of baking soda and wait to settle and dissolve. Keep the softener in a sealable container. This recipe is quite cheap and will cost you about $2 to make a natural fabric softener. Alternatively, you can use hair conditioner as the main ingredient. Use a bowl to mix ½ cup of hair conditioner and 2 ½ cups of hot water. Add 1 ½ cup of vinegar, stir to mix well, and store in a sealable container. This recipe will cost you about $0.35.
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