Reply To: Talk me out of buying a laundromat

[Dave “Laundromat Millionaire” Menz]

Hi Tracy, the answer to your question is it depends… What do you mean by 3rd tier market? If you’re in a smaller town, you’ll struggle to get near the $10K number, but if you’re in the suburbs, then likely not.

The fact that your immediate competitors are asleep (Very common!) is a great sign that there’s a need and an untapped market that you could capitalize on. Ultimately, there’s a much deeper conversation in here that needs to be had in order to really answer your question.
Typical margins in this business range from 15-40% depending on efficiencies and operations. Earning $10K a month net on a suburban market is possible but but not likely unless you are focused on and investing regularly in your businesses.

I’ve always believed in looking for pent up demand in a market, and meeting that need with a great enthusiasm for service. In my experience the money will follow. If you’re looking to buy 10 mats, casually approach the business, run self serve only, and make $100K a month net, you’ll likely be very disappointed. Best wishes to you in your journey! 😃