Laundromat Resource › Forums › Laundromats › Newbie looking for help with analysis (too good to be true?) › Reply To: Newbie looking for help with analysis (too good to be true?)
Labor seems really light. I think you would have to pay at least $15 a day to get the store cleaned. That’s $5500 a year. His repairs also seem light but he isn’t doing much revenue, if the equipment is newer and he does his own repairs that could be correct but it still seems light, one circuit board is $150 to $200.
The lease and the water are big issues. Can you negotiate a new lease now and keep the water out of it? Water is a big expense, that and payroll will eat all the profit. Wash and fold can bring in additional revenue but can also raise expenses unless you plan to work there every day.
I personally don’t know the small town market that well. I’m sure you can do better than the current owner.