Why invest in a Laundry?
From little towns like Beaufort West in South Africa to global cities like Paris, New York and Beijing – Speed Queen has introduced investors around the globe to the profitable and sustainable business of Laundry.
Distributed locally for 3 decades by Lead Laundry and Catering (Pty) Ltd, Speed Queen – the undisputed world leader in commercial laundry, is regarded everywhere and especially in South Africa as the equipment of choice for serious laundry businesses.
We at Lead have used our profound understanding of the local laundry industry and our world class equipment to help countless entrepreneurs succeed.
Thirty plus years in the laundry business means we are the only partner with the experience, customised capabilities and ongoing global support network capable of making your business a lasting success. But the true measure of success can’t be measured. It’s the passion that drives you. It’s what inspires you.
It’s what keeps your business going every single day. And all over South Africa, new investors are making the most of that passion and seizing the opportunity to invest in a laundromat. Our expertise partnered with your drive, knowledge and resources equals one thing – success.
Why invest in a Laundry?
Great ROI in good times and bad.
You’ll have the support of the company that has developed more laundromats than any other in Southern Africa.
Start your journey today!
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“INVESTORS ALWAYS HAVE IDEAS AND PASSION, BUT MOST OFTEN THEY DON”T KNOW THE LAUNDRY BUSINESS WELL. WE VIEW OURSELVES AS PARTNERS IN THEIR BUSINESS. THIS MINDSET, TOGETHER WITH OUR INDUSTRY KNOWLEDGE AND NETWORK OF RELATIONSHIPS ENABLES US TO BUILD OFF OUR INVESTORS’ WEAKNESS AND TURN THEM INTO STRENGTHS” |
Coin operated or Non-coin?
South Africa has many examples of both.
Coin operated laundries are generally self service when you provide an array of washers and driers for your customers to do their own laundry. Non-coin laundries generally will be manned by an attendant who will receive and process your linen for a fee, and let you know when your clean linen will be available for collection. These types of laundries may offer other services like ironing/pressing, or a pick up and drop off service. Non-coin seems to be the favoured choice of laundry investors in South Africa, but there are also many successful coin operated laundries around the country.
Some laundries employ a ‘hybrid’ model where they offer a drop off service with additional ad-on services, and also have coin operated machines for customers who particularly want to process their own linen.
The type of laundry you choose depends on your own needs and the needs of your customers.
Introducing SA’s First Complete
Cashless Payment Solution for Laundries
Traditional coin-operation activation systems are largely being replaced by Laundry Connect’s Cashless Payment Gateway which is convenient, hassle-free and the way of the future.
• Suitable for all commercial laundries
• You can integrate or replace your existing coin mechanism or use a card to activate machines.
Payment platforms include:
Take control of your destiny with laundry
There’s no business like the laundromat business.
Laundry owners around the world enjoy a unique set of advantages over other investments.
RETURN ON INVESTMENT
There aren’t many businesses or investments that can match the return of a successful laundromat.
ALWAYS IN DEMAND
Clothes need cleaning, no matter what the economy is doing. As a matter of fact, many consumers turn to the convenient, affordable option of a laundromat during a recession.
SCALABLE TO MEET YOUR NEEDS
Whether you’re investing in a large retail space or a small neighbourhood laundry, a laundromat is scalable to suit the size of your investment. Fortunately, no matter the size of your operation, the required capital investment is relatively small. We’ll help you develop your new laundromat to suit your unique market, layout and location.
FLEXIBLE TO FIT YOUR LIFE
A laundromat offers a uniquely flexible business model. It can be a family, part-time or self- service business where the customers do the work for you. Whatever size, whatever scale, whatever approach fits your business, Speed Queen will be there to help you find success.
LAUNDRY IS A CASH BUSINESS
That means you get paid before customers use your equipment — minimal accounts receivable required and you don’t have to worry about bounced checks or customer nonpayment.
TAKE CHARGE OF YOUR INVESTMENT
The days of counting coins are over. Modern technology has given laundromat owners more control over their business than ever before, from payment summaries to advanced networking programs.
World Leading Equipment Brands
Laundry is all we do.
What is the first step when opening a laundry business? Choosing the right partner. A partner that does more than sell equipment. A partner that is with you every step of the way. A partner that has equipped more laundromats than any other company in South Africa.
The widest range of equipment backed by Lead’s comprehensive experience and infrastructure is able to provide the world class support your business needs to be a winner. World leading equipment and support services that our competitors simply cannot match.
For Lead’s entire Board of Directors, laundry is all we have known in our professional lives. Our staff are family and many have been with us for several decades. Our customers are family too and their success is our success. We ARE partners in their businesses and we act accordingly. In this way we are confident we will continue to offer something special.
• Africa’s No 1 Laundry equipment supplier
• Suppliers at the cutting edge of technology and design
• Key supplier relationships all in excess of 25 years
• Uncompromising product quality and technological superiority
• World class full national and continental after sales service
• Unparalleled breadth of experience
• Deepest knowledge and resource base
• High level in-house CAD office
• Full turnkey service
Whatever the size of your laundry, the initial investment may be relatively small.
Your Complete Solution
Cost Effective. Eco-friendly. Smarter for Business.
SoftWash® is an ecological wet cleaning innovation that is simple to install and smarter for business. Faster than dry cleaning, and with less energy costs, SoftWash® is a non-toxic process that’s ideal for delicate garments and textiles. The result is more cleaning opportunities for you, happier customers and maximum profitability.
Softwash® technology allows you to process both laundry and ‘dry cleaning’ in your Speed Queen washing machine and drier. Our unique chemical range developed exclusively for Speed Queen allows you to process garments that you would previously have had to send out to a specialised dry cleaner. You keep the impressive dry cleaning margin.
BETTER FOR FABRICS
• Wet clean delicate fabrics using special software and computer-controlled washer-extractors and tumble dryers to maximise results and optimise performance.
• A 100% drying process that’s also safe for fabrics.
• A gentle process that extends the life of all fabrics, linen and garments.
• Suitable for the widest range of fabric and fibre types.
BETTER FOR YOUR STAFF BETTER FOR THE ENVIRONMENT
• A non-toxic, environmentally safe process
• Only uses a small amount of water, biodegradable soap and conditioners.
BETTER FOR YOUR BUSINESS
• Reduces your energy costs
• Just as fast as traditional day cleaning – The whole process: cleaning, drying and finishing takes only one hour.
• Dryers equipped with Over-dry Prevention Technology (OPT) ensure garments are 100% dry.
• Gives you operational flexibility. Wet clean and wash regular laundry using the same equipment.
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” THIS TRULY GAME-CHANGINGING INNOVATION IS REVOLUTIONARY AND IT’S SET TO CHANGE THE INDUSTRY AS WE KNOW IT. IT IS ‘THE SMART CHOICE FOR LAUNDRY’ ” |
Why invest in a Laundry?
When looking for a small business investment opportunity, the first thing you probably want to know is if it is profitable. When it comes to a laundry business, the answer to that question is a resounding “yes.”
Laundromats see a much higher ROI than most alternative investment opportunities. When considering additional benefits such as independence, flexibility, modest costs and recession resistance, there truly is no business like the laundromat business.
Proven Business Model
Every investment has its advantages and disadvantages depending on your own personal business goals. The laundromat business is no different. But with a unique combination of stability, flexibility and profitability, laundromat investments are in a class all by themselves.
Uncommon benefits of a laundromat business include:
• High Success Rate
• Impressive ROI
• Recession Resistance
• Adaptable to Your Lifestyle
• All-Cash Business
• Advanced Controls
• Low Labour Costs
• Tax Advantages
• Stable Customer Base
Better than Alternative
There are many options available to those looking to invest their money. However, when compared to a laundromat investment, many of these investment alternatives fall short in a number of key areas that affect profitability and overall success.
Advantages a laundromat business holds over comparable investments include:
• Lower Startup Costs than Franchises
• No Ongoing Franchise Fees
• Higher Resistance to Recession than the Share Market
• Comprehensive Support Absent in Similar Independent Businesses
Comprehensive Support
You don’t need to be a laundry expert to operate a successful laundry business. Lead Laundry and Catering (Pty) Ltd. will support you every step of the way. We offer full-scale support solutions delivered by a team of dedicated laundry experts who will counsel you through every step of the process, from location selection analysis to equipment selection and beyond. It’s all the support you’d ever want in a small business investment.
• Location Analysis and Site Selection
• Business Plan Development Support
• Facility Design & Equipment Selection
• Reliable Laundromat Equipment
• Advanced Control Systems
• After Sales Service
Investment Considerations
Laundry Business
Specifications
Electricity
200 litre geyser for 5 washers only = 30 amps x 220 Volt
10 x washers @ 2 amps each = 20 amps x 220 Volt
10 x dryers @ 25 amps each = 250 amps x 220 Volt
Wet cleaning pump = 20 amps x 220 Volt
Plumbing
10 x 50 mm in diameter upstanding waste water pipes at a level of approximately 1 meter above the ground leading into a common drain 100 mm in diameter.
2 x 19 mm taps (hot and cold) for each washer, unless cold only cycles required – 20 taps in total.
Coin Denomination / Cashless Payment
This depends on the location of your laundry and the profile of your target consumer.
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“THE LAUNDROMAT BUSINESS OFFERS PHENOMENAL STABILITY, |
Methods by which Revenue is derived from a Commercial Laundromat
Coin Operation or Token Operation or Cashless Payment
Built into each machine is a coin-mechanism and a cash box to receive the coins or tokens. Alternatively clients can use a card or a cell phone App to activate machines (Laundry Connect Payment Gateway). Cycle time for washers (water pressure dependent) is around 35 minutes, and around 45 minute cycle for driers (depending on linen make up).
Drop off Service
Sometimes known as a “FLUFF AND FOLD” service this type of launderette seems to be favoured in South Africa at present. Typically customers drop laundry off in the morning and expect it to be complete for pick up at the end of the day. Customers collect their washing washed and dried and ironed (if required) and parceled. The Drop Off service is generally also able to add on various services/products (like selling detergent sachets/Key cutting/shoe repairs etc) since it has staff permanently present. This supplements greatly the profit potential in these launderettes.
Outside Contracting Service
In and around cities and towns there are always sports clubs, restaurants, hair dressers, small hotels, factories, clinics, etc. where a need for a laundry exists. This work is an excellent “filler” which allows you the opportunity to utilize equipment in idle times while also being guaranteed a more or less fixed monthly income capable of covering fixed overheads.
Dry Cleaning Service
If one is not able to justify or afford additional expense of a small Coin-Operated Dry Cleaning machine then acting as a depot for an established and nearby Dry Cleaner is another wonderful way of supplementing income. Dry Cleaners typically offer 35% to 40% of the price they charge to dry clean a garment and since the launderette only acts as a delivery and collection point, the margins in this business are attractive.
Wet Cleaning Service
New SoftWash® Wet Cleaning technology allows you the opportunity to process ‘Dry Cleaning’ in your laundry equipment. Talk to us about this unique and profitable opportunity.