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The Laundromat Industry is Ripe for Disruption

The laundromat industry generates around $5.3 billion (and growing!) in annual revenue.

But with more than 30,000 laundromat locations and more than 21,000 owners of laundromats, there is no single industry leader. 54% of store owners own only one location with another 31% owning two or three.

With such low market share concentration, this vertical is ready for a proven model backed by an experienced team to take over the competition by storm!

Industry Insight

Profits You Can Count On

With just the normal laundromat businesses in the US, who don’t have all the resources available that LaundroLab does, still averaging between 20-35% ROI, it’s a no-brainer to invest in our brand!

A Stable Industry

Laundromats are a stable industry because cleaning clothes is non-discretionary income. As you can imagine, many customers of laundromats don’t have in-unit washers and dryers.

With the increased urbanization and concentration of neighborhoods with renters at the rate of around 10 million in the 2010s alone, there will be room for constant growth in this industry.

The more modern equipment enables the customer to pay via cards and mobile payment in addition to cash and coins. In other industries, there may be a 30-60 day payment cycle, but with all these options, there is no lead time in the laundromat industry.

This alleviates much of the small business cash flow problems — 82% of small businesses fail due to cash flow problems, according to Business Inside — and any uncertainty of how much cash is on hand.
35%
Average ROI

Average of 20-35% cash-on-cash returns on investment

9.1M
Renter Increase

US rental population increase from 2010 to 2018

Better Than the Rest

Investing in LaundroLab provides numerous advantages, some of which are gained by market forces and others that are gained per-location.

  • Essential Business

    The US government declared laundromats and laundry services essential business during the COVID-19 pandemic, showing that laundromats can succeed in times of economic growth and recession.

  • Semi-Absentee

    Technological advances in washers and dryers have enabled owners to view equipment usage, performance, and malfunctions from anywhere, with laundromat customers being virtually self-served.

  • Tax Advantages

    The Tax Cuts and Jobs Act of 2017 has provided owners extra tax incentives on washers and dryers through January 1st, 2023 that includes bonus depreciation and more.

  • Simple Labor

    Store owners have an average of between 1-2 full time employees and 4-5 part-time employees to manage. Very minimal training is required to get attendants up to speed on laundromat operations.

  • Low Marketing Spend

    Laundromat marketing spend is low compared to many other industries since the majority of customers are within a 2-mile radius. Factors like site selection and organic search are more crucial to success.

  • Limited Inventory

    Franchise owners don’t need warehouses of equipment in stock to operate a laundromat. 1-2 vending machines of laundry products and snacks are enough to meet and exceed customer demand and satisfaction.

Step Inside a LaundroLab

Now that you’re caught up to speed on the laundry and laundromat industries, let’s explore what your LaundroLab location could potentially look like!

What Makes Us Different

Safe, Friendly, and Modern

Our attendants, equipment, and amenities make LaundroLab a once in a lifetime laundromat experience that customers come back for on a weekly basis!

  • Fully Attended

    LaundroLabs are always attended, ensuring safety, cleanliness and helpful customer interaction. 

  • Best-in-Class Equipment

    State-of-the-art washers and dryers built by Electrolux, a reliable brand in the laundry industry.

  • Amenity-Driven

    The Ritz Carlton of laundromats providing endless amenities like free WiFi, relaxing lounge access, engaging arcade games & more!

5-Star Franchisee Experience

Say hello to a top-notch franchisee experience through our additional revenue streams, attractive financing options, and insightful technology.

  • Multiple Revenue Streams

    Generate additional revenue from wash, dry, fold service, laundry product and snack vending machines, and commercial accounts.
    *National Account Program available in select cities.

  • Attractive Financing Options

    We have a direct relationship with the industry’s best laundry equipment manufacturer and distributors, so you can get the best deals and support possible!

  • Suite of Technology Solutions

    Monitor all equipment performance and maintenance requirements remotely through the LaundryPulse platform. The LaundryPay app allows customers to view machine availability, pay through their phone, and receive notifications when their cycle is complete.

4.9 Out of 5. 73 reviews

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4.6 Out of 5. 216 reviews

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5 Out of 5. 2 reviews

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5 Recommendations

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Very clean and keeping customers safe in these times. Great work guys

Ortellia S

Very nice Coin Laundry. Very clean. I used the change Machine and a small 20lbs Washer that worked fine. The free WiFi worked great. The washers have variable pricing. $2.25 for the 20lbs Washer, $0.25 extra for warm, hot, or extra soiled. They have vending, ATM, child play area, lounge, and TVs, and laundry supplies. Everything was new. No out of order equipment observed. Located next to the blue line light rail.

William W

This is one BIG, NEW, CLEAN & BRIGHT Laundromat I’ve ever tried!!! Inside they provide Free WiFi, Snacks & Entertainments. There’s also a nice comfortable “sitting area” for adults and beside it is a “small playing” area for kids. Amazing! Also they have nice separated bathrooms for men and women…They have A lot of spaces here! Parking spaces; folding spaces & walking spaces…I think their Prices are acceptable. Starting from 2 loads for $2.50 all the way to 7 loads for $8.50…And they claim to have a Payment App to save you the hassles of counting coins, which I have not tried…I’ve picked this laundromat to do my quick wash is because of their easy access location. Easy to get on and off, very convenient!

Wah X

I just had my first experience at The Laundry Room today and I absolutely LOVED it! It is clean, easy to use, I didn’t have to worry about coins, I just used the app!!! My toddler was able to play in their kids area while I just watched my 25 loads of laundry get washed in 30 mins! Unbelievable! I know have my Sunday’s back and this was the best Laundry Day EVER! If you are a Mom… this is for you LOL.

Misty S

4.9 Out of 5. 86 reviews

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4.9 Out of 5. 114 reviews

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5 Out of 5. 111 reviews

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117 Recommendations

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Ideally, you can expect to open your LaundroLab around 6-9 months after signing your Franchise Agreement assuming everything is on schedule.

Yes,

Royalty Fee: 6% of gross revenue
Brand Fund Fee: 1% of gross revenue
Local Marketing Fee: $250 / month
Technology Fee: $200 / month

Item 19 is the franchise location's Financial Performance Representation. This can give you a rough idea of how much a location can earn. However, this does NOT mean you are guaranteed to earn that amount of money.

Please fill out the form on the Contact Us page and we will inform you of the availability of sites in your area.

Yes, there will be training in the form of online modules as well as in-person training close to the time of grand opening.

Yes, at the current time, you may purchase up to 5 LaundroLab franchise licenses. You must follow the development agreement timeline as it relates to all of those locations.

10 years, with a $10,000 Renewal Fee for two 5-year terms

LaundroLab locations will typically range from 3,000 to 5,000 square feet

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