Owning a laundromat business can be very busy and time-consuming, and it can also be profitable -- especially for operators who make the right decisions when opting to sell their businesses. Selling isn't easy, though. You've got to understand the basics on why selling makes sense (or not), and then you need to understand where to start the process. This blog can help by detailing the most important considerations before selling a laundromat business.
Location
A small business such as a laundromat thrives or dies based on its location. You rely on customers who see your laundromat and come in to wash their clothes. The location of your laundromat needs to be in a high-traffic area, where most people don't have washers and dryers in their homes or apartments.
While a good location is essential, you also need to offer curb appeal. Your laundromat needs to offer a warm and welcoming environment where customers can safely tackle their laundry duties. This includes things such as keeping the parking lot clean, adding some greenery or déccor, and including attractive signage.
General Condition
When you want to sell your laundromat business, its general condition will influence how much you can make off the sale. You need to consider its general cleanliness and any repairs that need to be made. It's possible that there are some small repairs you can make yourself to increase value.
A fresh coat of paint can go a long way towards improving the condition of your laundromat. Before placing your laundromat on the market, you need to carefully consider its condition and make any improvements that offer a return on your investment.
Equipment
The washers and dryers in your laundromat are the stars of your business. They're the money-makers. If you want to sell your business and enjoy a great selling price, then ideally, your equipment should be in good shape. This includes other items, too, such as detergent dispensers and laundry carts.
At the time of the sale, you want to be able to show that the equipment is in good shape and that your business enjoys a steady stream of business. You want to make a profit from the sale of your laundromat, and the buyers need to know that they can make a profit from the business once they become the owners.
Understand the Needs of the Buyer
Before listing your laundromat, you need to understand the needs of prospective buyers. If they're looking for a laundromat that's already open and running, then they aren't looking to put a lot of time and energy into new equipment or building improvements. They are looking for a business that will run successfully for a few years before they need to replace the equipment and remodel the space.
You want to sell your laundromat while your equipment still has a few years left to run before it needs to be replaced. This shows you understand the buyer's needs.
Advertising the Sale
When you're ready to sell your laundromat, you might struggle with finding a buyer. It's a niche sale. You need to work with a broker who can sell your business and get the best price possible. A broker already represents people who are interested in buying independent laundromats.
There are trade magazines where you can place an ad for your laundromat. However, most of the people who respond are looking for a "deal," while you want to get the best offer possible. When you hire a broker, you'll have someone else to handle the advertising and other challenges involved in selling your business.
At Garment Machinery, our team has an established network of buyers looking to purchase smaller, independent locations. When you retain our services, we strive to get you the best price possible.
