The primary ways to make more money with your laundromat and, therefore, to make your laundromat worth more are to improve management, add revenue streams, and offer new services to customers. Within each of these 3 main categories are many options, and you can combine multiple options to supercharge your laundromat's growth.
How to Increase Your Laundromat's Price Value
Each of the three categories we’ll look at will focus on either improving the NOI or increasing the multiple. Those are the two ways we add value to a laundromat and build equity in our business.
1. Improve the laundromat's management
Often times the lowest hanging fruit when it comes to adding a lot of value to a laundromat is improving the management of the laundromat.
Managing a laundromat well so that customers have a better experience can be a great way to build goodwill with your current customers and to attract and keep new customers. This will inevitably improve your NOI, and therefore increase the value of your business. If you need help managing your laundromat business take a look at Cents. Cents is a business-in-a-box laundromat management solution that allows you to elevate the level of service you can offer to your customers while cutting down the time it takes to do it.
2. Add revenue streams
Once you have improved your management of the laundromat or improved the management of the previous owners, you can start looking for ways to add more revenue streams to your main self-serve laundry business. Adding more revenue streams will contribute to increasing your NOI and can increase the value of your laundromat pretty quickly with some small additions.
There are many revenue streams you can add to your laundromat, both big and small, to increase not only your net income but also the equity in your laundromat.
3. Offer new services
Offering new services can be the biggest opportunity to add income to your laundromat business, and therefore to add value to your business. Services like a drop-off laundry or laundry pick-up and delivery allow you to serve a new demographic of people and allow you to draw from a larger customer pool by extending your laundromat's radius of influence. Starting a laundry drop-off, or wash-dry-fold, service or a laundry pick-up and delivery service can be a bit undertaking, but the payoff can be huge.
The possibility for growth can be essentially unlimited, but these services do increase the complexity and management needs of the business. If you're interested in how to add these services to your laundromat the easy way, check out this webinar I hosted with two rockstars from Cents.
There are other services you can offer, too, that may not require as much management. For example, an alteration service, adding a convenience store, or adding a coffee shop are common laundromat service offerings you can add. The opportunities are only limited by your creativity.
Look for the Opportunities
There are many opportunities to add value to a laundromat that will either increase the NOI, raise the multiplier, or, ideally, both! Be looking for ways to do those two things and watch as not only your income grows but also as your net worth grows with the equity in your business.
Book a free demo to see how Cents can help you grow laundry business and better streamline your overall processes.