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Author Topic: Anyone own a laundry mat or coin op machines?  (Read 192 times)

Offline AJ

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Anyone own a laundry mat or coin op machines?
« on: August 10, 2012, 10:58:38 AM »
Anyone here own a laundry mat or coin op machines you have located in apt buildings?

When I was a little kid my uncle owned a laundry mat. My dad would repair stuff for him back then.
Uncle passed away long ago and the laundry mat got sold.

Every now and then I see a laundry mat go up for sale in another town and wonder if they would be a money maker or not.
Thinking there would be a better chance of one being a money maker if you could do the repairs yourself, but I don't know.

I had also thought about trying to make deals with apt. owners in town to see if they would let me put in new coin-op washer and dryers in their rentals when they need to replace them in exchange for my services.

For example I supply the new washer and free service/parts for the washer. They provide the location, water and electricity.
In exchange of me collecting the coins from the washer they never have to worry about paying another repair bill on that machine.

In fact I could even put my phone number on the washer so if anyone ends up having a problem with it the renter can call me directly and does not have to bother the apt manager or the owner of the building.

Anyone happen to already be doing anything like this or have already tried and failed? :)



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Online bigbuck

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Re: Anyone own a laundry mat or coin op machines?
« Reply #1 on: August 10, 2012, 12:19:31 PM »
I know someone that own 4 locations, in balt. Area, i was @ his house working on his refrig. He took me outside to look @ his garage, 6 car garage, with lifts for 2 levels, nothing newer then a 69 , all cars were totally restored to mint condition.

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Offline AJ

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Re: Anyone own a laundry mat or coin op machines?
« Reply #2 on: August 10, 2012, 12:23:47 PM »
Did you ask them if they were paid for, lol...
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Online bigbuck

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Re: Anyone own a laundry mat or coin op machines?
« Reply #3 on: August 10, 2012, 12:30:48 PM »
No, but he all 12 spaces filled,  all old cars, except 1 spot was a twin engine motor cycle, & fantastic shape, that he said he out bidded larry the cable guy for.

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Offline JWWebster

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Re: Anyone own a laundry mat or coin op machines?
« Reply #4 on: August 10, 2012, 01:40:28 PM »
My friend Lester repairs all the laundry mat machines from a location and supply's the parts in exchange for an even split of the take every month. Used to come into the store with nothing but rolls of quarters. He would often give me one and tell me to buy some lunch. I miss them days. LOL
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Offline Bailey

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Re: Anyone own a laundry mat or coin op machines?
« Reply #5 on: August 10, 2012, 02:26:57 PM »
  I have several coin ops out in apartment buildings. I put them in when I had my Maytag Home Appliance Center and could get the machines at cost.
I split the money with the building owners and take care of the repairs. There are some companies around Denver that will come over here and put machines in but only at really large complexes so that leaves the smaller places. So many of the machines in there are belt drive whirlpools or old GE's just hanging in there
waiting for a transmission to go out.  When I condemn one and give them the price of a new one they about pass out. A new set of Whirlpool coinops at Lowes will set you back about $1500 so it takes awhile to see your profit. The first ones I ever put in were purchased at one of the large commercial distributers that had installed some new ones in a college and were selling off the old Maytags. I still have some that are 30 years old and still working.Best machines ever.

Offline theoldstoveguy

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Re: Anyone own a laundry mat or coin op machines?
« Reply #6 on: August 10, 2012, 08:57:55 PM »
I just got 4 Maytag coin machines all 18 years old out of a mobile home park. They bought 6 new Speed Queen washers so I grabbed them, 3 are sold already for $400.00 after minimum repairs. I wouldn't do it with buying new machines, look for old Maytags.

Offline Wedgeman55

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Re: Anyone own a laundry mat or coin op machines?
« Reply #7 on: August 16, 2012, 03:16:57 AM »
     This is really my field of expertise............. First off,  in my opinion,  the only way to make money owning a laundromat is to do most of your own repairs.    I have seen 10 laundromats go out of business in our area because owners were not mechanically inclined.     
     Depending on your area,  laundromats can be a money maker if rent is reasonable, and you have a good customer base.   Company I used to work for was huge - owned 9 laundromats,  had another 14,000 coin op machines in the field in apartment blds, colleges, nursing homes,  Hotels, etc.    Did a ton of work for owners of other laundromats.   And again,  if you can do your own repairs,  it is the KEY to making a good buck.   I was the service manager, and was in charge of a large service department.
     Now,  you can get a few small apartment buildings and put in coin op machines.   Might make a few bucks if you get lucky.   But all the real big moneymakers,  being the big management companys with big laundrys and tons of machines,  you won't get.   Those are taken by companys like Coinmach, Mac Grey etc.   My old company would have to install sometimes up to 500 machines in a single place, like colleges for example.    Money upfront for that is hundreds of thousands of dollars.   Most of the small places,  they don't even want to bother with.
     All that being said,  If you can get a laundromat at a reasonable price,  It might be worth your time.  Also consider a laundromat with just Toploaders will not cut it.   Your best machines are the larger ones where you can charge a lot of money.    I have a customer that has 2 - 125 lb Continental washers,  2 - 75 lb Continentals,  4 40 lb Continental washers and the rest are a mix of 25lb, 18 lb continentals and a few whirlpool toploaders.    You have to learn how to fix the big machines yourself to make money.    They get 14 dollars a load for the 125 lb machines - they run about 20 minutes.   If they run 14 hrs a day figuring conservatively 2 loads an hour average,  you could make almost 400 a day or more on one machine.   Of course, upfront cost on all of the machines in the laundromat like this could be 200,000 dollars or more.  Most of the Commercial companys (Wascomat, Continental, Huebsch, Unimac, Milnor, etc. )  Have financing plans available.   Again, depends on your area.    The guy who owns this laundromat has a goldmine.   On a weekend,  place is packed and he showed me he makes on a FRI-SAT-SUN about 18,000 to 20,000 Gross.   Place is packed on weekends.  Always pays me right away.    Thats' one example. 
     I have several small apartments myself.   Got the machines for free.  Have them in a trailer park, do reasonably well.   Not going to retire on them, but what the hell.   
     I have an inside chance to get a contract for several locations that are unhappy with current contract they have with a large company,  and I know the person in charge of administration and signing contracts.   Only problem,  I would need a ton of money upfront to purchase machines and I don't have it.   Contract still runs till 2015,  so assuming I'm still alive by then (ha ha) I am trying to get a group of investors together to make a run at this.    I am a dealer for one of the commercial machine companys and a service entity.     So I can get the machines,  just need cash.   Oh well,  I don't have too much hope,  give a 25% percent chance at best to succeed.    Hard to convince people to give you hundreds of thousands of dollars.   Went to a bank with business plan,  and they turned me down.    If it was Early 2000's,  they probably would invest but not now.  Money is tight.   
     Getting tired,  I'll talk more later.   But it is worth looking into.  AJ, if you have a possible location or want to buy an existing laundromat,   let us know.     
           
Commercial Laundry repair Tech and Installer  1973 to 1980
Service Manager / Technician Commercial Laundry repair company 1980 to 2002
Refrigeration - HVAC - Boiler School 1974-1976
Electronic School 1978-1979
Self Employed Appliance Repair Company 2002 to present

Offline Wedgeman55

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Re: Anyone own a laundry mat or coin op machines?
« Reply #8 on: August 16, 2012, 03:31:35 AM »
     One more thought before going to bed,  Most of the coin op companys work on a split. - usually 50 -50 or 60 - 40.    However,  we always had written into the contracts that there would be a minimum that had to be met.   For example,  1 dollar a day per machine.   Now,  this might not sound like much,  but if you only collect 28 at end of month,  their part of split would be 0 dollars.  Because minimum not met.   So in a case like this,  in order for the apartment owner to collect a full 50-50 split,  machine would have to make at least 60 or 62 dollars in a month.   It protects you from having to bear repair costs and not making enough.    All the big companys have this in their contracts.   
     One other thing to consider is insurance.   You MUST have insurance,  because if machine floods and causes 20,000 worth of damage,   You as owner of machine will be liable.   Or if someone falls because machine floods.   We used to get sued regularly.    Apartment owner will put this burden on you.    We had a machine flood in a laundry room once,  hose spit,  water ran all night.   Cost the insurance company 70,000 in damages.    Food for thought.   
Commercial Laundry repair Tech and Installer  1973 to 1980
Service Manager / Technician Commercial Laundry repair company 1980 to 2002
Refrigeration - HVAC - Boiler School 1974-1976
Electronic School 1978-1979
Self Employed Appliance Repair Company 2002 to present

Offline AJ

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Re: Anyone own a laundry mat or coin op machines?
« Reply #9 on: August 16, 2012, 06:28:40 AM »
Good to know, thanks for posting.


Guess if I did anything I would lean towards buying a laundry mat over putting coin ops in rental buildings.


Thanks for the advice.  O0
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