There has been an increasing demand for laundry delivery services (that’s right, not just physical laundromats with lots of equipment and commercial laundry parts from Laundry Replacement Parts).
In fact, the laundry industry is projected to be worth a whopping $113 billion by 2027! That’s why there’s never a good time to start a laundry delivery service than now. That said, there are a few entry barriers, so let’s go over steps and tips to help make your venture successful!
- Plan the business and costs involved
A clear plan is crucial for your success so you can map out all the specifics of the business while discovering the unknowns. Determine the startup and ongoing costs, your target market, how much you’ll charge customers, and your business name, among other vital factors.
Next up are to identify the costs. Fortunately, the costs are lower for laundry delivery services. If you have a vehicle, laundry equipment, and cleaning products, you can start the business now! Some entrepreneurs start from their own homes or at the local laundromat.
- The ongoing expenses
You must factor in these expenses for your business model:
- Cleaning products
- Laundry equipment maintenance and dexter laundry parts
- Utility bills
- Insurance
- Laundromat costs
- Transportation/delivery costs
- Website maintenance
- Flyers and business cards
- The target market
There are various people who may use the laundry delivery service. Maybe you want to target businesses in need of laundry services on a regular basis or individuals who always have a ton of laundry after dealing with their busy lives!
Think of who your target market will be so you can form the pricing and appropriate marketing strategies.
- How this business makes money
Laundry delivery services will earn money by charging customers a certain fee for washing and delivering their loads of laundry. You can charge by pound, load, or types of fabric and clothing that require laundering.
The price you’ll set would be based on the transportation and laundry expenses, along with additional factors like insurance, staff salaries, and your profit. Some would charge $3 a pound with a 30-pound minimum, with larger items or rush deliveries costing more.
As for profit, a laundry delivery service owner would expect profit to depend on volume. The cost to run a load of laundry will depend on your equipment, costing up to $1, depending on the detergent used and energy efficiency of your equipment. If you charge about $5 per load, then you make a $4 profit every time. Do 20 loads daily and you can make about $80. But again, there are other expenses to consider so this may drive up your price!
Do note that these are just the first steps! Next up is forming a legal entity, registering for taxes, and obtaining the appropriate permits and licenses. After that, you can create the business website and phone system, then start operations.
Wrapping It Up
Keep these steps in mind as you create a business plan for your laundry delivery service.
