How to buy a laundromat.
How to buy a laundromat: verifying cash revenue, machine age, the lease, utility costs, wash-and-fold and delivery revenue, SBA financing, and red flags.
To buy a laundromat, verify revenue independently (utility usage, card and app payment data, and bank deposits, not just the seller’s word), check machine age and mix, read the lease closely, and review utility costs. Laundromats are usually priced on a multiple of documented net cash flow, and many buyers use SBA financing. The lease and the machines often matter as much as the revenue: a store with new equipment and a short lease can be a poor buy.
Verify revenue the hard way
Many laundromats take coins and cash, so reported revenue needs independent checks. Compare water and gas usage against claimed turns per day, review card and app payment reports, match deposits to the books, and, where possible, observe the store at different times. Undocumented revenue should not be paid for. See the due diligence checklist.
Machines, utilities, and the lease
Note the age, brand, and mix of washers and dryers and the replacement schedule. Utility costs are the biggest expense, so review 24 months of bills. Then read the lease: remaining term, renewal options, rent escalations, and whether it can be assigned to you. A laundromat on a short or unassignable lease is a much riskier purchase.
Where the upside is
Wash-and-fold, pickup and delivery, commercial accounts (gyms, salons, short-term rentals), card and app payments, longer hours, and better equipment can all raise revenue. Price the store on what it earns today, and treat these as your upside, not the seller’s.
Financing
Laundromats with verifiable cash flow are common SBA 7(a) acquisitions; equipment can sometimes be financed separately. Lenders underwrite to tax returns, which is one more reason documented revenue matters. See SBA financing, our laundromat page, and the valuation calculator.