Determining the investment requirements for a laundromat can be
a confusing process, but it's really not so different from any
other business. A notable difference? Most laundries pay off their
initial loan in the first three years.
A Laundry Loan from Laundry Experts
Choose Speed Queen Financial Services for your equipment loan --
which requires customers to invest as little as 30 percent in cash
into the total cost of the store, including the equipment and
leasehold improvements. In comparison, banks may require additional
collateral, including personal real estate, and will probably not
take into consideration the equipment value as a part of the
Your down payment will be determined by the size of the store,
cost to build, cost to buy, equipment costs, etc. On average, a new
laundry can be a total investment of anywhere from $250,000 to
$1,000,000. Most entrepreneurs investing in Speed Queen stores will
invest between $75,000 and $300,000, and will finance the balance,
giving them good leverage on their cash.
When first deciding on where to get funding, there are a couple
of places to look for help. A good place to start is with the
equipment manufacturer. Speed Queen Financial Services offers a
selection of financing programs for everyone from first time
investors to veteran owners of multiple stores.
Another reliable source is the Small Business Administration.
The Small Business Administration offers a wide variety of loan
programs at www.sba.gov.
No matter if you go to your local bank, the equipment
manufacturer or the SBA for financing, you will more than likely
need a business plan. If you aren't sure how to draft a complete
business plan, your local equipment distributor or local Senior
Core of Retired Executives (S.C.O.R.E.) is a great place to