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Business Plan For The Laundry Industry [PDF]

laundry and dry cleaning business plan pdf

In order to have a successful business, it is crucial to have a plan, a laundromat business plan . But, what exactly is  a business plan ? What should be included? How to know if the steps are being followed? This is what this article is all about!

Download your laundromat busines plan

Step 1. The definition of a business plan is that it is a written description of the future of a business. It's a document that tells the story of what the plan is and how to make it happen.  Although every business has its own story, there are some generally accepted conventions about what a full-blown business plan should include and how it should be presented. First of all, the famous 5 W's: What, When, Who, Where, Why and How .  By answering this 5 questions in the right way, the business plan for laundry services will cover all the important matters that will contribute on making the business a success.

“Going into business without a business plan is like going on a mountain trek without a map or GPS support – you’ll eventually get lost and starve!”  - Kevin J. Donaldson

Any laundromat business plan should start with a list of the services that will be provided. Will the laundry be delivered back to the customers or will there be specialized services offered such as dry cleaning and/ or ironing? It does not matter if entrepreneur(s) will not be going for a bank loan or a venture capital, a business plan doc will give clarity about where the business is heading and it is a helpful tool to stay organized and remain on track.

A BUSINESS PLAN FOR A LAUNDROMAT BUSINESS  

business plan laundry pdf

Laundry business has had a boom in these recent years, since people have no time (nor are they are fund of) for washing, dry cleaning and ironing their clothes. This business sector is a great business opportunity to invest in due to the fact that it offers a solution to people's problems, which is why it has a very high and recurrent demand (people will never stop washing their clothes). Although laundry business has a great potential, it is crucial to understand the importance of a business plan in order to make this business work. 

Business franchises come with a large number of benefits, including the providing of everything needed to get a business up and running. As the brand  and business model are already set-up and established, entering a franchise contract can come with less risk than starting a business entirely from scratch.

KEY COMPONENTS FOR A SUCCESSFUL LAUNDRY BUSINESS PLAN

It is important that every business plan for laundry services answers the 5w's , the length does not matter, as some business are bigger than others or need a deeper explanation for its understanding. As stated before, the main objetive of a business plan is for your product(s) and/or service(s) to be understood.

The following topics are to be explained in a business plan:

laundry-business plan

  • Basic Business Concept
  • Strategy and Actions for its Implementation
  • Competitive Advantages
  • Target Market
  • Financial Needs

1. Basic Business Concept

This is an overall of the idea, where the When & How should be explained. This is where the entrepreneur(s) should explain and discuss the following:

  • The industry
  • The business structure
  • The introduction of the product or service
  • The plan for making the business

The main objective of this section is for people (such as investors) to figure out if the business is attractive or not and where the What and How  will be explained. 

2. Strategy and Actions for its Implementation

After the introduction of the product or service is made, here is where the following questions must be answered:

What are the specific goals for this business? 

When and How  will the goals be accomplished? 

This three questions are the body of the plan, this is one of the most important sections, it could be said that it is the heart of the business plan. 

3. Competitive Advantages od a laundromat business plan

laundry business plan competitive advantages

Why should people look at this laundry business plan instead of other? Why would customers want to purchase those products and/ or services and not those of the competitors? Here is where the chance to dazzle the readers with good and solid information about the laundry business is.

4. Target Market --> Marketing Plan

Everything about the potential and actual customers. 

  • What profile is being looked for? 
  • What is the demographic audience? 
  • What methods will be used to capture the specific audience? 
  • How will the “attack” and retain of the customers will be done to gain more profit? 
  • What sets your business apart from the competition?

5. Financial Needs

Starting a laundry business might be more expensive than people think. When writing down a laundry business plan , it is important to jot down all the equipment and items that will be needed such as: washers, dryers, detergent, hangers, and so on. These items will need to be factored into the budget to ensure the venture is financially viable.

These statements provide a model of how the ideas about a laundry business, its markets and its strategies will play out. It is important to remember that a business plan is based on facts and not feelings. The entrepreneur(s) have to stick on the projections and numbers instead of hopes, think about realistic expectations of profit instead of focusing on dreams of wealth. This section is about facts - checkable, demonstrable facts - because here, is were the most important component of all comes out: THE CREDIBILITY

IN CONCLUSION:

A laundromat business plan is a great tool that allows founders to present their vision and plans of a project. When using any business plan format, there are standard questions (such as the 5 w’s) that force every person involved to think, analyze & create a long term vision and strategy for the idea.  It is demonstrated that writing things down on paper helps as a guide to track the progress and have better control on the status to be accountable on the future.

“Business planning is incredibly helpful for describing what you do, understanding who your competitors are, and crafting a realistic three to five year plan. Each of these activities is crucial if you are looking to launch or expand a venture, and learning to speak concisely about your company will always be crucial no matter what stage you’re in.”   - Garrett Neiman , College Spring

HOW DID THE MOST FAMOUS SPANISH LAUNDRY STARTUP MADE IT HAPPEN?

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Starting A Laundry Business Plan (PDF)

Laundry Business Plan

Setting up a laundry services business is a very profitable venture. Most people work long hours and do not have time to do certain chores such as laundry thus, setting up this kind of business is lucrative. As the middle class grows together with their disposable income, the demand for dry cleaning services and laundry services will continue increasing in the coming years. As many countries continue to develop with the urban population increasing, the demand for convenient services such as dry cleaners and laundromats will continue to rise. Nowadays, both spouses work and there are a few stay at homes parents and many people pay someone to do their home chores such as laundry or make use of laundromats. This article will outline how to set up a laundry services business as well as the laundry services business plan – PDF, Word and Excel.

If you want to set up a successful laundry business there are some important factors you need to consider. First you need to decide on the type of laundry services you need to offer, your target market and your location. The type of laundromat you set up will be based on the amount of capital you are willing to invest in the business.  It is also crucial to research the market as well as the industry before you set up your business and have a good business plan for laundry services.

Location & Premises

The location and premises of your laundry business is essential because the success or failure of your business depends on it. Therefore, when choosing a location for your laundry services business consider where your target market is, the amount of road and foot traffic, as well as how accessible your facilities will be. Consider setting up your laundry services at a popular shopping centre, a mall, or somewhere close to your target market. It is also important to consider how the surrounding area will affect your business. You do not want to set up your business in a saturated place where there are a lot of similar services. Also consider the size of your premises and make sure that they are large enough for your machines, dryers and can accommodate your customers without them crowding. Parking space is also essential when considering your premises. Your customers should not have hard time when it comes to parking space if they are to come to your laundromat. Your laundromat business plan should include the costs of purchasing or leasing the premises.

Permits/Licenses, Insurance & Business Bank Account

Permits or licenses.

Normally, a laundry business must have an operating or shop license. This is usually given by your respective local municipal authorities. In some cases this might not be necessary, especially if you are operating say, from your home. Business or company registration is necessary, especially if you want to be taken seriously. Proper registration will also make it easier to get bigger clients and to source funding if need be.

Insurance & Business Bank Account

Under normal circumstances you will be dealing with machinery. This implies that anything can go wrong any time. To prepare yourself for such scenarios you must insure your laundry business. After all, you will be dealing with people’s clothes. Insurance helps you to not bleed financially if unfortunate incidents occur. Open a business bank account to take note of, trace, and generally manage your laundry business finances. You would not want to be personally liable when things go south.

Machinery & Equipment For Laundry Services Business

For any business to run successfully it needs the right machinery & equipment. It is important to invest in quality washing machines, and dryers for example. If you are the kind of laundry service company that will travel to pick up and drop off laundry you will need to purchase a vehicle as well. Ensure that your business plan has a list of all the machines, equipment, detergents needed by your laundromat business. The kind of services you choose to provide will determine the kind of equipment and detergents you will need. The costs of purchasing the machines & equipment should be included in your laundry business plan.

Products And Services

You should have a clear picture of the kind of products and services you plan on offering. These products and services will be depend on your target market. Some of the popular services offered by other laundry service companies include washing,  drying, and dry cleaning of regular clothes , beddings, blankets, carpets and curtains to name a few. There are other laundromats that have complimentary services such as shoe repairs in addition to their laundry services plus there are others that also offer garment mending. It may be profitable to offer other complimentary services in addition to the regular laundry services. However, make sure that your services are profitable and are required by your target market. You can pick up and deliver laundry, provide a self-service laundromat, or offer dry cleaning services. Whatever services you decide to provide, your laundry services business plan should clearly outline them.

Competitive Analysis

Do market research to figure out where the market gaps are. This is because it would be ideal to find a location that is underserved or not served at all. If your intended target market has other laundry businesses close by then study them. The quest is to find out how you can differentiate your laundry business. Differentiators start off with choice of location, types of services, prices, and add-ons, amongst others. Learn from the competitor laundry businesses and capitalize on their shortcomings.

Staff & Management

Your staff members have a direct effect on how successful your laundromat business will be. As such, it is important to hire people that are experienced in this kind of business and who also love doing their jobs. You will need to hire cleaners, laundry attendants, and finance & operations staff who will assist you in running your business. The number of people you hire will depend on the size of your operations as well as the services you intend on offering. Make sure that your workers know how to safely use detergents, cleaning chemicals, laundry machinery and handle delicate materials. Laundry equipment and cleaning chemicals can be dangerous thus it is important to hire experienced staff.

It is important to set up procedures and processes to make your operations efficient and simple. Ensure that your laundry attendants know how different fabrics are treated, washed, and dried. Handling people’s clothes and other belongings needs special care if you want to run a successful laundry services business. Also adhering to industry safety regulations is crucial if you want your  business to be successful. Your laundromat business plan should have a clear description on who you will hire, your operational procedures as well as the salaries and  operational costs of your business.

Some of the day to day activities of a laundry services business include;

  • Washing and drying of clothes using washing machines, dryers and handwashing
  • Serving customers, taking and delivering orders,
  • Advertising and marketing
  • Cleaning the facilities

The market for laundry services is very large. With an increasing population and more people entering the workforce very few people have time to do their laundry. Students, working parents and other professionals have very busy lifestyles with limited time on their hands. As such, the demand for laundry services is very high. The demand for laundry services in institutions such as prisons, schools, universities, and hospitals is high. Many of these organisations would rather outsource their laundry needs than buy expensive washing machines and dryers. Not everyone can afford a washing machine so setting up a laundromat close to apartments or flats to serve individuals can also be profitable.

Given the increase in the number of working professionals, the need for laundry services is likely going to go up in the coming years thus, setting up a laundry services business is profitable. Before you venture in any kind of business developing a business plan is essential. That way you can determine whether your business idea is feasible or not. With a a good laundry business plan, you can outline the risks associated with your business, ways to minimise them, your operational and financial plan.

Keys To Profitability

Strive to score regular and bulk clients.

The laundry business is a game of numbers. The more clothing items you push, the more the revenue. The best way to easily achieve that is by getting regular and bulk clients. These are clients who normally need laundry done almost daily and in large quantities. Examples of such clients are health facilities, academic facilities, or hospitality facilities. Common examples of such are hospitals, schools, and hotels. Retainer arrangements with them would be great.

Provide Unbeatable Convenience

There are many ways you can do this. A good example is to offer cheap (or even free) pick-up and deliveries. The driving element in people wanting to get their laundry done is convenience. Often time clients have to walk in and drop their laundry. Then they come back later to get their clothes. Most people honestly do not enjoy or have time for that. You can step in to offer convenience by offering to do pick-ups and deliveries later on. You can charge a small almost negligible fee or you can offer these as free services. This is a good example of how you can score more clients. Ensuring the shortest possible turnaround is another way to provide convenience. This also means you must even strive to have a service where clients walk-in and wait for their clothes.

Quality Services Are The Master Key

People expect their clothes to be properly cleaned or washed. A sure way of retaining your customers is by making sure you produce quality every time. Your laundry business must be synonymous with guaranteed quality. Customers might not even be bothered if you are pricey. So long you insist on and ensure consistent quality, customer experiences will be top notch. Not only does that build customer loyalty but it generates word of mouth marketing. A quality-oriented laundry business promotes customer loyalty and drives customer acquisitions.

The laundry business wields vast business prospects in many areas around the world. There are still many places where laundry businesses are non-existent or sparsely available. Those are good indicators of why you should start the laundry business.

Pre-Written Laundry Business Plan (PDF, Word And Excel): Comprehensive Version, Short Funding/Bank Loan Version and Automated Financial Statements

For an in-depth analysis of the laundry services business, we encourage you to purchase our well-researched and comprehensive laundry services business plan. We introduced the business plans after discovering that many were venturing into the laundry business without enough knowledge and understanding of how to run the business, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.

The StartupBiz Global laundry business plan will make it easier for you to launch and run your laundry services business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. This is a complete business plan for a laundry business. It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the laundry business.

Uses of the Laundry Business Plan (PDF, Word And Excel)

The laundry business plan can be used for many purposes including:

  • Raising capital from investors/friends/relatives
  • Applying for a bank loan
  • Start-up guide to launch your laundry business
  • As a laundry business proposal
  • Assessing profitability of the laundry business
  • Finding a business partner
  • Assessing the initial start-up costs so that you know how much to save
  • Manual for current business owners to help in business and strategy formulation

Contents of the Laundry Services Business Plan (PDF, Word And Excel)

The business plan for laundry includes, but not limited to:

  • Marketing Strategy
  • Financial Statements (monthly cash flow projections, income statements, cash flow statements, balance sheets, break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization)
  • Industry Analysis
  • Market Analysis
  • Risk Analysis
  • SWOT & PEST Analysis
  • Operational Requirements
  • Operational Strategy
  • Why some people in the laundry business fail, so that you can avoid their mistakes
  • Ways to raise capital to start your laundry business

The laundry services business plan package consists of 4 files

  • Laundry Business Plan – PDF file (Comprehensive Version – 81 Pages)
  • Laundry Business Plan – Editable Word File (Comprehensive Version – 81 Pages)
  • Laundry Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying for a loan/funding – 41 pages)
  • Laundry Business Plan Automated Financial Statements – (Editable Excel File)

The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the costs, salaries etc, and all the other financial statements will automatically adjust to reflect the change. 

Click below to download the Contents Page of the Laundry Services Business Plan (PDF)

laundry business plan pdf

Testimonial 3

I was extremely lucky to come across StartupBiz Global. Their business plan exceeded my expectations, and most importantly I was able to secure a loan from my bank. Thank you guys, now my dreams are coming true!

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I found Startupbiz Global online when I was in desperate need of a business plan. I was overwhelmed by the quality of the business plan, it’s comprehensive and well researched! I did not have to wait to get the business plan, I got it instantly after payment. I highly recommend Startupbiz Global, and would happily use them again in the future.

Testimonial 5

I was able to understand the business side of farming because of your business plan. You did extensive research; the business plan was well prepared and fully detailed.  It made everything clear, and I have somewhere to start now. I am confident that I am going to succeed in my business because of the guidance from your business plan.

Testimonial 8

Just wanted to say I am very happy with the business plan and I will gladly recommend your products, thank you very much and have a great day.

Testimonial 2

Many thanks for your incredibly efficient service and thorough business plan. I am very impressed with the business plan. Before I bought the business plan, I tried to do my own business plan – it was such a nightmare and it turned out badly, also not to mention the stress it caused me. I wish I knew about your website earlier!

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The business plan which I purchased from your website saved me TIME and MONEY! The layout of the business plan was excellent. The financial statements were detailed and easy for me to edit. I will come back to purchase another business plan soon.

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StartupBiz Global provided a very professional and comprehensive business plan which I used for my business. The business plan was easy to edit, and I was able to get the funding which I wanted. I highly recommend their business plans.

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I purchased a business plan from you, and I’m glad to inform you that I was able to get my loan, and I’m starting my poultry farming business on the 1 st of July. This was made possible because of your business plan. Thank you very much, you made my dream come true.

Get the Laundry Business Plan (PDF, Word And Excel)

Click Buy Now  below to purchase using Paypal, Credit Card, or Debit Card. After you have purchased, you will immediately see the download link for the business plan package on the screen. You will also immediately get an email with the business plan download link. The Pre-written business plan package (PDF, Word, and Excel) costs $30 only!

laundry services business proposal

If you want to purchase multiple business plans at once then click here: Business Plans Store.

The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on [email protected] and we will assist you.

We wish you the best in your laundry services business! Check out our collection of business plans  , and more business ideas .

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Dry Cleaning Business Plan Template

Written by Dave Lavinsky

dry cleaning business plan

Over the past 20+ years, we have helped over 1,000 entrepreneurs and business owners create business plans to start and grow their dry cleaning businesses. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a dry cleaning business plan template step-by-step so you can create your plan today.

Download our Ultimate Business Plan Template here >

What Is a Business Plan?

A business plan provides a snapshot of your dry cleaning business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan

If you’re looking to start a dry cleaning business, or grow your existing dry cleaning business, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your dry cleaning business in order to improve your chances of success. Your dry cleaning business plan is a living document that should be updated annually as your company grows and changes.

Sources of Funding for Dry Cleaning Businesses

With regards to funding, the main sources of funding for a dry cleaning business are personal savings, credit cards, bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for dry cleaning businesses.

Finish Your Business Plan Today!

If you want to start a dry cleaning business or expand your current one, you need a business plan. Below are links to each section of your dry cleaning business plan template:

Executive Summary

Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of dry cleaning business you are operating and the status. For example, are you a startup, do you have a dry cleaning business that you would like to grow, or are you operating dry cleaning businesses in multiple markets?

Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the dry cleaning industry. Discuss the type of dry cleaning business you are operating. Detail your direct competitors. Give an overview of your target customers. Provide a snapshot of your marketing plan. Identify the key members of your team. And offer an overview of your financial plan.  

Company Analysis

In your company analysis, you will detail the type of dry cleaning business you are operating.

For example, you might operate one of the following types of dry cleaning businesses:

  • Multi-service Dry Cleaning : this type of dry cleaning business offers dry cleaning services, alterations, and repair and maintenance to its customers garments. Turnaround time is usually 3-4 days.
  • Express Dry Cleaning: this type of dry cleaning business offers to have customers garments ready within 24 hours.
  • Hotel Dry Cleaning: this type of dry cleaning is located near or at a hotel and primarily services the hotel’s guests. They will also provide alterations and repairs within a short timeframe.

In addition to explaining the type of dry cleaning business you will operate, the Company Analysis section of your business plan needs to provide background on the business.

Include answers to question such as:

  • When and why did you start the business?
  • What milestones have you achieved to date? Milestones could include the number of customers served, number of positive reviews, reaching X amount of clients served, etc.
  • Your legal structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry analysis, you need to provide an overview of the dry cleaning industry.

While this may seem unnecessary, it serves multiple purposes.

First, researching the dry cleaning industry educates you. It helps you understand the market in which you are operating. 

Secondly, market research can improve your strategy, particularly if your research identifies market trends.

The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your dry cleaning business plan:

  • How big is the dry cleaning industry (in dollars)?
  • Is the market declining or increasing?
  • Who are the key competitors in the market?
  • Who are the key suppliers in the market?
  • What trends are affecting the industry?
  • What is the industry’s growth forecast over the next 5 – 10 years?
  • What is the relevant market size? That is, how big is the potential market for your dry cleaning business? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.

Customer Analysis

The customer analysis section of your dry cleaning business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: general public, hotels, businesses requiring uniforms, and anyone requiring garments dry cleaned or altered for a formal event.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of dry cleaning business you operate. Clearly, collectors would respond to different marketing promotions than travelers, for example.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, include a discussion of the ages, genders, locations and income levels of the customers you seek to serve.

Psychographic profiles explain the wants and needs of your target customers. The more you can understand and define these needs, the better you will do in attracting and retaining your customers.

Finish Your Dry Cleaning Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your business plan?

With Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are other dry cleaning businesses. 

Indirect competitors are other options that customers have to purchase from that aren’t direct competitors. This includes alteration businesses and laundromats. You need to mention such competition as well.

With regards to direct competition, you want to describe the other dry cleaning businesses with which you compete. Most likely, your direct competitors will be dry cleaning businesses located very close to your location.

For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as:

  • What types of customers do they serve?
  • What type of dry cleaning do they offer?
  • What is their pricing (premium, low, etc.)?
  • What are they good at?
  • What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

  • Will you provide dry cleaning services in a faster time frame?
  • Will you provide dry cleaning services that your competitors don’t offer?
  • Will you provide better customer service?
  • Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.  

Marketing Plan

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a dry cleaning business plan, your marketing plan should include the following:

Product : In the product section, you should reiterate the type of dry cleaning company that you documented in your Company Analysis. Then, detail the specific products you will be offering. For example, in addition to dry cleaning, will you provide alterations, repair, general laundry, and any other services?

Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your marketing plan, you are presenting the services you offer and their prices.

Place : Place refers to the location of your dry cleaning company. Document your location and mention how the location will impact your success. For example, is your dry cleaning business located in a busy retail district, a hotel, or office building, etc. Discuss how your location might be the ideal location for your customers.

Promotions : The final part of your dry cleaning marketing plan is the promotions section. Here you will document how you will drive customers to your location(s). The following are some promotional methods you might consider:

  • Advertising in local papers and magazines
  • Billboards and bus benches
  • Social media marketing

Operations Plan

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your dry cleaning business, including customer order intake, performing dry cleaning duties, cash register reconciling, dry cleaning product ordering, customer interaction, and payroll and staff scheduling.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to gain your XXth client, or when you hope to reach $X in revenue. It could also be when you expect to expand your dry cleaning business to a new city or location.  

Management Team

To demonstrate your dry cleaning business’ ability to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company. 

Ideally you and/or your team members have direct experience in managing dry cleaning businesses. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act like mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing a dry cleaning business or a proven small business entrepreneur.  

Financial Plan

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet and cash flow statements.

Income Statement : an income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenues and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you start with offering one type of dry cleaning service and expand to offer more services ? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheets : Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your dry cleaning business, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement : Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt. 

In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a dry cleaning business:

  • Cost of dry cleaning equipment and supplies
  • Cost of dry cleaning products
  • Payroll or salaries paid to staff
  • Business insurance
  • Taxes and permits
  • Legal expenses

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your dry cleaning location lease or list of dry cleaning services you plan to offer.  

Putting together a business plan for your dry cleaning business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the dry cleaning industry, your competition, and your customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful dry cleaning business.  

Dry Cleaning Business Plan FAQs

What is the easiest way to complete my dry cleaning business plan.

Growthink's Ultimate Business Plan Template allows you to quickly and easily complete your Dry Cleaning Business Plan.

What is the Goal of a Business Plan's Executive Summary?

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of dry cleaning business you are operating and the status; for example, are you a startup, do you have a dry cleaning business that you would like to grow, or are you operating a chain of dry cleaning businesses?

Don’t you wish there was a faster, easier way to finish your Dry Cleaning business plan?

OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.   Click here to see how Growthink’s professional business plan consulting services can create your business plan for you.

Other Helpful Business Plan Articles & Templates

Business Plan Template & Guide For Small Businesses

Laundromat & dry cleaners business plan template

Download this laundromat dry cleaners business plan template in PDF or Word format, or tailor it to your project directly in our business plan software.

Discover our laundromat and dry cleaners business plan template

Our laundromat business plan template gives you the structure to write a professional plan.

Not accustomed to writing business plans? Our laundromat business template will turn a typically challenging process into a total breeze.

Modelled on a complete business plan of a laundromat in Normandy, our template features both the financial forecast and the written part that presents the project, its team, the local market and the business strategy implemented by the management.

Cast your eyes on this template to achieve a better understanding of what your bank and investors would like to see, so that you can create a business plan that meets their expectations.

laundromat businesss plan template

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How to use this laundromat and dry cleaners business plan template

Edit the dry cleaners business plan template online, or download it.

There are 3 ways to use this template:

  • Edit it online: you can adapt this template to your business idea by changing the text or the financial forecast directly in our business planning software
  • Download in PDF: if you're just after a little inspiration, you can download the laundromat business plan template in PDF to read over it
  • Download in Word format: want to edit your plan on Word? Simply export the laundromat business plan template to Ms Word (.docx) format

online editor for laundromat & dry cleaner business plan template

Laundromat and dry cleaners business plan template content

This template includes a complete laundromat and dry cleaners business plan example, with a financial forecast and the following sections:

  • Executive summary: the executive summary gives the reader a clear and concise overview of your business idea
  • Company: this section lays out the structure of your business, including its location, management team and legal form
  • Products and services: here, you'll give an overview of the services or products offered by the company
  • Market analysis: the market analysis is where you’ll demonstrate that there is a strong demand for your products and services through a thorough assessment of the industry (customer profile, hot trends, regulation, competition, etc.)
  • Strategy: this section highlights the company's game plan when it comes to pricing, marketing and mitigating risks along the way
  • Operations: this step lays out the company's operational organisation, including the recruitment plan
  • Financial plan: the financial plan includes a table of sources & uses (initial funding plan), and complete financial statements (P&L, balance sheet and cash flow statements).
  • Appendices: this part provides the opportunity to include multiple financial appendices generated by our software (debt maturity profile, monthly financial statements, financial analysis, etc.).

cover page and table of contents for the dry cleaner business plan template by The Business Plan Shop

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Executive summary of the laundromat's business plan

The executive summary gives the reader a clear and concise overview of your business idea.

Our dry cleaners and laundromat business plan example's executive summary is formed of the following subsections:

  • Business overview: in this subsection, we outline who the laundromat founders are, what legal form they've chosen for the business, and the rationale behind the choice of their location
  • Market overview: in this subsection, we summarize the conclusions of the market analysis performed by the laundromat's owners and explain which age group or demographics (students, office workers etc.) they aim to target
  • Financial highlights: in this subsection, we give an overview of the forecasted financial performance of the laundromat over the first 3 years of operation
  • Our ask: in this subsection, we outline the amount of financing required to start the laundromat and how it's going to be funded (the founders are seeking a bank loan to start their laundromat)

executive summary for dry cleaners & laundromat business plan sample

Company overview included in our laundromat business plan sample

This section lays out the structure of your business, including its location, management team and legal form.

Our laundromat business plan template's company section is formed of the following subsections:

  • Structure & Ownership: in this subsection, we outline who the laundromat shareholders are and what legal form they've chosen for the business
  • Location: in this subsection, we present the area surrounding the location chosen for the business and the layout and main features of the premises
  • Management Team: in this subsection, we give an overview of the background of each of the laundromat's founders and explain how they met and why they decided to start a company together

company overview included in laundromat business plan template

Products and services offered by the laundromat and dry cleaners

In this section, you'll present a list of the services offered by your laundromat (washing, drying etc.) and dry cleaning business.

In our laundromat business plan template products and services section, we cover:

  • Dry cleaning services: a selection of services including dry cleaning, ironing, laundry, stain removal and washing sensitive materials
  • Self-service laundry: using either an eco-friendly detergent or otherwise when washing clothes

product and services description of the dry cleaner business plan example

Market analysis for the opening of the laundromat and dry cleaners

The market analysis is where you’ll demonstrate that there is a strong demand for your products and services through a thorough assessment of the industry (customer profile, hot trends, regulation, competition, etc.)

Our laundromat business plan example's market analysis section is formed of the following subsections:

  • Demographics and Segmentation: in this subsection, we explore the market in depth. We look at the supply and demand sides both at the national and local level, analyse the hot trends perceived by the founders, and the key statistics that will help the founders build their positioning
  • Target market: in this subsection, our founders explain who their ideal customers are (students, office workers etc.) and why they chose to target them
  • Competition: in this subsection, we take a look at the direct (laundromats and dry cleaners nearby) and indirect (other ways of washing and drying clothes) local competition to ensure we have a differentiated positioning and that the market is large enough to accommodate the arrival of new laundromat and dry cleaning business
  • Regulation: in this subsection, we give an overview of the main regulation applicable to our dry cleaning and laundromat business

market analysis section of the dry cleaner & laundromat business plan template

7 day free trial. No credit card required. Laundromat and dry cleaning business plan template available with paid plans only.

Setting the strategy for our dry cleaning business

This section highlights the company's game plan when it comes to pricing, marketing and mitigating risks along the way.

Our laundromat business plan template strategy section is formed of the following subsections:

  • Pricing: in this subsection, we explain how we set the prices of our main categories of services (dry cleaning, self-service laundry) and the rationale behind our choice
  • Marketing plan: in this subsection, we explain what action we'll put in place to build awareness and loyalty among our target market
  • Milestones: in this subsection, we give an overview of the main goals we set for ourselves for the next 3 years
  • Risks and Mittigants: in this subsection, we perform an assessment of the medium and long-term risks that could jeopardize the financial viability of our laundromat and outline how we intend to mitigate them

laundromat & dry cleaner business plan example: stragtegy section

Operations section of the dry cleaners and laundromat business plan template

This part lays out the company's operational organisation, including the recruitment plan.

Our laundromat business plan example's operations section is formed of the following subsections:

  • Personnel plan: in this subsection, we explain what our opening hours will be and explain the responsibilities of each of our dry cleaner and laundromat's staff member
  • Key assets and IP: in this subsection, we list the assets and intellectual property rights which are critical to our business operations and explain how we will secure and protect each of these
  • Suppliers: in this subsection, we give an overview of the main suppliers we will use our what commercial terms have been negotiated with them

laundromat business plan template: operations section

Financial plan included in our dry cleaner and laundromat business plan template

This section presents the expected financial performance of the laundromat and dry cleaning business over the next 3 years.

Our laundromat and dry cleaners business plan example's financial plan is formed of the following subsections:

  • Start-up funding: in this subsection, we list the cost of each item required to launch the dry cleaning business
  • Important assumptions: in this subsection, we explain the methodology and the main assumptions used to build the laundromat's financial forecast
  • Sales forecast: in this subsection, we detail the expected revenues and growth rate for our laundromat and dry cleaning business in the coming years
  • Cost structure: in this subsection, we list all the expenses required for our laundromat and dry cleaning business to operate smoothly
  • Projected Profit & Loss statement: in this subsection, we analyse our forecasted P&L and comment on the expected profitability of our laundromat and dry cleaner over the next 3 years
  • Projected cash flow statement: in this subsection, we analyse the expected cash generation of the laundromat and dry cleaning business
  • Projected balance sheet: in this section we give an analysis of the liquidity and solvability implied from our balance sheet

dry cleaner & laundromat business plan forecasted P&L

Appendices of the dry cleaning and laundromat business plan template

This part provides the opportunity to include multiple financial appendices generated by our software (debt maturity profile, monthly financial statements, financial analysis, etc.).

Our laundromat and dry cleaners business plan template's appendices include:

  • A Maturity profile chart showing the principal repayments of their loans over the next 3 years
  • A monthly cash flow forecast: showing how much cash is being generated or consumed each month over the first 3 years of operations

laundromat business plan template: monthly cash flow forecast

Laundromat and dry cleaner business plan template sample

Executive summary, business overview.

Lav'Eco will be a self-service laundromat, located in the heart of Caen, close to the main University.

We will provide both washing machines and dryers.

Our machines will be controlled by an electronic system allowing customers to use them without any assistance.

We will also offer: laundry services, dry cleaning, ironing and leather cleaning.

Our laundromat will use only eco-friendly and biodegradable products, to respect the environment whilst also committing to a more traditional method of washing.

Our launderette will be transparent about the brands and products that are used to clean the clothes.

Lav'Eco will be a limited company managed by Marianne D. and Alexandre C. with a share capital of €10,000. The two managers have complementary experience.

Marianne D. worked as a dry cleaner for 8 years for a company in the Caen region before deciding to set up her own business.

Alexandre C. was the manager of a supermarket for 10 years before retraining and setting up his business with Marianne.

The two managers met whilst hiking and have known each other for over a decade.

Market Overview

French Market

The French and their use of washing machines

According to INSEE, 96.2% of households owned a washing machine in 2017. 81.9% of 16-24 year-olds had a washing machine at home compared to 96.9% of 40-59 year-olds.

According to a report by Les Pieds Dans la Toile, the French wash an average of 165 clothes per year and use 60 litres of water for each wash.

The French take water scarcity seriously and look to reduce consumption where possible. 

CBNews indicates that the French are adept at "consuming better" at all levels - 79% of households mention that they are looking for better practices to reduce unnecessary water consumption.

Laundromats and dry cleaners in France

Washing clothes involves the use of personal equipment as well as a regular or occasional visit to a launderette or dry cleaner.

This visit is justified for various reasons: not enough space or financial means to buy a washing machine, the need to dry clean certain clothes, tough stains or too much household laundry to wash at home, etc.

The overall market is divided into two categories:

  • Dry cleaners that offer dry cleaning, wrinkle removal, dyeing, stain removal, degreasing or even garment repair in some cases
  • Self-service launderettes who provide access to washing machines and dryers

INSEE estimated that the laundry and dry cleaners market had a combined turnover of €711 million in 2016.

Local Market

According to INSEE, the city of Caen had a total of 105,403 inhabitants in 2016.

There were 15 laundries and 17 dry cleaners spread throughout the city of Caen and in different districts, equivalent to a ratio of one laundry for every 3,293 inhabitants.

Among these inhabitants, 29,308 students were counted by UNICAEN. Students are the main target of the launderette market, as they are usually in Caen during term times.

Students do not necessarily have enough space or means to invest in a washing machine. Furthermore, renting an unfurnished apartment may mean that the washing machine is often not included.

They then have to go to the nearest laundromat to do their laundry or wash their clothes during weekends if they return home.

According to the Journal du Net, figures for 2016 show that the city had a total of 6,931 businesses.

Office workers and public bodies often use the services of dry cleaners, especially for suits and costumes, representing an opportunity in the local market.

The main employers of administrative staff in Caen include the Prefecture, the CAF du Calvados, Véolia, the Town Hall and the General Council.

Several company concierge services are also present in Caen. These services often offer dry cleaning services that they subcontract to local companies, and can thus enable dry cleaners like ours to expand their customer base beyond their catchment area.

Financial Highlights

We expect to be profitable from our second year of operation with sales of €130,075 and an EBITDA of €5,780 (with a 4.44% margin) for year 2.

We expect to be able to continue to grow our business to reach €137,920 in sales and €11,177 in EBITDA (with a 8.100% margin) by year 3.

We expect positive cash flow generation over the entire plan despite the loss-making situation in year 1. The cash flow generated by the company will be sufficient to cover loan repayments while maintaining sufficient headroom to deal with unforeseen events.

The opening of our laundromat will require an investment of €55,000.

The partners have planned to contribute €35,000 (63% of the total), with a share capital contribution of €10,000 and a director loan of €25,000.

We would like to obtain a loan of €20,000 to finance the remaining amount.

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Easy to get started with and well-guided throughout. Lots of business plan templates to help you and writing is easy because there are explanations at each step of the process.

Quite frankly excellent because I was able to finalize my business plan in less time than expected. This software offers a very coherent and complete approach to writing your project.

It is a very well designed software that allows you to visualise each step of your project, understand if the idea is viable or not and think about the steps needed to start your business.

The software is just impeccable. Of course, it meets the requirements of people starting a business. In addition to having a tool for putting together a proper financial forecast, there is also a tool to help write the business plan.

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laundromat owner using our business plan template

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Laundromat Dry Cleaners Business Plan Template FAQ

A laundromat business plan is a written document that sets out the commercial, operational and financial objectives of the company over the next 3 to 5 years.

It consists of two main parts:

  • A written part that presents, in detail, your laundromat business, the team, your strategy, and your medium-term objectives.
  • A financial forecast that highlights the expected profitability of the laundromat and the initial funding requirements.

The lack of business planning is one of the main reasons why more than 50% of startups fail within 5 years. If you're starting a laundromat or dry cleaning business, writing a business plan is a must-have in order to reduce the risk of failure of your project.

Business plans are also required by most lenders and investors in order to secure financing, therefore a business plan is also highly recommended if you're seeking a loan or equity investment for your laundromat or dry cleaning company.

Writing a laundromat or dry cleaner business plan without The Business Plan Shop can be both error-prone and time-consuming - whether you're new to entrepreneurship or experienced:

  • You'll need to research the structure of a business plan, what to include in each section, and what key elements investors and lenders expect to see
  • You may encounter writer's block (especially if it's the first time you're writing a business plan for your laundromat)
  • You'll need to create a financial forecast on a spreadsheet which requires a solid understanding of accounting and financial modelling in order to be done without error
  • You'll need to spend hours formatting financial data on Excel or Sheets before it's ready to integrate into your business plan
  • Any updates to your dry cleaning business plan or financial forecast will need to be done manually

Luckily for you, The Business Plan Shop's online platform and laundromat and dry cleaning business plan template guide you through every stage of writing a business plan, so that you can spend more time managing and growing your business instead.

Our editor follows a best-in-class structure for professional business plans. Each section and subsection includes examples and instructions to help you, while our business plan templates provide further inspiration if you're stuck.

Our financial forecasting software helps you create a forecast and integrate it into your business plan with ease. Anytime you update your data, your business plan automatically updates.

And with our forecasting software all the calculations are done for you, without errors.

The budget to start and run a laundromat and dry cleaner will depend on the exact concept and location.

A small local laundromat offering simple washing facilities requires a limited investment. A bigger place, offering eco-friendly detergents, a possible social area and a selection of other services including dry cleaning and tough stain removal will require a larger upfront investment and more staff to operate.

As an example, in our laundromat business plan template the total initial funding requirement amounted to €55,000, with the founders contributing €35,000.

In order to assess the exact budget for your laundromat idea, you need to do a financial forecast using a financial projection tool such as the one we offer .

The package we offer at The Business Plan Shop goes way beyond a simple blank template you need to fill. With our platform you get:

  • Access to one of the best business plan software on the market
  • Access to our laundromat and dry cleaners business plan template which contains a complete example of a written business plan and financial forecast to start the business
  • Access to our entire business plan templates library - giving you dozens of examples to take inspiration from
  • Access to our financial planning and analysis platform so that you can track the actual performance of your business against what you had planned in your business plan and re-plan easily

But you shouldn't take our word for it: try our solution for free and make your own opinion!

The free trial enables you to try the software for free during 7 days in order to verify that it meets your requirements before buying.

Some features are limited during the free trial, the main limits are:

  • You can only create one business plan
  • The financials of the first year are visible, but data for other years are hidden
  • You can export your plan in PDF but not in Word or CSV
  • No access to our business plan templates

You can create your account and start your free trial here .

Access to our template is included with all our paid subscriptions.

Please visit our pricing page to learn about this in more detail.

Other business plan templates and resources to discover

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Learning center series

Fundamentals of a laundry business plan

  • Published on February 23, 2024
  • by Turgut Arisoy
  • Last updated: 1 week ago

Laundry Business Plan

Surviving in the laundry business is akin to crossing the Sahara with only a water bottle- hopeful, but rarely successful. Indeed, an alarming 90% of laundry enterprises wither before they bloom. What makes this grim statistic less daunting, is that failure often leaves behind a trail of wisdom for the rest to tread upon.

From analyzing a decade’s worth of data, we’ve unravelled common pitfalls and silent killers lurking behind your launderette’s ‘Closed’ sign. Insights that not only shed light on why some businesses stumble but also unravel the tools to dodge those obstacles.

Watch a phoenix rise from the ashes of a failed laundry business, as we explore these illuminating lessons.

Worldwide Dry Cleaning Industry Size 🌍 The dry cleaning industry has an estimated total market size of approximately USD 60 billion globally.

Laundry Business Plan Essentials: Your Blueprint to Success

Understanding your audience and choosing the right venue are crucial for flourishing in the laundry business.

Understanding Your Target Market: The Key to Customer Acquisition

Better returns stem from better understanding of your audience. This cannot be overstated in the laundry business.

Market research lets you dive into the psyche of your potential customers. Think about it, a parent juggling work and personal life might prefer a comprehensive service that offers door-to-door pickup and delivery services over service. On the other hand, students may prioritize affordability over other services. At Metrobi, we specialize in managing delivery operations for laundromats, providing an efficient service for door-to-door laundry collection and delivery .

By identifying your target customers, you can better cater for their specific needs, thereby increasing customer acquisition.

Ever thought about who your ‘go-to’ customer is? Identifying and understanding your target market is not about casting a wide net, but rather focusing on a specific consumer profile. It’s not about appealing to everyone, but about being the best for someone. Your business model, services, and even pricing should be designed around your target audience’s preferences and behaviours.

Choosing the Right Location: The Cornerstone of Your Laundry Business

Location is key in the physical realms of business. It’s no different in the laundry industry.

There are factors to think about when choosing your business’ location. Sure, a bustling city center might guarantee foot traffic. But also consider the convenience factor. Are you within a comfortable distance for your target market? Is there paring? What about competition in the area? These considerations play a crucial role when deciding where you set up shop.

Your carefully selected location will significantly influence your business success. We’re talking increased visibility, ease of access and overall convenience for your customers.

Consider this, a parent tumbling under tons of chores would preferably want to drop-off and pick-up laundry en-route to work/school or shopping. If your business is located strategically, it’s hard to ignore!

Don’t be carried away though. Prime location comes with a heavy price-tag and increased competition. You need to carefully assess how this affects your bottom line.

U.S. Self-Service Laundromats Market Share 🇺🇸 In the United States, self-service laundromats account for about 85% of the overall coin-operated laundry equipment market share.

Common Mistakes in Laundry Business Planning: Avoiding the Pitfalls

Underestimating startup costs: a recipe for financial disaster.

Managing the finances is a critical aspect of launching any new serious business venture, including a laundry venture.

▪️ The establishment of a laundry business involves a host of expenses that are often overlooked. These range from capitalized rent, equipment, insurance, to more hidden costs like permits, licenses, and maintenance budgets. Entrepreneurs frequently underestimate these expenses, leading to inadequate budgets and financial strain down the line. Armed with a detailed understanding of these costs, you’ll start on the right foot.

▪️ The danger of underestimating startup costs is not to be taken lightly. It can result in a premature cash flow crunch, forcing the entrepreneurs to either inject more personal capital or take on high-interest debt. Keep your business afloat and thriving by accurately projecting your initial capital requirements.

Neglecting Customer Service: The Silent Business Killer

Customer service isn’t just important; it’s absolutely essential in the laundry industry.

▪️ In the often crowded and competitive laundry market, exceptional customer service can set apart a business. From handling customer complaints gracefully to offering services tailored to customer needs, it’s these details that make a lasting impression. Comprehend the integral role of customer service in the laundry business to ensure long-term success.

▪️ Strategies for improving customer experience are manifold. From training employees in customer interaction to implementing customer-friendly policies, several effective techniques can be adopted. Rigorous application of these strategies can help elevate a laundry business to the highest level of customer satisfaction, thereby creating a loyal customer base.

Self-Service Washers and Dryers Rental Revenue 💰 The rental revenue generated from self-service washers and dryers in the U.S. reached nearly USD 2.4 billion in 2020.

Effective Marketing Strategies for Laundromat Business: Attracting and Retaining Customers

Leveraging social media: connecting with your customers.

Social media has proven to be an essential tool for business marketing. As a laundry business owner, it offers a personal and direct interaction with your current and potential clients.

The role of social media in marketing a laundry business

Social media channels such as Facebook, Instagram, and Twitter can revamp the face of your laundry business from a simple service provider to a digital-friendly local household name. The power lies in their real-time communication and customer engagement capabilities. By sharing relevant content like laundry tips and techniques, responses to customer inquiries and snippets of fun and warmth behind the scenes of your operation, you build a community around your brand. This will, in turn, foster trust and loyalty among your customers.

Tips for effective social media marketing

Perfect social media marketing rides on consistency, creativity, and connection with your audience. Maintain frequent but meaningful engagements on your platforms, be it through content, responses, or promotions. Craft your posts with crisp and lively images, videos, text, and hashtags – visuals that draw attention and spark interest. To achieve this, ensure regular scheduling of posts, interactive and timely responses to clients, and even enticing yet accountable offers like social media exclusive discounts.

Growth Rate of On-Demand Laundry Services 📈 The on-demand laundry services market is growing at a CAGR of around 12%, driven primarily by urbanization and changing consumer preferences.

Implementing a Loyalty Program: Rewarding Your Customers

As much as attracting new customers is important, retaining your current customers is equally paramount. There are costs and efforts involved in acquiring a new customer while a satisfied and loyal customer brings repeat business and possibly referral clients.

*The benefits of a loyalty program for a dry cleaning and laundry business**

Loyalty programs inspire repeat customers, encourage an increase in purchase frequency, and nurture customer-to-customer recommendations, thus increasing your customer base. As they foster a positive business-customer rapport, these benefits culminate in higher profit margins and business growth.

How to implement a successful loyalty program

A successful loyalty program in the  laundry business  stems from understanding the needs and preferences of your customers, setting clear and achievable rewards, and maintaining simplicity in program understanding and reward redemption. This system could leverage a point-based or tiered system, rewarding customers based on the frequency and volume of services used. You could also incorporate non-monetary rewards like exclusive access to new services or products. It is essential to incorporate an easy to use tracking system, possibly digital, for accessibility and convenience for both the customer and your business.

Remember, a marketing strategy is as robust as its implementation. Engage with your customers, reward their loyalty and your laundry business will surely beat the daunting statistics.

Average Annual Spending per Household on Laundry Products 👨‍👩‍👧‍👦 American households spend an average of USD 250 annually on laundry products such as detergents, fabric softeners, and stain removers.

Financial Projections for Laundry Services: Planning for Profitability

Setting realistic revenue goals: the path to profitability.

Crafting a path to profitability begins with setting realistic revenue goals. Goals which are too ambitious could leave you disappointed and disheartened, while set too low could mean missed opportunities for growth and expansion. So, how do you strike the right balance?

For a laundry business, it involves understanding the earning potential within your market space and aligning it with your capacity and capabilities. Research competitors, assess your location’s laundry needs, and estimate the pricing of your services accordingly. Don’t forget to account for seasonality and fluctuations in consumer behavior. With proper research and planning, you can produce an initial financial forecast that paints a practical and profitable picture.

Just setting these goals isn’t enough though. This leads us to the next important task – regular financial assessments and adjustments.

In the dynamic world of business, conditions change and so should your goals. A regular financial review allows you to modify and refine your revenue expectations based on the actual performance and external factors such as increasing competition or changing consumer behavior. The aim is to keep your business sustainable and profitable in the long run.

Controlling Costs: Maximizing Your Bottom Line

Behind every profitable laundry business lies a well-implemented cost control strategy. Understanding the common costs associated with a laundry business is the first step

Energy expenditures (water and power), supply costs, equipment maintenance, and labor are some usual cost drivers in this industry. Making informed decisions in these areas can significantly influence your bottom-line. For example, investing in energy-efficient machines might be costly initially, but it can lead to substantial savings on utility bills in the long run.

Discussing strategies for cost control, the efficiency of your operations plays a huge role. Streamlining processes, investing in effective business management software and reducing waste are some common strategies. Employee training for better equipment handling can also help reduce maintenance costs.

Remember, every dollar saved is an additional dollar earned.

By carefully planning your revenue goals and implementing effective cost control strategies, you can pave the way for a sustainable and profitable laundry business. It’s all about understanding your earnings, controlling expenses, and constantly adjusting your financial plans to suit the business environment.

Every stake in profitability takes you a step further from being part of the 90% of laundry businesses that fail and a step closer to successful business ownership. It’s a complex task, but with methodical approach and continuous learning, it’s entirely achievable.

Global Laundry Care Market Growth 🌍 The worldwide Laundry Care market is projected to grow by 3.18% (2024-2028), reaching a market volume of US$122.50 billion in 2028.

Operational Considerations for a Successful Laundry Business: Ensuring Smooth Operations

Laundry businesses, commercial laundry, laundromat services, and laundry service are essential components of a successful laundromat business plan.

Incorporating washing machines, fold services, delivery service, and vending machines can enhance the customer experience and contribute to a solid business plan template. Metrobi specializes in elevating laundromats by offering streamlined services for delivering laundry .

Effective marketing materials, a well-thought-out sales strategy, and maintaining optimal business hours are crucial for cash flow and the overall success of laundromat businesses. By focusing on these key elements, a laundromat business can thrive in the competitive market of laundry facilities.

Staffing Your Laundry Business: Building a Winning Team

Your team is the lifeblood of your business.

1 in 2 successful laundry businesses attribute their success to dedicated and skilled staff. Their role encompasses dealing with customers, maintaining, and operating the equipment, among others. Businesses with high staff turnover often have a bleak financial outlook.

Hiring quality staff goes beyond just filling positions. You need people who are dependable, quick to learn, and passionate about providing excellent service. A well thought hiring process can gear your laundry business to success—right from job postings to interviews and practical tests aimed at understanding a potential employee’s hands-on skills in managing laundry operations. Once onboard, retaining them should be your next priority. Employment benefits, a conducive work environment, and continuous training are among the techniques employed by successful laundry businesses to lower staff turnover rates.

Equipment Maintenance: Keeping Your Laundry Business Running Smoothly

Smooth operations translate to happy customers and ultimately, financial success. A key factor that facilitates smooth business operations is the state of your equipment. Ensure your critical machinery is always in top condition with laundry pick-up and delivery services , streamlining your operational efficiency and bolstering customer satisfaction.

Regular maintenance of your laundry machines is non-negotiable. Your business heavily depends on this machinery. Broken machines mean no service, and no service means no income. Implementing and sticking to a maintenance schedule will not only ensure your equipment lasts longer but can also save you significant amounts in repair costs down the line. Embrace the convenience and advantages of delivery services for laundry , ensuring your business continues to operate smoothly without the downtime of broken machinery.

Creating a maintenance schedule may seem a daunting task, but it’s simpler than most think. Start by reading the manufacturer’s guide for each machine. Highlight the recommended maintenance activities and how often these should be performed. Next, chart a plan based on these activities, designating times when they can be executed with minimal interruptions to business operations. The ultimate goal is to ensure regular checks and timely rectification of problems before they worsen and cause operational downtime.

US Laundry Care Market Growth 🇺🇸 The Laundry Care market in the United States is expected to grow by 2.46% (2024-2028), with a market volume of US$17.41 billion in 2028.

Why Do Laundry Businesses Fail: Lessons from a Decade of Data

Small business owners looking to establish a profitable laundromat may benefit from creating detailed business plans that outline financial projections and marketing strategies.

Securing small business loans can help cover initial costs such as laundry equipment and supplies. Additionally, offering additional services like wash and fold can attract college students and other customers. Metrobi supports laundromats by managing their delivery operations, delivering services across more than 20 US cities, with courier capabilities in Chicago .

Developing a strong financial plan and considering the legal structure of the business are crucial steps in ensuring the success of the existing laundromat. Implementing effective marketing channels and choosing a memorable business name can further enhance the visibility and reputation of the wash and fold service. Metrobi is at the forefront of offering delivery services across more than 20 US cities, including providing courier services in New York City , to support laundromats in expanding their operations efficiently.

Lack of Planning: The Biggest Culprit

Looking back at past laundry business failures, a dominant culprit is poor planning. A laundry business isn’t just about having equipment and a location; it encompasses detailed preparation and understanding of demographic data, competition, pricing strategy, and more.

In the same vein, the importance of a detailed, comprehensive business plan is paramount. It provides a roadmap for your business, showing the destination and how to get there. It outlines goals, operational plans, marketing strategies, and financial projections, forming the foundation of your venture.

Inadequate Marketing: Missing the Mark

With competition fiercer than ever in today’s digital age, businesses cannot afford to neglect the impact of marketing on success. It’s imperative that an adequate portion of the budget be dedicated to researched and tailored marketing strategies that resonate with the target audience.

Laundry businesses often falter, falling into common marketing pits. These missteps range from unclear branding to not leveraging social media platforms or ignoring online reviews. Avoiding these pitfalls and harnessing new marketing opportunities can greatly impact business growth and client base.

Poor Customer Service: The Silent Killer

Another major factor in the failure of laundry businesses is subpar customer service. In a rapidly evolving consumer market, customers demand high-quality, prompt, and personalized service. Neglecting this can quickly lead to dwindling customer loyalty and business failure.

In order to circumvent this, laundry businesses should adopt strategies for improving customer service and retaining customers. Emphasis on customer satisfaction, prompt response to complaints, and proactive actions to meet customer needs can boost loyalty and ensure a steady stream of clients.

Global Home & Laundry Care Market Growth 🏡 The worldwide Home & Laundry Care market is forecasted to grow by 4.09% (2024-2028), resulting in a market volume of US$239.80 billion in 2028.

Financial Mismanagement: A Fast Track to Failure

A common thread in business failure is financial mismanagement. Negligence or lack of expertise in handling finances can quickly deplete resources and impair growth.

Knowledgeable financial management tips such as setting clear financial goals, keeping track of spending, regularly reviewing financial performance, and planning ahead can aid survival. By keeping a close watch on finances, businesses can catch issues early on and rectify them before they become unmanageable.

Operational Inefficiencies: The Hidden Drain on Profits

Operational inefficiencies are a constant, albeit hidden, drain on profitability. It’s like a termite, eating away at the business, often unnoticed until it’s too late. Inefficiencies could stem from outdated technology, improper inventory management, or flawed workflow processes.

Laundromat owners in the local area can utilize their personal savings to invest in coin-operated machines. Conducting a competitive analysis is crucial before deciding to hire employees and secure funding.

Key aspects such as targeting apartment buildings, implementing search engine optimization, and preparing detailed financial statements are essential for the success of a new laundromat as a new business venture.

Harnessing measures to optimize operational efficiency can significantly boost productivity and profitability. These can include investing in the latest technology, fine-tuning workflow processes, and adopting data-driven inventory management systems.

Revenue of the US Laundry Care Market 💵 The revenue of the laundry business in the U.S. was $7,370 million in 2010 and is expected to reach $7,660 million by 2022 .

Stepping Out of the Spin Cycle: Learning from the Laundry Business Bust

Statistics don’t lie. Over the past decade, missteps in understanding your market, incorrect pricing strategies, and mismanaging growth plans are the common causes behind 90% of laundry businesses crashing and burning.

Remember, these challenges aren’t unique; they plague businesses across all sectors. Use the lessons drawn from laundry industry real-life scenarios to sidestep these pitfalls successfully.

Mitigate these risk factors by saying no to ‘one size fits all’ traditional marketing, embracing competitive pricing frameworks, and aligning your growth in sync with your capabilities. Because nothing worth having comes easy.

Could you identify any other potential choke points in the laundry business from your personal experience?

Here’s to the brave 10%, crushing it in the laundry business. You’ve got this.

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Dry Cleaning Home Delivery Business Plan

Start your own dry cleaning home delivery business plan

Columbia Cleaners

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Columbia Cleaners is a start-up enterprise to be established in Hillsboro, Oregon as a limited liability company owned by J.C. Copperbeech. The company will provide dry cleaning, laundry, and garment alterations, offered with regular home pick-up and delivery services. The company will have a production facility, but will not need a retail shop because of our pick-up and delivery service. However, we will need delivery vans, and customer service trained drivers.

Customers can choose payment either at the time of each delivery, or by monthly credit card billing. At the end of each month we will send statements to each contract customer, itemizing service fees and the charge for the service to their credit cards for payment.

The business provides a new door-to-door dry cleaning, laundry, and alteration service in Hillsboro, OR and surrounding neighborhoods that will surely attract customer attention. Working customers may find this service is convenient for them and want to try it. If they are satisfied with the service quality they will likely become repeat customers. When the patronage happens continuously, they become loyal customers of the service. These customers will recommend Columbia Cleaners to their friends and coworkers. As more and more customers use this service, Columbia Cleaners’ image is enhanced and we will gain more and more market share.

Sales forecast gradually increase over the first year and comprise total sales of $324,700. We project modest net profits the first year. Our second and third year net profits are expected to grow substantially.

Dry cleaning home delivery business plan, executive summary chart image

1.1 Objectives

In providing laundry and garment alteration services for customers in the Hillsboro area, Columbia Cleaners aims to:

  • Establish sustainable business by the end of the first year
  • Have first year total sales in excess of $324,000
  • Producing net profits

1.2 Mission

We will offer dry cleaning, laundry, and clothing alteration services with free home pickup and delivery. Our high quality and convenience will save time for working customers.

1.3 Keys to Success

  • The business is entering the first year of operation, therefore, a comprehensive marketing strategy will be the key to success of the business.
  • It is important to remember that the target customers have money and want to be provided high quality service, therefore, they will only use this service if they are entirely satisfied.
  • Furthermore, the hours of operation must be convenient and service completion must be timely in order that customers are not harried after a long day working.

Company Summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">

Columbia Cleaners is a start-up enterprise to be established as a limited liability company in Hillsboro, OR.  The company will provide dry cleaning, laundry, and garment alterations, offered with regular home pick-up and delivery services. The company will have a production facility, but will not need a retail store front because of our pick-up and delivery service. However, we will need delivery vans and customer service trained drivers. Initially, the production facility will be rented. Cleaning equipment will be leased with accompanying maintenance contracts.

Start-up financing will be through owner investment and bank loans, with a line of credit established for operations eventualities.

2.1 Company Ownership

The proposed legal form of business is a limited liability company, wholly owned by its founder J.C. Copperbeech. This is a small business and need not publicly disclose its finances. The registration procedures are quite simple and the business can start operations as soon as possible. The owner/founder will be the director and will initially handle the bookkeeping responsibilities.

2.2 Start-up Summary

Startup expenses, funded through a combination of owner’s equity capital and a commercial loan, are summarized in the table below.

Leasing equipment: Buying new machines costs approximately $50,000 as opposed to leasing which costs $20,000 per year including maintenance. Evaluating the leasing solution shows NPV higher than that of buying machines. Moreover, the business is new and has less experience in maintenance and repair of machine breakdown, therefore the optimal solution is leasing machines. The following machines will be leased:

  • 1 Washer – 38 lb capacity, high spin, microprocessor control, electric heat
  • 1 Tumble dryer – 40 lb capacity, stainless steel drum and gas heated
  • 1 Dry cleaning machine – 25 lb
  • 1 Roller Iron 40 x 12 inch, variable speed and vacuum exhauster
  • 1 Ironing table with steaming vacuum board, integral 2 gallon boiler, iron, water pump and light

Capital plan: The owner will invest $40,000 in the business. Additional capital for the business in the amount of $20,000 will be borrowed from a bank.

  • Buying a van, and office/facilities equipment (computer, printer, fax, telephone instrument, tables, chairs, shelving, work tables, racks, etc.) and initial leasing of laundry machines: approx. $27,000
  • Buying another van in April: $10,000 (see the Cash Flow Table later in the document)

Loan: Lending plan has to be completed and submitted to the bank 6 months before starting the business. Loan will be needed two months in advance. Annual interest of 10% has to be paid on the long-term loans secured with fixed assets.

Dry cleaning home delivery business plan, company summary chart image

Columbia Cleaners is going to provide the following services for customers with free home pick-up and delivery in the Hillsboro area:

  • Alteration service

Operations plan

There are two ways for customers to take part in the service. Customers can sign contracts with Columbia Cleaners to get regularly scheduled service, or, if it is more convenient, they can order over the telephone or via e-mail.

Customers can choose payment either at the time of each delivery, or by monthly credit card billing. We will send statements to each contract customer, itemizing service fees and the charge for the service to their credit cards for payment, at the end of each month.

No retail shop will be rented in order to reduce the operation cost. An operations facility for installing machines and equipment, washing and cleaning activities, and storing not yet cleaned and cleaned garments and items is needed. The operations facility will require about 2,000 square feet divided into four main sections as following:

  • Garment alteration workroom

The whole operation process will be controlled and monitored by a laundry expert employee, and generally managed by the business owner.

Market Analysis Summary how to do a market analysis for your business plan.">

It is necessary to establish the reasons for choosing the dry cleaning, laundry, and alteration service before doing the market research and marketing plan. “Laundries and Dry Cleaners rated in the top ten enterprises with the lowest failure rate.” http://www.mindspring.com/~jimgirone/cleanpage/desire.html

  • Payment for the service is by cash, check, or credit card.
  • No capital stagnancy, receive payment every month, easy to get instant profit.
  • Capital requirement for purchasing commercial laundry equipment is minimal, therefore the risk of this business is low.
  • This service only requires a few staff.
  • Supplies a needed service for customers’ frequent demand (laundry – clean clothes).
  • Customers use this service as there are few or no alternatives (dry cleaning, carpet cleaning…).
  • The demand for using service is increasing due to changing life styles, incomes, and the increase in clothing expenditure.

4.1 Market Segmentation

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We will be targeting both full-time and part-time employed customers who would value the convenience of our service. Demographic research shows that the total population of the Hillsboro-Beaverton area is about 350,000, of which about 250,000 are in the labor force. Of the later, approx. 220,000 are employed full time, 20,000 are employed part time and the rest are unemployed, as summarized in the table below.

Dry cleaning home delivery business plan, market analysis summary chart image

4.2 Target Market Segment Strategy

The table in the previous topic shows estimated percentages of Hillsboro-Beaverton residents working full time in 2004, which is a lot higher than that of those working part-time. Employment, income, and GDP trends show an increase over the past several years as well. This results in increasing standard of living, which in turn leaves people having less time to do their housework (including laundry) in Hillsboro. They are often tired after the whole day of working and tend to spend money to hire someone else to do the housework for them. Moreover, the demand on clothes of these working people (particularly professionals) usually increases proportionately with their income. Buying more clothes, especially expensive clothes, makes them pay more attention to the care and cleaning of those garments. With careful research, this business focuses on working and professional class customers as a target segment market.

4.2.1 Market Needs

Research shows that one of the key factors in choosing a personal service, such as laundry and dry cleaning, is not price but the convenience of the service. As stated above, with the growth of discretionary income people tend to choose services based on how much time and effort the service will save them. Although there are several conventional drop-off dry cleaning/laundry service providers in the area, Columbia Cleaners will primarily market its convenient pickup/delivery service to those busy individuals who are willing to appreciate such service, as it saves them time for other endeavors.

4.3 Service Business Analysis

The personal service industry is very fragmented overall. The Metropolitan Portland area is no exception to that, with numerous small providers servicing the community’s needs for laundry and dry cleaning. In the city of Hillsboro there are about half-dozen dry cleaners, some of which also provide laundry and garment alteration services. However, almost none of them, except Convenient Door-to-Door Dry Cleaning, provide the convenience of the door-to-door service.

4.3.1 Competition and Buying Patterns

Competition in the dry cleaning/laundry business in the Hillsboro area is not fierce. Research shows that there are seven dry cleaners in the city of Hillsboro, almost all of them offering the traditional drop-off service. The only competitor offering the convenience of the door-to-door service is Convenient Door-to-Door Dry Cleaning that provides dry cleaning and shoe repair services. We believe that initially this will be our major local competitor. We also believe that we will be able to win customers from our regular, drop-off competitors by enhancing the clients’ peace of mind though a new level of convenience and saving their time.

Strategy and Implementation Summary

The following areas will be monitored to evaluate the business performance:

  • Monthly and annual sales
  • Monthly and annual profit
  • Repeat business
  • Customer satisfaction

The business success will depend on quality and convenience of the service, customer opinions, and competitor response.

The business provides a new door-to-door dry cleaning, laundry, and alteration service in Hillsboro that will surely attract customer attention. Working customers may find this service is convenient for them and want to try it. If they are satisfied with the service quality they will likely become repeat customers. When the patronage happens continuously, they become loyal customers of the service. These customers will recommend Columbia Cleaners to their friends and coworkers. As more and more customers use this service, Columbia Cleaners’ image is enhanced and we will gain more and more market share.

If we attain monthly and annual sales at least as forecasted, total costs and expenses, including any unanticipated charges, will not exceed our estimates and therefore the monthly and annual profit will be satisfactorily achieved.

Difficulties and Risks

Columbia Cleaners is a start-up and as such has less experience and begins with no market share at all. Assertive, effective initial marketing efforts will be necessary to gain a customer base. If existing competitors see us as a major threat and they resort to overtly aggressive and debilitating actions it will be very difficult for us to become an established player in the marketplace. Risks caused by competitors are possible, therefore the business has to monitor and evaluate its performance frequently, and collect customer evaluations and suggestions in order to continually improve.

Worst Case Risks

The worst case scenario would be that the business cannot support itself on an ongoing basis. The costs of doing business may be under-estimated, or sales and profit may be less than expected, making the business difficult in finance. Moreover, in case of social economic recession, political changes, or inflation, the business may perform even worse than has been forecasted.

5.1 Competitive Edge

As the U.S. economy recovers and quality of life is increases, people tend to spend more time and money in leisure activities rather than doing their house work. They prefer that someone else does the cleaning work for them. Hillsboro has a population of 70,000 served by seven dry cleaning and laundry shops. These existing shops wait for customers to bring their garments in and pick them up later. Customers have to drive cars to town, find parking places, carry their clothes or large items, such as curtains, blankets, etc. to the shop, and wait to be served. Then they must repeat this boring process when they come to collect their items. Moreover, these shops are only open from 9am – 6pm, and close on Sunday, which are almost the same working hours of offices; most inconvenient for customers especially those with full-time jobs.

By understanding and addressing this need, our new dry cleaning, laundry and alteration service will be established, providing door to door service free of delivery charge. We make our customers’ lives simpler by saving them time, and eliminating waiting in queues, parking problems, forgetting to collect clothes, missing meals, and going home late.

The following is the SWOT analysis for Columbia Cleaners:

  • We offer a relatively new, door-to-door service for dry cleaning, and laundry, providing another choice for customers.
  • We provide quick and convenient service in order to save customer’s time.

Weaknesses:

  • Competition from already established competitors in Hillsboro.
  • Starting at no market share at all.
  • Less experience than competitors.

Opportunities:

  • Expenditures on clothing is increasing, including expensive clothes; therefore the demand for taking care of clothes also increases.
  • There are more and more women – who traditionally have done the laundry and cleaning work in the family – going to work outside the home. The target market of this business is working class and professional class customers, both men and women.
  • Average income of Hillsboro citizens is increasing.
  • People tend to spend more time on leisure activities rather than doing the house work.
  • Participation within a steadily growing service. The forecast of the dry cleaning and laundry service goes steadily up through 2010.
  • There is a high likelihood of repeat business.
  • The ability to decrease the fixed costs as the sales volume increases.
  • If the business is successful, there will be new competitors who supply the same kind of service.
  • New technology changes may bring out new family washing machines for dry cleaning.

5.2 Marketing Strategy

Place: Dealing directly with customers, conveniently in the customers’ houses in Hillsboro. We are choosing to not rent a shop in the town center, thereby reducing costs. Columbia Cleaners will receive clothes from and return them to customers’ houses. Requests for urgent situation pickups and deliveries will be accommodated, and a nominal fee charged.

Product: Free home pickup and delivery service, coming to customers’ houses between 6 pm – 9 pm three times per week. We provide convenience and high quality dry cleaning, laundry, and alteration services.

Price: Normally, new businesses set their initial prices lower than their competitors. In our situation however,  the business has higher costs for our delivery service and promotions to increase customers’ awareness and establish our brand name. We will set our prices to match those of our competitors. The pricing scheme is based on a per service price. Moreover, the business targets working and professional customers who often pay less attention to price than the quality and convenience of service. Kelvin Clancy (in Kotler, 2003) shows that only between 15 and 35 percent of buyers are price sensitive. People with higher incomes are willing to pay more for features, customer service, quality, and convenience.

  • Advertise our new service in the local press, the Internet, public areas such as buses and train stations, shopping centers and supermarkets etc., and drop advertising material into families’ mailboxes.
  • Offer 10% discount as an incentive for customers who sign one-year contracts.
  • Issue coupons with lower price for loyal customers.

5.3 Sales Strategy

We will start off my matching our main competitor’s prices and we will be closely monitoring our financials to make sure that we develop a sustainable business without heavily discounting our services to win customers. All sales inquiries will be initially handled by the business owner. We will also train all our employees, especially those facing the customers, in customer service to make sure that our customers are fully satisfied, as such customers will not only stay longer with us but will also refer other customers to us. We will offer limited discounts to our customers with large recurring orders and also provide incentives for new customer referrals.

5.3.1 Sales Forecast

The sales forecast gradually increases over the year 2005 and comprises total sales of $324,700. However, in the last three months, October, November and December the sales remain almost level due to possible seasonal factors. Yearly forecasts are summarized in the table below.

Dry cleaning home delivery business plan, strategy and implementation summary chart image

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

The owner of the business will be director and accountant, working full time. A laundry expert will be employed and will be in charge of the operation and the quality of garment cleaning. Workers will report the laundry expert who reports to the owner.

6.1 Personnel Plan

Through consultations with a dry cleaning consultant, the term of reference of a laundry expert and workers are prepared. Employment information will be advertised in local newspapers. The laundry expert and two part-time workers who have experience in laundry work will be employed.

The laundry expert will be in charge of the operation and the quality of garment cleaning. Workers will be responsible for cleaning and classifying work and have duty to report daily work to the laundry expert. The expert has to report their working results and problems to the director.

Two part-time drivers for picking up and delivering clothes work from 5:30 pm – 9:30 pm three times a week.

The staff should be able to carry out working conditions and requirements:

  • Understand and apply dry cleaning and washing processes
  • Meet set standards by following instructions 
  • Work in hot, humid surroundings
  • Perform the same work continuously
  • Overtime may be required during peak seasons such as spring and autumn.

Number of staff and salary in the period of January to March 2005:

From April 2005, the business has more customers and becomes busier, thus new staff (a worker and a driver) are employed. The business prefers to hire extra part-time workers and drivers sharing the total needed working hours. In case one of them becomes sick or busy, other staff can replace him therefore the working process will not be effected.

An average 5% increase in all salaries is planned for the following two years of operations.

Financial Plan investor-ready personnel plan .">

The following topics, the cash flow statement, profit and loss account, and balance sheet have been built using forecasted information which is as accurate and realistic as possible. Sales increase gradually over the 12 months showing the positive trend of sales. Columbia Cleaners is steadily gaining market share. Gross profit and net profit rise proportionately to sales revenue. The financial statements show that the business runs quite well and achieves expected results.

7.1 Start-up Funding

Startup expenses will be funded through a combination of owner’s equity capital and a commercial loan, as summarized in the table below.

The owner will invest $40,000 in the business. Additional capital for the business in the amount of $20,000 will be borrowed from a bank.

The lending plan has to be completed and submitted to the bank 6 months before starting the business. The loan will be needed two months in advance. Annual interest of 10% has to be paid on the long-term loans secured with fixed assets.

7.2 Break-even Analysis

The monthly break-even point of the business is calculated below. As revenue becomes higher than break-even point, the business starts to harvest the profit. As forecasted, the total demand on dry cleaning and laundry service continues to rise in the following years; therefore, if the service satisfies its customers, increases new customers and retains customer loyalty, the profit will continue to go up.

Dry cleaning home delivery business plan, financial plan chart image

7.3 Projected Cash Flow

Dry cleaning home delivery business plan, financial plan chart image

7.4 Projected Profit and Loss

The table below outlines our projected profit and loss statements for the first three years of operation. In general, the business might meet some difficulties in the beginning months but after that the business grows as expected and produces a small profit at the end of the year. It is not necessary for the business to gain high profit in the first year. Nevertheless, we are expecting to make a small profit the first year. Our second and third year net profits are expected to grow quite a bit, as shown below.

Dry cleaning home delivery business plan, financial plan chart image

7.5 Projected Balance Sheet

The table below shows the balance sheet annual figures for the first three years of operation. First year monthly figures are presented in the appendix.

7.6 Business Ratios

Business ratios for the years of this plan are shown below. Industry profile ratios for Commercial Drycleaning and Laundry Collection and Distribution Establishments, based on the Standard Industrial Classification code 7216.9903, are shown for comparison.

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laundry and dry cleaning business plan pdf

Free Laundry Business Plan PDF Download, Dry Cleaning Services Business Plan PDF

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Here's what you'll discover in the 'How to Start a Laundry Business' book:

Success Tip: Setting Goals

Good management is the key to success and good management starts with setting goals. Set goals for yourself for the accomplishment of the many tasks necessary in starting and managing your business successfully. Be specific. Write down the goals in measurable terms of performance. Break major goals down into sub-goals, showing what you expect to achieve in the next two to three months, the next six months, the next year, and the next five years. Beside each goal and sub-goal place a specific date showing when it is to be achieved.

Plan the action you must take to attain the goals. While the effort required to reach each sub-goal should be great enough to challenge you, it should not be so great or unreasonable as to discourage you. Do not plan to reach too many goals all at one time.

Establish priorities. Plan in advance how to measure results so you can know exactly how well you are doing. This is what is meant by "measurable" goals. If you can’t keep score as you go along you are likely to lose motivation. Re-work your plan of action to allow for obstacles which may stand in your way. Try to foresee obstacles and plan ways to avert or minimize them.

Click here! to download your Laundry Business book for free (PDF version)

Management Skills Video: How to Become a Great Manager and Leader

Learn how to improve your leadership skills and become a better manager and leader. Here's how to be the boss people want to give 200 percent for. In the following video you'll discover 120 powerful tips and strategies to motivate and inspire your people to bring out the best in them.

For more insightful videos visit our Small Business and Management Skills YouTube Chanel .

Here're other free books in the "how to start a business" series that may interest you:

Here's a Sample 'Executive Summary' for a Laundry Business plan :

COMPANY NAME is a long-term enterprise that was established in Pullman, WA in 1976 as a sole-proprietorship company currently owned by OWNER’S NAME The company will provide dry cleaning, laundry, and garment alterations, offered with regular drive-through pick-up services. The company will has a production facility, but will still need a retail shop because of our pick-up and delivery service. However, we will need delivery vans, and customer service trained drivers. Customers can choose payment either at the time of each delivery, or by monthly credit card billing. At the end of each month the company will send statements to each contract customer, itemizing service fees and the charge for the service to their credit cards for payment. The business provides a new door-to-door dry cleaning, laundry and clothing alteration service in Pullman, WA and surrounding neighborhoods that will surely attract customer attention. Working customers may find this service is convenient for them and want to try it. If they are satisfied with the service quality they will likely become repeat customers. When the patronage happens continuously, they become loyal customers of the service. These customers will recommend COMPANY NAME to their friends and coworkers. As more and more customers use this service, COMPANY NAME image is enhanced and we will gain more and more market share. COMPANY NAME is seeking to attain grant funding in the amount of $250,000 in order to expand business operations, implement a larger advertising campaign and primarily to upgrade to green-technology equipment.  Sales forecast gradually increase over the year 2011. COMPANY NAME projects modest net profits the first year. The company's second and third year net profits are expected to grow substantially.

1.1 Objectives

In providing laundry and garment alteration services for customers in the Pullman, WA area, COMPANY NAME aims to:

  • Establish sustainable business by the end of the first year after attaining grant funding
  • Have first year total sales in excess of $324,000
  • Producing net profits

1.2 Mission

COMPANY NAME will offer dry cleaning, laundry, and clothing alteration services with free home pickup and delivery. The company’s high quality and convenience will save time for working customers.

1.3 Keys to Success

  • A comprehensive marketing strategy will be the key to success of the business.
  • It is important to remember that the target customers have money and want to be provided high quality service; therefore, they will only use this service if they are entirely satisfied.
  • Furthermore, the hours of operation must be convenient and service completion must be timely in order that customers are not harried after a long day working.

COMPANY NAME is an enterprise established as a limited liability company in Pullman, WA.  The company provides dry cleaning, laundry, and garment alterations, offered with regular home pick-up and delivery services. However, COMPANY NAME will need delivery vans and customer service trained drivers.  Cleaning equipment will be leased with accompanying maintenance contracts. 

2.1 Company Ownership

The proposed legal form of business is a limited liability company, wholly owned by OWNER’S NAME.  The owner/founder is the director and handles the bookkeeping responsibilities.

2.2 Company History

COMPANY NAME has been a long-term community company that was established in Pullman, WA in 1976 as a sole-proprietorship company currently owned by OWNER’S NAME. The company will provide dry cleaning, laundry, and garment alterations, offered with regular drive-through pick-up services. The company will has a production facility, but will still need a retail shop because of our pick-up and delivery service. However, we will need delivery vans, and customer service trained drivers. Customers can choose payment either at the time of each delivery, or by monthly credit card billing. At the end of each month the company will send statements to each contract customer, itemizing service fees and the charge for the service to their credit cards for payment. The business provides a new door-to-door dry cleaning, laundry and clothing alteration service in Pullman, WA and surrounding neighborhoods that will surely attract customer attention. Working customers may find this service is convenient for them and want to try it. If they are satisfied with the service quality they will likely become repeat customers. When the patronage happens continuously, they become loyal customers of the service. These customers will recommend COMPANY NAME to their friends and coworkers. As more and more customers use this service, COMPANY NAME image is enhanced and we will gain more and more market share.

Table: Past Performance

3.0 Services

COMPANY NAME is going to provide the following services for customers with free home pick-up and delivery in the Pullman area:

  • Dry cleaning
  • Laundry for personal clothes and large items such as blankets, duvets, curtains, etc.
  • Alteration service

Operations plan There are two ways for customers to take part in the service. Customers can sign contracts with COMPANY NAME to get regularly scheduled service, or, if it is more convenient, they can order over the telephone or via e-mail. Customers can choose payment either at the time of each delivery, or by monthly credit card billing. We will send statements to each contract customer, itemizing service fees and the charge for the service to their credit cards for payment, at the end of each month. The operations facility is divided into four main sections as following:

  • Machine installation and cleaning activities
  • Sorting and storage of dirty garments received
  • Storing cleaned garments after finishing prior to delivery
  • Garment alteration workroom
  • The whole operation process is controlled and monitored by a laundry expert employee, and generally managed by the business owner.

How to Make Smart investment decisions

Consider these ten things when you're using the NPV, IRR, or payback method to make a capital budgeting or investment decision.

1. Remember that the reason you're making a capital budgeting decision is to create more value in the future than exists today! Don't commit yourself to a future course of action that is not profitable in the future under all possible conditions you can think of today and expect tomorrow. The value of a decision is not only centered in its expected results, but it is raised or lowered according to the number of decisions in the future that it does not preclude, but allows , and those for which space is created. This statement has profound meaning for the futurity of decisions and the design of decisions by decision makers!

2. Always use cash flows and not accounting income to create your investment decision. Cash flows are the result of the total effects of implementing the project or investment scenario only AFTER all costs are removed!

3. Do not include sunk costs in your investment analysis. They are already spent, gone, kaput; use only the costs that will be incurred by the new project or investment. There will be a tendency to--see how much we've already invested--use sunk costs to justify going ahead with the project anyway--DON'T! It would be irrational to use past expenditures to consider a decision which can only affect the future!

4. You must consider "opportunity costs" as costs of the project or investment. If you use something that could be used for something else, the cost to replace the use of the something else must be included in your capital budgeting analysis. Always consider alternative uses of capital and resources as costs to the capital budgeting project or investment.

5. Look beyond. You must consider not just the first order of consequences, but the orders of consequences following your project decision. Build a scenario of contingencies given the project decision. Look at the downstream effects of the decision, what are the side effects? Are there hidden costs, if so add them to the decision. Will the project steal market share from ongoing investments? What is the expected effect of these losses?

6. What are the effects of the non-conformities. Don't let the assumptions you make about the present and the future be "blinding." In the world we live in today, things change--overnight! What about the nonconforming assumptions you make? How flexible are the beliefs that you have established the project parameters upon? Accounting for this now, will keep the value of the project in real terms.

7. Part of the reason that NPV calculations come out the way they do is because of IRR or Internal Rate of Return. IRR is designed to calculate the "discount" rate at which the cash flows of your project are discounted. Make sure that the IRR, discount rate, hurdle rate and the project discounting rate are sufficiently related or indexed to the market environment. If you used a discount rate of 5% and the real rate of inflation soared to 10% during the project--which happened in the early eighties--your project assumptions could create disaster for the company or your investment. Don't just assume that because you have an IRR of x% that you should use that % to discount cash flows under NPV calculations.

8. Consider the utility of time not just the time value of money. With change occurring so rapidly, how quickly you get to the marketplace often determines how much utility is available for your investment decisions. It is extremely difficult to calculate the utility of ideas--often the marketplace is the only valuing entity--but as a planner you must gain a feel for what happens if you're not first, your project is outdated before you go online, or sudden shifts in macroeconomic factors change project assumptions. THERE AREN'T ANY GUARANTEES--BUT, he who ventures forth blindly, even though with courage and certainty, may need a parachute!

9. Consider risk management, contingency planning and disaster recovery as a cost of the project! Risk analysis, business interruption and disaster recovery are important factors when considering the ultimate cost or discountability of cash flows. What is the risk level of the project or investment? How can this "cost" be factored into the calculation? If the project is a complete failure, is wiped out by unforeseen contingencies or even hampered by personnel problems, what will be the effect on the company, organization or investment?

10. Last, but not least, a maxim from Professor Sharpe at Standford University who says, " it is important to remember that investment opportunities may influence one's consumption decision and that consumption opportunities may influence one's investment decision." GOOD LUCK!

Copyright © by Bizmove Free Business Guides. All rights reserved.

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Dry Cleaning Business Plan Template

Written by Dave Lavinsky

Dry Cleaning Business Plan

You’ve come to the right place to create your Dry Cleaning business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Dry Cleaning companies.

Below is a template to help you create each section of your Dry Cleaning business plan.

Executive Summary

Business overview.

Oleson Cleaners is a new dry cleaner located in the heart of Phoenix, Arizona. Our mission is to provide high-quality dry cleaning services that are environmentally friendly. Unlike our competitors, we don’t use any toxic chemicals in any of our services. We use environmentally friendly solvents to keep our customers’ clothes in perfect condition without harming the environment. We aim to be one of the finest dry cleaning businesses in the area and guarantee that every garment will be in better condition than when the customer dropped it off.

Oleson Cleaners is headed by its founder, Jacob Oleson. He has worked at a local dry cleaner for ten years as an Assistant Manager. His experience at this job has given his extensive knowledge of the industry, dry cleaning techniques, and customer service. As a manager, he also gained in-depth knowledge and experience in the operations and management aspects of running a business. He also holds a degree in Business Administration.

Product Offering

We are a local dry cleaner that provides dry cleaning services for individuals living in or near Phoenix, Arizona. We can clean any garment that requires dry cleaning, including suits, gowns, other professional wear, and household fabrics (such as table linens and sheets).

Our services are priced on a case-by-case basis, depending on the quantity and type of fabric that needs to be cleaned. Customers can call our business or check out our website to get a quote.

Customer Focus

Oleson Cleaners will target all individuals in the Phoenix area that need dry cleaning services. Specifically, it will target men and women living in the area, busy parents, and anyone else who has garments that require dry cleaning. The company will also target tourists or business professionals in the city who need a fast and efficient dry cleaning. No matter the customer, Oleson Cleaners will deliver the best service and convenience.

Management Team

Oleson Cleaners is headed by its founder, Jacob Oleson. Jacob has worked at a local dry cleaner for ten years as an Assistant Manager. His experience at this job has given his extensive knowledge of the industry, dry cleaning techniques, and customer service. As a manager, he also gained in-depth knowledge and experience in the operations and management aspects of running a business. In addition to his experience, he holds a degree in Business Administration from Arizona State University.

Success Factors

Oleson Cleaners will be able to achieve success by offering the following competitive advantages:

  • Location: Oleson Cleaners’ location is near the center of town, giving us access to commuters, local office workers, and nearby residents.
  • Management: Our management team has years of business and industry experience that allows us to market to and serve customers in a much more sophisticated manner than our competitors.
  • Environmentally-friendly services: Oleson Cleaners is committed to providing dry cleaning services that are nontoxic and environmentally friendly. We are the only dry cleaner in the area that is committed to providing these services.

Financial Highlights

Oleson Cleaners is currently seeking $400,000 to launch. The capital will be used for funding capital expenditures and location build-out, hiring initial employees, marketing expenses, and working capital. Specifically, these funds will be used as follows:

  • Store design/build: $150,000
  • Three months of overhead expenses (payroll, rent, utilities): $150,000
  • Marketing costs: $50,000
  • Working capital: $50,000

The following graph below outlines the pro forma financial projections for Oleson Cleaners.

Oleson Cleaners Financial Projections

Company Overview

Who is oleson cleaners.

  Oleson Cleaners is headed by its founder, Jacob Oleson. He has worked at a local dry cleaner for ten years as an Assistant Manager. His experience at this job has given his extensive knowledge of the industry, dry cleaning techniques, and customer service. As a manager, he also gained in-depth knowledge and experience in the operations and management aspects of running a business. He also holds a degree in Business Administration.

Oleson Cleaners’ History

After graduating from Arizona State University, Jacob Oleson immediately began researching the local market and planning out his ideas for a dry cleaner business. Jacob incorporated Oleson Cleaners as an S-Corporation on January 1st, 2023. The business is currently being run out of Jacob’s private office, but once the build-out on Oleson Cleaners’ retail location is finalized, all operations will be run from there.

Since incorporation, the company has achieved the following milestones:

  • Found a location and signed a Letter of Intent to lease it
  • Developed the company’s name, logo, and website
  • Determined equipment and inventory requirements
  • Began recruiting key employees

Oleson Cleaners’ Services

Industry analysis.

The dry cleaner industry has been an essential industry for several decades. Many professionals and individuals need to wear high-quality fabrics that cannot be cleaned easily through traditional means. Dry cleaning cleans these delicate fabrics to perfection without causing any damage, wear, or tear.

The dry cleaner industry is thriving and is expected to continue its success throughout the next few years. The industry is expected to grow at a compound annual growth rate (CAGR) of 3.4% over the next five years. As people continue to live their busy lives, they will continue to depend on dry cleaners and other laundry services to keep their clothes clean and in perfect condition. Therefore, we expect the industry to continue to grow for the foreseeable future.

Customer Analysis

Demographic profile of target market.

Oleson Cleaners will target men and women in the Phoenix area that need dry cleaning services. Specifically, the company will target busy parents, tourists, and professionals who need quick and efficient dry cleaning services.

The precise demographics for Phoenix, Arizona are:

Customer Segmentation

Oleson Cleaners will primarily target the following customer profiles:

  • Busy parents and families
  • Business professionals

Competitive Analysis

Direct and indirect competitors.

Oleson Cleaners will face competition from other companies with similar business profiles. A description of each competitor company is below.

Cascade Dry Cleaners

Cascade Dry Cleaners is a local small dry cleaner that offers affordable services for the residents of Phoenix, Arizona. They can clean anything that requires dry cleaning, including ball gowns, suits, and linens. They also offer tailoring and alterations for an additional fee. The business is open nearly 24/7 so anyone who is interested in their services can drop off their garments any time.

All American Laundromat

All American Laundromat was established in 2009 and offers a variety of laundry services. Their services include: Coin-operated washers & dryers, dry cleaning, and wash and fold services. Their main clientele includes multifamily housing, colleges and universities, and hotels. They have three locations in the area.

Super Dry Cleaning

Super Dry Cleaning has been open since 2005. They offer affordable dry cleaning services to anyone living or working near downtown Phoenix, Arizona. They can clean any garment that comes into their store and guarantee speedy service. Customers can choose to pick up their clothes when they are ready or get them delivered for an additional charge.

Competitive Advantage

Oleson Cleaners will be able to offer the following advantages over their competition:

Marketing Plan

Brand & value proposition.

Oleson Cleaners will offer the unique value proposition to its clientele:

  • Commitment to environmentally friendly services
  • Well-trained staff that prioritizes customer satisfaction
  • Service built on long-term relationships
  • Thorough knowledge of the industry

Promotions Strategy

The promotions strategy for Oleson Cleaners is as follows:

Customer Loyalty Programs

Oleson Cleaners will create a winning customer loyalty program to keep our best clients coming back again and again. In addition, we will send periodic, regular emails and text messages to customers. These communications will ensure customers are satisfied with our services and remind them after a period of time that they may need to utilize our services again. Long-term customers will have the opportunity to participate in the loyalty program, and referrals will be rewarded as well.

Website/SEO

Oleson Cleaners will develop a professional website that displays pictures of our locations and lists the services we provide. We will also invest in SEO so that the company’s website will appear at the top of search engine results. Oleson Cleaners will also publish frequent newsletters and blogs to educate our customers on promotions and discounts.

Social Media

Oleson Cleaners will maintain an active presence on various social media platforms including Facebook, Instagram, Twitter, LinkedIn, TikTok, and YouTube, with the marketing manager updating these accounts regularly.

Word of Mouth/Referrals

Jacob has built up an extensive list of contacts over the years by providing exceptional service and expertise to his customers. His network of contacts has committed to spreading the word about his new company to their friends and families.

Oleson Cleaners’ pricing will be competitive so customers feel they receive great value when utilizing our dry cleaning services. Customers can expect to receive personalized attention when visiting our location.

Operations Plan

The following will be the operations plan for Oleson Cleaners.

Operation Functions:

  • Jacob Oleson will be the Owner and Manager of the company. He Will oversee all staff and manage daily operations. Jacob has spent the past year recruiting the following staff:
  • Beth Clark – Accountant/Bookkeeper will provide all accounting, tax payments, and monthly financial reporting.
  • Anna Lopez– Marketing Manager will provide all marketing and advertising campaigns for Oleson Cleaners.
  • Robert Ellis – Assistant Manager will supervise the team of attendants and manage the staff schedule.
  • Jacob will also hire several staff to help run the store and provide dry cleaning services for customers.

Milestones:

Oleson Cleaners will have the following milestones completed in the next six months.

  • 7/202X – Finalize contract to lease storefront.
  • 8/202X – Finalize personnel and staff employment contracts.
  • 9/202X – Purchase equipment and supplies.
  • 10/202X – Begin word of mouth and online marketing campaigns.
  • 11/202X – Begin moving into Oleson Cleaners.
  • 12/202X – Oleson Cleaners opens for business.

Financial Plan

Key revenue & costs.

Oleson Cleaners’ revenues will come primarily from providing dry cleaning services.

The lease of the business space, supplies, and labor expenses are the key cost drivers of Oleson Cleaners. Ongoing marketing expenditures will also be a notable cost driver for Oleson Cleaners, especially in the first few years as the business gets established in the market.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and pay off the startup business loan.

Average number of daily customers:

  • Year 5: 100

Financial Projections

Income statement, balance sheet, cash flow statement, dry cleaning business plan faqs, what is a dry cleaning business plan.

A dry cleaning business plan is a plan to start and/or grow your dry cleaning business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your Dry Cleaning business plan using our Dry Cleaning Business Plan Template here .

What are the Main Types of Dry Cleaning Businesses?

There are a number of different kinds of dry cleaning businesses , some examples include: Multi-service Dry Cleaning, Express Dry Cleaning, and Hotel Dry Cleaning.

How Do You Get Funding for Your Dry Cleaning Business Plan?

Dry Cleaning businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Dry Cleaning Business?

Starting a dry cleaning business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Dry Cleaning Business Plan - The first step in starting a business is to create a detailed dry cleaning business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your dry cleaning business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your dry cleaning business is in compliance with local laws.

3. Register Your Dry Cleaning Business - Once you have chosen a legal structure, the next step is to register your dry cleaning business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your dry cleaning business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.

7. Acquire Necessary Dry Cleaning Equipment & Supplies - In order to start your dry cleaning business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your dry cleaning business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.

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How to write a business plan for your dry cleaning business.

business plan for a dry cleaning business

Starting a dry cleaning business is a great idea because it is a relatively low-cost business to start and it has a consistent and growing demand from customers who need to have their clothes cleaned regularly.

Additionally, it is a service business that typically requires minimal staff and overhead, making it a great choice for entrepreneurs.

But, first thing first, you need a business plan.

Creating a business plan is essential for ensuring the success of a new project, such as a dry cleaning business. It provides an opportunity to identify potential risks and develop strategies to address them before starting the business.

In short, a good business plan will help ensure the profitability of your dry cleaning business .

What should you include in the business plan for a dry cleaning business? What's the ideal arrangement for the structure? Which key financial indicators should be incorporated? What strategies can I use to expedite the creation of a comprehensive business plan?

The article you're reading will cover all these questions and provide answers!

Also, please note that starting your business plan from scratch is not mandatory.

You can download our business plan for a dry cleaning business and adapt it to your project.

business plan cleaners

How to map out a business plan for a dry cleaning business

Should you write a business plan for your dry cleaning business.

Yes, you should write a business plan for your dry cleaning business.

Building a solid business plan will allow you to:

  • get familiar with the dry cleaning market
  • be aware of the industry's current trends
  • find what makes a dry cleaning business successful
  • understand customers' garment care requirements and fabric sensitivities to provide professional and reliable dry cleaning services
  • find a great unique value proposition for your laundry and garment care services
  • conduct a competitive analysis
  • find relevant competitive advantages for your dry cleaning business
  • find a business model that make you breakeven
  • design and implement a robust and strategic action plan for business advancement
  • identify and manage risks specific to a dry cleaning business, including chemical handling, garment damage, and customer satisfaction

Our team has drafted a business plan for a dry cleaning business that is designed to make it easier for you to achieve all the elements listed.

How to organize a business plan for a dry cleaning business?

A business plan encompasses various metrics and relevant data. It must be arranged in a manner that is easy to read and understand.

When we made our business plan for a dry cleaning business , we made sure to set it up correctly.

You'll find 5 sections (Opportunity, Project, Market Research, Strategy and Finances) within this plan.

1. Market Opportunity

The first section is referred to as "Market Opportunity."

Explore this section to access essential information and analysis related to the dry cleaning industry, including operational models, customer demands, cleaning technologies, and business strategies, guiding entrepreneurs in establishing efficient and successful dry cleaning businesses.

The data here is always current; we update it twice a year.

2. Project Presentation

The "Project" section is where you actually talk about your dry cleaning business. In this section, you can specify the types of garments you clean, your cleaning processes, turnaround time, pickup and delivery services, eco-friendly practices, and the unique value proposition of your dry cleaning business.

At the end of this section, provide a brief introduction about yourself and your expertise in dry cleaning services.

Explain your commitment to delivering exceptional garment care, your range of services, and how you plan to provide convenient and reliable dry cleaning solutions for customers. Highlight your eco-friendly practices, your attention to fabric care, and your dedication to customer satisfaction that ensures garments are impeccably cleaned and cared for at your dry cleaning business.

You'll find provided wording in our business plan. Customize it to fit your concept precisely.

3. Market Research

Then, we reach the "Market Research" section.

This section describes the target audience for your dry cleaning business.

It includes a comprehensive analysis of competitors in the dry cleaning industry and emphasizes your business's efficient dry cleaning services and competitive advantages.

A tailored SWOT analysis is provided as well.

4. Strategy

In the "Strategy" section, you will find a detailed growth plan for your dry cleaning business, outlining all the necessary steps and initiatives to ensure its high profitability.

Additionally, there is a marketing strategy for a dry cleaning business, a way to manage risks, and a completed Business Model Canvas included in this section.

5. Finances

Lastly, the "Finances" section allows you to present a complete financial overview of your project.

business plan dry cleaning business

How to draft an Executive Summary for a dry cleaning business?

The Executive Summary can be seen as a condensed overview of the business plan of your dry cleaning business.

Make it concise and no longer than 2 pages. Include only the important elements.

The goal of this document is to make the reader intrigued by your business plan.

In the Executive Summary of your dry cleaning business, answer the following questions: what services does your dry cleaning business offer? who is your target audience? are there other dry cleaning businesses in the market? what funding do you require?

How to do the market analysis for a dry cleaning business?

Analyzing the market for your dry cleaning business allows you to gain insights into factors such as customer demands for garment care services, competition within the laundry industry, and emerging trends in eco-friendly cleaning.

By conducting an extensive market study, a dry cleaning business can understand customer demands, implement efficient cleaning processes, optimize pricing strategies, and execute targeted marketing campaigns, ultimately leading to a larger customer base, improved operational efficiency, and a prominent position in the local garment care industry.

This is what you'll find in the "Market Research" section of our business plan for a dry cleaning business :

  • recent data and statistics about dry cleaning businesses, including dry cleaning service usage, fabric care trends, and the impact of sustainable dry cleaning
  • a compilation of potential market segments for a dry cleaning business
  • the competitor analysis
  • the possible competitive advantages for a dry cleaning business

business plan dry cleaning business

The key points of the business plan for a dry cleaning business

What's the business model of a dry cleaning business, business model of a dry cleaning business.

A dry cleaning business's model centers around providing professional dry cleaning and laundry services to individuals or businesses. Revenue is generated through service fees based on the items cleaned, offering additional services such as alterations or garment preservation.

The business model focuses on efficient operations, using eco-friendly cleaning solvents, delivering high-quality results, convenient drop-off and pick-up options, and building strong customer relationships through exceptional service and reliability.

Success depends on establishing a convenient location, effective marketing to target busy professionals or businesses, maintaining strong quality control measures, and providing a positive and efficient customer experience.

Business model vs Business plan

Keep in mind that "business plan" and "business model" refer to different concepts.

A business model shows how a company operates and turns a profit.

In a business plan, you articulate your business model through a mechanism called the Business Model Canvas.

Rest assured, we offer a completed Business Model Canvas in business plan for a dry cleaning business .

How do you identify the market segments of a dry cleaning business?

Market segmentation for your dry cleaning business involves dividing your potential customers into different groups based on their dry cleaning needs, demographics, and preferences.

These categories may include factors such as garment types (e.g., formal wear, business attire), frequency of dry cleaning, or specialized dry cleaning services (e.g., delicate fabrics, leather).

By segmenting your market, you can offer a range of dry cleaning services and solutions that cater to each segment's specific requirements. For example, you might specialize in cleaning formal wear for customers with special events or professional engagements, offer regular dry cleaning subscriptions for individuals with frequent dry cleaning needs, provide expertise in handling delicate fabrics or leather items, or develop eco-friendly dry cleaning options for environmentally conscious customers.

Market segmentation allows you to effectively target your marketing efforts, communicate your expertise, and deliver reliable and high-quality dry cleaning services that meet the unique needs of each customer segment.

In the business plan for a dry cleaning business , you will find a comprehensive market segmentation that helps you know and understand your customers.

How to conduct a competitor analysis for a dry cleaning business?

It's clear that you won't be the only dry cleaning business in your market. There are other establishments offering professional dry cleaning and garment care services to customers.

Thoroughly analyzing your competitors' strengths and weaknesses is a crucial aspect of creating a successful business plan.

Identify their weaknesses (such as subpar cleaning quality, long turnaround times, or inadequate stain removal techniques).

Why should you pay attention to these points? Because these weaknesses can impact customer satisfaction when utilizing dry cleaning services. By addressing these aspects, you can ensure high-quality cleaning, offer convenient pickup and delivery options, and provide excellent customer service, positioning your dry cleaning business as a reliable and trusted provider of garment care.

It's what we call competitive advantages—prioritize building them to stand out in the market.

Here are some examples of competitive advantages for a dry cleaning business: high-quality garment care and cleaning services, quick turnaround time, eco-friendly and sustainable practices, convenient pick-up and delivery options, skilled and experienced staff, customer loyalty programs.

How to draft a SWOT analysis for a cleaners?

A SWOT analysis can help identify potential opportunities and threats to ensure the success of a dry cleaning business.

As you can guess, there is indeed a completed and editable SWOT matrix in our business plan for a dry cleaning business

The strengths for a dry cleaning business

The "S" in SWOT symbolizes Strengths, indicating the project's internal factors that give it a competitive edge.

For a dry cleaning business, potential strengths could include excellent customer service, convenient locations, fast turnaround times, and competitive pricing.

The weaknesses for a dry cleaning business

The "W" represents Weaknesses, which are the weaker areas or aspects of the project that require enhancement.

For a dry cleaning business, potential weaknesses could include inadequate staffing, insufficient capital, low customer service standards, and lack of marketing expertise.

The opportunities for a dry cleaning business

The letter "O" denotes Opportunities in SWOT, signifying the potential advantages or beneficial external factors for the project.

In the case of a dry cleaning business, potential opportunities may include offering delivery services, expanding to multiple locations, providing alterations services, and launching a loyalty program.

The threats for a dry cleaning business

When we mention the "T" in SWOT, we mean Threats, which are the potential negative circumstances or factors from the external environment.

How to elaborate a marketing strategy for a cleaners?

A marketing strategy is a plan that helps a business attract customers and sell its products or services.

It should be included in a business plan to make sure the business reaches the right customers, stands out from competitors, and gets the most out of its marketing efforts.

Implementing a targeted marketing plan will attract busy individuals and professionals in need of convenient and high-quality dry cleaning services to your business.

Busy individuals won't utilize your dry cleaning business without effective promotion; highlighting the convenience, quick turnaround, and high-quality cleaning services is necessary.

Are you implementing effective marketing strategies for your dry cleaning business? Consider offering pickup and delivery services, running targeted advertising campaigns in local neighborhoods, and partnering with local clothing boutiques or fashion retailers for cross-promotion.

It's perfectly fine to admit that you're not a marketing and communication expert.

How to build a solid financial plan for a cleaners?

A successful business plan requires comprehensive financial data in order to accurately forecast future performance.

In the process of developing your business plan, you'll need to determine the expected revenue for your dry cleaning business.

To make a lasting impression on investors, it is essential to incorporate a revenue forecast that is relevant and credible into your business plan.

Our financial plan for a dry cleaning business is user-friendly, providing automated validations that allow you to rectify any assumptions swiftly. This guarantees the creation of credible projections with ease and assurance.

Of course, you will need to create a preliminary budget for your dry cleaning business. Make sure to include every expense (by the way, they are all listed in the financial plan we've made).

A key aspect of your financial plan is the break-even analysis, which helps determine whether your dry cleaning business will generate profits or not.

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Sample Laundry and Dry Cleaning Business Plan

Laundry business plan sample.

Do you want to start a laundry business or do you want to expand one?

This is the right post for you to learn how to start or expand a laundry business.

A laundry business is a very lucrative and profitable business when done well, it is an easy business to start which can be done by anyone.

Do you know that the laundry business can guarantee you a 30% to 35% return on investment and sometimes even as high as a 100% return on investment? Do you know that there is a recession-proof business?

This business also needs absolutely no prerequisite skills or training. It costs almost nothing to startup.

DISCOVER: Profitable Businesses to Invest In

This great business is a laundry business. The laundry business involves the use of water, soap, or other detergents to wash clothes and other linens or garments for customers who pay for such services.

GUIDE: HOW TO START A JEANS BUSINESS

In Nigeria, there are 1.7 million people all of which put on clothes. More than 40% of this population do not have the time or the energy to do their laundry and rely on other people to do their laundry for them.

This is why a laundry business is lucrative business. It is important to note that laundry is quite different from dry cleaning as the latter does not involve the use of water while the former does.

To become a millionaire, you don’t necessarily have to start a very big business, small businesses like the laundry business I am talking about can also make you rich and be a great person.

One very important thing that a laundry business should have is a fixed price, for instance, a price of $50 can be fixed for washing and ironing a shirt. So, also you determine the price for each clothing [gown’ skirt, trouser, etc.].

The success of the business depends on the number of regular customers the business has.

For someone who is about to start a business, the laundry business should be one of your considerations. It is a clean business that is respectable and profitable.

There are many types of laundry businesses but for someone that wants to start small, home-based laundry services are the best. You can pick from any of these services laundry and dry cleaning companies render to the public to start the business.

Here is a sample business plan for starting a laundry and dry cleaning service.

Step 1: Get Registered

This is the very first step to take when starting a laundry business. It is important to register your laundry business name especially if you want to be taken seriously and you are planning on expanding your laundry business to a big one with various branches.

Your laundry business must be registered with the appropriate commission depending on your country. For instance, you register with the Corporate Affairs Commission in Nigeria.

Even when you are operating from home, you still have to register your laundry business and this must be done before opening your laundry business to the public.

This will help in the stability of your business and prevent future problems with the commission or government.

Step 1: Training

It is an important aspect of starting a laundry business. A person who is trained in this business will have a professional touch that will not have been there if not for the training.

Training can be done at existing and successful laundry businesses, the success of a laundry business partly depends on how well it is performed.

Step 2: Get your Capital and Purchase the needed Equipment

The type of laundry business you want to start either small or big will determine its starting cost considering the space, equipment, and staff that will be needed. The size of the laundry business will determine the type of equipment that will be needed either industrial tools or basic ones.

The next step to take is raising the capital for your laundry business. Now, this can be done in two ways depending on the scale of the laundry business you are interested in.

For a small-scale laundry business, the materials and equipment you are going to need would include; basins and buckets, ironing board and pressing iron, pegs, clothesline, hangers, detergents and starch, and a generator (optional).

For a larger scale laundry business, you would need a washing machine, hangers, generator, borehole, pressing iron and ironing table, drier, packaging nylons, glass shelf (for displaying clothes after washing them), towels, and office space among others.

Depending on the scale of the laundry business you intend to go into, it is important to get your capital ready.

In starting a laundry business, some of the basic equipment you need are:

• Ironing Table 

The ironing table should be wide enough for convenience and also have a wide pressing space. You will be doing lots of ironing, so a smooth and wide ironing table is necessary.

• Garment Conveyor 

This is used in hanging finished clothes. Furniture makers can locally make it, and it should be extended to avoid the stuffing of clothes. There are also standard conveyors mostly used by big laundry businesses.

• Pressing Iron 

A good pressing iron is needed for efficiency purposes since you are handling other people’s clothing not yours. Using a bad or poor pressing iron might cause havoc by ruining customers’ clothes and spoiling your reputation.

Other pieces of equipment are big washing basins, ironing space, laundry detergent, clothespin, drying space, and so on. Starting a laundry business is not very challenging, it can even be started in one’s home and expanded over time.

Step 3: Location

When it comes to the laundry business, location is an important factor. Who are your target customers? Your laundry business should be located close to them. This increases patronage and saves cost when you are doing customer drop-offs and delivery of washed items to customers.

People who usually patronize the services of the laundry business include civil servants, hotels, corporate workers, hospitals, students among others. Locating your laundry business close to either of the following could help to boost your laundry business. The best location for laundry businesses is busy industrial areas, housing estates, hotels, universities, etc. A laundry business with good services in such areas will be successful.

The location of your laundry business matters a lot and partly determines the success of your laundry business.

Having a laundry business in a low-profile area is the wrong location because most of the people living there will most likely wash their clothes themselves.

The space you decide to rent for your laundry business is also important as you would need enough space indoors for all your equipment and where to hang clothes and other linens after washing.

If you are not planning on getting a dryer, it is important to have enough space outdoors for hanging clothes. You need to choose a place that is not located close to a busy street, waterlogged environment, or where smoke could come in contact with your clothes e.g from suya joints, or burning of waste.

Step 4: Spread the Word

The next important step to take is advertising your laundry business. Your customers are your number one advert platform. This is why it is very important to render the best services as much as you can.

Try as much as you can to always deliver before the time specified and avoid any form of disappointment. You could also take your laundry business online and spread the word on social media.

At the startup stage, you could go from door to door and share flyers about your laundry business.

Step 5: Hire the Needed Human Resource

For your laundry business, you would need people to do the laundry and ironing. You would also need someone to handle the bookkeeping, talk to customers as well as inspect clothes brought in to be washed and ironed. You could start with just two employees, one handling the books while the other washes and irons.

Step 6: Offer the Best Services and Pricing

To boost your laundry business it is also important to offer customers the best service. You could decide to offer free services which could range from free delivery to ‘pay to wash 5 shirts and wash one free’ services to customers as this could also help increase patronage. Try as much as possible not to mix up customers’ clothes.

Use perfumed detergents for washing clothes, treat them with the utmost respect, and do not forget to thank them for patronage as this is very important.

Step 7: Competition

In dealing with competitions, you should be able to offer very good services especially the ones that are not offered by your competitors. You can even start your business by offering free services for publicity’s sake and ensuring that you do not disappoint customers. Always have customers’ clothes ready before or on the deadline and can also offer home delivery.

After a few years of starting a laundry business, one of the main objectives of your business should be expanded.

Expanding your laundry business will make it grow more into a profitable enterprise.

One very effective way to expand your laundry business is by opening another location. In opening another location for your business, you must have the necessary tools needed in managing multiple businesses.

Having well-trained employees and equipment of good quality will make your job easier and more efficient. It is certain to face challenges when opening another location for your business.

The following are some of the challenges faced in opening another location for your laundry business:

• Management: Managing more than one location by splitting time, overseeing everything and handling training of employees is not an easy task.

• Equipment: Getting equipment for the new location will eat deep into the purse of the business or owner.  Time: Handling businesses in more than one location is time-consuming most especially for someone who always has busy schedules.

The laundry business has been one of the best businesses that have is very lucrative. So if you have got the interest, waste no more time and quickly invest in the laundry business.

BONUS GUIDE

How to Start a dry cleaning business is one good way to make money most especially if you live in an urban area. It can be a good source of steady income for the entrepreneur if it is located in a well-trafficked area.

Many entrepreneurs venture into this business because it is never affected by the economic recession. The best part for most entrepreneurs is that starting a dry cleaning business does not involve large capital and it has a very high demand.

In this post, I will be sharing with you how to start a dry cleaning business and generate big money from your community dwellers. This is a business that never fades as everyone puts on clothes and some have a busy schedule that they don’t have the time to do laundry.

You stand a good chance to make a lot of money if you can start this business with the right planning and execution in place.

First Go Gain Experience

It is always advisable for the entrepreneur to first go and gain experience in an existing dry cleaning firm. This is very crucial for the success of a dry cleaning business.

Working in an existing dry cleaning shop will help you determine if the business is profitable as you think it is. You will gain first-hand experience.

You will also learn about the equipment you will be needing and how much you will need to spend when opening your own dry cleaning business.

If working for an existing dry cleaning business is not an option for you, you can either go conduct detailed research on the business by going online and asking questions on places like Quora or you can employ someone with years of experience in the dry cleaning business to manage your business for you.

Make a Business Plan

The way you intend to run your business has to be put into writing if you want to succeed. The dry cleaning business is a very wide niche that entails so many services. You need to decide on the type of services you will be provided in your business plan for laundry and dry cleaning.

Will you be providing pickup and delivery services? Do you have a place already or will you rent a place? How many employees will you start with? There are many more questions you will need to answer in your business plan.

You will still have to figure out your business plan, your target market, and your marketing plan too. Include every of your move and forecast your expenditure and income.

Decide on Your Location and Model

You will need to know where you choose to plant your business even before you start looking for funds. This helps you know how much you will be needed for rent and so factor in the cost in your business plan.

If you will need to add a delivery service to your dry cleaning business, you will need to have a vehicle and a reliable driver also. Whether you choose the traditional storefront business model or you go mobile, focus on giving your customers what they want when they want it.

If you can make your customers happier because they came into the dry cleaner today – you are likely to have that customer for life.

Secure Funding

Once you have known how much you will be needing to launch your dry cleaning business, you will need to secure funding to get the business started. The cost of running your dry cleaning business depends on the business model you have chosen for your business.

Though your savings might be able to cover some expenses, there may still be cases where you will need funds from a third party like banks, other financial institutions, friends, or family members.

This is where your business plan comes to the rescue. But, if you would not want to start your dry cleaning business on a loan, you can get a partner. The cost of starting your dry cleaning business is now split into two, making it easy for you.

Another way to solve the area of getting funds is by starting a franchise still in this niche. You can search for low franchise opportunities that you can become a franchisee to and start your business.

Most franchise companies provide funds for their franchisees that help cover startup costs and franchising fees. So, you have a different funding option available to you to get your dream business started.

Obtain Necessary Permits and Licenses

Running any legal business requires licenses from the concerned government department.

You will need a special permit from various departments such as pollution control, sewage control, and many others before you can start your dry cleaning business.

Contact your local or state officials to obtain the necessary papers to start your dry cleaning business.

Equipment It is impossible to run a dry cleaning business without dry cleaning equipment. You may not need more than three dry-cleaning machines to get started. Decide on the machines you can afford according to the available capital.

Advertise Your Business

You have to market your business to bring in customers. You might have the best equipment and the best laundry services in town. The fact remains that for you to be able to make sufficient income, you need to market your business to attract customers.

Look for cost-efficient ways to market your dry cleaning business and make sure it is effective. Television and Radio advertising might be expensive but it converts faster.

If you don’t have a budget for that, you can take leverage of social media platforms like Facebook and Instagram Ads and target who you want to reach with your advert message.

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laundry and dry cleaning business plan pdf

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  1. Dry Cleaning Business Plan PDF Example

    The Plan. Our dry cleaning business plan is structured to cover essential aspects vital for a comprehensive strategic framework. It details the business's operational processes, marketing strategies, market analysis, competitive landscape, management team, and financial projections. Executive Summary: Offers an overview of your dry cleaning ...

  2. Business Plan For The Laundry Industry [PDF]

    This is what this article is all about! Step 1. The definition of a business plan is that it is a written description of the future of a business. It's a document that tells the story of what the plan is and how to make it happen. Although every business has its own story, there are some generally accepted conventions about what a full-blown ...

  3. Starting A Laundry Business Plan (PDF)

    Ensure that your business plan has a list of all the machines, equipment, detergents needed by your laundromat business. The kind of services you choose to provide will determine the kind of equipment and detergents you will need. The costs of purchasing the machines & equipment should be included in your laundry business plan.

  4. PDF THE BUSINESS OF LAUNDRY A GUIDEBOOK

    so, starting your own laundry business isn't a decision you can make rashly. You have to know you are ready for the task at hand - a lot goes into running your own company. Here are five signs that you are ready to start your own laundry business: 1. You've got the desire The first sign is that you want to become part of the laundry ...

  5. Dry Cleaning & Laundromat Business Plan Examples

    Laundromat Business Plan. Universal Laundromat is a laundry service that will supply full washing, drying, and optional folding services. Before you start your own dry cleaning business, it's a good idea to write a business plan. But where do you start? First, check out a sample business plan for a laundromat or dry cleaning service. Explore ...

  6. Laundromat Business Plan Template & Guide [Updated 2024]

    Laundromat Business Plan Template. Written by Dave Lavinsky. Over the past 20+ years, we have helped over 5,000 entrepreneurs and laundromat owners create business plans to start and grow their laundry businesses. On this page, we will first give you some background information with regards to the importance of business planning.

  7. Dry Cleaning Business Plan Template [Updated 2024]

    Dry Cleaning Business Plan Template. Over the past 20+ years, we have helped over 1,000 entrepreneurs and business owners create business plans to start and grow their dry cleaning businesses. On this page, we will first give you some background information with regards to the importance of business planning.

  8. Dry Cleaners & Laundromat Business Plan Template

    In our laundromat business plan template products and services section, we cover: Dry cleaning services: a selection of services including dry cleaning, ironing, laundry, stain removal and washing sensitive materials. Self-service laundry: using either an eco-friendly detergent or otherwise when washing clothes.

  9. Dry Cleaning Business Plan [Free Template

    Writing a dry cleaning business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan: 1. Executive Summary. An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and ...

  10. Fundamentals of a Laundry Business Plan

    Common Mistakes in Laundry Business Planning: Avoiding the Pitfalls Underestimating Startup Costs: A Recipe for Financial Disaster. Managing the finances is a critical aspect of launching any new serious business venture, including a laundry venture. ️ The establishment of a laundry business involves a host of expenses that are often overlooked.

  11. Dry Cleaning Home Delivery Business Plan Example

    1 Tumble dryer - 40 lb capacity, stainless steel drum and gas heated. 1 Dry cleaning machine - 25 lb. 1 Roller Iron 40 x 12 inch, variable speed and vacuum exhauster. 1 Ironing table with steaming vacuum board, integral 2 gallon boiler, iron, water pump and light. Capital plan: The owner will invest $40,000 in the business.

  12. Free Laundry Business Plan PDF Download, Dry Cleaning Services Business

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  15. Dry Cleaner: get a solid business plan (pdf example)

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  16. Sample Laundry And Dry Cleaning Business Plan

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  17. (DOC) LAUNDRY BUSINESS PLAN

    The business is ready to be started; the location, target market, pricing, marketing strategies have been determined. Our Laundry and cleaning business will be located in the heart of Amamoma which is less than 20 minutes' drive from Cape Coast town, and 10 minutes' drive from the stadium.

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