Growing Coin-operated Laundromat With Real Estate

Description

Self-service coin-operated laundromat for sale in St. Louis, Missouri. The business opened in 2021 and operates from property owned by the business, with the real estate included in the transaction.

Financials

• Annual revenue: approximately $225,000
• Seller's Discretionary Earnings: approximately $120,000
• Real estate included
• No monthly rent expense

The seller reports a growing revenue trend. Buyers should review tax returns, utility bills, coin collections and monthly operating statements to confirm both revenue and the adjustments used to calculate SDE.

Equipment

• 24 washers
• 26 dryers
• 50 machines in total
• Coin-operated self-service model

Buyers should obtain a machine schedule showing brand, model, age, ownership, maintenance history and remaining useful life.

Operations

The laundromat is primarily self-service and is supported by four part-time employees.

A buyer should confirm employee duties, compensation and how much owner involvement is currently required for collections, cleaning, machine maintenance and customer issues.

Real estate

The underlying property is part of the sale, removing a separate landlord and lease expense from the current operating structure.

Buyers should evaluate the real estate independently, including market value, property taxes, title, building condition, parking, utility infrastructure and zoning.

Growth

• Increase machine utilization
• Add wash-and-fold service
• Introduce pickup and delivery
• Add commercial laundry accounts
• Evaluate card or mobile payment systems
• Increase local marketing

Reason for sale and transition

The seller is relocating. Post-sale involvement is flexible and may range from a complete exit to a consulting period, depending on the agreement with the buyer.

Due diligence

Buyers should verify historical sales, SDE, water and sewer usage, gas and electric costs, machine collections, employee expenses, equipment condition, repair history and any deferred maintenance.

Because the property is included, buyers should also complete separate real estate diligence covering title, taxes, environmental matters, building systems and the condition and capacity of water, drainage, gas, electrical and ventilation infrastructure.