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BIZBITE

Coin-Operated Laundry

Quarters add up faster than you think

Bottom line

Worth studying, but do not buy without strong local proof.

Coin-operated laundromats are self-service facilities where customers wash and dry clothes using commercial machines. They operate with minimal staff, often unattended, and generate steady cash flow in densely populated areas. Modern card/app payment systems are replacing quarters but the model remains the same.

68
Acquisition score
Strong

Avg Revenue

$250K

Profit Margin

30%

Acquisition Multiple

2x - 4x

Startup Cost

$100K - $500K

How It Works

Customers load machines with coins, cards, or app payments. Washers run 30-45 minute cycles, dryers 30-60 minutes. Revenue is purely transactional — more loads = more income. Adding wash-dry-fold services and pickup/delivery can significantly increase revenue per location.

Revenue Range

Low End
$100K
Typical
$250K
High End
$500K

BizBite underwriting snapshot

Worth underwriting

Coin-Operated Laundry maps to the Laundromat model. The category can work for acquisition buyers, but the right answer depends on source freshness, verified economics, and the specific red flags below.

65
Fair / 100
Data confidence
medium
72/100
Financing fit
strong

Category-level fit before lender-specific diligence.

Confidence cap
78

Weak source data caps the final score.

Why it may work

  • +Attractive 30% estimated margin profile
  • +Category usually has strong acquisition-financing fit
  • +Lower labor intensity than many SMB categories
  • +SBA dataset shows 69 recent comparable loans

Be careful

  • !Source link status has not been verified yet
  • !No last-checked date yet
  • !Capex-sensitive model

Category operating model

Laundromat

low labor
high capex
medium owner

Revenue drivers

  • Washer and dryer turns per day
  • Average vend price by machine size
  • Wash-and-fold or pickup/delivery attachment
  • Vending, ATM, detergent, and ancillary sales
  • Hours open and neighborhood density

Key risks

  • Old machines can create a near-term capex bomb
  • Short lease term can destroy acquisition value
  • Utility costs can quietly compress margins
  • Turns/day claims are easy to exaggerate without machine-level proof

What you need to believe

  • The location has durable renter/student/urban demand.
  • Machine replacement needs are reflected in the purchase price.
  • Lease control is long enough to recover the acquisition premium.
  • Reported cash sales are verifiable enough to underwrite.

Real Acquisitions in This Category

SBA 7(a) change-of-ownership loans · NAICS 812310 · Coin-Operated Laundries and Drycleaners

Deals tracked
214
69 in last 24 mo
Median loan
$513K
$285K–$996K p25/p75
Implied deal size
$603K
median · ~85% LTV
Charge-off rate
not enough resolved loans

Deal Size Distribution

<$150K
19
$150K–500K
79
$500K–1M
62
$1M–2M
31
>$2M
23

Deal Flow Over Time

12-month momentum
+37.9%
deal volume vs prior 12 mo
Median loan Δ
+19.7%
40 recent · 29 prior

Financing Profile

Median rate
9.00%
12% fixed · last 24 mo
Median term
120 mo
standard 10-yr
Collateralized
0%
of loans secured
Median jobs
4
supported per deal
Top lenders in this space
Hanmi Bank17
Bank of Hope14
Metro City Bank12
Open Bank11
VelocitySBA, LLC7
Where deals happen
CA41
TX31
MN14
NY11
IL11
GA9
PA9
FL8
MO7
CO7

Recent Comparable Deals

ClosedStateLoanImplied deal
Mar 2026WA$286K$337K
Mar 2026NY$1.1M$1.3M
Mar 2026NY$2.2M$2.6M
Mar 2026CA$3.4M$4.0M
Mar 2026CA$3.7M$4.4M
Feb 2026TX$1.3M$1.6M
Feb 2026MO$828K$974K
Feb 2026CA$5.0M$5.9M
Jan 2026MO$474K$558K
Jan 2026AZ$378K$444K
Volume rank #37/544Deal-size rank #375/544Momentum rank #86p90 loan: $2.0MData as of Mar 2026

Source: SBA 7(a) FOIA dataset, filtered to acquisitions (loans where business age is "Change of Ownership"). Implied deal size assumes an 85% loan-to-purchase ratio, a common SBA change-of-ownership structure. Charge-off rate shown only when 10+ loans have resolved (paid in full or charged off). Interest rates reflect last 24 months only. Actual deal values vary with equity injections, seller financing, and working capital terms.

Pros

  • +Cash-based business with immediate revenue collection
  • +Minimal labor — most laundromats run semi-unattended
  • +Recession-resistant — everyone needs clean clothes
  • +Add-on services (wash-fold, delivery) increase revenue

Cons

  • -Utility costs (water, gas, electric) are significant
  • -Equipment replacement is expensive ($3K-$8K per machine)
  • -Location dependent — needs dense residential area

Best For

Semi-absentee owners who want a cash-flow machine in urban areas

Operating Costs

Major costs are utilities (water, gas, electricity), lease, equipment maintenance and replacement, insurance, and an attendant for busy hours. Utility costs can be 25-35% of revenue.

SBA Financing Estimator

Adjust the deal — see if it cash flows after debt service

$-210/mo
after debt service
Deal price — $600K
Range: $380K (2×) to $1.3M (4×+)
Down payment — 15% ($90K)
SBA minimum equity injection is 10% for change-of-ownership
Interest rate — 9.00%
SBA median for this category: 9.0%
Loan term — 10 years (120 mo)
SBA median for this category: 120 months
Down payment
$90K
15% equity injection
Loan amount
$510K
85% SBA-financed
Monthly payment
$6K/mo
$265K total interest
Monthly profit
$6K/mo
at 30% margin
Monthly cash flow after debt service
$-210/mo
Margin does not cover debt service at these terms. Lower the deal price, increase the down payment, or extend the loan term.

Estimates only. Excludes owner compensation, capex, working capital draws, and taxes. Margin assumes average occupancy and volume. Actual SBA terms vary by lender and borrower profile.

Where to Buy

BizBuySell

Find laundromats and laundry businesses for sale

Laundry Owner

Industry resource for laundromat acquisitions

68/100Strong

Acquisition Score

Profit margin
20/30
Entry multiple
21/25
Market depth
9/20
Risk (charge-off)
8/15
Deal momentum
10/10

Scores margin (30), entry multiple (25), SBA market depth (20), category risk (15), and deal momentum (10). Higher = better acquisition candidate.

Quick Facts

Category
physical
Difficulty
3/5
Buy price
$500K$1.0M

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