Things You Need to Know When Starting a Laundry Service

By   October 19, 2016

If you want to be successful, you have to start somewhere, right? Starting a laundry service business seems to be a good idea because it doesn’t require a billion pesos upfront. It also doesn’t require hundreds of manpower.

It also doesn’t require you a specific college degree in order to pursue laundry service business. Basically, everybody can open up a laundry service whether full-time or part-time. That’s just three of the good things about starting a laundry service.

Things You Need to Know When Starting a Laundry Service 1

First of all, read the article 7 Signs why you should invest in laundry business. If you have those signs then I suggest that you continue reading because this blog post is jam-packed with things you need to know about starting a laundry service.

Filipinos are very conscious about cleanliness and maintaining clean clothes are very important for us. Aside from being comfortable, wearing clean clothes and having good hygiene and good smell can boost your reputation and self-confidence.

There are a number of reasons why people pay for laundry service. So starting a laundry service is still profitable and can definitely be a good business as long as it is handled carefully.

Why laundry service as a side hustle

Starting a laundry service as a side hustle is easy because you do not need a lot of time to do it. You do not need a lot of resources. You can do it in your house for an hour or two.

It is also scalable which means you can grow it into a full-time business.

I and my wife are your living proof. We started our laundry business as a side hustle. Yes, we did it while we working full-time. I still have a full-time job, actually. But my wife has already quit her job when we formally opened our first laundry shop.

Starting a laundry service as a side hustle can be a good source of additional income

All of us would like to have another source of income besides our regular day job. Starting a laundry service can be considered as one of those side hustle ideas alongside many other startup ideas. It may have an advantages and disadvantages; laundry service is still a business one to start.

If you are in the corporate world, many would laugh at you because people’s mindset is that this job is for maids. Cleaning someone’s mess can really be degrading at time but if you are serious about pursuing a sideline, starting a laundry service will be a good idea.

As I said earlier, you don’t need a business degree to get started. This is a side hustle for now so do not worry about it. As long as you know how to properly wash clothes, you’ll be fine. Do not waste your time worrying about what your friends and coworkers are saying. Get ready to embrace the change.

Define your goal

Answer this question, why do you want a side hustle? Is it to have an additional income to cover your monthly electric bill or water bill? Will 2,000 pesos additional income per month be enough? Define it and include a time frame. Make it very specific.

Build a plan

It sounds scary but hang in there and it will make sense in a while. Building a plan means that you have to design a strategy on how you can achieve an additional income of 2,000 pesos per month or 500 pesos every week.

Would you think that starting a laundry service can achieve this? The answer will vary because it will depend on one’s personality and set of skill.

But since you are here reading a laundry service blog post, I can feel that you are interested and believe that starting a laundry service is a profitable business. I also believe the same way. So write down your plan on how you can achieve that additional 2,000 pesos a month.

An individual averages 10 kilograms of laundry a week. If you charge 25 pesos per kilogram, then you’ll need to launder 30 kilograms a week or 3 clients. But hey, you only need 2 clients to produce that extra 500 pesos per week. Correct! The sales from the 3rd client will cover for the overhead in your work. It will be used to pay for electricity, water, detergent, fabric conditioner, etc. So your 500 pesos is already the net profit.

How much can you charge?

Answering this question gave me a doubt at our pricing too. It made me think of something I already forgot and just remembered now. Placing a price tag on any work depends on many ways. But the core of it should be like this, offer a reasonable price which you are happy.

The higher the quality and value of work you render will be proportionate with price. If you think your service is worth 30 pesos per kilogram, then go for it. People can also sense if they will get good value out of it.

Take for example a cup of coffee. Every one of us can agree that we can just make our own coffee and drink it in our house at a low-cost. But why do you think Starbucks never runs out of customers? It’s because of value. Not just the product (Coffee) but also the value of service they give to their clients.

As I said in the example above, you can charge 25 pesos per kilogram. You can increase it but do not go lower than 25. It is already cheap and that price is already ongoing since 3 years ago.

Bear in mind that you have to consider all the expenses you will incur and the overhead you’ll need to continue your service.

And of course, you should be able to have a profit. If you’re not getting profit, then what is the point of all this? Here is an additional reading to guide you on how much should you charge for your product or service.

Who are your customers?

Providing laundry service for a person can help him open up some free time. If you are working in an office, find someone who is already outsourcing his or her laundry. Look for a colleague that are renting and living in a small room. You can offer your laundry service to them. Start from your office.

And if you want to get more attention, then you can always talk to your neighbors if they want to.

Finding suppliers

At this stage, you don’t need to go to offices of suppliers. You just need to use the products you are already using with your own clothes. You only have 3 clients per week so there is not much difference yet when you opt to buy cheaper detergent for your laundry service. So why not use your trusted brand to improve your trust rate.

At this point, you want to maintain a good impression so that you can grow your customer base. As time goes by, other people or household will begin to trust you because of the good quality and value of your laundry service.

But if you’re business is already growing bigger, you will need to find a reputable supplier of detergents, bleach, fabric conditioners and other materials that are required for your laundry service.

You can find them in television, radio, internet, yellow pages, and seminar and in trade shows. Shop around ask these suppliers to give you their price list and study them.

Pro Tip: Some suppliers are giving away sample products. This is a great way to test their products.

Things You Need to Know When Starting a Laundry Service 3

Starting a laundry service as a full-time business

If you want to start a laundry service or if you already have one, I congratulate you because you are already ahead of many people. But starting a laundry service is not an easy task. A lot of things will change on your daily routine especially for those who worked a long time as an employee.

At first, you will have to accept the fact that you’ll be branded as self-employed and not yet an entrepreneur. That’s totally fine. By working on your business, you will learn many things. All the processes and procedures will be done by you. But aim to be a real entrepreneur by hiring other people to do a specific job. Just take one step at a time.

You are your own boss now.

The transition from an employee mindset to entrepreneurial mindset will emerge and confusions will also come out if you are not prepared. Starting a laundry service business is tough. You have to be physically, mentally, emotionally and financially prepared.

If not, you are bound to fail if you don’t do something to improve it. I would like to share to you’re the 12 lessons we have learned along the way.

Things to consider when starting a laundry service

You should know what type of setup you are going to construct. Will it be a one stop shop setup, a self-service setup or a pickup station setup? This different setup has their unique benefits you can take advantage off.

Choosing the right equipment both washer and dryer should also be considered. There are also required accessories and tools needed when starting a laundry service.

Except for the legalities and documents you need to secure, you also need to identify a strategic location for your store. Find a location where there is a lot of foot traffic and where people live.

You also need to consider your manpower.

First, you should define the skill set and your desired traits of the manpower you need. You have to accept the fact that you won’t be able to do it all by yourself. During the early stage maybe, but as your laundry service grow, so as your work and sooner or later, you will need to hire help.

You have to define and search your target market because they are the most important of all. No customer, no business. So make this your ultimate goal when starting a laundry service. Find you target market.

Know the things why they hate other laundry business and learn how to treat them in case you encounter angry clients.

But even if you already found a very good location and you have found you target market, everything is still a failure if you are invisible.

Promote, advertise and market your laundry service like crazy but not up to annoying people. Use different kinds of advertising and promotions to lure out your target market and make them purchase your laundry service. Use different kinds of medium. Make a noise by giving away fliers. It is the simplest form of advertising.

Things You Need to Know When Starting a Laundry Service 4

Finding capital

How can you start a business with no money at all? Sorry to say but you need money when starting a laundry service. So the first thing you should do if you want to start a business is to find a work. Then spend wisely and save. That was the exact procedure we applied to our life.

Building capital for your dream business is no joke. A lot of hardships should be conquered. Use your time wisely to improve yourself and work your ass off to achieve your goal. There is no shortcut for starting a laundry service business.

Perfection is not the key but the value

As of now, I may have already convinced you that starting a laundry service is a sensible choice you can have to be an entrepreneur or a side hustler. My advice is that once you decide to pursue this kind of business, fix your mindset and stick with it. Study and apply what you learn in order to improve.

You don’t have to be perfect.

Many businesses started as a piece of crap but the people behind that business did not give up giving value. They learned by attending lectures and seminars. They work hard every day. And the best move they did was to start the business. From there, you can slowly improve yourself and your business.

Do not stop giving value. This is the key to a successful business.

I’d like to share this video from Valuetainment. It has been a wonderful motivation for me. You may have watched this already because it has gone viral for months. But if not yet, then I suggest you find time to watch it and I assure you that you will be taken away by its message. By the way, the video is just 100 seconds long.

 

Conclusion

So if staring a laundry service is the one you are looking for to give you an extra income, then I suggest that you have to start learning about it. Ask yourself if you are really passionate about it. Because starting a laundry service takes a lot of your time and effort.

You will be physically and emotionally tired during the early stage. Starting a laundry service business requires a lot of nerve to sustain and maintain it. And if you are not passionate about it, you will not be able to grow this business.

As for any business that you choose, make sure that you do the things you love and passionate about. Because when all sorts of negative hits you and breaks your business, your passion will come to your aid and will help you not give up easily and it will help you overcome any obstacle you might encounter.

Your turn

Do you want to learn how to start a laundry business? Are you interested to do laundry service as a side hustle? Let me know your thoughts or questions by contacting me and I will do my best to help.

And please don’t forget to subscribe!

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2 Comments on “Things You Need to Know When Starting a Laundry Service

  1. Pingback: The Right Workload Distribution To Laundromat Employees

  2. Pingback: How Much Does It Cost To Start A Small Laundry Business

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