What Is My Laundromat Worth?

Laundromats are one of the most popular small business acquisition targets — especially among first-time buyers and investors looking for semi-passive income. The combination of recurring revenue, simple operations, and predictable cash flow makes them attractive.

Here's how to value your laundromat.

Typical Valuation Ranges

Most laundromats sell for 3x to 5x SDE (Seller's Discretionary Earnings). Well-located, modern laundromats with strong revenue can push toward the higher end. Older facilities with deferred maintenance trade at the lower end.

Factors that push toward the higher end:

• Modern, high-efficiency machines less than 5 years old
• High-traffic location with limited nearby competition
• Wash-and-fold or delivery service revenue
• Long-term lease (10+ years remaining)
• Revenue above $300K annually
• Attended hours with upsell services

Factors that push toward the lower end:

• Aging equipment needing replacement within 2–3 years
• Short remaining lease or rising rent
• Coin-only operation (no card/app payment)
• Declining revenue trend
• High-crime or deteriorating neighborhood
• Unattended with no ancillary services

What Makes Laundromats Attractive

Recession-proof demand. People need clean clothes in any economy. Laundromat revenue is remarkably stable.

Semi-passive ownership. Compared to most small businesses, laundromats require relatively little day-to-day involvement — especially unattended or minimally attended locations.

Cash flow predictability. Revenue patterns are consistent week to week. Buyers can model cash flow with high confidence.

Low employee requirements. Many laundromats operate with minimal staff or are fully unattended, which reduces labor complexity.

Key Metrics Buyers Evaluate

Revenue Per Square Foot

Strong laundromats generate $30–$50+ per square foot annually. This metric helps compare locations of different sizes.

Machine Age and Condition

Equipment is the business. Buyers will evaluate the age, condition, and remaining useful life of every washer and dryer. Modern, high-efficiency machines (less than 5 years old) are a major value driver. Old top-loaders that need constant repair are a liability.

Lease Terms

Laundromats are location-dependent businesses. A long-term lease at favorable rent is critical. Buyers want 10+ years remaining (including renewal options). Short leases create existential risk.

Utility Costs

Water, gas, and electricity are the biggest operating expenses. Efficient machines and favorable utility rates directly impact profitability.

Wash-and-Fold Revenue

Laundromats with an active wash-and-fold service (drop-off laundry) generate higher margins and create customer stickiness. This revenue stream can add 20–40% to total revenue and is highly valued.

The Equipment Question

Equipment replacement is the single biggest capital expenditure in laundromat ownership. A full retool can cost $200K–$500K+ depending on size. Buyers will calculate remaining equipment life and factor replacement costs into their offer.

If your machines are nearing end of life, you have two options:

1. Retool before selling — invest in new equipment and sell at a higher multiple on higher revenue
2. Sell as-is — accept a lower price that reflects the buyer's retooling cost

The math depends on your specific situation, but generally retooling before sale captures more value if your lease supports it.

How to Increase Your Laundromat's Value

1. Upgrade to card/app payment systems. Modern payment reduces theft, improves tracking, and allows dynamic pricing. Buyers strongly prefer cashless or hybrid operations.
2. Add wash-and-fold service. Even starting small — one attendant during peak hours — creates a higher-margin revenue stream.
3. Negotiate your lease. Lock in 10+ years with controlled rent increases before going to market.
4. Invest in efficiency. High-efficiency machines reduce utility costs per turn, directly improving margins.
5. Clean up the space. A well-maintained, bright, clean facility commands a premium over a run-down one. Small investments in lighting, flooring, and paint make a difference.

Ready to Find Out What Your Laundromat Is Worth?

Browse the valuation multiples guide for current industry data, or schedule a free call for a confidential valuation.