How to Start Laundry Business and Dry Cleaning Business
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| How to Start Laundry Business |
How To Start Laundry Business: Starting a laundry business and Dry Cleaning Business in 2021 is written to provide information to all those who are involved in the laundry business and those who are interested in starting a laundry business.
This sector has always remained unorganized for many years and nobody made an effort to bring technology to this sector. Let's peep into the old fashioned laundry and see how it operated.
Before stepping into this laundry business one has to analyze the following points. If these points are not satisfied i.e. answer to any of these questions is NO.
It indicates the weakness of your business, if YES then there is a probability that this Laundry Business and Dry Cleaners Business will flourish with the elimination of all the weaknesses.
Laundry Business Question sets one
Hope all your answers to the above questions are YES!
Along with the above points, we shall also see the management skills required, calculate the break-even points and learn the scalability of the business.
1. Do you know who your customers will be?
2. Do you understand their needs and desires?
3. Do you know where they live?
4. Will
you be offering the kind of products and services that they
will buying?
5. Will your prices be competitive compared to quality and value?
6. Will your promotional program be effective?
7. Do you understand how your business compares with your competitors?
8. Will your business be conveniently located for the people you plan to serve?
In India there used to be a DHOBI (Washer men), they used to wash cloths near a pond or river or the place where there is a storage of water. After washing clothes they would dry it, press it, and return it to the customers. It used to take 7 to 8 days to complete this process.
To save time, loaded washing machines came into practice, but then also after washing clothes that were dried in the hot sun.
Then came the HYDRO EXTRACTOR, where further water extraction took place, and then the clothes were dried in the hot sun. In this way some time was saved, now it took only 3 to 4 days to deliver the clothes to the customers.
Further, some years later dryers were introduced i.e. After washing and rinsing the clothes in hydro extractor it was dried using the dryers, further reducing the delivery time of the garments to the customers.
Now here the customers started getting their clothes in 2 to 3 days’ time. This is the way a change in the operation of the laundromat was observed.
Now, let us start understanding the different aspects required on how to start laundry business:
Different aspects for starting a laundry business:
1. Selection of business premises.
2. Expected laundry load
(Number of Garments) per day for Wash, Dry, and
Iron.
3. How to calculate the laundry
load?
4. Designed the area and machines
required as per the load.
5. What is the
washing process of a normal Laundry business?
6. What is the process
of Dry Cleaning?
7. What is the process of Wet
Cleaning?
8. Types of washing machines
available with different heating processes?
9. How to calculate Electricity and Water Consumption?
10. How to calculate the cost of
production?
11. Tagging and Packaging process?
12. How to Channelze Pickup and
Delivery of the Garment?
13. How do you develop the Brand?
14. Marketing Strategies.
15. Franchisee Business Expansion.
Now let us discuss the above mentioned points one by one.
1. Selection of Business Premises to Start a Laundry Business:
Selection of premises for starting laundry business plays a vital role in the laundromat business. It should be easily accessible to the customer and there should be ample space to park the vehicles in the vicinity of the premises.
There is always a question “How to select the locations?" You should keep yourself above the market competition. Though it is a highly growing business, it is always important to yourself ahead of all the competition.
2. Expected Laundry Business Per Day:
To calculate the expected laundry business to happen, it is very important to know the approximate number of garments (Laundry load) coming in for Laundry every day.
This helps to determine the area (carpet area) of the premises required and also helps to design the capacities of the machines i.e. Washer Extractor, Dryer, and Ironing table required.
Deciding the capacity of the laundry helps to calculate the water and electricity consumption. Deciding the area required helps to decide the monthly rental cost. Floor area required to accommodate the machines, sorting tables, trolleys, pickup, and delivery counters.
3. How to Calculate the Laundry Load:
The following chart will help you to calculate the capacities of the machines required in starting a laundry business.
MEN’S CLOTHES
|
Items |
Weight in Grams |
Items |
Weight in Grams |
|
Underpants |
70-100 |
Hoodie |
250-400 |
|
Shirt |
150-180 |
Jacket |
850-1200 |
|
T-Shirts |
230-320 |
Winter Jacket |
1200-1600 |
|
Business Suit |
1000-1800 |
Jersey |
450-550 |
|
Formal Pants |
620-720 |
Pajama Suit |
100-250 |
|
Jeans |
650-820 |
Coat |
800-1500 |
|
Shorts |
220-320 |
Gloves |
80-150 |
WOMEN’S CLOTHES
|
Items |
Weight in Grams |
Items |
Weight in Grams |
|
Underpants |
20-30 |
Business Suits |
850-950 |
|
Bra |
50-70 |
Leggings |
250-350 |
|
Swimming Suit |
80-120 |
Skirt |
225-325 |
|
Casual Dress |
120-300 |
Sweater |
300-400 |
|
Fancy Dress |
250-500 |
Gowns |
150-300 |
|
Lehengas |
800-2000 |
Night Dress |
325-425 |
CHILDREN’S CLOTHES
|
Items |
Weight in Grams |
Items |
Weight in Grams |
|
Crawlers |
40-60 |
Party Wear |
300-450 |
|
Under-pant |
15-30 |
Hoodie |
200-350 |
|
T-Shirt |
50-100 |
School Uniform |
250-350 |
|
Shirt |
60-150 |
Sweater |
300-450 |
|
Pants |
150-250 |
Baby Suit |
700-850 |
|
Shorts |
80-150 |
Socks |
15-30 |
|
Skirt |
100-250 |
Cap |
70-100 |
Now that you have understood the quantity of the expected load of garments to wash per day, it is now time to decide the machinery required for your laundry business.
4. Areas and Machines Required for your Laundry:
As of now, the load expected per day has been calculated and finalized. Now, we have to check what is the space required to accommodate all the machines and furniture selected. Let us see what all things are required there in your Laundry Business.
A. Counter for weighing and tagging the
garments.
B. Trolley or Tub to collect the
contaminated clothes.
C. Washer Extractor
D. Tumble Dryer
E. Ironing Table
F. Sorting Table
G. Trolley for Wet garments.
When the load is calculated, the types and capacities of machines required is decided. Now, we have to calculate the dimensions of each of these machines, trolleys, tables, and handling space required.
Once we understand the total space required for the laundry business, then according to our leasing and rental budget it becomes easy to decide the location for the Laundry Business and Dry Cleaners Business.
5. Normal Washing Process:
After receiving the garments from the customers and identifying the stains, it is then bifurcated for normal and dry cleaning wash. For a normal wash, the garments are weighed and then loaded into a washer extractor after completing a washing cycle of approximately 40 to 50 mins.
Remove the garments and place them in a tumble dryer to dry for 30 to 40 mins. After removing it from the dryer it is given directly for ironing.
Nowadays, high speed dryers are used where garments are dried using hot steam flowing axially and radially inside the dryer, hence the process of drying the garments on the rope or hangers is eliminated. After ironing it is then packed for delivery.
6. Dry Cleaning Process:
Garments are sorted for Normal Wash and for dry cleaning. In dry cleaning, the stained portion of the garment is first identified and then it is treated separately with the special chemicals which are used differently for different stains and fabrics.
7. Wet Cleaning Process:
In this laundry process, harsh chemicals are not used, as it is used in dry cleaning. Water-based chemicals which are biodegradable are used in the Wet Cleaning process.
Chemicals used in dry cleaning are harsh and hazardous, that is why cloves are used to avoid direct contact and also these chemicals are not easily biodegradable, hence polluting the environment.
In many places, wet cleaning is replaced by the Dry Cleaning process.
The technique of using wet cleaning is the different washing cycle time, for different garments using hot water at a particular temperature as per the quality of the garment.
Dry temperatures and cycles are carefully set for different clothes. The Washer Extractors and the Tumble Dryers used for this process are pre-designed and are pre-programmed for a different quality of garments.
Proper training is provided for the operation of this equipment and the use of proper chemicals in these machines.
8. Types of Equipment used:
We have seen that the following machines and furniture are required.
A. Counter for weighing and tagging the
garments.
B. Trolley or Tub to collect the wet
clothes.
D. Tumble Dryer
E. Ironing Table
F. Sorting Table
G. Trolley for Wet garments.
In this washing process, there is a requirement for hot water in Washer-Extractor. In Tumble Dryer there is a requirement of hot air or hot dry steam for drying the garments.
Even ironing requires steam. This equipment is manufactured in different versions like Steam heated, Gas heated, Electrical Heated.
It depends on the user to select the type of heating element required as per the availability and the cost of operation. Because the heating element also plays a major role in deciding the operating cost of the Laundry Business and Dry Cleaners Business.
9. How to calculate the consumption:
Electrical Consumption:
Water Consumption:
10. How to calculate the Cost of Production:
The expenses incurred in this business are,
Electrical Charges.
Water charges.
Consumption of fuel is used in
generating heat.
Consumption of detergent.
Consumption of labor.
Consumption of packing charges.
Pickup and Delivery Charges.
Lease / Rent.
Cost incurred upon purchase of equipment.
Cost of Advertisement.
Add up all these expenses done in a month, say 2500 USD and the garments washed in a month is 15000 kgs then 2500/15000 = 0.166667 USD is the cost incurred to wash per Kg of the garments.
11. Tagging and Packing:
Different operators use different tagging processes as per their convenience and ease. Laundry Stamps, Markers, Stick on Fabric, Plastic Labels, Manual Tagging, etc.
In order to get the best out of your clothing and avoid any laundry disaster tagging is important. It helps the fast operation of the system and saves time and confusion.
12. How to Channelize Pickup and Delivery
As per the traditional system, laundrymen come to the door daily, collect the garments and return after 2 to 3 days after washing, drying iron and folding.
But now due to automation in this business sector, laundry collection boxes and lockers are kept at the security office or near the parking lot, in the residential or commercial complex.
One just has to drop the clothes into the lockers and the laundry-men get the intimation on the phone. Once all the lockers in the particular housing society or commercial area where it is placed are full, this delivery-man comes and collects the clothes.
Customers automatically get a notification on their mobile numbers that your clothes have been taken by laundrymen. After making online payments.
After washing is completed the clothes are placed at the respective lockers and the customer automatically gets the notifications on their mobiles that the clothes are ready and are placed at the locker.
Due to the smooth operation of this process, laundrymen started saving big time on pickup and delivery of clothes.
13. How to develop the Brand:
Branding is never made, it is formed. This is what I believe. If the product has a value in it one can sell it at a higher price.
Good product at a reasonable price is liked by the user and the branding of the product is done. Branding is the art of aligning what you think of your product or service.
A brand is created and influenced by the people. Branding is a Strategy designed and developed by the company to help people to quickly remember and identify their product by giving a proper reason to choose their product over the competitor.
The main reason for branding is to attract and retain loyal customers.
Keeping good quality standards, timely service, and fulfilling the commitment promised develops the brand value in the customer’s mind.
It's more of an emotional value than the price. Regular promotional activities have to be carried out near the business premises.
14. Marketing Strategies:
Digital marketing and social media marketing like Facebook and the WhatsApp campaign have to be run regularly.
SEO, PPC, email marketing, and content writing have to be done regularly. Digital marketing strategies are very cost-effective for small businesses, apart from cost-effectiveness there are further, more benefits of digital marketing.
Such that it is measurable that a wider audience can be reached since the marketer is directly engaged with the customers and they can be encouraged to take the desired action.
15. Franchisee Business Expansion:
Once the brand is developed in the market it becomes very easy to develop a franchisee business. Providing proper training to workers, marketing teams, and generating and forwarding leads to the franchisee.
Franchiser receives three types of income from the franchisee royalty income for using trade-mark (Brand), reimbursement for consultation on training and advisory services and percentage of the business done per month.
Further, in the next article, we will see how to take the calculated risk in developing the business module.
Starting a laundry and dry cleaning business can be a lucrative venture with the right approach and strategies. By following these steps, you can lay a strong foundation for your business and increase your chances of success.
Remember to conduct thorough market research, develop a comprehensive business plan, secure the necessary funding, acquire quality equipment, implement efficient processes, and prioritize customer satisfaction.
Additionally, staying updated with industry trends and embracing technological advancements can give your business a competitive edge.
With dedication, hard work, and a commitment to providing exceptional service, your laundry and dry cleaning business can flourish and become a trusted name in the industry.
So, take the leap, pursue your entrepreneurial dreams, and embark on a rewarding journey in the laundry and dry cleaning business.
How to Start Laundry Business Tags.
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