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How to Start a Laundry Business

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There are different laundry businesses that one can start in the Philippines. The
choice of laundry business will largely depend on how much money you want to invest
and the extent of involvement you want in the business. The profitability of the
business is dependent on the operational expenses, which include the cost of rent,
supplies, wages and utilities. It is important to select the right equipment and get the
required permits and licenses before you start.

Select a Business Type

Research the type of laundry business that best suits your needs. The types include
dry cleaning business, home based laundry, coin operated laundry and laundry shop.
You could also buy an existing business and improve it. The average cost of starting a
franchise is Php 200,000 to Php 400,000, depending on the franchise you choose. A
popular franchise in the Philippines is Nothing but Laundry. The advantage of a
franchise is that it is a low-risk investment option with established name recognition,
management assistance and a proven system of operation. An independent business
gives you the advantage of running your laundry business as you choose. You can
easily find laundry shops for sale in Philippines, especially on Sulit. Prices range from
Php. 150,000 to Php. 400,000.

Find a Location
For a coin-operated laundry, you will need to find a strategic location. For a laundry
shop and dry-cleaning business, you will need a retail location. It is important that the
shop be able to accommodate all the laundry equipment you will need. This will take
space of approximately 1,500 to 5,000 square feet. A coin-operated laundry requires
at least 100 square feet.

For a home-based laundry, find adequate space where you will be able to place
washed and unwashed clothes and the washing machine. Some of the areas to find
space for your laundry business include major shopping malls such as Robinsons Mall
and Eastwood Mall or in metropolitan areas such as Manila.
Purchase Equipment
The type of equipment you need varies according to the laundry business you are
operating. For a home-based business, find a washing extractor that washes and dries
clothes. For a laundry shop, get washers, dryers, ironing tables, dry cleaning
machines, credit card machines and a cash register. For a coin-operated laundry, two
of the best places online to find coin-operated machines are Sulit and eBay. The
average price of a coin-operated machine is Php. 100,000. Also find suppliers for
detergents. Avoid using brand-named retail detergents and look for commercial ones.

Get Licensed
You will need the required license for your business. Register with the Department of
Trade and Industry (DTI) if you are running a sole proprietorship or the Securities and
Exchange Commission for a partnership. You also need to register with the Bureau of
Internal Revenue (BIR) for a business identification taxpayer number. Also register
with the Department of Labor and Employment if you will have more than five
employees. Register with Social Security System and Philippine Health Insurance
Corp. for you and your employees. If you are opening a franchise, the franchise will
look after the business registration on your behalf and allow you to use its trade name.

Hire Employees
For a home-based laundry, you may not need to hire employees. Start your business
alone and grow from there. You will need to hire employees for a dry-cleaning and
laundry shop. The best place to advertise for laundry store employees would be online
on Sulit.

Advertise Services
Market your services through word of mouth, handing out flyers and coupons, and
advertising on Sulit. You can distribute flyers door-to-door in local neighborhoods, and
in local hotels and motels, offering promotional discounts. also works well for a laundry
business Philippines. You may wish to attend training seminars which are provided to
help potential business owners set up laundry shops in the Philippines and network
with potential partners while exposing your brand name.

A laundry business can be a simple and profitable business to start. There are many
types of laundry businesses, including home-based and dry cleaning franchises.
Knowing how to start a laundry business begins with choosing the right one for you.
 Decide what kind of laundry business you want to start. Options range from a home-
based laundry business to a coin-operated laundromat to a dry cleaning business.
Factors that will influence your decision include how much money you have to invest
and how involved you want to be in the work of the business.

Find a location. If you plan to offer laundry and ironing services from home, your
decision is easy. For a dry cleaning business, you'll need a retail location. A
laundromat will require a building that can house washers, dryers and folding tables.

Buy any necessary equipment. This might include washers, dryers, folding tables, dry
cleaning equipment, coin changer, cash registers and credit card machines.

Hire employees. Dry cleaners and laundromats may require you to hire help. A home-
based laundry business is something you could do yourself.

Market your services. Dry cleaners often offer coupons, which are a good way to get
the word out about your laundry business. A home-based laundry business can use
low-cost flyers, advertise on Craigslist and encourage word of mouth. For a
laundromat, good signage is critical to let people know where you are.

Tips

 For larger businesses, especially those requiring large investments, consult

with an attorney about the right legal setup.

Make sure to investigate what kind of businesses licenses or permits you need
through your local government licensing office.