Hi I have a owner of a coin laundry shop willing to negotiate seller financing but I’m new and have no idea what I’m doing would be open to a partnership if someone is willing to help me with the process
Real Estate Agent · Fullerton, CA · Member since 2016 · 140 posts · 103 votes
3y
I run Laundromat Resource. There's a free course on the website you can take. It's 3 lessons and the last two lessons will teach you how to value the laundromat by getting 4 numbers from the owner and how to verify the numbers of the laundromat. I think that will help you out. You can skip the first lesson (how to find a good deal).
Investor · Hyattsville, MD · Member since 2012 · 822 posts · 441 votes
3y
looks like they are selling you the business but not the real estate. it looks to be a multi tenant strip mall type property. Did you ask what the rent is and sq footage? a big problem with coin laundry where you rent is you are at the mercy of the landlord and remaining lease terms. So you'll have owner finance terms+ lease payment terms from the landlord + utilities + attendant/staffing costs. That's alot of costs going on. If they have 2 years remaining on their 5 year least then you could buy a business, then have the landlord not renew the lease and you still are responsible for your note terms. All that to say that there are alot of risks where you can have a hard time keeping your business (hard to move laundry appliances and utilities) and its a maturing market so there are fewer buildings being built without laundry included anymore. Also rent can go up making it hard for you to profit no matter how well you run your business. So you need to lock in Low rent at or under $12/sq foot if you want to survive in the coin laundry world. What is the average age of the machines in the business? A set of new machines can easily run you 300-400k if these are all end of life. Then you have to add machine payments on top of above. Just letting you know there are lots of hidden risks involved.
Real Estate Agent · Fullerton, CA · Member since 2016 · 140 posts · 103 votes
3y
I run Laundromat Resource. There's a free course on the website you can take. It's 3 lessons and the last two lessons will teach you how to value the laundromat by getting 4 numbers from the owner and how to verify the numbers of the laundromat. I think that will help you out. You can skip the first lesson (how to find a good deal).
Hi I have a owner of a coin laundry shop willing to negotiate seller financing but I’m new and have no idea what I’m doing would be open to a partnership if someone is willing to help me with the process
If this or any other deals available, where there’s a laundromat or car wash with seller Financing I’m very interested.