September 17, 2011 Leave a comment
Ever wonder why there are a lot of laundry shops sprouting like mushrooms in your neighborhood? There must be some reason that people are opting to put up this kind of business. Here are some of the advantages of a laundry business:
- Profitable – A laundry business is definitely profitable as some of the laundry shops even expand with a number of shops located in different locations. Just after 9 months to 1 year, a properly managed laundry business can have its Return of Investment (ROI).
- Low Capitalization Requirement – You can establish a laundry shop for less than P300,000 where business permits, processing, and your working capital is already included. You can opt to use your credit card to purchase your machines if you are on a limited start-up budget.
- Simple to Operate and Manage – The operations in a laundry shop is not rocket science. One can easily master the operations through a comprehensive one week training that some laundry consultants provide. Managing this kind of business, on the otherhand, doesn’t require special skills but you only need your common sense to dictate the operations and make your business successful.
- Low Operating Expenses – Since washing clothes doesn’t need too much special process, its operating expenses are not too high. The people that you can hire are at the same level of your helpers at home. You also do not need a big space to run laundry operations as the major operations are already performed by the machines.
- Large Demand – Laundry of clothing has always been a necessity for everyone. We all wear some clothes daily and we need to do our laundry at least once a week. Every family that you encounter is a potential market. Every household has its laundry. This is a guarantee that you will always have your portion of the market around the area of your shop.
- Cash Sale Basis – Cash is King! Most laundry shops cater the residential market and these people almost always pay their laundry in cash. With this, you can easily roll over your cash and will not require your business too much working capital.