How To Start A Lucrative Laundry Service Business In Nigeria
The current world population sits at roughly over 7.5 billion people. The bulk of these individuals (about 1 billion of them) are already a major part of the worldwide work force, and so, have lesser time during the day to carry out all their domestic activities. While these could range from doing the dishes to cooking, cleaning their homes, and several others, a peculiar business opportunity was discovered, and has gone on to become a billion dollar industry today.
This is the laundry service business.
Almost everyone loves the feeling of wearing neatly washed and ironed clothes. They appreciate the ambience they gain from it, but are mostly too lazy to do their laundry. The busy schedules of this sect working a 9 to 5 daily, keeps them engrossed and away from their basic tasks; like doing the laundry.
On the weekends when they’re finally supposed to have enough time to do all they can, they only end up cleaning their homes and heading out to chill with friends, while just a few really take out time to wash their dirty clothes.
This large group of lazy individuals in Nigeria, Africa, and every other place around the world have made the laundry service business a lucrative one to venture into, since the market is always available and vastly abundant.
What Is The Laundry Service Business About?
The laundry service business is the professional washing of clothes and linens for a community, through the use of washing machines or other traditional means like washing with hands. This service usually comes at fee, after which the individual may pick up the clothing from the dry cleaner when a certain number of days have elapsed.
Business Opportunities In The Laundry Service Business Around The World
1). Dry Cleaning:
This being one of the most obvious domestic problems is the key revenue spinner in the laundry service business industry. Since a great number of people in every locality want to dry clean their items at their convenience, the business sector continues to flourish.
2). Ironing Clothes:
While dry cleaning also involves ironing the clothing after the final wash, some individuals literally bring in their rumpled clothing just to have them ironed. This creates a less stressful revenue stream for a dry cleaner since they only have to focus on just straightening the item.
They can charge as low as 100 Naira per clothing ironed and if they dropped off 10, it results to 1,000 Naira. This model can cause a dry cleaner to make as much as 100,000 Naira extra monthly, from just ironing clothes for people.
Benefits Of The Laundry Service Business
1). It’s affordable to use a dry cleaner.
2). Your laundry gets done quickly.
3). The service is all about convenience.
4). It’s affordable to set up.
5). Professional results get delivered.
6). Improves the personal hygiene of the customer.
7). Protects the quality of the clothes.
Facts About The Laundry Service Business
1). The prices are based on the cost of doing business.
2). Not all stains can be removed.
3). Damage to clothing happens a lot.
4). Dry cleaned clothes last longer than hand washed clothes.
5). Clothing can shrink.
The Different Types Of The Laundry Service Business
A laundromat is a self-service laundry business where customers can wash and dry their clothes in the washing machines themselves, fully operated by a coin. It is also called coin laundry, coin wash, launderettes, or wash-a-teria, and is popular in Europe and America.
2). Staffed Laundries:
Here, the laundry service businesses employ staffs to provide the dry cleaning service to the customers. The staffs could either sit over the counter to sell detergents, offer change, monitor to ensure clothes don’t get stolen, and sometimes, accept to do the laundry on behalf of the customers. This laundry service is popular in the United States and the United Kingdom.
3). Fluff n Fold Services:
This is the most popular type of laundry service in Africa, especially Nigeria. Here, the laundry business accepts the drop-off of clothing from the customers and provides them a wash, dry, ironing, and folding service. Some even offer a pick up and delivery service. This service is also known as the Wash-n-Fold, Drop Off, Bachelor Bundles, or a Full-Service Wash.
Setting Up Your Laundry Service Business
1). Register The Business And Get The Necessary Permits:
Running a dry cleaning business in many places around the world requires you get a special kind of permit. In America, it is highly regulated, but in countries like Nigeria, it’s an entirely easy set up. After you’ve verified and obtained whatever permit you need to run your laundry service business, you can then go ahead to setup the location.
2). Select A Good Location:
Picking the right location for a dry cleaning business is highly crucial to its success. The best locations are usually highly trafficked areas. By situating your dry cleaner beside a road motorists ply a lot, with a bold sign board advertising your service, your client base would grow quicker than that of a dry cleaner in a quiet neighbourhood.
Another place to choose a location is within a private estate, but close to the relaxation spots. The regular influx of people in those areas would get them to notice your business faster and so, grow your patronage.
3). Purchase The Dry Cleaning Equipments And Resources:
After selecting a great location to setup your dry cleaning business, you should acquire all the equipments that’d help make your business services efficient. Some of these include:
- Washing machines.
- A washing basin to separate and soak different materials and colours of clothing.
- A generator set to power your laundry business incase of an electricity outage.
- A garment conveyor to hang the finished clothes.
- An ironing table to straighten and fold the dried clothes with an industrial steam iron.
- Laundry detergents specifically used by dry cleaners.
- A water storage or tank.
- Wooden shelves.
- Clothe hangers.
- Two employees.
And a whole lot more.
4). Market Or Promote Your Laundry Service Business:
After you’ve fully setup your laundry service business, you can proceed to promote it by doing some of the following:
- Putting up a large banner outside your dry cleaner
- Sharing flyers in the surrounding neighbourhoods.
- Promoting the business during social events organised in your locality.
- Branding a vehicle to be used in a pick-up & drop-off service.
- Offer some free services.
- Price your items fairly.
- Go the extra mile in your customer service.
A Short Feasibility Study On The Laundry Service Business
Initial Start-up Capital (Naira Value)
Business Registration = ₦35,000
Rent = ₦300,000 a year (this rent value is for a modest neighbourhood with a lot of people)
Total Equipment Costs = ₦120,000 (This assumes you’re only purchasing one washing machine and using other basic items).
TOTAL = ₦455,000
Expected Income (Naira Value)
Cost of dry cleaning each item = ₦350 (This price varies as suits, bed sheets, white clothing, curtains, and several other items have different prices).
Average number of clothing an individual usually brings in at a time = 12
Average number of daily customers = 14.
14 customers x 12 clothes = 288.
168 x ₦350 = ₦58,800.
This daily revenue calculation is based on the assumption that the business has already built a modest customer base and is at least 6 months old in a trafficked environment.
Challenges Of The Laundry Service Business
1). Clothes occasionally go missing.
2). Some clothes get burnt.
3). Poor electricity supply.
4). Lack of of highly trained staffs.
5). Short delivery times.
6). Clothes can sometimes go from dirty to bad.
7). Accessibility to clean water.
8). Building a reliable client base.
9). Absence of sunlight on Rainy Days.
The laundry service business being one of the largest small business industries with a vast customer base, has overtime proven to be a highly profitable bet for new and existing entrepreneurs. With a good location, highly skilled workers, and an exceptional customer service, you can grow a successful laundry service business in one year.
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