You've probably seen the videos. Some guy on social media is standing in front of a row of shiny chrome washers, claiming he makes $5,000 a week while he sleeps. It sounds like the ultimate passive income dream. But honestly? Most of those "gurus" leave out the part where a single industrial water heater costs as much as a used Honda Civic. If you’re wondering how much to start a coin laundry, you need to stop looking at the polished "lifestyle" version and start looking at the plumbing.
It’s expensive. Really expensive.
Most people get into the laundry game thinking they just need a lease and some machines. They’re wrong. You aren't just buying washers; you’re building a miniature utility plant. You are dealing with specialized drainage, high-capacity gas lines, and local impact fees that can make your eyes water.
The $200,000 to $500,000 Reality Check
Let's get the big number out of the way immediately. To open a standard-sized, 2,000-square-foot laundromat from scratch, you’re looking at an investment somewhere between $200,000 and $500,000.
I know. That's a massive range.
Why the gap? Because location matters, but infrastructure matters more. If you find a "second-generation" space—a place that used to be a laundromat—you might save $100,000 just because the holes are already in the floor and the gas pipes are already thick enough to power twenty dryers at once. If you're starting in a "vanilla shell" retail space that used to be a dry cleaner or a sandwich shop, you are paying for every single inch of copper piping.
Equipment is the anchor
You can't go to Home Depot for this. Residential machines will die in three months under the load of a commercial operation. You need industrial-grade equipment from brands like Speed Queen, Dexter, or Wascomat. A single 40-pound front-load washer can easily run you $5,000 to $8,000. A large 80-pound "monster" machine for king-sized comforters? That’s $15,000 or more.
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When you calculate how much to start a coin laundry, remember that a balanced shop usually needs about 20 to 30 washers and a matching number of dryer pockets.
Math time.
25 washers at an average of $6,000 each is $150,000.
Dryers are cheaper, but you need more of them.
Add in the change machines (those aren't cheap either), soap dispensers, and folding tables. You’ve spent $250,000 before you've even paid the first month's electric bill.
The "Invisible" Costs People Forget
Construction isn't just about paint and flooring. It’s about "impact fees." This is the sneaky part of the budget.
Many municipalities charge a "tap fee" or an "impact fee" for connecting to the city sewer and water lines. Because laundromats use a massive amount of water, cities view them as a heavy burden on the infrastructure. In some parts of California or Florida, these fees alone can be $20,000 to $50,000. Just for the right to flush the water.
Then there’s the "bulkhead."
That’s the technical term for the heavy-duty wall that holds the machines in place and hides all the plumbing. It has to be reinforced because 30 washers spinning at high RPMs create enough vibration to literally shake a building apart if they aren't bolted to a thick concrete slab. If the existing floor isn't 8 inches of reinforced concrete? You’re ripping it up and pouring new stuff.
What about the "Coin" in Coin Laundry?
Actually, the industry is moving away from quarters. Quarters are a headache. They get stuck, people steal them, and you have to haul 50-pound bags of metal to the bank every Tuesday. Most new owners are opting for card systems or mobile apps like PayRange or LaundryCard.
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This tech adds $10,000 to $20,000 to your startup cost.
But it’s worth it.
Why? Because you can change prices by a nickel during "Happy Hour" to encourage people to come in on a slow Tuesday morning. You can’t do that easily with physical coin slides.
Buying vs. Building: Which is Cheaper?
Buying an existing laundromat is almost always the smarter move for a beginner, but it's rarely "cheap."
When you buy an existing business, you aren't paying for the machines—you're paying for the "multiplier." Most laundromats sell for 3x to 5x their annual net profit. So, if a shop clears $50,000 a year after all expenses, the owner will likely ask for $200,000.
The catch?
The machines are probably old.
If you buy a shop for $200k and then realize the dryers are twenty years old and inefficient, you’re going to spend another $150k to replace them within two years. Suddenly, you’re back at that $350,000 total investment mark.
Brian Wallace, the president of the Coin Laundry Association (CLA), often points out that re-tooling an old store with new, energy-efficient machines can cut utility bills by 30%. In a business where water and gas are your biggest expenses, that 30% is the difference between "barely scraping by" and "actually making money."
Financing Your Washers
Hardly anyone writes a check for $400,000.
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Most owners use "captive financing." This means you get a loan directly from the equipment manufacturer. Speed Queen Financial or Dexter Financial Services specialize in this. They understand the business better than your local bank does. A local bank might look at a laundromat and see "risk." A manufacturer looks at it and sees "collateral."
Typically, you’ll need 20% to 30% down.
If your total project is $400,000, you need at least $80,000 to $120,000 in liquid cash to get the doors open.
Don't forget the "working capital." You need enough cash in the bank to pay the rent and utilities for the first six months while you build a customer base. If you open with zero dollars in your pocket, one broken water main will put you out of business before you've even processed a hundred loads.
Is it Actually Worth It?
The margins are weird.
It is a volume business. You are making money a few dollars at a time. But once the debt is paid off? It's a cash cow. The "passive" part is a bit of a myth, though. Unless you hire an attendant, you are the one cleaning out lint traps, mopping up spilled Tide, and dealing with the guy who tried to wash his oily shop rags and set a dryer on fire.
The real experts—the people who own five or ten stores—focus on "wash-dry-fold" services.
Self-service is the foundation, but full-service (where customers drop off laundry for $1.50 per pound) is where the real growth is in 2026. This requires labor, which changes the math on how much to start a coin laundry, because now you need a POS system, scales, and employees.
Immediate Next Steps for the Aspiring Owner
- Check the Zoning First: Before you fall in love with a retail space, call the city. Ask about "impact fees" for a laundromat. If they say it's $60,000, you might want to look at the next town over.
- Audit the Utilities: Look at the gas line. You need a high-pressure line (usually 2 inches or more). If the building only has a standard 1-inch line, the utility company might charge you $15,000 just to dig up the street and upgrade it.
- Join the CLA: The Coin Laundry Association is the gold standard for data. Don't rely on YouTube videos. Look at their industry reports for real-world cap rates and utility averages.
- Talk to an Equipment Distributor: Find a local distributor for a major brand. They often act as unofficial consultants because they want to sell you the machines. They can help you layout a floor plan and estimate your "turns per day" based on local demographics.
Stop thinking about the machines and start thinking about the pipes. The money is made in the infrastructure. If you can handle the high entry price and the "un-glamorous" nature of the work, a laundromat remains one of the most stable small business investments available, boasting a success rate much higher than restaurants or retail boutiques. Just make sure you have the stomach for the initial bill.
Actionable Insight: Start by scouting "zombie" laundromats—stores that are currently open but look terrible. These are your best opportunities. You can often buy the "bones" of the business for cheap, replace the equipment using manufacturer financing, and have a "new" store at a fraction of the cost of a ground-up build.