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CHICAGO — The specter of ever-rising utility costs should be enough to spur the average laundry owner to track this expense and explore ways to minimize it.

In response to a series of questions from American Coin-Op, Gary Dixon, national sales manager for Huebsch, and Kent Walters, national sales manager for Maytag® Commercial Laundry, discuss the role that tracking energy usage and maximizing its effectiveness plays in a successful self-service laundry, and offered some important tips for corralling costs.

Often, the battle against rising utility costs starts with your equipment.

Q: What is the average life expectancy of today’s washers and dryers?

Dixon: Life expectancy will vary depending on machine usage, installation, preventive maintenance and other factors. However, it is not uncommon for laundry owners to get 12-15 years of life out of their machines.

Walters: The average life expectancy of today’s single- and multi-load washers is seven to 10 years. As a result of fewer moving parts, single- and multi-load dryers typically have a slightly longer life expectancy of 10 to 12 years. If washers or dryers are used more or less frequently, life expectancy fluctuates.

Q: How much impact can following a regular equipment maintenance schedule make in a store’s efficiency?

Walters: Store owners who want to maximize equipment performance must regularly perform proactive and preventive maintenance tasks. In washers, cleaning equipment and surrounding areas, tightening bolts that hold machines in place, and looking for leaks, checking belts, bearings, and seals for standard wear and tear, etc., are important. By performing regularly scheduled maintenance, store owners are less likely to incur a major breakdown, costing them additional money for parts and downtime. When maintaining dryers, it is critical to keep vents clean and make sure the dryers have enough make-up air.

Dixon: By following a recommended maintenance schedule, the laundry owner is ensuring that their equipment is operating at optimum efficiency. This translates to lower utility costs and keeps down time to a minimum. The result is happier customers and more profit.

Q: If a store’s energy efficiency begins to decline, where should the owner first look to make changes?

Dixon: The first place to look is in the washer-extractor control software. Are the water levels set where you wanted them? Is the water temperature different than where it was? Is the software notifying you of potential leaks?

Walters: If energy efficiency begins to decline, the first place a store owner should investigate is the dryers. Specifically, an owner needs to ensure all ventilation is free of lint, which can cut down on the amount of air getting to the dryer, as well as make-up air.

Q: Does water usage impact energy efficiency, and vice versa?

Walters: Yes, water is a big expense for store owners and using newer, low-water-use washers can save a lot of money in both water and sewage savings. High-spin-speed washer-extractors are necessary to maximize cleaning performance by spinning out additional water from laundry so dryers don’t have to work as hard to dry the load.

Dixon: It most certainly does. The amount of water in each bath and the number of baths in a cycle has a direct impact on water and sewer costs. Equipment designs that minimize wasted water below the wash cylinder will also have a favorable impact on water usage. Water-level adjustability is critical for optimizing water settings at a minimum level that is still acceptable to your customers.

Q: How can a store owner “train” their customers and attendants so their laundry’s energy efficiency is optimal?

Dixon: In any business, the culture and message that is communicated comes from the top down. If you are adamant with your employees about maximizing efficiency and provide a mission statement and guidance to them for realizing your goals, you will create the culture. This will, in turn, be communicated to your customers.

Walters: Having a trained attendant who can show the customers the proper way to use the equipment is always the best. Signage is another great way to train customers and attendants on use of machines, proper amount of detergent, operating instructions, etc. Signage should include simple-to-follow instructions located in easy-to-read places.

Q: Besides laundry equipment choice and usage, where are some other opportunities to shore up energy efficiency?

Walters: Store owners should obtain an energy analysis of the store through their local laundry equipment supplier to help determine areas that need improvement. In addition to equipment, owners should consider incorporating energy-efficient options, such as high-efficiency water heaters, T-8s, electronic ballasts, light sensors and task lighting.

Dixon: There are many variables that impact energy efficiency. Some things to consider: alternative sources for energy needs, type of water heaters, choice of lighting and fixtures, window tinting, the thermostat setting, and even landscaping are just a few things to look at.

Q: To whom may a store owner turn for assistance in improving their store’s energy efficiency?

Walters: Whether shopping for new equipment, looking to upgrade existing equipment, or needing some assistance related to a store’s laundry operations, it is important to connect with a reliable, established distributor for guidance. The best laundry distributors are those that have a long history in the business and have received positive reviews for the customer service they provide.

Dixon: The relationship a laundry owner has with their local distributor can pay dividends into the future. The local distributor is well versed in what is available from the equipment manufacturer. They also have an intimate knowledge of the area they serve.

Q: Do you have any other comments to add regarding energy efficiency in the self-service laundry?

Dixon: Over the past several years, many laundry owners have postponed upgrading their equipment to products that are more energy-efficient; this is certainly understandable. However, when the time comes and it makes good business sense to do so, it is important to not just look at the price of the products. It is also important to look at the cost of ownership of the equipment and energy efficiency is a major factor in this cost.

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EL DORADO HILLS, Calif. — Paradise Laundry is partnering with Recyclebank® to reward people for taking everyday green actions. Through the reward partner program, Paradise is giving away free laundry services.

A coin laundry uses water, natural gas and energy, so when Deborah Dower and her husband decided to open a Laundromat, she vowed to do whatever she could to help green the industry and preserve natural resources.

Recyclebank Account Manager Kevin Levy explains the concept. “It’s really pretty simple; once you have gone to our website and created an account, you select green actions you want to take—like pledging to use less energy, or recycling, or learning to live greener—and you get Recyclebank points for it.”

The points can be used for rewards at local and national retailers and online. In the case of Paradise Laundry, 50 reward points earns a $5 “wash club” card to be used toward wash, dry, or drop-off services.

Paradise Laundry opened its first coin store in Citrus Heights, Calif., in March 2010 and added a second in Roseville, Calif., last September. The company plans to add more “earth-friendly” locations in the future.

PEMBROKE, Mass. — Just like your business grows one customer at a time, so you improve your operation by implementing one little idea after another. In time, your business becomes a different entity. It is little changes over time that makes the difference. Here, then, are a number of little ideas I’ve seen in different Laundromats that aren’t generally used, or little ideas told to me by others, or even little ideas that popped into my head.

HANG A PURPLE NEON SIGN IN YOUR FRONT WINDOW

Nothing attracts attention quite like purple neon. The sign could say “Open 6 to Midnight” or “We Clean Your Clothes” or simply “Laundromat.” Passer-bys will take notice, and the identification could result in new customers.

PUT A SANDWICH BOARD ON YOUR FRONT SIDEWALK

Have it professionally made. Offer a feature or a service or a price break. Better yet, put a rail on the sides of your sandwich board so ads can be added and removed at will. People walking by will take notice. You never know when this might mean something.

ANNOUNCE THAT YOU OFFER HIGH-QUALITY EQUIPMENT

Whenever you purchase some new equipment, put up a sign in your front window that reads “New Washers/Dryers” and “State-of-the-Art Equipment.”

One of the most common complaints about Laundromats is malfunctioning equipment. Coins get stuck, machines stops working, dryers have no heat, and washers don’t rotate clothes, that sort of thing. So, if you can become known as an operator who keeps his equipment in fighting trim, replacing older models regularly, this will give you an advantage in the market. The front-window sign reinforces that impression.

PLACE A WOODEN BENCH OUT FRONT

Give your customers a comfortable place to sit while waiting for their laundry to finish. Who knows, maybe two strangers will strike up a conversation. Maybe even people will become…friends. Laugh if you will, but who among us has not walked into a Laundromat with the hope of meeting someone special and finding romance. It is possible in such an environment because it’s hard to put on airs when you are doing a mundane task. I submit that if self-service laundries could further this image, they’d boost their patronage by 50%.

But whatever, a long bench out front is a nice place to wait on a mild, sunny day.

SELL THREE SIZES OF LAUNDRY BAGS

Laundromats that don’t sell laundry bags are missing a sales opportunity. Most Laundromats sell only one size, but different families have different needs. So, sell three sizes—at different price ranges of, say, $6, $8 and $10—and win extra business.

OFFER A DEAL FOR WASH-DRY-FOLD SERVICE

Most “Laundromateurs” charge a per-pound price—say $1 per pound. The customer does 15 pounds and pays $15. But how about incentivizing the offer? The first 8 pounds will cost the customer $8, and each additional pound will cost 69 cents (with a minimum order of 8 pounds). That way, the customer feels he/she is getting a deal. The same 15-pound order will cost $12.83 (8 pounds X $1 + 7 pounds X 69 cents). You’re losing $2 on this sale, but you will gain more total business.

For one thing, the customer will be happy to save money (in his/her mind) and will give you more laundry in future orders (“after all, it’s only 69 cents a pound”). Customers who haven’t tried your wash-dry-fold service will say, “What the heck, I might as well use their service instead of wasting my time here.” The loss in unit-sale dollars will result in total greater revenue. That is always the way sales incentives work.

HANG A LARGE CLOCK IN YOUR STORE

Sure, most people have cell phones and can just look at their gadget of choice to see the time. But not all of your customers have them. Why not make it easier for everyone to know what time it is? It is just a service you should provide.

GIVE MACHINES NAMES, NOT NUMBERS

Some of you don’t assign any machine identity. Others number their machines. How about giving each machine a name? You could name them after celebrities: Clooney, Madonna, Eastwood. Or professional athletes: Manning, Woods, Ortiz. Or just funky names: Orville, Fritz, Miranda. It’s a whimsical touch that might bring a smile to the face of your customer who comes to you and says, “Miranda isn’t working.”

SELL A VALUE CARD

Offer $10 worth of laundry for $8. Giving the customer a break is always a good strategy. It makes the customer appreciate you that much more. When someone has a problem, they’ll be more forgiving. When a new Laundromat opens up that is closer, your customer will remain loyal to your store.

PAINT A MURAL ON YOUR EXTERIOR SIDE WALL

Have an exterior wall that’s just a white rectangle? Select an artist, who, for a moderate sum, will paint an interesting mural the length of the side. What subject? If you are located in an ethnic neighborhood, choose a scene depicting the “old country.” If in a dull commercial area, paint a group of smiling, larger-than-life faces. If the spirit moves you/the artist, a vivid abstract will do. The point of the effort is to draw attention to your building, and thus to your Laundromat.

You ever have someone call up and ask, “Where is your place?” If you do, all you have to say, “I’m the building with the water mural.” Plus, you become an arts supporter, and that’s something you can use to rope in the arts community as customers.

SET UP A GLASS DISPLAY OF YOUR MERCHANDISE FOR SALE

Include all the detergent products in their colorful boxes, along with stain stick products, laundry bags, and whatever else you peddle. With a display case attractively arranged, patrons will have a look. You never know what might happen. If you sell soap bars (as an add-on), they might buy. They might purchase a box of detergent for next time. If you have a Laundromat decal, they might purchase that. The first rule of retail sales is to make it attractive.

If any of these ideas float your boat, give them a try. Even better, give them all a try.

PLYMOUTH, Mass. — At Mayflower Laundry, located in a former shopping plaza, it’s all about providing good customer service, says owner Neil King.

“We take care of our customers, that’s number one. We have a clean place. We are open seven days a week, 6 to 10. There’s always an attendant on duty. We have the right mix of machines, to let customers do their laundry in a hurry if they want to. We offer personalized wash, dry and fold. We have pickup and drop-off to offer maximum convenience.”

As a result, Mayflower takes in $360,000 in revenue annually. The company earns a profit out of that volume by keeping a rein on expenses—doing 25% of its own repairs, holding down utilities to 20% of volume, and having no debt. It helps that the operation depends little on marketing, rather relying on word of mouth to generate most of its business. Finally, rent plus fees are a reasonable 11% of volume.

The 2,000-square-foot Laundromat has a transportation company and a health club as plaza neighbors. It is right off the main road and has unlimited parking. Inside, the facility is clean, spacious, with many individual workstations. A ceramic-tiled waiting room contains padded seats, magazines, as well as children’s toys. Framed paintings adorn some walls. A glass-walled office at the entrance is where management and staff do their paper work. This placement allows close monitoring.

Two 50-pound dryers and 36 30-pound dryers, all from American Dryer Corp. (ADC), are positioned along one wall. Mayflower’s washers, manufactured by either IPSO or Continental Girbau, include two 75-pound front loaders, eight 40-pound front loaders, five 25-pound front loaders, six 25-pound high-speed front loaders, two 40-pound high-speed front loaders, and two conventional top loaders.

Several vending machines, including a soft drink machine, a snack machine and gum machines, stand alongside the seating area. “I don’t make much out of the Coke machine, but I fill my snack unit by going to BJ’s (Wholesale Club) and I do OK,” King says.

1,800 WASH-DRY-FOLD POUNDS WEEKLY

Keeping the customers happy largely falls on the shoulders of King’s manager, Michelle Ligue. She and her staff of four part-timers are responsible for maintaining clean premises, solving customer problems, and keeping the flow of wash-dry-fold work going. The staff processes 1,800 pounds each week at $1.10/lb.

“I’ve been here 12 years and I know most of the customers,” Ligue says. “And I know 90% of wash-dry-fold customers’ phone numbers. It’s important to keep up with the work, including in-store customers, wash-dry-fold work, cleaning, and the paperwork.

“I train them [her staff] to have a system, do one customer at a time, plan ahead as to which machines to use. The worst thing is to confuse orders. For this to work, it’s necessary to be a multitasker, because a staffer might have four things needing attention at once. We each do our own customers’ wash-fold-and-dry work, so we make sure their stuff comes to them the way they want it.

“For instance, I have a woman customer who owns a lot of rental property. She color-codes everything. She is very particular about the folding. I make sure I give her exactly what she wants. It makes a difference in staffers’ take, for 75% of wash-dry-and-fold customers tip.”

As for hiring, Ligue doesn’t hire anyone too young. An applicant should have some previous laundry or hotel experience and must be used to doing physical work to be considered. Ligue says she can tell if a person is going to make it based on the first hour of training. She is not opposed to letting people go after a day.

EXPANDING ON PICKUP AND DELIVERY

King is doing pickup and delivery for eight customers and is in the process of expanding that business. “It’s good business because it is priced at $1.35 a pound, and it gives us more to work with,” he says. “The key is to keep the customers bunched together and to develop an efficient route of pickup and delivery.” He is placing a series of eight ads that will run in the newspapers of nearby wealthier communities to build up clientele.

“Price isn’t a problem,” says King. “Many prospects are two-career households and they want the convenience and are willing to pay for it. We even have customers come in here who have washers and dryers at home, but use us because they can do all their laundry in an hour and a half. We focus on convenience in this portion of our business.”

Mayflower also does a big business in comforters because the bedding is too big for conventional machines. Cleaning dry mops for municipalities is another specialty.

Having a clean facility is key to a self-service laundry’s success, according to King; he believes customers won’t use a dirty Laundromat. At Mayflower, there’s a cleaning checklist for every shift—morning, noon, and night. Dryer lint traps are cleaned three times a day, because the presence of lint inhibits air circulation and retards drying.

King attributes the ability to control expenses to having new equipment. “Our utility costs run 20% of volume, which is 5% less than industry average. Newer machines are highly efficient, three-phase machines. It also helps that all dryers are powered by gas.”

King motivates his staff by paying them 20% of the wash-dry-fold business that they do. This keeps them turning out good product. Finally, it helps that everything is owned. Mayflower operates with a $50,000 equity line of credit, but doesn’t owe a cent on the investment.

With the company well positioned in the Plymouth-Kingston-Duxbury market, King has no plans to open another operation. Instead, he wants to build up drop-off and pickup service and continue relying on his staff to run the enterprise. This way, he only has to spend a few hours a day at the laundry and can devote more time to his real estate and other business interests.

“It’s a good business because you don’t have to be there, and you can still make money,” King says.

BISMARCK, N.D. — Oil field clothes can tear up a washing machine. Several laundry businesses have had to close their doors to workers but others are building their businesses around the boom.

A sign on the door of King Koin Laundrette Car and Dog Wash at 2125 E. Thayer Ave. reads “Because of odor and residue problems, we no longer allow oil field clothes in this establishment.” Owner Mike Walsh hung it there about two years ago when damage to his washing machines and dryers became too much.

“We tried for about three years,” Walsh said. “Now we refer them to somebody else when they call ... It was just getting out of hand.”

A similar sign hangs at Interstate Laundry and Carwash at 1438 Interstate Loop. Customers can be charged for washing oily clothes at Boulevard Laundromat at 1310 E. Boulevard Ave. A new machine can cost as much as $10,000 and the upkeep became too high as more oil field workers made their way to Bismarck.

Walsh said the gloves the workers wear are saturated in oil and it was getting left behind in the washers.

“It wasn’t a good fit for us,” Walsh said. “We had to protect our other customers so when they bring their stuff in, they don’t get their stuff ruined.”

Walsh also is short on dryers. It can take as long as an hour and a lot of cleaning supplies to get one back in working order after oil field clothes have been in it.

“The dryers are the worst because it just bakes in there,” he said.

Soap and Suds Laundry Mat at 122 W. Bowen Ave. has opened its doors to the rig workers, though. Owner Louis Baltrusch thinks he is the only self-service Laundromat to allow oil field clothes in Bismarck.

“Why shouldn’t I work with them?” Baltrusch said.

It just takes a lot of soap to make it work.

“Before, guys would come in and use the top loaders and leave a mess behind,” he said.

Baltrusch now has three washing machines at the front of the Laundromat that he asks rig workers to use. He sees at least 30 to 40 workers each week.

“It’s really picked up the last couple years,” he said. “I’m going to have to get some more of them because they’re used so much.”

Interstate Laundry and Carwash used to have machines set aside for oily clothes too, but had to stop when the number of oil field customers increased.

Baltrusch watches for any workers as they come in the door to tell them which machines to use and what to do.

“If I see somebody coming in with a pretty dirty tote, it’s a pretty safe bet he’s a rig worker,” he said.

Baltrusch has oil field customers put two scoops soap to the washing machine in each of the first two rinse cycles. Then he has them take a towel and wipe it down when they’re finished.

“You could put in a white comforter right after and not have a problem,” he said.

Baltrusch said the water in the washer looks like mud during the first rinse cycle, but by the final cycle the water is clear. The oily clothes are then clean and don’t mess up his dryers.

Rig workers can drop off their oily clothes at Arrowhead Cleaners and Laundry Inc. at 1140 N. Third St. The company has two older machines that it uses. Turrito’s Dry Cleaners at 1041 E. Interstate Ave. and 1131 E. Main Ave. and Dakota Dry Cleaners at 820 E. Broadway Ave. do not take oil field clothes.

With very few places in Bismarck taking oil field laundry, many workers are dropping their clothes off in other towns on their way home and picking them up on their way back to work.

“I have a lot of guys call me and ask if I take oil field clothes,” said Melvin Pirkl, owner of Superior Laundry Cleaners in Dickinson, N.D. “They say we just came from Bismarck and they won’t let us.”

Pirkl said his business has more than doubled because of the oil boom. It really picked up for him about a year ago.

“I’m so busy, I don’t know which way to turn,” he said. “I have laundry bags sitting in front of me and I don’t know what to do first.”

Pirkl said he even comes in to work at night to try to get caught up. The biggest problem he faces is equipment damage due to overload.

(This article originally appeared in the Bismarck (N.D.) Tribune and is posted here by permission. You can find the original article here.)

PLAINVIEW, N.Y. — SummitParts.com has launched a new website intended to be a one-stop shop for the laundry industry, allowing customers to easily find the parts they need, the company reports.



The website features more than 100,000 washer and dryer machine parts, plus parts manuals, the distributor says. If a customer has trouble locating the part they need, they can call the company’s customer-service hot line manned by factory-trained specialists.



Another site feature is the Summit Bucks Rewards program, designed to provide ongoing savings for regular customers.



Summit Parts has been in business for more than 30 years.

CHICAGO — Phil Arvin and his two partners opened their first Maytag-equipped coin laundry in Memphis, Tenn., last March. The 5,000-square-foot attended store is equipped with new energy-efficient 60- and 80-pound washers that are much larger than those in competing stores and thus could command a higher vend price, Arvin says.

But the group followed the suggestions of distributor Justin Laundry and established prices that are comparable to the laundries nearby, Arvin says. “Even though we’re offering a much higher quality product, we didn’t want to be perceived as the higher priced place.”

This is just one example of how the market can influence a laundry’s pricing strategy. But other factors are at work, too, and there are some basic premises that the self-service laundry operator should keep in mind when establishing or changing vend prices.

Criteria for Setting Price?

Upon what criteria should a laundry owner base his or her wash and dry vend prices?

“It really comes down to two issues,” says Kevin Hietpas, vice president of sales and marketing for Dexter. “No. 1 is what’s happening to his costs. How have costs impacted the viability and profitability of his business? Owners should have a good sense of where their business is tracking from a performance standpoint.

“No. 2 is where is he competitively. None of us exist in a vacuum, so you want to understand, ‘I might want to get to a certain point, but as of right now the market won’t let me go there all at once.’ That’s a secondary concern, because I think if the owner is providing good value, it’ll be reflected in his costs. He’s not going overboard with what he’s charging, nor is he under pricing for his service.”

“We have a lot of ‘rules of thumb’ in this industry,” says Gary Gauthier, national sales manager, vended laundries, Milnor Laundry Systems. “When it comes to pricing, it’s typically recommended that gross monthly receipts from washer/dryer revenues should be at least four times the monthly rent and at least five times the monthly utility expenses.”

A store owner needs to be aware of and factor in the competition’s prices when determining his or her own washer and dryer pricing, says Kent Walters, national sales manager for Maytag/Whirlpool Commercial Laundry.

“The owner’s goal should be to produce the best experience for the customer from ambiance to equipment and services—and the costs associated with washing and drying play a large part in this equation,” Walters says.

How Do Your Front-Load Prices Compare?

American Coin-Op surveyed its e-mail subscribers about their November 2011 front-load vend prices — their lowest and highest, and whether the prices had changed since the previous November. Those polled were not asked to identify machine capacities.

Results from the anonymous, unscientific StatShot survey show the lowest and highest prices varied quite a bit among the four regions.

In the West, customers could get a front-load wash for as little as $1.50. The lowest-priced front-load washes ranged from $1.50 to $3.75. Nearly 88% of these prices were unchanged from November 2010. The remaining 12.5% of respondents had raised their lowest-price wash during the 12 months.

The price range for the most expensive front-load washes in the Western region was $2.75 to $7.89. Every respondent reported these prices were unchanged from a year earlier.

Low-end front-load prices in the South ranged from $1.75 to $4.25. Approximately 62% of respondents had kept the same low price since November 2010, and 31.6% had raised the price. Just 5.3% had lowered the price.

Southern customers faced the widest price range of all regions — $2 to $17.50. Nearly 58% of operators reported having raised their high-end price since November 2010, and the remainder were unchanged.

In the Northeast, the most inexpensive front-load prices were $1.50 to $5.50. Just 6.7% of operators had raised their prices in the previous 12 months, while the remainder had kept the prices unchanged.

When it came to the most expensive wash, Northeastern customers were paying $2.25 to $8 in November. Approximately 21% of respondents had raised this price compared to November 2010, while the remainder had stood pat.

The most inexpensive front-load prices in the Midwest ranged from $1 to $4.50. Just 5.9% of operators had raised their prices since November 2010, while another 5.9% had lowered them. The remainder had kept prices unchanged.

On the high side of front-load prices, Midwestern customers faced a range of $2.50 to $8.79 in November. Some 12% of respondents had increased prices, with the remainder keeping the status quo.

Tuesday: Should you announce a price change?

FALL RIVER, Mass. — American Dryer Corp., which has manufactured dryers for the commercial coin-operated, on-premise and industrial laundry markets for nearly 50 years, has officially entered the commercial washer market, the company announced.

“We now offer the same quality you expect from ADC in energy-efficient washer-extractors,” says Joe Bazzinotti, the company’s president and CEO. “After nearly five decades of providing superior drying solutions, it simply felt like the right time to offer a companion for them—EcoWash is just that.

“At ADC, we want to be able to provide the same quality and innovation in a complete package.”

ADC designed and tested its EcoWash units to ensure the best quality and key features to meet even the toughest demands, the company says. Simple controls and a selection of rigid-mount (90-200 G-force) and freestanding, high-spin units (350 G-force) can match a laundry specific’s needs.

CHICAGO — Self-service laundry sales rose in the West, Midwest and Northeast in December, while Southern operators saw sales drop for a second straight month, according to the most recent AmericanCoinOp.com unscientific StatShot survey.

The Northeast saw the biggest month-over-month sales increase (compared to December 2010) of 8.4%. The Midwest and West each posted 4.4% increases. The South was down 6.5%, after having been down 0.7% the previous month.

One Western operator raised prices 10%, with turns per day unchanged. Wash-dry-fold sales were up 26%. “I have only laundries in county of 30,000. I think WDF (is) up because of subcontractors here for restart of copper mines.”

“Construction in the area has brought in out-of-state workers with drop-off laundry” amid an improving economy, a Midwestern operator reports.

Respondents were also asked about their 2011 fourth-quarter sales (compared to 2010 fourth-quarter sales).

Fourth-quarter sales rose 7.4% in the Northeast, 4.5% in the West, and 3.7% in the Midwest. Southern operators experienced a 7.1% decrease in the final quarter of 2011.

“(We) used coupons more this year, and less snow meant less days closed to weather,” says one Midwestern operator who also reported increased theft of laundry carts, presumably for metal scrap value.

“My sales were up, I believe, because first we expanded and added another 15 washers and 20 dryers, and we got a better mechanic to fix our machines so we have way less ‘out of orders’ than before,” reports a Western operator.

A Southern operator reported having a record quarter for wash-dry-fold business, up more than 30% from the previous best quarter.

AmericanCoinOp.com’s StatShot includes information on sales, wages, costs or other financial data based on anonymous survey information provided by industry owners and operators.

Audience members are invited to participate in these unscientific surveys, which are conducted online via a partner website, on a regular basis. Self-service laundry operators are encouraged to participate, as a greater number of responses will help to better define industry trends.

INWOOD, N.Y. — Laundrylux, distributor of Electrolux and Wascomat laundry equipment, has promoted Robert Hinojosa to regional business manager, coin, for its Northeast Territory.

“Robert is a great asset to our company,” says Laundrylux President Howard Herman. “He started out in Inside Sales about four years ago and has steadily taken on additional work and responsibilities. Robert served as an interim RBM for the West Coast over the past year and did a super job.”

Hinojosa was born and raised in San Antonio, Texas, where his father and grandfather were partners in multiple coin stores. “Needless to say, I spent many weekends with my father keeping the stores clean and maintaining machines,” he says.

After college, Hinojosa’s grandfather, a long-time Wascomat distributor, asked him if he would like to work for his company selling Wascomat equipment. Hinojosa says the first-hand experience gave him great insight into the distribution business.

“Robert joined Laundrylux with the goal of becoming a regional (business manager), and he worked very hard to achieve that goal,” says Laundrylux COO John Sabino. “When this new opportunity arose, we knew the timing was right and (that) Robert was the man for the job. His knowledge of financing, new store development, and products has continued to grow, and we are confident he will be a great asset to the Wascomat and Electrolux coin distributors in the Northeast region.”

PEMBROKE, Mass. — Tax time is here again. You know the drill. You gather up all your paperwork, ledgers, computer reports, and the like, and drop them off at your accountant. A few weeks later, he calls, telling you to make checks out for so much in federal taxes and so much in state taxes. You’re finished for another year.

How about trying a different approach this year? Become proactive about your taxes; don’t just let the accountant do them. Try to learn from the process. In fact, suggest possible deductions. Your accountant might be a longtime family friend who has stuck by you through thick and thin, but no one cares as much as you do.

Here are a few suggestions for tax time:

File your taxes in a timely fashion. Be honest and above board. Call all inflows revenue and all expenses outflows. To do this accurately means keeping up with paperwork and maintaining the company books in a systematic fashion.

Get the payroll taxes filed, keep up with quarterlies, and turn in your personal tax return by April 15.

Pay estimates in a timely fashion. Estimates are due on April 15, June 15, Sept. 15 and Jan. 15. Estimate your annual tax liability, and pay estimates in four equal sums, both federal and state. If you don’t pay estimates on time to cover your annual profits, you will be assessed a penalty.

But the penalty is only the beginning of your problems. With this tendency to be late, you’ll probably struggle to comply with your obligation. For instance, the end of the year is coming, and you’re in a tough cash-flow squeeze, so you don’t put in the last estimates. This begins a vicious cycle of always trying to catch up. Don’t fall into that bottomless hole.

Include all mileage driven in connection with work. That includes visits to other Laundromats, trips to vendors, explorations of other markets, and even rental car costs in distant places if it is used to parse the Laundromat situation there.

Volunteer miles driven become business miles. For instance, say you conduct a free cleaning for a charity drive. All related activities are fully deductible. Pickups and drop-offs count as business miles instead of volunteer miles, because the activity helps your company’s image.

Professional subscriptions and association dues are legitimate deductions. For example, if you take several fellow association members out to dinner and you discuss your companies, you could take that expense. If you host an association party, all related costs are deductible.

Expense books purchased that help with work. For example, if you buy business or psychology books to understand employees, these are legit expenses.

Count the cost of any experiment to improve or try new processes. This might include cost of chemicals and equipment for testing out new cleaning agents.

Deduct total expenses of conventions and workshops. All charges related to your attendance at an event—flight, hotel, car rental, meals—are included. If your wife attends, her individual expenses cannot be included. But the charges common to both of you, such as lodging, can be.

If you use the Internet for research, take a portion of the monthly fee.

The costs of all education programs and workshops are real expenses.

Any payment made to your young children for working in your laundry is a deduction. Now you can employ your young children and expense their incomes. While it’s a deduction for you, they will probably not pay any taxes because their incomes fall under $3,700, the individual exemption amount.

The cost of gifts given to individuals who helped you with your business is a marketing expense. For instance, if someone gave you a lead, and it results in a new client, any giving to that individual is a valid deduction.

If you buy art and rotate it periodically in the laundry, you are entitled to expense the purchase.

If you have a space where you do administrative work regularly and exclusively at home, you can take a home office deduction. You can deduct a portion of your mortgage interest, property taxes, house insurance, maintenance, repairs, and depreciation. The portion is that square foot percentage that you use for the office plus any space you store material versus the total square footage of your home.

By regular and exclusive, you don’t have to do the work there all the time, but when you do the activity, you do it there, and you don’t do anything else there. In other words, that space is set aside for you to work at home. You might have an office in your store, but that doesn’t negate the possibility of taking a home office expense.

Many “Laundromateurs” stay clear of home offices. They don’t like the sound of the phrase, perhaps harkening back to the days when a home office would send up a red flag. But those days are long gone. With more and more people working from home, the practice has become an accepted part of the business landscape. Additionally, a home office is often a significant expense, particularly if the business owner has a sizeable house and a large mortgage. A home office could easily become a $2,000 or $3,000 deduction.

Use the time with your accountant to learn something. Examine your tax return and come back with questions before filing. Some changes might benefit you.

• Why do we have so much depreciation?
• What do the figures represent?
• What is special depreciation?
• Why did my cost of utilities go from 23% to 26%?
• Is my wash, dry and fold business profitable?
• Am I paying out too much to settle customer complaints?
• Which machines need replacing?
• Were my marketing efforts effective?
• If I made X profits, where is it?
• How could I make more money next year?

Make your accountant a business partner. After all, he or she is involved in many ventures as an accountant, and might be an investor or business owner. He or she could give you good advice, much like a consultant can.

Make the next tax season really count for you.

CHICAGO — Self-service laundry sales were a mixed bag in November, with two regions reporting increases and the other two lamenting drops, according to the most recent AmericanCoinOp.com unscientific StatShot survey.

November sales in the Northeast were up 5.3%. Fifty-three percent of the operators experienced an increase in sales, most of them double-digit increases.

Sales rose 1.4% in the West, where about half of the operators had increases.

In the South, sales fell 0.7%. Operators reported having been impacted by increasing utility costs, a recently passed immigration law, layoffs among NASA clientele, and bans on the local fishing trade.

The Midwest saw the country’s biggest sales decline, 2.2%, for November. “Still very flat here in Michigan. People put more in each load and come in less often,” says one operator.

“The market is pretty bad,” adds another. “Most self serves are starting to move into the commercial sector to stay afloat.”

Respondents were also asked about November 2011 front-loader prices — their lowest prices, highest prices, and whether the prices had changed since the previous November. The lowest and highest prices varied quite a bit.

In the West, customers can get a front-load wash for as little as $1.50. The lowest-priced front-load washes range from $1.50 to $3.75. Nearly 88% of these prices were unchanged from November 2010. The remaining 12.5% of respondents have raised their lowest-price wash in the last year.

The price range for the most expensive front-load washes in the Western region is $2.75 to $7.89. Every respondent reported these prices were unchanged from a year earlier.

Low-end front-load prices in the South range from $1.75 to $4.25. Approximately 62% of respondents have kept the same low price since November 2010, and 31.6% have raised the price. Just 5.3% have lowered the price.

Southern customers face the widest price range of all regions — $2 to $17.50. Nearly 58% of operators reported having raised their high-end price since November 2010, and the remainder were unchanged.

In the Northeast, the most inexpensive front-load prices are $1.50 to $5.50. Just 6.7% of operators have raised their prices in the last year, while the remainder has kept the prices unchanged.

When it comes to the most expensive wash, Northeastern customers are paying $2.25 to $8. Approximately 21% have raised this price compared to November 2010, while the remainder has stood pat.

The most inexpensive front-load prices in the Midwest range from $1 to $4.50. Just 5.9% of operators have raised their prices in the last year, while another 5.9% have lowered them. The remainder has kept prices unchanged.

When it comes to the high side of front-load prices, Midwestern customers face a range of $2.50 to $8.79. Some 12% of respondents have increased prices, with the remainder keeping the status quo.

AmericanCoinOp.com’s StatShot includes information on sales, wages, costs or other financial data based on anonymous survey information provided by industry owners and operators.

Audience members are invited to participate in these unscientific surveys, which are conducted online via a partner website, on a regular basis. Self-service laundry operators are encouraged to participate, as a greater number of responses will help to better define industry trends.

Click the “Subscriptions” button at the top right-hand corner of this page and follow the instructions to sign up for the free e-mail service.