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May 15, 2012

OMAHA, Neb. — Great opportunity for unveiling fresh look at your store

OMAHA, Neb. — Have you recently upgraded your washers or dryers, changed your services or finished a retool? If the answer is yes, a grand reopening should be in your future.

A grand reopening is a great opportunity for your current and new customers to get a fresh look at your store. Although a small financial investment is required, the return can be significant for both you and your customers.

Timing

The event should be held to celebrate new machines in your store. If you’ve recently replaced all of your washers, for example, an event to highlight this shows customers your commitment to both the store and their business.

To really show off your store, make sure everything is in place. When hosting a grand reopening, you should take the time to paint the walls, wax the floor, replace stained ceiling tiles, and add new signage. Although not all of those fixes may be necessary, an event is a great time to evaluate the condition of the store. Customers assume you have functioning equipment, but the difference between your store and the one down the street lies in the details.

Now that you know what qualifies as an appropriate time to have a grand reopening, when should you actually host the event?

Although weekends are most likely your busiest period of the week, they still provide the best time for your event. More people can attend then than during the week, and it shows that you, as an owner, want to thank them for their business during a convenient time.

Market the Event

To draw the most traffic to your event, a little marketing is needed. Direct-mail pieces, flyers, or door hangers are always good options.

Also, consider community newspapers and local radio stations as a means to reach clientele.

Social media sites are another place to publicize your event. If your store currently has Facebook, Twitter or other social media accounts, make sure to promote the event through these channels. You can also offer an incentive to customers who check in to your event on Facebook Places or Foursquare.

Word-of-mouth advertising is the most flattering form of marketing. Make sure to tell current customers about the event and its highlights. They can tell their friends and family, who could wind up using your store’s services.

Activities and Promotions

If you had a grand opening, many of the events that happen during the grand reopening will be similar. When it comes to the activities offered, make sure you’re aware of your demographics.

An idea that I’ve seen work extremely well in the past is reaching out to a local radio station that resonates with your target consumer. If you have a significant Hispanic population, for example, the Hispanic radio station may be willing to broadcast from your store. The presence of the radio station will attract your primary target audience.

It’s important to plan family events as those customers bring in the biggest loads. For example, project a movie on the side of the building and create a drive-in atmosphere. This shows that you’re in tune with their needs.

Offering food at your event is essential. It can be something as simple as having a barbecue with hot dogs and hamburgers, which shows your customers that you appreciate their business—building loyalty in the process.

Promotions going on during your event draw new customers into the store. They should coincide with the machines you just replaced. For example, if you just had all new dryers installed, you may want to offer free dry time. If you’ve replaced washers, offer half off certain wash cycles. Either way, provide an incentive for customers to use the machines and become familiar with them.

You may also want to offer some sort of giveaway—especially if it ties into your new machines. For example, if you recently replaced your top loaders with front loaders, you may offer your customers a sample of high-efficiency soap. This will help them become familiar with your product, keeping them coming back regularly.

Making the Impact Last

During your event, it’s important to connect with your attendees and build a relationship that makes them become repeat customers.

In order to make a new customer a regular, you should make sure to promote your weekly specials at the event. If you offer dollar-off washes on Tuesdays and Thursdays, let your attendees know that through handouts and by word of mouth. Make sure to print materials in both English and the language spoken by most of your customers. This ensures that customers will not only understand your message, but it will help them feel welcomed at your store.

Store owners should aim for a 25-30% increase in customers following the event. Have a sign-up sheet for promotions at your event to help keep customers coming back. This can be hard to measure, but it’s not impossible.

Tapping Your Distributor for Help

If having an event at your store seems overwhelming, or if you just would like extra guidance, contact your distributor. They have been a part of events like this in the past and can offer best practices that they have found to be successful in your area.

On-Going Customer Marketing

Even after the grand reopening, you must continue to attract new customers and retain the ones you have. Try to connect with your customers every month by offering a promotion to show that you value their business.

With proper planning and execution, a grand reopening is the perfect opportunity to show how your laundry fits into the community and can help you grow your business in the process.

May 10, 2012

CHICAGO — Greatest strengths: maintenance, customer service, management skills

CHICAGO — The vast majority of coin laundry owners who responded to this month’s AmericanCoinOp.com Wire survey believe they’re pretty handy at doing their own maintenance.

Equal shares of 44% rate their maintenance skills as “better than most owners” or “no better or worse that other owners.” Only 8% rate their skills as “not as good as most owners,” and the remaining 4% don’t do any maintenance work.

As far as customer service, 52% say they get along great with their customers. Twenty-eight percent rate their customer service skills as no better or worse than other owners, and 16% rate their skills as better than most owners.

How are you at crunching numbers, or making daily decisions? From the Wiresurvey, 52% rate their basic management skills as better than most owners, and 32% rate themselves as no better or worse than other owners. “Outstanding” is how 16% rate their skills. No one who took the survey believes their basic management skills aren’t as good as most owners.

What’s your greatest strength related to your coin laundry? For 36% of respondents, it’s their maintenance skills. Twenty-eight percent say it’s customer service. Management is the greatest strength of 20%. Small percentages say it’s marketing (8%) or delegating (4%). The remaining 4% aren’t sure what their greatest strength is.

While the Wiresurvey presents a snapshot of readers’ viewpoints at a particular moment, it should not be considered scientific.

Subscribers to Wiree-mails—distributed twice weekly—are invited to take the industry survey anonymously online each month. All self-service laundry owners and operators are encouraged to participate, as a greater number of responses will help to better define operator opinions and industry trends.

To sign up for the Wire, click the “Subscriptions” button at the top right-hand corner of this page and follow the instructions.

May 8, 2012

FRANKFURT, Germany — IPSO “builds” working vended laundry at Texcare trade show

FRANKFURT, Germany — IPSO is showcasing a fully operational vended laundry at Texcare International 2012. Visitors to the booth are able to see how the machines process clothing and linens and how advanced controls help owners increase energy efficiencies.

Vended laundry offers a high return on investment, little or no employee overhead and a relatively small initial investment, according to IPSO, making it an excellent business investment for any entrepreneur. And a vended laundry can be customized to accommodate almost any cultural and geographic factors, the company adds.

The display includes eight of IPSO’s new HD softmount washer-extractors and three DR tumblers. The washers  operate using the Cygnus standard control and are connected to a central pay system. The tumblers feature the DX4 control.

“At IPSO, we know our products work hard to get the job done and it’s important for customers to see that, too,” says John Balman, senior director of sales—Europe for Alliance Laundry Systems, IPSO’s parent company. “Having a fully operational coin store at Texcare gives us the opportunity to not only describe how a Laundromat works, but to actually allow our visitors to experience it.”

Texcare International—the World Market for Modern Textile Care—runs through Wednesday.

May 7, 2012

WASHINGTON — Findings reflect gradual recovery for multifamily apartment sector

WASHINGTON — Optimism continues for the apartment industry, according to the latest results of the National Multi Housing Council (NMHC) Quarterly Survey of Apartment Market Conditions. The findings reflect a gradual recovery for the multifamily sector that faced a 50-year low in apartment starts in 2009, which is good news for the coin laundry business.

The first-quarter survey’s four indexes measuring Market Tightness (74), Sales Volume (57), Equity Financing (62) and Debt Financing (65) remained above 50 for the eighth time in the past nine quarters. Any number above 50 indicates quarter-to-quarter growth.

“Market conditions improved across the board, even from the rather strong level of three months ago,” says NMHC Chief Economist Mark Obrinsky. “Demand for apartment residences—and apartment properties—continues to grow. We anticipate this increasing further in the coming years due in part to the large number of younger households moving into the housing market and a greater preference shown for renting.”

April 25, 2012

CHICAGO — Operators in South enjoy gains approaching double digits

CHICAGO — March sales in three of the four regions were up, according to the most recent AmericanCoinOp.com StatShot unscientific survey. Results for the first quarter were somewhat similar to the March sales results.

Self-service laundry operators in the South reported the largest collective increases—8.6% for March 2012 compared to March 2011 and 9.9% for first-quarter 2012 compared to the same period last year. “Better” was the word that kept popping up in comments offered by operators from that region.

“Our word of mouth continues to grow and we’re more aggressive in building commercial accounts,” says one. But not everyone is experiencing improvement. “Not seeing much change. Still weighing my options on what to do. Utility costs are killing me.”

In the Northeast, March year-to-year sales were up 5.9%, while quarter-to-quarter sales rose 4.4%, yet most of the comments received were somewhat gloomy.

“The market appears to be somewhat worse,” wrote one Northeast operator. “I’m trying to maintain the quality of my operation despite the downward trend.” Another said things were getting worse because of increasing gas prices.

Operators in the Midwest saw March sales rise 2.9% while first-quarter sales were 2% higher than first-quarter 2011. Several respondents said they thought conditions in their region were getting better.

The West was the only region to see sales drop. March 2012 sales fell 1.7% from the prior March, and first-quarter sales were down 2.8% compared to the same three-month period last year. Most operators who commented said their market conditions were unchanged or were getting worse. Again, gas prices were mentioned several times.

The 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. Self-service laundry operators are encouraged to participate, as a greater number of responses will help to better define industry trends.

April 19, 2012

CHICAGO — Be willing to listen and make changes

CHICAGO — Many times we think we have everything figured out, that all is good because we have owned our laundry businesses for a few years and there is some cash flow. Let me tell you, that’s going be the downfall to being able to successfully sustain and maintain a business lifeline.

I am seeing businesses, in many cases, barely getting by month to month, scratching for cash because they either do nothave a business plan or refuse to listen to advice. They will not adapt like a chameleon and rethink their business plan in an ever-changing marketplace.

Do You Want Pennies or Dollars?

That’s the decision you need to make as you are running in circles trying to manage people, customers and your business. If what you are doing is not really making you and your family real money, then why are you not changing, listening to advisers or paying attention to all the red flags around you? Simply because you have had moderate success is not really being successful.

People go into business because they want to live the American dream, right? If you’re not in the financial position you desire, pick up the phone and seek advice from someone who has already been there and done it, someone with a successful track record in the industry who can help you re-think or create your business plan.

Do You Want to Be a Player or Not? 

In my 22 years of industry experience, I’ve learned that the people who are successful business owners are willing to listen, to make changes, and to build a solid team. They are willing to regularlytake meetings with their employees, be on-site to feel the pulse of what’s really happening, and then take the necessary steps to push their business over the top.

I released my first book more than four years ago and it has since gone international. I share this not to try to impress you but to empower you. I was willing to seek out and follow the advice of others who walked before me.

So ask yourself, do you want to be a player or not?

April 10, 2012

CHICAGO — Thirty-seven percent have brought firearm to store

CHICAGO — How safe do you consider the neighborhood where your laundry is located? Do you think your customers or employees feel safe in your store while doing laundry or working there?

Nearly three-quarters of respondents to this month’s AmericanCoinOp.com Wire survey describe their neighborhood as “somewhat safe.” Roughly 19% say their neighborhood is “neither safe nor unsafe,” and the remaining 7.4% describe theirs as “extremely safe.”

No one who took the survey described their neighborhood as “somewhat unsafe” or “not safe at all.”

Yet, more than 40% of operators say they, an employee or a customer have been a victim of crime at their laundry. Most of these incidents involved burglaries or robberies. An employee was threatened with a knife in one case, while an attendant was pushed to the ground in another.

A surveillance system is the most popular safety-related feature or practice utilized by respondents (77.8%). Other popular choices are employees/owner watch store (48.1%), alarm system (44.4%), signage (33.3%) and some type of weapon (29.6%).

Thirty-seven percent of operators who responded to the survey have brought a firearm to their laundry. Among those who haven’t, 35.3% said they would consider carrying a firearm while there.

While the Wire survey presents a snapshot of readers’ viewpoints at a particular moment, it should not be considered scientific.

Subscribers to Wire e-mails—distributed twice weekly—are invited to take the industry survey anonymously online each month. All self-service laundry owners and operators are encouraged to participate, as a greater number of responses will help to better define operator opinions and industry trends.

To sign up for the Wire, click the “Subscriptions” button at the top right-hand corner of this page and follow the instructions.

April 2, 2012

FORT LAUDERDALE, Fla. — The conference will focus on increasing profits through business cycle changes and

FORT LAUDERDALE, Fla. — The 2012 Spring Educational Conference of the Multi-housing Laundry Association (MLA) will focus on increasing profits through business cycle changes; interviewing, hiring and evaluating employees; and the political picture of 2012.

Also, the group will bring back its popular route operator roundtable discussion.

The Ritz-Carlton Fort Lauderdale (Fla.) will play host to the event on April 22-24.

Three educational sessions are scheduled in addition to MLA committee meetings, networking opportunities and more.

Educational sessions on the tentative agenda include:

The Intersection of Politics and Policy, by Ron Brownstein, National Journal Group.

A two-time Pulitzer Prize finalist, Brownstein explains with lucid precision the complexities of American politics. He appears regularly on MSNBC programs, including Hardball, Andrea Mitchell Reports, and Morning Joe, and has served as a regular panelist on Face the Nation.

His sixth and most recent book, The Second Civil War: How Extreme Partisanship Has Paralyzed Washington and Polarized America, was published in 2007.

Talent Acquisition and Retention, by Deidre Siegel, PEAR™ Core Solutions.

Siegel is founder and CEO of an outsourced, human resources management firm that provides core competencies in behavioral analytics for individuals and in the workplace, talent acquisition strategies, and all levels of human resource support in areas of legal compliance and organizational development pertaining to policies, procedures, process, and people.

Her company has worked with teams in many organizations across a variety of industries. Clients are able to understand their unique business culture in a strategic manner, MLA says, and using this knowledge of specific and unique corporate dynamics, as well as the implementation of proper processes, documentation and communication, remain in growth mode perpetually.

Increasing Profits through Business Cycle Changes, by Alan Beaulieu, ITR Capital Partners.

Beaulieu co-authored Make Your Move, a book on how to increase profits through business cycle changes. He is president of the Institute for Trend Research, principal and managing partner of ITR Capital Partners, and an active member of ITR’s Investment Committee.

Beaulieu has been consulting with companies throughout the United States, Europe and Japan. His firm’s accuracy rate and unique position—with more than 60 years of calls throughout every major historic economic turning point—as well as his extensive understanding of business cycles and the ability to explain the implications makes his presentation unique, MLA says.

Away from the conference, attendees can take advantage of Fort Lauderdale’s art and museum tours, yacht charters, sports fishing, casinos and racetracks, and more.

The reservation deadline has passed at the host hotel, but rooms may still be available. Call 800-542-8680 for information.

MLA membership entitles each company to two complimentary registrations. Additional registrants or guests may attend at a registration fee set to cover the cost of food, beverages, and speaker expenses.

To learn how to register, call 800-380-3652 or e-mail nshore@mla-online.com.

March 27, 2012

WASHINGTON — Man convicted of robbing Laundromat twice in eight days

WASHINGTON — A jury last week convicted a Washington man of armed robbery and carrying a dangerous weapon for two separate robberies of a Northeast Washington coin laundry last summer, according to the U.S. Attorney’s Office.

Lawrence White, 41, remains jailed as he awaits his May 31 sentencing. He faces up to 30 years in prison for each of two robbery charges and up to a year for each of two weapons charges.

According to the government’s evidence, just before 6 p.m. on Aug. 14, 2011, White entered a Laundromat in the 1600 block of Benning Road NE. He went into a private office and brandished a knife at an employee, making off with several hundred dollars in cash.

Just eight days later, White returned to the laundry in the early afternoon and robbed the same employee, showing the same knife and taking hundreds of dollars in cash from a cash drawer.

During the second robbery, a surveillance camera captured White running into the office and then exiting the scene. The surveillance video led directly to White’s identification and arrest a few days later.

March 26, 2012

ELBERTON, Ga. — R&B Wire Products to offer bushel transport products to larger consumer market

ELBERTON, Ga. — California-based R&B Wire Products, a manufacturer of carts widely used in self-service laundries, is collaborating with Rehabmart.com, an online commerce company that sells rehabilitation and medical supplies, to offer its bushel transport products to a larger consumer market.

“We are very pleased to offer these bushel transport solutions from R&B Wire Products to more consumers,” says Hulet Smith, founder and CEO of Rehabmart. “From wire storage baskets to hampers, privacy screens to garment racks, and utility carts to bushel trucks, we know that all of our customers will be able to find their own storage and transport solutions from the wide variety of high-quality products R&B offers through Rehabmart.

“These products are not only helpful for healthcare, hospitality and laundry facilities, but are great to use at home, too!” Smith adds.

R&B Wire Products has made wire, tubular, poly and vinyl bushel products serving the healthcare, hospitality, laundry, janitorial supply, material handling and car wash sectors since 1946.

March 19, 2012

ATLANTA — Show committee picks Las Vegas-based company from

ATLANTA — The Clean Executive Committee has selected Global Experience Specialists (GES) to serve as the official services contractor for the 2013 Clean Show in New Orleans.

Three companies submitted proposals for the June 2013 show. “GES did our show in New Orleans in 2009 and did a great job,” says John Riddle, president of Riddle & Associates, the Clean Show’s management company. “We look forward to working with them again in 2013.”

Chicago hosted the first Clean Show in 1977. United Exposition Service Co. was the official services contractor for that event and subsequent shows. GES purchased United in 1993, and the Las Vegas-based company has continued its partnership with the Clean Show for many shows since.

GES produces 3,000 exhibitions and events annually.

The Clean Show—officially titled the World Educational Congress for Laundering and Drycleaning—attracts people across all segments of the textile care industry, from single-owner, coin-operated laundry and drycleaning establishments to giant industrial and institutional laundries and textile rental companies.

March 14, 2012

FALL RIVER, Mass. — In an effort to provide customers with more direct attention

FALL RIVER, Mass. — In an effort to provide its customers with more direct, hands-on regional attention, American Dryer Corp. (ADC) has given additional responsibilities to two members of its sales team, the company reports.

Corey Simonson, who manages regional sales in the Midwest and Canada, now has additional responsibilities that include Arizona, Colorado, Montana, New Mexico and Wyoming.

John Olson, who is charge of ADC’s Eastern regional sales, now assumes added responsibilities in California, Idaho, Nevada, Oregon, Utah and Washington.

The company believes that Simonson’s and Olson’s extensive experience will prove invaluable as they work directly with distributors and support staff to ensure that all efforts are made to help grow their ADC business.

March 12, 2012

SANTA FE SPRINGS, Calif. — New exec has more than 28 years of experience in

SANTA FE SPRINGS, Calif. — Continental Girbau West (CG West) has hired Andrew “Bud” Bakker as vice president of sales. In his new role, Bakker manages and works to grow the regional distributor’s vended, on-premise and industrial laundry sales efforts.

“Bud is an incredibly experienced sales professional with undeniable character,” says Continental Girbau President Mike Floyd. “He understands field sales and comes to CG West with more than 28 years of experience.”

Bakker launched his career in 1984 as an owner/operator of Simon and Son Fine Dry Cleaning, in Woodinville, Wash., where he stayed for 11 years. He went on to serve Westport Supply, Tukwila, Wash., where he handled drycleaning, industrial laundry, hotel laundry and janitorial supply sales. Most recently, he served as the Northwest sales account manager at Dynamic Sales and Service, Kirkland, Wash., where he managed a territory including Washington, Oregon, Idaho and Montana.

A subsidiary of Wisconsin-based Continental Girbau Inc., CG West serves the California vended, on-premise and industrial laundry markets by providing equipment, parts, financing, service, warranty and training.

February 28, 2012

PLAINVIEW, N.Y. — The site is intended to be a one-stop shop for the laundry industry

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.

February 27, 2012

TEXARKANA, Texas - A man was sentenced to federal prison for burning a northeast Texas laundry

TEXARKANA, Texas — A 35-year-old Texas man has been sentenced to federal prison for his role in a 2008 fire that burned a northeast Texas laundry, according to U.S. Attorney John M. Bales.

Justin Rodney Glenn pleaded guilty in December to conspiracy to commit arson and was sentenced earlier this month to 60 months in federal prison by U.S. District Judge David Folsom. Glenn was also ordered to pay $169,517.12 in restitution.

According to information presented in court, from about April 1, 2008, to June 5, 2008, Glenn conspired with others to burn down commercial buildings in order to submit fraudulent insurance claims and collect insurance proceeds.

He recruited and agreed to pay individuals to set fire to the Washtub Laundry, also known as Gary’s 24 Hour Wash and Dry, which burned on June 5, 2008. This caused a fraudulent insurance claim to be submitted to Certain Underwriters of Lloyds of London, resulting in a loss to the company.

Glenn was remanded into custody following the sentencing hearing.

February 15, 2012

CHICAGO — It brings me great pain to witness landlords choking their tenants with escalating rents and offering no relief during these tough times.

I have witnessed more laundries close their doors in the past two years than I have in the past 22 years served in the coin laundry industry. Owners are faced with the potential of losing their businesses and, in many cases, their life savings because business is down and they cannot afford to pay their rent.

If you’re one of those owners, take this message as a call to action. Renegotiate your rent if you plan on surviving in this industry. Consult with your attorneys and get the help you need before it’s too late.

I’ve spoken with some landlords who are making rent concessions to avoid seeing their tenants close their doors and produce no rent at all. This is a good move—a win/win for everyone!

Of course, there are those landlords who will tell you “the lease is the lease.” Again, I suggest you get legal advice to provide the direction you need to protect you and your family.

Now is the time to buckle down and look for ways to cut your costs. Here are some suggestions for trimming the fat:

  • Lower the heat in the laundry during the winter months.
  • Make sure you are not wasting resources (water, gas or electricity). Working with an energy broker could save you a large percentage of what you might be paying.
  • Consider subletting space in your laundry to create more revenue.
  • Consider working additional hours to lower employee payroll.
  • Make sure you have energy-efficient washers, dryers and water heaters.
  • Consider acquiring refurbished or rebuilt machines when making replacement purchases.

Don't be one of the owners who will close their doors in 2012. Now is the time to take action to protect your Laundromat businesses.

February 13, 2012

TORONTO, Ontario, Canada — Clean Canada, The Canadian Launderers and Dry Cleaners Exposition, returns this spring with more than 100 exhibitors showing products and services to more than 4,000 laundry and dry cleaning professionals.

The Toronto Congress Centre will play host to the April 13-15 event sponsored by the Canadian Cleaners & Launderers Allied Trades Association. Visit www.cleancanadashow.ca for more information.

February 6, 2012

WASHINGTON — Market conditions continue to improve for the multifamily housing industry across all areas, according to the latest National Multi Housing Council (NMHC) Quarterly Survey of Apartment Market Conditions.

For the seventh time in eight quarters, all four indexes reflecting Market Tightness, Sales Volume, Equity Financing and Debt Financing were at or above 50, indicating growth from the previous quarter. This is good news for the multihousing laundry business.

“In the face of an unprecedented virtual shutdown of development, the apartment market continues its strong recovery as developers play catch-up to the growing demand for rental housing,” says NMHC Chief Economist Mark Obrinsky. “Investors continue to view apartments as a preferred asset class in today’s environment, and long-term demographic changes favor rental housing.”

Even so, NMHC expects the pace of improvement in transaction activity to ease moving into 2012. The survey reflects nearly continuous recovery over the past two years.

Development activity continues to increase in most markets, with just over half of responding NMHC members (53%) reporting a substantial pickup in land acquisition, lining up financing, and getting building permits, though not much yet in the way of actual construction starts.

Full survey data are available here.

February 2, 2012

MILFORD, Mass. — The Lifetime TV series America’s Most Wanted recently featured the case of an early-morning Laundromat robbery on its program.

Just after 6 a.m. on Jan. 3, an unidentified male smashed the front door of Village Laundromat with a large hammer, and then threatened to hit the clerk if she didn’t open the safe and hand over the money. The suspect, identified by police as a white male, fled after stealing the money.

While security cameras recorded the incident, the suspect’s face was covered. He was wearing an olive green or gray jacket with a light strip around the sleeve, and carried a black backpack with a yellow construction hat strapped to the top.

America’s Most Wanted asks anyone having information about this crime to call its national hotline, 800-CRIME-TV. Locally, Milford police have an anonymous tip line, 508-473-3800.

Surveillance video of the break-in, can be viewed below:

January 31, 2012

NAPERVILLE, Ill. — Most laundry companies use standard leases for the properties they serve, but most leases either don’t address or don’t properly address many important issues that can arise when dealing with customers, according to the law firm of Russel G. Winick & Associates, which specializes in laundry services law.

A properly written lease should protect a laundry company’s rights and offer strong leverage in all situations. Here, according to Winick & Associates, is a partial list of issues to be considered:

  • Renewal Clauses — Will they accomplish your goals? Are they clear, and presented properly?
  • Termination Notices — Is it clear when they must be served, and when they are effective?
  • Foreclosures — Are your leases drafted in ways that minimize the risk of foreclosure?
  • Breaches/Damages — Do your leases allow you to recover the maximum if they are breached?
  • New Ownership — Is it certain that they will be required to honor your leases?
  • Right of First Refusal — Do you have one? If so, will it really help you to retain locations?
  • Service Obligations — Are they feasible, and do they avoid creating a risk of termination?
  • Rehabilitation of Properties — Do your leases give you practical rights in this situation?
  • Holdovers — If the landlord lets you stay after your lease term expires, are your rights addressed?
  • Attorney’s Fees — An attorney’s fees clause can actually reduce legal costs, Winick & Associates says, by making lessors less likely to breach a lease, for fear of the consequences.

    Many customers will agree to a fully mutual attorney’s fees clause, such as, “In the event of any legal action arising out of this lease, the prevailing party shall be entitled to recover all costs incurred, including reasonable attorney’s fees, in addition to all other available relief.”
January 19, 2012

PHILADELPHIA — Distributor Super Laundry Equipment has hired Daniel Massimini as coin laundry sales manager for eastern Pennsylvania and southern New Jersey. He brings more than 16 years of laundry industry experience to the company.

“Dan’s experience and commitment to his customers, along with our company’s commitment to provide the best products, best service, best prices and best financing will be a great combination and fill a void in an underserved market,” says Tom Duckworth, Super Laundry vice president.

January 17, 2012

JAMAICA, N.Y. — After 16 months of preparation and renovation, Gold Coin Laundry Equipment opened its new showroom and expanded parts department last week.

The showroom featuring fully operational Dexter washers and dryers is part of a 5,000-square-foot expansion that converted old, empty warehouse space, the distributor says.

Gold Coin President Douglas Pratt says the company had customers in mind while planning the expansion. “At times, our parts customers were crammed in at the counter. Now, with a total of 13,000 square feet to work with, that doesn’t happen; plus, we have more room to stock more items and disappoint fewer customers.”

Besides the Dexter equipment, Gold Coin now has room to display the Whirlpool line, plus ancillary products such as Vend-Rite soap venders, change machines by Standard Change-Makers, and a NATCO on-demand water heater. Customers can even try out Standard’s easyPAY kiosk.

Gold Coin has scheduled several events this year, including a March 28-29 grand opening, to show its customers the full potential of the equipment it sells.

The new showroom and expanded parts department is located next door to the distributor’s original location, 91-16 143rd St. in Jamaica.

January 16, 2012

LOS ANGELES — PWS-The Laundry Company has re-launched its website, www.pwslaundry.com, enabling owners of laundry equipment to easily search a selection of more 85,000 laundry parts online.

Users can quickly find a desired part by entering a part number, model number, or part description. The site is designed to make the purchase of parts user-friendly, by including thousands of pictures, diagrams and repair manuals.

Complementing the new site is a fully staffed call center ready to answer all parts-related questions via phone, e-mail or live web chat, PWS says. Individuals specifically trained to help customers identify the proper replacement parts across all equipment manufacturers are available.

Where the previous site attracted more than 35,000 visitors a month, PWS Co-President Brad Steinberg maintains the new website should attract “at least 75,000 visitors a month within the next year.”

PWS reports that it is the nation’s largest distributor of commercial laundry equipment as well as the largest broker and developer of vended laundries.

January 4, 2012

CHICAGO — The cost of iron for new products is going up dramatically. Meanwhile, increasing utilities cost and escalating rent are eating up laundry profits.

I have been researching the best way for you to maintain your existence in this industry. When purchasing machines, you must seriously look at refurbished washers and dryers as an option.

The cost to purchase refurbished equipment is well under 50% versus buying new. The average “life cycle” for most owners to stay in this industry is three to five years. What’s the point of digging yourself into a hole you may never be able to dig yourself out of?

Now, the newer machines are more energy-efficient and offer warranties, which is important. But if the refurbished or rebuilt machines are purchased from a reputable company that stands behind the quality of its work, you will come out ahead, bottom line.

Recently, I did some consulting for an investor who decided to go 100% refurbished for his remodel. He saved about 58% of the total cost of going new, or more than $165,000.

Now, if you do the math and calculate what your monthly payment would be on the additional expense of buying new equipment, you are looking at eating right into your bank account big time.

Many laundries are closing across the United States, mainly due to high rents that need to be adjusted. If you’re just getting into the game, you’d better plan on doing some good negotiating to get your rent reduced to a level that will help keep your business going.

If you’re looking to stay in the game long term, and this is going to be your new life, then I recommend that you look at new products, especially if you’re planning on building a new Laundromat.