Selling Commercial Linen Services

There is tremendous opportunity right now to add extra production volume while leveraging your current equipment. A lot of businesses need ongoing linen service. Look for the companies with too much linen to do themselves, but are not large enough to be on the radar of the large linen companies like Cintas, AmeriPride, UniFirst, and Aramark.
 
Items you can process in washers and dryers:

• Towels / Terry
• Blankets
• Shop Towels
• Mops – Wet and Dry
• Mats
• Bar Towels
• Microfiber towels
• Room Curtains (small surgical and hospital)

 
Some folding required: 

• Chef coats and pants
• Aprons
• Uniforms – security, doormen, concierge

 
Additional items that can be processed if you have a Flatwork Ironer: 

• Sheets
• Pillowcases
• Tablecloths
• Napkins

 
Why an Opportunity: 

• Leverage current equipment
• Low labor, easy to process
• Consistent recurring revenue
• Dissatisfaction with linen companies – confusing invoices, automatic and large price increases, challenging contracts
• Focus on Client owned goods (COG / NOG)

 
Types of Businesses to Focus On: 

• Physical Therapy
• Sleep Clinics
• Gyms / Workout facilities
• Country Clubs
• Golf Courses
• Car Washes
• Air BnB and VRBO
• Corporate Lodging
• Doctor’s Offices – Chiropractor, Dentist
• Endoscopy
• Security Companies
• Massage
• Day Spa
• Salons
• Medical Spas
• Event Venues
• Assisted Living (rooms and dining hall)
• Condos / High Rises / Large Office Buildings
• Surgery Centers
• Hospital kitchens
• Truck Stops (with showers)
• Boutique Hotels

 
Unless you plan to offer a rental service, which requires more upfront capital, your focus should be on companies that own the items you will process.
 
Most companies have employee shortages and are looking for “done for you” services. Take one thing off their list.
 
They might have higher paid team members folding items that you can do for them – more convenient and more economically.
 
Here are some of the pain points with larger linen companies: 

• Confusing invoices
• Contracts
• Tired goods – old, nasty, shabby items
• Automatic and exorbitant price increases
• Billing practices – turns
• Customer Non-service, treated like a number
• “Float” 
• More detailed attention / quality (“executive service”)
• Weigh the clothes wet which exaggerates the weight

 
Here are some of the pain points for companies who do it themselves: 

• Labor costs
• No space
• Equipment – maintenance
• Takes up personal time
• Don’t get it clean

 
Most drycleaning companies are down in same-source piece counts for drycleanable items and shirts. Successful companies are replacing lost revenue with another source, like commercial services, so they are not solely dependent on price increases for revenue growth. In most markets, there is a lot of opportunity for these lines of services. 
 
Have a great week!
Dave