How do I check the machines before buying a laundromat?

In a laundromat the machines are most of what you are buying. A tidy room can hide tired equipment, so go in with a list and, if you can, a service technician. Ask the seller for the paperwork first, then compare it with what you see. Where the two differ, ask why. These checks sit alongside the wider list in what to check before buying a business.

Make a machine-by-machine list

Record the brand, model, size and install date of each washer and dryer, with its serial number. Note which are out of order today and for how long. Run a few cycles yourself. Listen for noise, look for leaks and check that doors, locks and controls work. A row of dead machines tells you something about repairs, and a seller’s explanation should match the service records.

Read the service and repair log

Ask for invoices from the service company, and for the owner’s own notes. Look for the same machine failing again and again, and for repairs put off. Ask the technician whether parts are still easy to get for each model, because older units may be costly or slow to keep running. Ask which repairs the seller expects you to face in the first year.

The payment system and the leases

Find out whether customers pay by coin, card or app, and who owns that system and its software. Check whether it is tied to a contract that can be assigned. Ask whether any machines, or the payment equipment, are leased or financed, and read those agreements. Your lawyer can tell you what happens to them when the business changes hands.

Water heaters, venting and utilities

Look at the water heaters, the dryer venting and the floor drains. Ask for their age and service history, and how the utility bills have moved over time. Lint build-up and poor venting are worth a professional look. If the building is leased, ask your lawyer who is responsible for which systems.