Store No. 1
Managing Multiple Stores
Store No. 3 Store No. 4
Store No. 2
Talkin’ what it takes to keep things running smoothly
ENHANCING STORE SECURITY: TIPS & STRATEGIES TO MITIGATE RISKS
INSIDE: JULY 2023
HOW YOU CAN PROTECT YOUR LAUNDROMAT FROM CRIMINALS
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CONTENTS
JULY 2023
VOLUME 64 ISSUE 7
MANAGING MULTIPLE STORES: MIRTH ... OR MAYHEM?
Several multi-store owners and/or operators from around the country talk benefits of operational consistency and systemization; their biggest challenge upon adding Store No. 2; and more.
INSIDE
ENHANCING STORE SECURITY
Safety is among the reasons that customers choose a laundromat, so a vigilant staff supported by crime-deterring tools like security cameras can play an important role in a store’s success. We explore the greatest physical threats faced by small businesses today and provide practical tips and strategies to mitigate these risks.
COLUMNS
18 POINTERS FROM PAULIE B: HOW YOU CAN PROTECT YOUR LAUNDROMAT FROM CRIMINALS
Growing up in New York City, and operating multiple laundromats there for 41 years before retiring, columnist Paul Russo says he’s experienced a lot of crime. He learned how to better protect his stores from these events, and he’s ready to offer these “protections” to you, whether it be a creative foil for a perp or a well-established, common-sense rule.
DID YOU KNOW...
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(Cover image: © olly18/depositphotos)MULTIPLE STORES: DOES THE MATH ADD UP?
I’ll bet I don’t have to tell you that laundromat ownership takes a lot of work.
There’s site selection, budgeting, laundry equipment choices/maintenance, employee training/payroll, customer service, facility cleaning, bookkeeping, marketing, and so on and so forth.
While the store owner alone may not perform every task, he or she is responsible for them all.
Now, let’s say the small-business owner wants to expand his or her portfolio and decides to acquire and operate a second store. How might that impact the total workload?
The easy math says that it would double it, although certain economies of scale might shave a bit off here or there.
And it seems, based on the feedback I received from several multi-store owners with operations around the country, that things actually get easier at the point of adding Store No. 3 because of what the owner learned from growing pains they experienced going from 1 to 2.
In this month’s cover story, “Managing Multiple Stores: Mirth … or Mayhem?” these store owners describe their operations, recall their biggest challenge upon taking on Store No. 2, and reveal what they would change if they could relive that time. Check out the article beginning on page 6—you can do your own math.
Store security is another key topic in this month’s issue. We have a page 14 article highlighting tips and strategies to mitigate the common smallbusiness safety risks, and a page 18 column in which retired multi-store owner Paul Russo shares how crime impacted his New York City stores over 41 years and how he learned to thwart the “perps” along the way.
I hope you’re enjoying a good summer so far and that your days are filled with mirth, not mayhem.
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Managing Multiple Stores: Mirth … or Mayhem?
Talkin’ what it takes to keep things running smoothly
by Bruce Beggs, Editorial DirectorOwning and operating a single laundromat takes plenty of work. Making the decision to build/acquire and run a second store effectively doubles (and perhaps then some?) the ownership challenges one faces day in and day out. But preparing for, acquiring and operating Stores No. 3, 4 and so on seems to get easier with each addition because of experience gained from running their predecessors.
That’s the consensus of several multi-store owners and/or operators interviewed for this month’s issue of American Coin-Op. They spoke of the benefits of operational consistency and systemization; the biggest challenge when they added their second store; how technology can simplify multi-store ownership; and more.
Omer Khan and his father Abdul co-own three laundromats south of downtown Atlanta, ranging in size from 3,000 to 8,000 square feet. The stores are located about 10 minutes apart from one another, and were recently rebranded Skyline Laundromats (a fourth store is under development). Each is fully attended, employs three to four people, and offers self-service, wash-dry-fold (WDF), and pickup and delivery (PUD).
“They are almost the same, if not very familiar, to each other,” Khan says of the Skylines. “The POS system is all the same in three stores. Everything is systematic, very straightforward.”
Andy Merendino owns three mostly unattended but closely monitored Suds Yer Duds stores in Carneys Point and Pennsville, New Jersey, “all within 20 minutes of home.” Two of them are about 2,600 square feet, while the third is smaller.
“All three are spot-cleaned as needed, then the last few hours (of each day) a cleaner/closer ensures the place is clean, empty and ready for automatic 4 a.m. opening,” Merendino says. “All three are operated similarly with a few variables. The one store has an apartment over it, and the tenant cares for that store. Customers can call us directly at any time to report a problem.”
James (Clark) Sowers and son Randy co-own four differently named laundromats in and around Rapid City, South Dakota. Store sizes range from 2,000 to 4,000 square feet. Two are partly attended, one is fully attended and one is unattended. Altogether, the group employs 12 people plus a part-timer who cleans the unattended store.
“They are operated similarly but yet each with their own identity,” Clark Sowers says. “Same principles, but different demographics.” For example, the Belle Fourche location serves farm, ranch and low-income patrons, while the Spearfish store caters to a wealthier clientele drawn by
the local university, business, and tourism.
James Radovic owns two fully attended stores in the Florida communities of Jupiter and Stuart that offer self-service and WDF (the Jupiter store also offers PUD). Each covers about 3,000 square feet. Together, they employ 12.
“We try to be as close to the same operation as possible,” he says. “Our pricing is slightly different because of the demographics at each location. We have two identical POS systems which reflect the pricing differences.”
Anne Sechler is operations and marketing manager for Whale of a Wash, a group of eight laundromats located in the eastern panhandle of West Virginia. Average square footage is 1,500 square feet. Three of the stores have dedicated WDF, drycleaning and shirt service operations, while the others are unattended but visited by roving detail cleaners throughout the week.
“Our stores are all operated and run in a similar fashion,” she says. “Hours of operation are similar with the exception of one 24-hour store. All stores get cleaned nightly, we have roughly the same prices across all the stores, and we operate strictly by our mission statement.”
Rex Anderson and his father-in-law, Howard Shear, co-own three Heights Laundry locations (two in Ohio, one in Michigan). All are fully attended and offer self-service and WDF. Store size ranges from roughly 3,500 to 5,000 square feet, with similar equipment mixes. At each, a fulltime manager supervises between two and four attendants.
“We find systemization is best,” says Anderson, who also works as controller for Shear’s Lakeside Laundry Equipment distributorship. “We found what works for Heights Laundry 1. Granted, they’re all unique in their own ways. But we’re getting to the point where we have color schemes that we like, layouts that we like when we build them … Our biggest thing is we want customers to walk in and feel comfortable.”
Joe Jepsen, founder of property manager Diamond J Management, owns seven attended O-Town Coin Laundry locations in and around Ogden and Salt Lake City, Utah. Apart from the 6,000-square-foot Salt Lake City flagship, O-Town stores average 3,000 square feet in size. A general manager oversees all stores, and between 40 to 60 attendant work hours is allocated to each (except the largest, which requires at least 80 hours per week).
“Because we have so many locations and plan to do more in the future, standardization is very important to us,” Jepsen says. ▼
Andy Merendino owns three mostly unattended but closely monitored Suds Yer Duds selfservice laundromats in New Jersey. (Photo: Suds Yer Duds) Anne Sechler, operations/marketing manager for West Virginia’s Whale of a Wash group, welcomes a customer to one of the company’s eight stores. (Photo: Whale of a Wash)Before investing tens of thousands of dollars into a retool, upgrade your existing machines to accept modern, mobile payment. All you need is a BluKeyTM for each machine to give your store a boost. You can install them yourself, and then accept payment from virtually any source through the PayRange app. Plus, add loyalty features, discounts and convenience. Enable your customers to pay as they please on your existing machines with PayRange. Join the 3,500+ laundromats already using PayRange.
“The biggest challenge was people, it was the attendants,” says Anderson. “We tried having one attendant oversee both (stores) and the demographics are quite different between the two stores, so that attendant wanted to spend more time on one store than the other.”
“When employees understand that you might not be coming in that day,” Khan says. “When they notice, ‘Hey, this individual isn’t coming in every day,’ they may try to take advantage of you.” When that happens, “you just have to make sure you’re on top of your processes.”
Jepsen had several challenges in mind but recalls time being the hardest to deal with: “As you expand, the amount of time you can spend at each location goes down substantially. If your first store is perfect in every way, it won’t be when you add a second and third store, simply because you don’t have the time.”
A HELPING HAND FROM TECHNOLOGY
Multi-store owners rely on themselves and, if their chosen business model calls for it, the attendants and managers they employ to make their businesses work. Beyond that, technology also can provide some tools to make running things easier.
CHALLENGING TRANSITION
What one issue did you find most challenging once you expanded to two stores?
“Initially, (it was) understanding the pulse of the business cycle: when to pull coins and cash (which can change seasonally in the summer), the cleanliness of the store, and maintenance and upkeep,” Sowers says.
“The one issue we found most challenging … is keeping up with parts,” says Sechler. “Repaired parts, spare parts, parts for testing, parts we stripped from old machines, etc. If there is one thing to put in place prior to expanding (and you handle your own repairs), have a central location for parts and a system for inventorying the parts.”
“The immediate challenge was to give the first store enough attention, because the second store took off immediately and made us hire and train more people, taking time away from the first store,” says Radovic.
“Well, spreading myself out too thin and not having a ‘substitute’ for me,” says Merendino, who does repairs, improvements, collections, you name it, for Suds Yer Duds. He adds that modernizing his third store this past year has been expensive and left him wanting a chance to get away, even for one night.
Joe Jepsen (inset) owns several O-Town Laundry stores in Utah, including this one in Salt Lake City. A general manager oversees all stores, each allocated a certain number of attendant work hours per month.
“Technology is critical to being able to successfully handle multiple locations,” says Radovic. “Without a POS system … and a financial bookkeeping system, it would be very difficult to understand where you are going with your business.”
“Security cameras viewed on your cell phone is probably the most important,” says Merendino. “Burglar alarms for the coin changer room. Automatic locks, lights, and HVAC systems.”
Jepsen admits tech helps a lot, from the cell phone each O-Town Laundry manager gets to the payment system that monitors coin drops, allows attendants to clock in/out and more.
“IT doesn’t (assist) me, but it does for Randy,” says Sowers. “We advertise for help on Facebook and other platforms … we also advertise on those same platforms for marketing. I still believe in good, ol’ wordof-mouth, yet I know in tourist season, we receive many customers who found us on the internet.”
Khan counts a multifunctional POS system, card payment system, surveillance system and facility access control among the technology
Enhancing Store Security
Tips and strategies to mitigate risks in today’s self-service laundries
Safety is among the reasons that customers choose a laundromat, so a vigilant staff supported by crime-deterring tools like security cameras can play an important role in a store’s success.
While digital security threats often dominate the discussion today, physical security threats can have equally devastating consequences for small businesses. Protecting your premises, assets, employees and customers from physical security risks is crucial to maintaining a safe and secure environment.
Before implementing any security measures, it’s essential to conduct a thorough risk assessment to identify potential vulnerabilities. When making this assessment, consider factors such as location, the area’s crime rate, customer flow, and existing security infrastructure. By understanding the specific risks your laundromat faces on a given day, appropriate security measures can be tailored accordingly.
This article will explore the greatest physical security threats faced by small businesses today and provide practical tips and strategies to help mitigate these risks; there could be some overlap, depending on the risk at hand.
By being mindful of these threats, laundromat owners can better safeguard their operations and ensure the well-being of their business.
THEFT AND BURGLARY
These are the primary physical security threats to small businesses. Criminals may target small businesses due to perceived vulnerabilities or the potential value of their assets. To mitigate the risk of theft and burglary, consider the following measures:
• Adequate Lighting — Ensure that your premises, both inside and outside, are well-lit. This deters criminal activities by minimizing hiding spots and making the surroundings more visible to both employees and customers.
Illuminated areas are less attractive to burglars and vandals, reducing the risk of theft or property damage. And good lighting helps prevent accidents, such as slips and falls, by providing clear visibility of potential hazards.
Well-lit spaces also create a welcoming ambiance, making customers feel comfortable and confident. A visually appealing environment can also enhance the perception of a laundromat’s overall quality, including the cleanliness of clothes washed by its equipment.
Consider installing motion-sensor-activated lights to conserve energy
while providing additional security during off-hours.
• Install Security Systems — Invest in a comprehensive security system that includes surveillance cameras, burglar alarms, and motion sensors. Displaying signage to indicate the presence of these security measures will act as a deterrent to potential criminals.
For example, The Washing Well Laundromat in Jefferson, Iowa, installed five VORTEX cameras throughout the interior and exterior of the business (see photo on page 16). Three interior/exterior turret cameras are being utilized in the store room, inside the laundromat, and at the rear parking lot locations. Finally, two interior/exterior remote focus dome cameras are being utilized for the front parking lot and inside the laundromat.
Apart from aiding in facility security, the system enables the owners of Washing Well—open 24 hours a day with minimal staffing—to check on the location remotely to help them determine if the laundromat needs any attention such as cleaning, snow removal, or general maintenance.
• Install Security Mirrors — Strategically place security mirrors to eliminate blind spots in your store. Mirrors can provide a broad- ▼
PRICE BUSTERS
er view of areas that may be blocked by laundry equipment or bulkheads. They also assist in improving visibility for both employees and customers, enhancing overall store safety.
• Secure Entrances and Exits —
Strengthen access points by using highquality, commercial-grade locks and deadbolts, as well as reinforced doors and windows. Once installed, regularly inspect and maintain doors and locks to address any potential vulnerabilities. Consider implementing access control systems, such as key cards or biometric scanners, to limit entry to only the persons you choose.
VANDALISM AND PROPERTY DAMAGE
Vandalism and property damage can disrupt business operations, harm your laundromat’s reputation, and incur significant repair costs. To mitigate these threats:
• Perimeter Protection — Where feasible, secure the perimeter of your premises with fences, gates, or barriers to deter access to unauthorized areas. Consider installing security cameras or motion-activated lighting to monitor vulnerable areas.
• Adequate Signage — Display visible signage indicating that your laundromat is under surveillance, as this can deter potential vandals.
• Regular Maintenance — Keep your premises well-maintained, including repairing broken windows, maintaining proper lighting, and removing potential graffiti promptly.
Regular maintenance ensures that safety measures, such as fire alarms, emergency exits, lighting, and security systems, are functioning properly, and reduces the risk of accidents, injuries, and potential liability issues. By prioritizing the safety and security of managers, attendants and customers, laundromats can build a reputation for being responsible and caring while also deterring would-be criminals.
• Building Relationships within the Community — Develop positive relationships with neighboring businesses and residents, encouraging them to report any suspicious activity or concerns. Regarding other nearby businesses, there may be opportunities to share resources and the
common expense of security services.
Establish a positive relationship with local law enforcement agencies. Invite officers to visit your store, share any security concerns, and seek their advice on improving store safety. They can provide valuable guidance and support in enhancing the security of your store and responding to incidents effectively.
EMPLOYEE AND CUSTOMER SAFETY
Ensuring the safety of your employees and customers is essential. Selfservice laundries should address potential physical security threats that can compromise their well-being:
• Cash-Handling Procedures — Implement strict cash-handling procedures to minimize the risk of theft. Limit the amount of cash kept on the premises and regularly deposit excess funds in a secure location. Make specific persons responsible for cash handling and then conduct regular audits to ensure accountability.
• Emergency Preparedness — Develop and communicate clear emergency response plans, including procedures for natural disasters, medical emergencies, or security incidents. Conduct regular drills and provide training to employees.
• Adequate Lighting and Visibility — Maintain well-lit areas both inside and outside your premises to enhance safety and deter potential threats.
• Security Personnel — Depending on your business’ location and budget, consider employing security personnel to monitor and manage physical security risks. Hiring off-duty police officers to patrol occasionally may be a possibility.
• Customer Service and Awareness — Train your employees to provide attentive customer service and to be alert to any potential signs of trouble or suspicious behavior, as they may be able to deter acts of theft and other unwanted behavior before they take place.
WORKPLACE VIOLENCE
This is a significant physical security threat that small businesses need to address. It can occur because of disgruntled employees, customers, or individuals with malicious intent. To mitigate workplace violence:
• Develop a Zero-Tolerance Policy — Establish a clear policy against workplace violence, harassment, and bullying in your laundromat. Communicate the policy to employees and provide training on recognizing and reporting potential threats.
• Implement Access Controls — Restrict access to certain areas, such as employee-only spaces or areas containing vital equipment, to authorized personnel only.
• Maintain a Supportive Work Environment — Foster open communication, encourage employees to report concerns, and address conflicts promptly to prevent them from escalating.
• Security Training — Provide training for employees on conflict resolution, de-escalation techniques, and personal safety measures.
By prioritizing store security and safety, laundromat owners can create a protective environment that safeguards their assets, employees and customers. Maintaining a safe, secure store builds trust and confidence among your customers, leading to long-term success.
assisting him and his staff.
Anderson says he can’t imagine running a store without the available technology, “especially having to rely on somebody to do the cash collection.”
“It would never be scalable, in my opinion, if you didn’t have that,” he adds. “The only way I can ever foresee us getting to 10 stores all over Ohio and Michigan is if we get to a point where every store has digital monitoring on the cash side.”
“The ability to remote-start machines, do a drum clean and spin, offer free-dry time, change prices quickly, and diagnose machine issues offers the multi-store owner a huge advantage in time savings and customer satisfaction rate,” says Sechler. “Technology has been a game changer, period.”
WHAT WOULD YOU DO DIFFERENTLY?
Owners were asked what they would do differently if given the chance to relive the events of expanding beyond their first store.
“I think tracking the age, model number and serial numbers of machines in a formal fashion would be worth some time up front,” says Sechler.
“We definitely learned that people are everything, hiring the right people,” says Anderson. “Make sure that you hire before you open.”
“I should have planned for a more immediate increase in traffic and hired more attendants on day one,” adds Radovic. “The volume of work combined with the training ... kept us off-balance for quite a while.”
“I’d recommend doing a serious due diligence period and look into all
parts of the business,” Merendino says. “You have to know exactly what you are buying.”
ONE PIECE OF ADVICE?
And finally, what’s the one piece of advice they’d give a store owner who is about to add Store No. 2?
“Have a plan in place to allow yourself to be replaceable,” Sechler says. “Make it easy for someone else to do everything in the event you do want to hire a team, or you are hoping to sell someday.”
“Owning the real estate, I believe, is the best business model,” Merendino says. “It gives you a whole lot of advantages over leasing.”
“Make sure you’re able to service it adequately,” Anderson says. “Make sure you can get there, or have someone who can get there, at the drop of a dime. … Make sure you have the service component handled and can service the second location.”
“As you start to pick all your options, try to replicate that in your other stores,” Khan says of researching equipment choices and sources. “That’s how you’re able to kind of take a step back and be hands-off.”
“My advice is to never do a store where you have to compete against someone who has recently retooled and/or renovated, unless you 100% know the demographics are incredible and the location needs two stores or more,” says Jepsen. “My other piece of advice is ‘Just do it.’ Stop thinking about it, and go look for locations.”
“Make sure you have good-quality, workable equipment,” recommends Sowers. “And have two people you can count on and lean on looking after your locations.”
“Be prepared for the extra time you will have to spend,” says Radovic, “and hire good people to help you manage each location.”
POINTERS FROM PAULIE B
HOW YOU CAN PROTECT YOUR LAUNDROMAT FROM CRIMINALS
Growing up in New York City, and operating multiple mats there for 41 years before retiring, I experienced a lot of crime! Over time, my stores were victimized by burglaries, larcenies, violent customer altercations, armed robberies, employee theft, quick-change artists, con jobs, loitering, and “grab & run” crimes.
I learned how to better protect my stores from these experiences. Some of these protections are creative foils for perps, and some are well-established, common-sense rules. Your No. 1 concern is to maintain the safety of yourself, your crew, and your customers. I’ll list some well-known protections and point out the benefits from my experiences.
Lighting and Clear Windows Come First — A welllit mat makes everyone feel safer except the bad guys who don’t want to be seen by police. So don’t skimp on lighting—even after closing—and keep your windows clear of clutter so a passing patrol car can see inside. Stores sometimes have roll-down shutters they close at night. If a bad guy enters through the roof and you don’t have a good security system, he can work at his leisure. I chose roll-down grills instead; they look nicer, are graffiti-proof, and show off your mat to passersby.
Good Surveillance is a Must — With today’s technology, there’s no reason to not have a good surveillance system. And you can’t have too many cameras. A 2,000-square-foot mat should have at least a dozen, inside and out, if not more. Bad guys often wear hoodies and baseball caps, so place a
couple at eye level to get people’s faces straight on, especially by the change machines and behind the counter (facing out). Concealing these cameras would be even better.
Place cameras in opposing corners so they can protect each other from having their lenses spray-painted, and offer multiple angles of the action in the store.
It’s important to install a couple of big monitors that display your cameras’ views as a deterrent.
Keep a decoy digital video recorder (DVR) available for bad guys to steal or destroy, and lock up your real DVR in a safe place. You can also use a cloud-based system.
Besides offering crime prevention, a surveillance system can help you defuse tempers when an argument breaks out and escalates. Approach the customers and tell them to please calm down, pointing to your cameras and saying that everything in the store is being recorded. It works like a charm.
Avoid Leaving One Employee Alone in Your Store, If Possible — One employee is obviously at greater risk, and a business with only one employee is more inviting to the bad guys. Keeping good employees can be harder if they don’t feel safe being alone, especially if your mat experiences a crime.
Keep Your Register Locked When Not at Counter — There was a scam in NYC where a perp would dress as a sanitation officer (wearing the entire uniform except the badge). The “officer” would declare that the mat had a litter violation outside and you would be fined. They’d say they wanted to show you the violation and ask you to step outside. As soon as you exited, his buddy would jump the counter and steal the money.
Quick-Change Artists — Be wary of someone you’ve never seen before who has no laundry. Often, these people will walk in wanting to buy something cheap like a nylon laundry bag and hand you a $100 bill. You should stop right there and hand them back the bill before they confuse the hell out of you and end up walking out with more than they came in with.
Limit Providing Personal Information — My “stage name” was Frank; I felt the less the public knew about me, the better. Also, I told my crew to never give out information about me or the store, especially to a phone caller.
To Carry or Not to Carry — Carrying a gun is a very personal decision. I believe that you can die in a high-crime area either way, depending on the circumstances. I had a NYC carry permit for 30 years and it saved me and my employees on three separate occasions. However, every situation is different and carrying a pistol can easily get you killed if they get the drop on you, especially if there’s more than one perp.
How to Safely Transport Money — I kept “bait money”
on me to satisfy would-be robbers. Keep some money in your wallet, and a few hundred bucks more in your pants as bait, but keep your real collection money inside a bag of laundry. If you get jumped, don’t look the bad guy in the face. Just cooperate, and make no quick moves. Hand over your money and pull your pockets inside-out. When they ask for the real money, give them the bait money from your pants.
Some criminals are crazy and may harm you anyhow, but it’s must less likely if they get your bait money. In my experience, most criminals are drug addicts, and what they really want is money. They’ll think they got “your stash” and should leave.
“Buzz In” After Hours — One of my mats open and staffed 24/7 was located in a “borderline” neighborhood. During what I called the graveyard hours, my staff focused on getting the drop-offs done, and I also had someone cleaning the store. We did accept self-service customers, drop-offs and pickups during that time, but any had to be buzzed in (door unlocked by command). Visitors had to use a doorbell, and cameras outside the doors alerted staff when someone was nearby. My crew was always wary if someone didn’t have laundry with them.
Be Careful When Leaving — Thieves could be stalking you, the owner, to nail you in the parking lot or, worse, follow you home, endangering your family. Always vary your route home with several turns, and maintain your situational awareness.
I’ve known of some mats being built with a separate entrance where the owner can come and go undetected. If your store has such a design and your VTM is a rear loader to the office, so much the better. Place a camera outside that exterior door so you can check the surroundings before leaving.
Your own customers may be friendly with bad guys and can rat you out (NYC police called this a “contract” because the customer got a piece of the action), so change the times when you show up and when you leave.
If Able, Lock All Doors from the Inside When Closing — We once experienced a break-in where they greased a kid’s body and slipped him in between the window bars. Once in, he opened the back door for the big guys. I learned from that, so I always had the doors locked from the inside after closing.
Years later, someone broke in through the roof at another mat. He dropped down, breaking through our drop ceiling and triggering the alarm and central station. Because the doors were all locked from the inside, he was trapped. Police driving by were able to see the dangling drop ceiling. The cops broke in through the front door, and two police dogs found the burglar hiding behind the dryers. He spent two years in prison.
Remind Customers to Watch Their Belongings — People tend to relax in a laundromat after they’ve settled in, and they tend to neglect their personal belongings: cell phones, purses, etc. Customers will steal from each other, so post a sign to remind everyone to secure their valuables and that you are not responsible for theft.
Make a Sandwich Plate for Your Drop Safe — If you use a drop safe to store your cash and important documents, I hope it’s rated at least a B, if not a C. The C-rated safe, with its 1-inch solid-steel door, stands up to sledgehammers and crowbars much better.
At one of my stores, I had a steel plate installed in the basement that matched the mounting holes of the safe. The floor was sandwiched in between the safe upstairs and the plate downstairs. One night, someone tried to break into it. They smashed our alarm system, expecting to ▼
make a quick attack, but left empty-handed when the police showed up. Two cast-iron log-splitting wedges were jammed under my safe, and I ended up with their tools and a nice leather jacket.
Watch Out for Utility Scams — One thing that will cause most mat owners to panic is losing any of the utilities. After all, without your utilities, your mat comes to a screeching halt. Some bad guys know this and will play on your fears.
For example, your mat receives a phone call from someone claiming he’s from the billing department of your utility provider. They didn’t get your last two payments and he’s sending two workers to shut off your electrical service within the hour. Your crew calls you in a panic.
You scratch your head: “This can’t be. I know I paid my bill.” You dial the number of what has to be the burner phone used to contact you. He answers by saying the only way to keep your utilities on is you must pay your bill immediately in cash.
Believe it or not, this scam has worked successfully in NYC. Many mats there are owned by immigrants who have trouble understanding English, let alone local laws. So beware of anyone who tries to frighten you into paying cash.
Preventing Employee Theft — To deter “sticky fingers,” always keep at least two cameras looking at your register, or install a POS system that uses cameras.
The best place to start theft prevention among your employees is with good hiring. Honest employees are out there but they’re rare. The trick is to identify them within your applicant pool.
Interview candidates at least twice. In my first interview, I’d ask openended questions to gather more info than just “yes” or “no.”
Look to hire long-term employees. If they value the job, they are a little less likely to succumb to temptation, but be wary that they can steal over time if you slight them over something. Long-timers know your operation inside and out, so there’s both motive and opportunity.
Since many applicants look at a laundromat job as being temporary, I’d ask them a two-part question: “So how long would you like to work for me? A month or two?” If they said yes, I’d scratch them off. If they answered something like, “Well, I’m hoping to work here as long as possible,” or “Can I work for you longer than that?” they moved on to a second interview.
In the second, I would screen them with a written “Integrity Test.” These helpful tools are not perfect, but much better than just using your gut for hiring. They won’t screen out every dishonest person but they did screen out the real bad ones for me. In fact, I was amazed at how badly some people answered the questions.
Some people are real good at interviews, so whenever I hired against the test score, usually that person turned out to give us problems.
Good crime prevention benefits any laundromat in a variety of ways. I wish you success in your efforts to protect your mat from crime.
Paul Russo owned and operated multiple laundromats in New York City for more than 40 years before retiring in 2018. You’re welcome to direct any questions or comments for Russo to Editor Bruce Beggs at bbeggs@atmags.com.
DISTRIBUTOR EVI INDUSTRIES ACQUIRES EXPRESS PARTS AND SERVICES
Commercial laundry and drycleaning equipment distributor EVI Industries, based in Miami, reports that it has acquired Express Parts and Services (“EXP”), a distributor of commercial laundry products and provider of related technical installation and maintenance services, based in Sykesville, Maryland.
EVI didn’t release terms of the acquisition—made by simultaneously executing a definitive asset purchase agreement and closing on the deal— in its announcement.
Adding EXP to its portfolio increases EVI’s presence and market share in Maryland and will enable it to provide increased customer service throughout the region, the company says. The commercial laundry business acquisition is EVI’s 24th since fall 2016.
“We believe that each acquisition is integral to achieving our long-term growth goal to build North America’s largest value-added distributor of commercial laundry and related products and the most dynamic network of commercial laundry technicians through which we may best support commercial laundry customers,” says Henry M. Nahmad, EVI chairman/ CEO. “We are pleased to welcome Max Usik and the EXP team to the EVI family and look forward to working together in pursuit of our longterm growth goals.”
In a recent financial filing, and prior to acquiring EXP, EVI reported it had grown from one business operating from a single Florida location with 31 employees to 24 businesses employing hundreds of people.
“The thoughtful execution of our buy-and-build growth strategy has
earned us a positive reputation in and around the commercial laundry industry, including among owners of quality businesses,” Nahmad says. “We remain very active in the pursuit of additional investments in other great businesses and given our record, reputation, and appetite for significant growth, EVI is well-positioned to capitalize on a growing number of opportunities.”
GIRBAU NORTH AMERICA NAMES 2022 DISTRIBUTORS OF YEAR
Commercial laundry equipment manufacturer Girbau North America (GNA) recently recognized several distributors with 2022 Distributor of the Year awards for superior sales and service within specific markets. Fowler Laundry Solutions, based in Union, New Jersey, received its fifth consecutive GNA Multi-Housing Distributor of the Year award for outstanding service, sales and support in the multi-housing laundry market.
Led by Doug Fowler and founded in 1952, the multi-generational company employs 70 team members. The full-service company is among the largest laundry equipment distributors in the Mid-Atlantic region and serves the vended, multi-housing, on-premise and industrial laundry markets.
“The Fowler team makes it easy for customers to do business with them because they provide full service and support at every stage, from the laundry amenity proposal and facility upgrades to the value-added
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elements critical to an extended relationship with their customers,” says GNA Vice President Joel Jorgensen.
“They masterfully package solutions tailored to each customer, often combining LG Commercial and Continental Girbau washers and dryers with payment systems, service contracts and ownership/lease options. At GNA, we are proud to work beside them.”
Lavanett, based in St. Laurent, Quebec, earned its third consecutive Canadian Distributor of the Year award for exemplary performance in the on-premise and vended laundry markets within Quebec.
Owned by Earl Eichen, Lavanett employs 20 team members and provides laundry and textile care solutions, parts and service.
“Lavanett once again captured GNA’s attention in Canada,” says Jorgensen. “Earl and his team work hard to provide targeted laundry solutions to a wide array of markets, as well as unrivaled service after the sale, which is a huge part of their success equation.”
“It’s hard to believe our first order with GNA dates back to May 2001,” says Eichen. “During this time, GNA has introduced several different series of equipment lines and constant upgrades on existing ones. These innovations have allowed us to penetrate different markets and gain a greater share of existing ones. We are selling equipment into markets now that we didn’t know of years ago.”
GRANT SUPPORTS NONPROFIT’S LAUNDRY SERVICE FOR HOMELESS
Cross River Bank, a technology infrastructure provider that offers embedded financial solutions, recently awarded a $15,000 grant plus a financial advisory commitment to Hamilton, Montana-based nonprofit Loads of Dignity.
That 501(c)(3) organization provides funds and supplies to individuals without housing to do laundry in a dignified and private manner. Loads of Dignity partners with Hamilton’s Fast and Fluffy Laundromat to provide persons in need with funds and an appointment at the laundromat to ensure these patrons’ privacy and anonymity.
Cross River Bank will also provide financial planning, and accounting experts will provide advisory services, to Loads of Dignity to assist in reviewing its existing business model for scalability, sustainability and replicability. It also provided an initial round of branded apparel for the nonprofit to sell to generate additional revenue.
“Impactful philanthropy is successful when our giving directly effectuates change in the lives of those we aim to serve,” says Miriam L. Wallach, head of social responsibility at Cross River. “Loads of Dignity provides acutely needed services that are essential to the Hamilton community, and we are honored to give assistance that will allow the organization to continue, and expand, on their incredible work.”
“I am truly grateful for Cross River’s dedication to go beyond helping us with their kind monetary donation, to making a commitment of continued financial guidance to expand past our current community and offer our services of dignity to other communities,” says Loads of Dignity founder Stefani Jackson.
SPEED QUEEN LAUNDRY OPENS SECOND CHICAGO STORE
Speed Queen Laundry franchisee Sanjay Banit recently opened a second location in the Chicago area.
At his new store located on North Milwaukee Avenue on Chicago’s Northwest side, Banit kicked off its grand opening in mid-April with a
free-wash week. He says he was eager to expand his operation to a second location.
“The ownership experience for a Speed Queen Laundry has been everything the company promised…it’s been absolutely amazing,” Banit says. “We are a part of a positive change in the industry and that’s evident in the positive reactions of our customers since opening the Grand Avenue location. They are appreciative of this clean, safe environment we are providing and, as an owner, that feels good.”
Touchscreen controls, app-based payment and rewards programs for frequent customers are all part of the franchise model’s cutting-edge technology. Washer-extractors and tumble dryers are designed to offer customers exceptional flexibility to tailor cycles, while getting them in and out in an hour. Each store provides a clean, well-lit environment with vibrant colors.
“Sanjay and his staff have represented the Speed Queen Laundry brand in exemplary fashion,” says John Shields, the general manager of North America Speed Queen Laundry franchise and Retail Operations. “The franchise team looks forward to seeing his continued success.”
MORE LAUNDROMATS PARTNER WITH HAPPYNEST
Tech-enabled laundry pickup and delivery service HappyNest continues to expand, the company reports, announcing that its services are now available in new locations in several states.
Park Ave. Laundromat is now providing next-day pickup and delivery laundry service east of Rochester, New York, from a 4,200-square-foot facility equipped with 30 washers and 33 dryers.
“We were very interested in HappyNest’s ability to help us expand our business,” says Mark Teng of Park Ave Laundromat. “We are always looking for opportunities to reach new customers and decided that providing laundry pickup and delivery service with HappyNest was a great fit.”
HappyNest has expanded availability to Oceanside, California, with new partner Pearl Laundry. Pearl’s 5,100-square-foot facility has entered the pickup and delivery space with 60 washers and 62 dryers.
Glendale, Arizona, customers looking for HappyNest’s service can now find it via new partner Sudz Laundromat. The 2,200-square-foot store has expanded into pickup and delivery with 34 washers and 36 dryers.
“We know that the support from HappyNest will help us make continual improvements to our processes and procedures and allow us to scale our pickup and delivery business efficiently,” says William Rogerson of Sudz Laundromat.
Residents of the Austin, Texas, area, can now find next-day pickup and delivery service provided by new HappyNest partner ATX Laundromat. The 1,950-square-foot facility run by eight-year veteran John DeYoung features 42 washers and 64 dryers.
With its service already available in many areas in New York state, HappyNest has expanded into the area north of Westchester County via new partner Lucky Suds. The 1,300-square-foot facility is equipped with 24 washers and 24 dryers.
“We already have a great relationship with HappyNest,” says Mike Weinrach of Lucky Suds. “We thoroughly enjoy the interactions and support with our community and are interested in further increasing our revenue by expanding the territories that we service.”
HappyNest—now available in 37 states—says it boosts productivity and cash flow during the slow mid-week for its laundromat partners. Its support includes marketing for signups and retention, software for route management, business mentoring, and a customer service team.
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