Laundry Business and Franchise

FOR Engr. Fred Lumabas of Kalinisan Laundry, the growth of the Philippine's personal laundry services is proving to be a boon for the business. "People are becoming more aware kung ano ang tunay na laundry," he said, "which in turn, increases the demand for the service."

Lumabas also cited the tourism boom and the difficulty of looking for laundrywomen as other factors that make laundry business feasible.

Starting the business

It is advisable that one should start with a feasibility study because initial capital can run up to millions of pesos. "Make a study of whom you're going to serve," Lumabas suggested. "Consider, too, the availability of good quality water and your accessibility to target customers."

With that, he related how Kalinisan Laundry started. "You see, we have this chain of hotels in Manila. We had our laundry done by one company. But the quality was not going up and up. So we did a study. In that study, we found out that it was then viable to start a laundry business. After that, I started buying second hand laundry equipment from the United States. With five machines, we started doing our own laundry in a small place in Makati in 1985. Each machine did 600 kilos for one-and-a-half-hours. With such capacity, we started doing the laundry of other hotels, restaurants, and fitness clubs, too. Later, we also washed export garments. Nang naging expensive ang lot sa Makati, we moved to Bagong Bayan, Quezon City two years after."

Equipment

"Well, we started with second-hand washer extractors - eto ang mga machines na naglalaba, tapos nagpipiga," he said. "Through the years, nang lumaki na ang volume ng laundry, nagging modernized na kami. We have now the most modern laundry equipment which we call the tunnel washers.

"Computer-controlled ito from loading of dirty linens hanggang sa paglabas, dried na. Ang capacity nito, one ton (1,000 kilos) per hour."

Lumabas advised against using washing machined designed for homes. "Hindi pupuwede ang mga washing machines na intended for domestic use since maliit lang ang capacity nito. Hindi pang-commercial laundry. Not durable enough for, say, 30 kilos, 50 kilos, 100 kilos up to 600 kilos. Besides, domestic use requires neutral detergents only. Whereas, sa commercial laundry, limang chemicals ang ginagamit."

Financing and profitability

"If you're starting with personal laundry, you will need a minimum of P5 million, covering investments in equipment, business area, and operating costs," he said, adding that for institutional laundry, startup financing requires a much larger amount.
Lumabas disclosed that an entrepreneur may opt for franchising. "Pag franchised na laundry business, mas liberal ang terms; meaning, hulugan for so many years."

Although both have proven to be profitable, personal and institutional laundry services differ in pricing, he explained. "Pag institutional, mura lang ang singil pero malaki and profitability kung malaki rin ang volume.

"Unlike sa personal laundry which is high margin, pero high risk. At saka, ang mga tao merong mga needs na dapat imi-meet ng personal laundry business.

"For example, kailangan mabilis, kailangan walang damit ng iba na nakahalo . . . that's why personal laundry charges higher."

Environmental impact

Before going into the business, the entrepreneur should think about being environmentally friendly. "Don't think only about earning big profits," Lumabas advised. "Think of your responsibility to the environment. You have to treat every liter of water you throw out."

"In Kalinisan Laundry, we were able to put up our own water treatment plant since it was viable for us. Lahat ng pinaglabahan tini-treat naming, para pag labas sa canal, tama ang temperature, tama ang acidity, walang amoy, walang dumi, clear ang color."

If at the start, an entrepreneur does not have enough to invest in a water treatment plant, Lumabas suggested that it would be more feasible to have the linens of restaurants and hotels contracted outside. "Mag concentrate ka na lang sa mga damit. That way, maliit lang ang water treatment na kakailanganin mo diyan."*


(Kalinisan Laundry specializes in washing, drying, pressing, ironing, stain removal, linen recovery, textile rental services, clean room services, consultancy and audit services for on-premise laundries. Its Institutional Services specialized in garment washing services which include special finishes such as bio-wash, stonewash, stone bleach, pigment wash and enzyme wash. Its main office and plant is located on 10 Manggahan Street, Barrio Bagumbayan, Quezon City with tel. Nos. 635 - 0601 and 635- 0644)

SOURCE:
Growing demand for laundry service
Philippines Today
http://www.philippinestoday.net/June2001/businessideas601.htm

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LAUNDRY FRANCHISES

LAVANDERA KO
Suite 701, Don Alfonso Sycip Condominium,
1108 L. Guerrero St., Ermita Manila
E-mail: lavanderako@hotmail.com
Contact Nos. (632) 525-2895
Telefax: 525-0986
Investment: P399,000.00


NOTHING BUT LAUNDRY AND DRY CLEANING SERVICES
RK Franchise Consultancy
Ground Floor Minnesota Mansion, 267 Ermin Garcia, Cubao
1109 Quezon City, Philippines
Manila (02) 912-2946, 912-2973, Nationwide Tollfree: 1800-10-88888RK
Email: rk@rkfranchise.com
Investment: P200,000.00


ANGEL SENT LAUNDRY CENTER
Mr. Emma San Juan
303 Brooks St. Bloomingdale Subd., Anogo Rizal
Contact No: 451-1853
Investment: P700,000.00


GLORIA LAVANDERA
Ms. Myrna Jamias
Suite 204-206 Realty & Development Bldg. 11th Street, Pacita Complex
Contact No: 868-9807
Investment: P750,000.00


METROPOLE LAUNDRY SERVICES
Unit 8 Valencia Hills Commercial Complex, Valencia
Corner N. Domingo Streets, Quezon City, Philippines 1101
Telephone Numbers: (632) 646-7498 to 99
Facsimile: (632) 646-1244
E-mail: dryclean@ibahn.net
Website: http://www.metropole.com.ph/franchise.htm
Investment: P800,000.00


CYBERLAUNDRY
Mr. Eric Caeg
6928 Washington St. Makati, MM
Contact No: 867-4232
Investment: P850,000.00


FABRICARE CLEANERS
Mr. Danilo Eguia
9 Capricorn St., Carmel V. Subdivision, Banlat, Tandang Sora Q.C.
Contact No: 939-6858; 633-3832; 633-3823
Investment: P1,000,000


LAUNDRY EXPRESS
Ms. Cristina Hernandez
317 A. Lake St., Barangay Salapan, San Juan, MM
Contact No: 723-9778
Investment: P1,400,000


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Detergent Suppliers

KING LOUIE MARKETING
Contact Person: Mr. Louie Bengero
Email: kinglouiemarketing@gmail.com


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Tags:
Entrepreneur Essentials, Small & Medium Business, Business Franchise