Equipment upgrades, second-location expansion, remodels, and working capital — Merchant Fund Express provides fast, flexible financing for laundromat owners who want to grow without waiting months for bank approval.
The laundromat industry is one of the most recession-resistant businesses in the United States. With over 35,000 laundromats nationwide generating more than $5 billion in annual revenue, coin-operated and card-operated self-service laundry facilities provide an essential service regardless of economic conditions. People always need clean clothes.
But laundromats are equipment-intensive businesses. A single commercial washer costs $3,000–$12,000; a commercial dryer, $3,000–$8,000. A typical laundromat has 20–60 machines. Total equipment investment for a new laundromat can reach $150,000–$500,000, and even an established laundromat needs to replace aging machines every 10–15 years as they reach the end of their operational life.
Beyond equipment, laundromat owners face capital needs for remodeling (updated facilities attract more customers and justify higher prices), expanding to second locations, upgrading from coin-only to modern card payment systems, and managing seasonal or weather-related cash flow variability. Traditional bank loans are slow and documentation-heavy. MFE provides an alternative: revenue-based underwriting with fast decisions, specifically designed for business owners in cash-intensive industries.
Laundromats present a unique banking challenge because many operations are historically cash-heavy — customers pay with quarters and coins that are collected and deposited periodically. While this model is changing rapidly with the adoption of card payment systems and laundry apps, older coin-op businesses may have irregular deposit patterns that make traditional bank underwriting difficult.
For laundromat owners applying for business financing, the most important preparation step is ensuring that revenue — whether from coin collection, card transactions, or wash-and-fold service — is deposited consistently and regularly to a business bank account. Three to six months of consistent business bank statements showing $10,000+ per month in deposits is the foundation of a strong application.
Operators who have already upgraded to card payment systems have an advantage: card revenue deposits automatically, creates a clean bank record, and simplifies the application process. For coin-op operations, weekly coin collection and same-week deposits create the clearest paper trail.
The most common financing need for established laundromats. When 10-year-old machines start breaking down frequently, replacing a full row of 8–12 machines can cost $40,000–$120,000. Equipment financing spreads this over 24–60 months with fixed monthly payments, preserving your operating cash flow.
Converting from coin-only to card/app-based payment systems typically costs $15,000–$60,000 depending on the number of machines and the technology vendor. The upgrade increases revenue (customers spend more when not limited by available quarters), reduces coin collection labor, and creates cleaner financial records. Working capital or equipment financing covers the investment.
An updated, clean, well-lit laundromat with modern seating, Wi-Fi, and card payment commands premium prices and generates more loyalty. A full remodel (flooring, lighting, paint, seating, HVAC, signage) can cost $30,000–$150,000. Working capital loans fund the renovation while the improved facility generates the return.
Successful laundromat operators often identify underserved neighborhoods or failing competitor locations as expansion opportunities. A second location requires lease deposit, utility setup, full equipment purchase, and operating capital before generating revenue. Working capital financing bridges the launch period for operators with proven first-location success.
Adding a drop-off wash-and-fold service increases revenue per square foot and generates predictable, recurring income from regular customers. Launching this service requires additional equipment, staffing, and marketing. Working capital supports the investment until the new service reaches profitability.
Water heaters, water softeners, and energy-efficient boiler systems represent major capital investments for laundromats. Replacing aging water heating infrastructure can cost $8,000–$40,000. Equipment financing makes these necessary capital expenditures manageable over time.
Laundromat revenue is strongly correlated with location demographics and competition density. Urban laundromats in densely populated renter-heavy neighborhoods generate the highest revenue — often $15,000–$40,000 per month for well-maintained facilities in strong locations. Suburban facilities in lower-density areas generate $5,000–$15,000. Rural laundromats serving smaller communities may generate less but often face less competition.
The trend toward higher-end laundromat experiences — sometimes called "luxury laundromats" — is creating premium revenue opportunities in urban markets. These facilities feature large-capacity machines, comfortable seating, TV screens, Wi-Fi, vending, and wash-and-fold services. They charge significantly more per wash and attract a broader demographic. The capital investment is higher, but so is the revenue ceiling.
For financing purposes, location quality and demonstrated revenue history are the most important factors. A laundromat in a dense urban location with $25,000/month in card revenue has an excellent qualification profile. A rural coin-op with minimal bank deposits needs to work on its banking documentation before applying.
Finance commercial washers, dryers, card payment systems, water heaters, and infrastructure. Terms up to 60 months.
Learn MoreFund remodels, second locations, service launches, and operating expenses. Fixed repayment terms of 3–24 months.
Learn MoreRevolving credit for maintenance reserves, utility cost fluctuations, and opportunistic equipment upgrades.
Learn MoreAdvance based on card revenue. Best suited for laundromats that have converted to card/app payment systems.
Learn MoreFixed daily ACH payments calibrated to your revenue. Designed for predictable, recurring cash flow businesses.
Learn MoreCoin-heavy operations: if your revenue is primarily coin-based, ensure you are depositing coin collection to your business bank account weekly or more frequently. Consistent deposit history over 3–6 months is the foundation for your application.
Yes. Laundromats with at least 6 months of operating history and $10,000+ in monthly revenue can qualify for working capital loans, equipment financing, merchant cash advances, and business lines of credit through Merchant Fund Express.
Equipment financing through MFE can be used for commercial washers and dryers, card and coin payment systems, water heating equipment, water softening systems, folding tables and facilities, POS and management software, and HVAC systems used in laundromat operations.
Eligible laundromat businesses can qualify for $5,000 to $500,000 depending on monthly revenue, time in business, and credit profile. Multi-location owners and high-revenue operations typically qualify for larger amounts.
Revenue is the primary underwriting factor. Laundromats with consistent cash or card deposits of $10,000+ per month have strong approval prospects. We review 3–6 months of business bank statements to assess revenue consistency and cash flow patterns.
Yes. Working capital loans and equipment financing are both suitable for remodels, machine upgrades, and facility improvements. Equipment financing is typically most cost-effective for specific machine purchases; working capital loans offer more flexibility for mixed renovation projects.
We work with credit scores as low as 500. Revenue and cash flow consistency carry significant weight in the approval decision — a laundromat with strong, consistent monthly deposits can qualify even with imperfect credit history.
Approved businesses can receive funds in as little as 24–72 business hours after submitting complete documentation and receiving approval.
Yes. Working capital loans can fund a second location's lease deposit, utility setup, initial equipment purchase, and pre-opening costs. Established laundromat operators with proven first-location revenue have a strong application profile for expansion financing.
Apply in 10 minutes and get a funding decision today. No weeks of waiting — funding in as little as 24 hours.
Start Application Call (305) 384-8391Reviewed by MFE Funding Team | Updated March 2026
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