Is Laundry Business Profitable in India? Laundry Business Ideas.

. 12 min read
Is Laundry Business Profitable in India? Laundry Business Ideas.

Table of Contents:

1. What Is Laundry Business?

2. Laundry Business Ideas

3. Is Laundry Business Profitable?- Examples From Laundry Startups.

4. Laundry Business In India- Is It Important?

5. Laundry Business Investment & Ideas

6. Laundry Business Plan

7. Compulsory Documents For Laundry Business In India

8. Documents For Laundry Business Loan in India

1. What Is Laundry Business?

Over the years, washing clothes and fabric has transformed into a full-time business from a house-based job. With the increase in the use of delicate fabrics for making clothes, relying on traditional cleaning methods has become impossible. Many startups have drifted towards the laundry industry for improving their profit numbers. The demand for laundry services is increasing because of the increase in social and professional activities of individuals. People spend hours outside their home, either traveling or working.

Most of the household chores are left unfinished because of such erratic schedules. Laundry is one of the main chores falling in this category. To avoid the complications of fussing over clothes at home, people choose to directly send their clothes and bags to the nearest laundry stores. In western countries, laundry services are made for self-use. People enter the stores to clean their bags and clothes using their detergent in the washing machines available in the store. People have believed that the laundry market is heavily dominated by offline service providers.

These offline shops are only known for taking care of premium clients. However, studies and reports in this field have shown contrary results. As per Tracxn’s report, laundry startups have increased to cross the 100 unit mark, and more than $6.2 million have already been invested in the industry. The evaluation of an unorganised laundry market that includes maids, servants, mom-and-pop stores, and Dhobis is estimated to be around INR 5000 crores, while the total size of the Indian laundry market is INR 2.2 crores.

2. Laundry Business Ideas

Innovation and creativity are the foundation of any successful business. However, there is another addition in the Indian markets for laundry services. The main customers of this market are bachelors and students. Targeting them will help in increasing the popularity of any laundry startup. Recently, startups have focused on offering compact designs with longer utility. They provide high performance at budget-friendly costs for increasing the appeal of their services amongst the target audience. Complete customer satisfaction is the only way to ensure success and demand in the market.

What Is Laundry Business and Is Laundry Business Profitable?

3. Is Laundry Business Profitable?- Examples From Laundry Startups.

1- Leather Laundry

Leather Laundry is a startup that focuses on providing comprehensive care solutions for leather. The founder of the startup Mallika Sharma said that their team ensures all-around cleanliness of products. When a bag comes for cleaning at their store, they don’t simply clean the stains on the surface. They provide extraordinary cleaning services by cleaning the lining, cutting the loose threads off, polishing the trims, and giving an anti-molding treatment to the product.

Their professional finishing on the product adds value for their customers, which makes them the favorite choice in the market. After the products are cleaned, they also provide post-care instructions, which help their customers take care of their products at home. Any requirement after-sale is also properly addressed. Sharma says that her target audience is educated. These people believe in keeping quality over price because they value superior service. The company has chosen to target only a specific type of customer because they want their audience to understand the uniqueness of their offerings.

2- The Laundry Bag

This company places importance on the convenience of the customers. Adding their name to the bandwagon of startups that introduce apps for satisfying their customers. The Laundry Bag has gone a step ahead to increase their customer’s ease of use. Their team says that the marketing of their brand required many above and below the line tricks. Along with those tips, digital marketing also played a pivotal role in its success.

The van that picks up and delivers the products has the name and logo of the brand for marketing. These vans are purposed as personalised pickup vans. Over time, many people notice such vans and remember the names for future use. One more tip to take from the operations of The Laundry Bag is to offer different kinds of services for the customer. In addition to the basic cleaning services, they also provide washing and dry-cleaning services for bags and shoes. This makes them a one-stop destination for different customer needs.

The Laundry Bag has also started an on-campus Laundromat because they wanted to offer something unique to their customers. Their team knew about the Laundromat services, which are common in the United States. These services weren’t introduced in India at that time. Leveraging this to their advantage, The Laundry Bag introduced the model titled ‘laundry on demand.’ In terms of accessibility and quality of the products, their company offers a unique experience to its clients, especially in a small city like Raipur their services became an instant hit.

3- UConcept Solutions

This company has its roots in Gurgaon. It is the proud owner of a technology-powered service provider that goes by the name of UClean. The company has a few owned stores owned, and it follows a franchisee model. Their customers get to wash their clothes at the nearest UClean outlet with the help of their app. Their platform is currently under development. Still, they provide the facility of pre-booking slots for cleaning and washing clothes at the nearest store. Customers can also schedule the facility of pick up and drop directly from their commercial or residential space.

4- Laundry Anna

The founding member of Laundry Anna, Prateek Rana, says that every laundry company must start providing their services from the cities that are the most populated in India. Examples of such cities are Bangalore, Mumbai, Chennai, Delhi, Kolkata, and Hyderabad. To make a company famous in every household of the city, laundry startups should create a profitable model for services so that they comfortably expand their offerings to the famous urban cities of the country.

4. Laundry Business In India- Is It Important?

The working-class heavily relies on laundry services because of their unpredictable schedules. The demand for clean clothes only increases, as the pace of life in the cities increases. This is why the demand for such services is more in urban areas when compared to rural towns. Not only do these services help in saving the time of individuals but it also de-stresses them for the day to give them the time required for focusing on their personal and professional life.

Laundry services are availed for cleaning fabric on an extremely large scale where the scope of cleaning fabric in washing machines is very less. To thoroughly clean such types of clothes and bags, many companies and individuals avail of laundry services from big and small companies. Regular fabric cleaning is required in places like restaurants, hotels, and hospitals. The need for laundry companies is extremely high around such places.

Laundry Business Investment

5. Laundry Business Investment & Ideas

For establishing a successful laundry business, the entrepreneurs must always focus on some important points, as listed below:

  • LEARN WHAT IS LAUNDRY BUSINESS- The first unspoken rule of starting any business is to get a complete understanding of the trends, demands, and basics of the industry. The basic purpose of establishing a laundry business is to provide clean fabrics to incoming customers. The functions of this industry widely vary depending on the type of customer you choose to satisfy. Regardless of the financial situation of the country and individuals, laundry services will always continue to exist in their best shape.
  • FINANCIAL PLANNING- Depending on the working scale of your company, you must set up a budget for your services. After getting the required permits and registrations for your resources, you must focus your investment on the maintenance of your store and the services. In the following stages, you must establish the kinds of services you will be providing to your customers. Based on the demographic and financial research reports, choose your services and the basic prices for them.

6. Laundry Business Plan

Once you've understood all about laundry business investment and the laundry business in India, it's now time for a solid business plan to succeed. Some important things to include in your laundry business plan for the Indian market are:

  • Curate a Written Plan
  • Analyse Startup Costs
  • Make a list of laundry business equipments- washers, dryers, coat hangers, cleaning items, packaging bags, receipt software.
  • Calculate mandatory monthly expenses- Location rent, electricity bills, marketing budgets, insurance coverage premiums, cleaning supplies, and equipment lease.
  • Keep track of your Laundry Business Target Market like- Students, Bachelors, and Working Professionals.
  • Price your packages keeping in mind the rates from similar neighbourhood competitors.

7. Compulsory Documents For Laundry Business In India

The legal documents required for laundry business registration are as follows:

  1. Laundry Business Plan
  2. NDA (Non-disclosure Agreement)
  3. Insurance and health-related permits
  4. Employment contracts
  5. Permits from respective State Government
  6. License
  7. Certificate of Incorporation

8. Documents For Laundry Business Loan in India

  • Proof of Identity- PAN Card, Aadhar Card, or Driving License
  • Address or Residential Proof- Phone bill or Electricity Bill
  • Ownership Proof- Differs on your Chosen Lender
  • Financial Documents- Loan application documents, 1 year IT Returns a copy, and Bank Statements.

Also Read:

How Can I Start Spice Export Business In India?

How Do I Start An Organic Farm Business In India?

What Are the Booming Jobs in India?


Q. How much does it cost to start a laundry business in India?

Ans- The minimum amount of investment needed to start a laundry business in India or an average laundry business investment lands around Rs. 3 Lakh Rupees. It includes store location rental, licenses, pieces of machinery, etc.

Q. Is laundry business profitable in India?

Ans- Yes, the Laundry business in India is very profitable. The evaluation of an unorganised laundry market that includes maids, servants, mom-and-pop stores, and Dhobis is estimated to be around INR 5000 crores, while the total size of the Indian laundry market is INR 2.2 crores.

Q. How do I get customers for my laundry business?

Ans- Follow the steps given below to attract customers and generate better laundry business ideas:

  • STEP 1- Use Local newspapers, Google Ads, Facebook marketplace, and other social media to promote your new laundry business in India
  • STEP 2- Attract potential age group customers via Email Marketing
  • STEP 3- Optimise Online Presence via Local SEO & Technical SEO
  • STEP 4- Create a Promotional Video and use Word of Mouth Marketing
  • STEP 5- Offers ads in Popular newspaper, print media like- brochure, flyers, and pamphlets around the locality and neighbourhood

Ans- Yes, the format of the laundromat is increasingly becoming popular in Indian towns and cities.

Q. How much profit does a laundry business make?

Ans- Laundry businesses in India make easily around 35,000 to 50,000 Rupees every month. In small towns and cities, the profit remains close between 17,000 to 45,000 Rupees. Hence, laundry business investment is a good business opportunity.

Q. How much does laundry machine cost?

Ans- A general 15kg Industrial Washing Machine Price in India starts from 70,000 Rupees. While a 30 kg Commercial Washing Machine Price in India begins from Rs, 1,10,000 per piece. However, if you want to go bigger like a 50 Kg Washing Machine price in India falls from anywhere between 1,75,000 to 2,00,000 Rupees.

Q- What is the step-by-step process of starting a laundry business in India?

Ans- Listed below is the step-by-step process for starting an Indian laundry business:

  • Learn the basics of the industry
  • Financial planning
  • Setup services
  • Hire employees
  • Start marketing

Q. Why is a laundry business good?

Ans- Laundry business in India is one of the simplest business ventures, to begin with. The best part is picking a strategic location like working professionals, hostels, and PG based areas in a metro city. Getting a couple of good quality heavy industrial washing machines plus dryers, along with a trusted staff, and maintaining neat customer records is the best way to succeed in the Laundry business.

Q. How do I start a laundry pickup and delivery business?

Ans- To start pickup and delivery you need to first understand- What is laundry business? The laundry business in India is a humongous market in both metropolitan and suburban regions. Some of the most important steps to follow to start a laundry delivery service are:

  1. Proper Business Planning & forming Legal Entities
  2. Having a working Business Bank Account & a Credit Card(if applicable)
  3. Registering for Taxes
  4. Obtain all Licenses + Permits
  5. Get a Business Insurance

Q. Is a laundry service worth it?

Ans- Yes, laundry business investment in India is worth it. It comes like a social service for the people who lack time for laundry or cannot afford those super-fancy washing machines in the showroom. Go on and learn all about the laundry business in India and begin your venture.

Q. How do laundry business make money?

Ans- Laundry businesses take care of their customers religiously. Some easy methods to follow for generating successful laundry business ideas are:

  • Understand your customers and launch customised packages according to their needs
  • Provide multiple modes of communication as per customers convenience
  • Maintain a thorough garment tracking
  • Supervise each and every delivery and transaction daily
  • Keep an eye for competitor pricing