New startup questions

[therserv]

Hello, Ladies and Gentlemen.
Thank you for this very informative forum. I'm new, new, new. I am wondering about the cost of start-up. I've seen $100,000+ and am wondering where this number cimes from. We're looking at starting a approx. 2000 square foot facility in an owned building. With new equip. running about $50-60K, what are my other expenses.

Thank you in advance. I'm learning every day!

Jon

[Howard]

That number sounds very low for equipment, unless you are installing very little equipment in that space. Front load washers generally sell for somewhere around $100 per rated pound of capacity with stack dryers going for around $4K (that is for two pockets). Add to that installation, delivery etc... Then you need to look at the cost of pouring pads and framing around the dryers. Don't forget "little" things like the cost to bring in a 2" water line, a large sewer line, a good size natural gas line plus three-phase 220v electrical service. Then there is all the plumbing and electrical wiring within the store to connect all the machines. Decorating might add some money, not to mention things like soap machines, change machines, carts, folding tables, etc, etc, etc.... So, less than $100K sounds far from possible, less than $200K should be possible but probably not a whole hell of a lot less.

[petefritz]

Howard' numbers are right on, maybe to small. I think your equipment buill will be way over 150k plus install.
You might want to check with the local water and sewer depts, you might find a impact fee of up to 2 thousand a washer for permitting.

[brucehwalker]

My tap fee alone was $26,000. I spent way over $1,000 on soap and paper supplies, rugs, etc. $5,000 for snack and vending machine. The list goes on and on.

[hotwash]

if it were cheap everyone would have one, the only hard part to the business, location and money to play the game