For Example - Let's use the sample Laundromat I had last week. In this case the washer revenue at 1 Turn was $93.00.  If we assume the dryer revenue is 1/2 of the washer revenue, then the store revenue at 1 turn will be $139.50 / one turn.  If the store is open 16 hours a day, the maximum revenue would be (16 * 139.50) or $2,232 per day or $15,624 per week. This is a huge and very un-realistic number, but it is the absolute maximum revenue that this store can generate.  % Utilization figures are percentages from this maximum weekly revenue number.  The higher the percentage the higher the revenue. 

Problems with % Utilization - In the above chart we can see that when the numbers are calculated on a 16 hour day that we get a completely different set of figures than when we use a 24 hour day. In addition if the Laundromat is open from 6 AM to 10 PM, this is 16 hours of operation, right?  But how many hours of operation can the washers really run?  Doesn't a load of clothes need to dry?  So really a 16 hour day yields only 15-1/2 hours of washer operation. The last ½ hour of the day is required to dry the clothes.

Cycles Per Hour - Now can you really get 2 wash load per hour?  I have watch customers and the average is closer to 1-1/2 cycle per hour.  A 30 minute wash cycle and approximately 15 minutes of un-loading and re-loading the washer.  By the time you load the clothes in the washer, get some change, place soap in the soap box, and start the washer; you have lost about 10-15 minutes of "washer cycle time".  So instead of 32 washer cycles in a 16 hour day we now really only have about 23-1/4 wash cycles per day. This is a huge difference on how you generate the numbers and this knocks the % Utilization figures all over the map.

Turns Per Day - Now if we look at Turns Per Day (TPD) we eliminate the washer cycle time and the # of washes possible per day.  TPD is based on the simple "assumption" of how many times every washer in the Laundromat is operated.  TPD is by no means the "silver bullet" of revenue projections, but in my mind is eliminates several variables and is a far better way to determine Laundromat revenue projections.  I feel that Turns Per Day is the only way to try to calculate Laundromat Revenue projections.  

Revenue Projections - Laundromat revenue projections are a guess at best. Unfortunately there is no empirical formula that says given a population of X with Y number of renters and this level of visibility & street appeal and Z amount of traffic count with this level of competition and that level of management of operations that we will get a specific dollar figure of revenue. There is no such formula, and probable never will be. But we can use common sense and judge relative difference between existing Laundromats and their prospective locations.  We can look at the competitive Laundromats in the area to judge their volume.  We can use demographics and look at the % of renters.  The more you research the numbers and the location, the more confident you will become with your "gut feeling".  As I have said in my Laundromats 101 write-up on my website, you want to find the very "Best" Laundromat location. I f you have the "Best" location, the store will be a success, the only question is only how much of a success.  If you have a poor location, the store will certainly fail.  Cruel words, but true.