There are several stages in the business lifecycle that come once a company is already established. During this time, access to the tools, expert advice and network that Eastern Funding can provide is even more essential. To see the earlier stages in the life cycle of a laundry business, check out part one of our series.
If the growth stage is the time during which business owners learn to accommodate a large influx, the established stage is the time to consolidate those gains. Growth tapers as the market finishes correcting itself to account for the addition of your business and business life becomes routine. During this time, you should focus on saving for future growth, increasing productivity and reducing liabilities. Avoid resting on your laurels at this stage.
Eastern Funding maintains the customer relationship during this stage to discuss short- and long-term goals for your business portfolio. Do you want additional laundromats? Are you thinking about expanding your existing location? Or perhaps, are you thinking about other industries in which to invest your money? Eastern Funding can help you reach your goals and/or provide you the resources.
Consolidating your business’ gains is a never ending process, but once you feel comfortable and have a significant chunk of savings, it is time to move on to expansion. For a laundry business owner, this may mean improving the existing laundromat to better compete with competitors, adding new services or accommodating more customers, or it may mean investing in a new laundromat.
Even laundry business owners who have saved up a significant amount of money are likely to need financing in order to expand to a new location or make large upgrades to their existing location. Eastern Funding evaluates existing Laundromats to help determine the appropriate level of financing is needed to achieve the desired goals for expansion and continued profit.
Profits tend to be relatively stable but will decline slowly over time in response to increasing competition or equipment/utility inefficiencies. Another consideration for a mature store owner is how much time is left on the existing lease and does it make financial sense to replace older equipment.
Eastern Funding can help business owners to identify successful ways to grow and help finance them. As an outside set of eyes with expert knowledge of the laundry business, we help business owners to decide whether it is preferable to extend the lease and upgrade equipment, focus on expansion or exit by selling the business.
If other realistic options have been eliminated, or if the owner of the business is ready to move on to new things, it is time to exit the business. Successful business owners may be able to sell off locations to those new to the business or competitors for a significant profit.
Eastern Funding can help to find buyers for Laundromats, aid in valuation and provide financing options to the buyer for the purchase of the business.
The challenges and points of focus change drastically throughout the business life cycle. One of the few constants is that Eastern Funding remains a valuable partner throughout the entire process. Speak with a representative at Eastern Funding and begin today.