A WHOLE NEW INSIGHT

As Speed Queen’s head of laundromats sales, Royce Little has spent nearly a decade helping people set up successful laundromats across New Zealand. Last year he took the plunge into business ownership himself.

Royce has helped dozens of people open Speed Queen-equipped laundromats throughout the country. When a particularly compelling opportunity presented itself just over a year ago, he decided to become a laundromat owner too. In a small rural town, a considerable distance from where Royce lives, a retail site turned up in a prime location with ample parking. The only other laundromat in the area used a proprietary pre-paid card system – something laundromat customers really don’t like. Royce knew this was an ideal situation for a Speed Queen setup, which accepts any standard EFTPOS or credit card. 

A disciplined approach

Despite his experience, the move from adviser to investor wasn’t made without doubts. “It’s always a decision fraught with anxiety for any investor,” Royce says. “But I’m very glad I’ve done it. Along with the extra, semi-passive income it’s given me a whole new insight into what our other laundromat owners go through.”

Royce’s partner, Tammy, was the one who gave him the final push. “She reminded me that I know what I’m doing. I’ve seen this work for so many people. It was time to jump.”

Royce admits he got excited by a few tempting locations before landing the right one. “Tammy kept me grounded,” he laughs. “She’d say, ‘Don’t compromise, the parking’s not great there – look again.’ And she was right. It’s very tempting to seize the first opportunity, but I had to follow the same disciplined approach I recommend to others.” 

Remote management and self-service

The fact that the location was several hours’ drive from Royce’s home didn’t phase him, “The remote management and self-service nature of our laundromats make it entirely possible to own one in a different town than you live in”.  With no cash on site, camera systems, auto doors and excellent cloud systems, Speed Queen laundromat owners often live away from their businesses.

The experience of becoming a laundromat owner has deepened Royce’s empathy and understanding of Speed Queen clients. “I’ve now learned things I never would have if I hadn’t put myself in their shoes. Since opening my own laundromat, I have learned some good marketing skills using the online Speed Queen Insights system to target customers. This has led to a healthy uptake in customers and a great first year.”

“The Insights system has also been invaluable in running the laundromat remotely. I am very busy in my role at Speed Queen support office, and my laundromat has no impact on my job. I manged to get some local cleaners to look after the daily cleaning which has meant I only needed to physically check on the laundromat five times in the first year.”
Royce sees the continuing rise of laundromats as a response to modern life. “I think that people are just so time poor nowadays that laundromats are almost becoming a way of life. 

I have noticed a number of Air BnB customers using the laundromat as it is a cheaper option than commercial laundry services.”

A unique business model

Speed Queen offers a unique business model. It’s not a franchise, investors operate under their own brand, but with support from Speed Queen’s experienced team. This includes help with site selection, layout design, machine optimisation, and compliance with council and commercial water regulations.

“There’s no hard and fast rule about how long it takes to set up,” Royce explains. “In my case it took about six months to find the site, then five months to fit it out. But within four months of opening, I broke even on rent, running expenses, equipment and utilities.”

The cost of establishing a medium-sized laundromat ranges between $250,000 and $350,000, with a deposit of $100,000 typically required. Returns are often in the 20–30% range, with some owners doing even better than that.

“Our track record speaks for itself,” Royce says, “in almost 30 years, we’ve never had a Speed Queen-equipped laundromat fail.”

Sharing real experience

Royce’s experience proves that the technology behind Speed Queen makes investing in building a laundromat business very easy, once you have the right site. The system is cashless, remotely managed, and built with rugged, commercial-grade equipment that lasts. Investors don’t need staff or even a prime retail location – just visibility and parking. 

“If you’re considering a semi-passive, remotely managed business that generates real income, I’d love to talk,” says Royce. “We’ve identified several locations across New Zealand with strong potential. I’ve been there – done it myself – and now I know it really works.”

Speed Queen is about a whole lot more than selling laundromat equipment. With Royce on the team, they’re sharing real experience about how to create a business – someone who’s helped build success after success, and who now has real skin in the game.  

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