What Permits Do I Need to Open A Laundromat?

Thinking of starting a laundromat business but not sure what permits you’ll need? You’re not alone. In fact it’s one of the top questions we hear from people thinking about getting into the laundromat industry. You might be wondering why do business permits matter? Will they really impact my ability to run a successful laundromat? The short answer is yes. While they may feel like admin and require an initial investment (both time and money) making sure you have the correct permits is as essential to your business model as having a comprehensive business plan or business funding. Without it, you can't legally operate. But what permits do you need? When you're in the process of getting your business idea of the ground it can be hard to get the right business advice. There's plenty of information out there about monthly costs associated with laundromats,  whether that's utility costs, operating costs or startup costs. And there's no shortage of advice on how to attract target customers. But when it comes to discussing which permits you need, there's less information to be had. Which is why we put together a short guide and checklist, covering the most commonly required permits for opening a laundromat business. 

Navigating The Legal Permits for Your Laundromat

Business Licences and Registration

Before you can begin operating, you’ll need to purchase a business licence, which allows you to operate as a legal business entity. There are several different options available to you here, but one of the most popular choices is to set your laundromat up as a limited liability company. Although this may require more paperwork than sole proprietorship it also offers you greater legal protection. You can find out more about the benefits of an LLC here. Before making any decisions you should research the different types of ownership to make sure that you choose what’s best for your particular circumstances. 

Depending on your location, they specific type of business licence may vary. Start by visiting your state or local SBA office for more information on sales tax, health permits, and city planning permits. In most cases, your local SBA will pull all of these into one place. Not sure what these permits mean? Here’s our quick overview:

Sales Tax Permits

This permit is needed so you can charge sales tax on the services that you offer as well as any products you may sell such as fabric softener or laundry pods that you may wish to see to potential customers.

Health and Safety Permits

Before opening your laundromat to the public, contact your local health department and arrange for an inspection so that you can be granted the necessary health and safety permits you’ll need. You’ll be asked to submit some documentation, to arrange a date for inspection and to pay the fees up front. Although these may feel like a lot of admin, they’re a must-have if you’re opening a laundromat business

Sign Permits

Don’t overlook sign permits. If you plan to put up any signage for your laundromat, you’ll need a sign permit. This ensures that your signs meet local regulations concerning size, lighting, and placement. Signage is crucial for attracting customers and making your business easily identifiable, so ensure it complies with local laws.

Staying Compliant

Once your business licence is issued, you are then responsible for staying compliant. This includes  renewing your business licence periodically (something to factor into your ongoing expenses) staying compliant with local health and safety laws, employment laws, and ensuring that equipment, including washing machines and other laundry machines are kept up to standard. Failure to do so may result in you losing your licence. To learn more about business licences for each US state, you can check out the list in this article.

In the Zone: What Do Local Zoning Laws Mean for You?

If you’re a first-time business owner, prepare to get very familiar with zoning laws. Seasoned entrepreneurs may already be familiar with these specific permits because they essentially dictate where a business can legally operate. Zoning laws can determine whether land can be used for residential purposes, commercial purposes, or mixed-use. Zoning laws can impact the look and layout of buildings, as well as parking facilities and even the signage you can use. So Zoning Laws really count for laundromat owners!

How to Check if a Location is Zoned for a Laundromat

Before signing a lease or buying property for your laundromat, you’ll need to verify that the location is zoned appropriately (even if it’s an existing business, ask for proof). You can do this by contacting your local zoning office or planning department for zoning maps and information, using online zoning maps, and consulting with a professional for some guidance.

What You Will Need to Obtain a Zoning Permit

If your chosen business location is appropriately zoned for a laundry business you will need to take a few steps to achieve your zoning permit. This includes completing an application form and gathering together any required documents such as your site plan and business description. Think about what the purpose of your facility is and the daily operations that will take place.

Building and Construction Permits

Many new owners want to make their mark on their new business venture by carrying out works to refurb, refit, or alter the appearance of the laundromat they’re buying. However, before you begin any works it’s worth checking if you need a building permit. While it does add to the admin load, the risk of conducting work without a permit is high. If it turns out that your renovations don’t comply with local building codes and regulations you can be liable for fines, or even told to undo the work you’ve already done - and pay for it.

Of course, if you decide to build vs buy your laundromat, you’ll also need a building permit. You will be asked to prove that the structure is built correctly with safe, strong materials and it must be designed to adhere to fire safety rules. There must also be safe electrical and plumbing systems. All of which will help prevent any possible accidents, property damage, and costly repairs in the future. There are a few types of building inspections to consider:

• Foundation Inspection: To check the integrity of the foundation, making sure that the material is strong enough to hold the building and any further construction.

• Framing Inspection: To check the framing of the building meets the required safety standards.

• Electrical and Plumbing Inspection: To verify that the electrical wiring is correct and the plumbing installations meet regulations.

• Final Inspection: This will be a full check of the entire project to make sure all local codes and regulations have been met.

You'll need to pass each stage before moving on to the next phase of construction. Once all inspections have taken place, you’ll receive a certificate of occupancy, allowing you to open your shiny new laundromat to the public.

Fire Department Permit

For fire safety, you may need to develop a plan that covers emergency exits, fire extinguisher locations, and procedures for handling any fire emergencies. Different fire safety aspects are paired with specific protection codes, each designed to identify different elements such as building requirements and equipment requirements. See here for a full list of fire health and safety regulations in the US.

Utility Permits

Utility permits are needed for establishing all the correct connections for water, electricity, and gas. Believe it or not you’ll need a permit for water connection and sewer usage as well as for general utilities such as gas and electricity. Given that each of these are essential for your daily operations you’ll want to make sure that you have the right permits in place to avoid any unnecessary fines. 

Environmental Regulations

You might not think you need an environmental permit, but depending on your location you might find that one is required given the array of chemicals typically used by laundromats and dry cleaners. It's worth checking in advance whether you need a specific permit to avoid any interruptions to your business operations.

Wastewater Discharge Permits

Laundromats generate a significant amount of wastewater, which can contain detergents, chemicals, and other pollutants. Depending on your location, you may need a wastewater discharge permit to comply with environmental regulations. This permit ensures that your wastewater is treated properly before being released into the sewer system or the environment.

Additional permits

Many laundry business owners choose to add extras to their business such as vending machines, slot machines or other entertainment to help improve the customer experience and attract a loyal customer base. Once again, it's worth doing your research to see if these may require permits. Many coin machines require specific permits to ensure that they meet certain safety standards. Requirements vary by State so it's worth conducting a quick internet search to check your local regulations.

Wrapping up

There's no doubt that for many,  the laundry industry represents a dream business. When done properly they can be a lucrative business opportunity with a good return on investment. But in order to run a profitable laundromat business, there are some legal requirments which you must fulfil.

As a business owner, you're responsible for ensuring that you have the correct permits. You're also responsible for ensuring you have all the necessary types of insurance from business insurance to liability insurance. Becuase there is more to running a laundromat than providing clean clothes.  We hope this guide has shed some light on the types of permits that you will need to start your business.  For more information on setting up a laundry business check out our blogs on Verifying the Financials of a laundromat before you buy, creating your business plan, and laundromat equipment leasing. Or check out the CleanCloud Community pages where you can ask questions and advice from industry professionals.

Frequently Asked Questions

1. What is the first permit I need to obtain for opening a laundromat?

The first permit you need is a business licence. This licence allows you to operate as a legal business entity and is required for all businesses in the US. You can obtain this by visiting your local or state Small Business Administration (SBA) office.

2. Do I need a sales tax permit for my laundromat?

Yes, a sales tax permit is necessary to legally collect sales tax on the products and services you offer, such as laundry detergents and wash-and-fold services. This permit ensures compliance with state and local tax laws.

3. What health and safety permits are required for a laundromat?

Health and safety permits are essential to ensure your laundromat meets standards for cleanliness, equipment safety, fire prevention, and overall workplace safety. Contact your local health department to understand specific requirements and fees.

4. How do I check if my chosen location is zoned for a laundromat?

You can verify zoning by contacting your local zoning office or planning department. They can provide zoning maps and information about whether your chosen location is suitable for a laundromat. Consulting with a zoning professional can also provide valuable guidance.

5. What documents are needed to obtain a zoning permit?

To obtain a zoning permit, you will need to complete an application form and provide documents such as a site plan and a business description. This includes details about the purpose of your facility and daily operations.

6. Do I need a building permit for renovations or construction in my laundromat?

Yes, you need a building permit for any renovations or construction to ensure compliance with local building codes and regulations. This includes inspections for foundation, framing, electrical, plumbing, and a final inspection before opening.

7. Is a fire department permit required for my laundromat?

Yes, a fire department permit is required to ensure fire safety measures are in place, such as emergency exits and fire extinguisher locations. This permit ensures your laundromat meets local fire safety codes.

8. What utility permits do I need for my laundromat?

Utility permits are required for establishing connections for water, electricity, and gas. These permits ensure that your laundromat has the necessary infrastructure to operate smoothly and legally.

9. Are environmental permits necessary for a laundromat?

Depending on your location, you may need environmental permits due to the use of chemicals in laundry processes. These permits ensure proper disposal of wastewater and adherence to environmental regulations.

10. What is the process for renewing my business license and other permits?

Business licenses and permits are typically valid for a set period and must be renewed periodically. Keep track of expiration dates and submit renewal applications on time to avoid fines and disruptions in your business operations. Check with your local SBA or permitting office for specific renewal procedures.

You may be considering a POS system to help run your laundromat. With CleanCloud, we provide you with all the tools you need to help you run, manage, and grow your laundry business all within one platform. Sign up for a 14-day free trial today to get started.