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How Much Does It Cost to Start a Laundromat in Massachusetts?

Starting a Laundromat in Massachusetts typically costs between $150,000 and $900,000, with a median estimate of $375,000. Massachusetts’s cost of living runs 50% above the national average, which increases commercial rent and labor costs. LLC formation in Massachusetts costs $500 to file. Most laundromat businesses take 3-9 months to launch.

Last updated: March 2026

Laundromat startup costs illustration — typical equipment and setup

How Much Does It Cost to Start a Laundromat in Massachusetts?

Low

$150,000

Medium

$375,000

High

$900,000

National average: $100,000$600,000

Interactive Startup Cost Calculator

Startup Cost Calculator

Laundromat in Massachusetts

Budget:
$150,000
$90,000
$12,000
$3,000
$4,500
$22,500
$6,000
$37,500

Options

Employees:

One-Time Costs

$325,500

Monthly Costs

$0

First Year Total

$325,500

Full Cost Breakdown

Cost CategoryLowMediumHighNotes
Equipment — Washers & Dryers$60,000$150,000$375,00020-machine laundromat: 12 washers ($3,000–$8,000 each) + 8 dryers ($2,000–$5,000 each).
Lease & Build-Out$30,000$90,000$225,000Plumbing upgrades for commercial washers are the most expensive build-out component.
Payment Systems$4,500$12,000$30,000Cashless payment systems increase revenue 15–25% and reduce coin theft.
Point-of-Sale & Management System$750$3,000$7,500Remote monitoring prevents machine downtime from going undetected.
Build-Out & Renovations$7,500$22,500$60,000Customer experience improvements directly impact return visits and word-of-mouth.
Business Insurance$3,000$6,000$15,000Equipment breakdown coverage is critical — washer failures mean revenue loss.
Working Capital$15,000$37,500$90,000Utilities (water, gas, electric) are the largest ongoing expense — $2,000–$6,000/month.
Vending Machines (optional)$1,500$4,500$12,000Supply vending generates $200–$600/month additional revenue in high-traffic laundromats.
Total Startup Cost$120,750$321,000$802,500Required costs only

Licenses & Permits in Massachusetts

Licenses & Permits in Massachusetts

General Business License

Massachusetts does not have a statewide general business license, but businesses must register their entity with the Massachusetts Secretary of State (Corporations Division) and register with the Massachusetts Department of Revenue for sales tax and employer tax purposes. Many Massachusetts cities and towns require local business certificates — Boston, Cambridge, Worcester, and other municipalities have their own licensing systems. The state offers a MassTaxConnect portal for tax registration.

Industry-Specific Licenses

  • Food Establishment PermitMassachusetts Department of Public Health or Local Board of Health
    Cost: $50-$600 • Renewal: Annual
  • Home Improvement Contractor RegistrationMassachusetts Office of Consumer Affairs and Business Regulation
    Cost: $150 • Renewal: Biennial
  • Cosmetology Shop LicenseMassachusetts Board of Registration of Cosmetology
    Cost: $50-$200 • Renewal: Biennial
  • Real Estate Broker LicenseMassachusetts Board of Registration of Real Estate Brokers and Salespersons
    Cost: $150-$400 • Renewal: Biennial
  • Child Care Program LicenseMassachusetts Department of Early Education and Care (EEC)
    Cost: $100-$400 • Renewal: Annual
  • Common Victualler License and All Alcohol LicenseMassachusetts Alcoholic Beverages Control Commission or Local License Authority
    Cost: $500-$5,000 • Renewal: Annual
  • Marijuana Retailer LicenseMassachusetts Cannabis Control Commission
    Cost: $5,000-$15,000 • Renewal: Annual
  • Transportation Network Company LicenseMassachusetts Department of Public Utilities
    Cost: $100-$500 • Renewal: Annual

Home-Based Business Rules

Massachusetts cities and towns regulate home-based businesses through local zoning bylaws. Boston allows home occupations with restrictions on signage, customer visits, employees, and the proportion of home space used for business. Many Massachusetts communities restrict the types of businesses allowed as home occupations. Massachusetts's Chapter 40A amendments have expanded housing-based business opportunities, but commercial regulations vary widely by municipality.

Monthly Operating Costs

After launch, plan for these ongoing monthly expenses for your Laundromat:

Low

$5,000/mo

Medium

$12,000/mo

High

$30,000/mo

Revenue Potential

Annual Revenue Range

$80,000 $600,000 (annual)

Profit Margins

20-35%

Break-Even Timeline

24-60 months

How Massachusetts Compares to Neighboring States

Massachusetts is a higher-cost state for starting a Laundromat, with a cost-of-living index of 149.5 (national average is 100). Compared to neighboring New York ($347,500 median startup cost), Massachusetts has higher costs for a Laundromat.

StateEst. CostLLC Fee
Massachusetts (current)$375,000$500
New York$347,500$200
Vermont$280,000$125
New Hampshire$292,500$102
Rhode Island$290,000$150
Connecticut$297,500$120

Common Mistakes to Avoid

  1. 1

    Poor location — laundromats need dense residential areas without washer/dryer access

  2. 2

    Buying used residential equipment instead of commercial-grade machines

  3. 3

    Neglecting cleanliness leading to customer loss

  4. 4

    No remote monitoring causing extended machine downtime

  5. 5

    Insufficient working capital for utility bills during ramp-up

Next Steps to Launch Your Laundromat

  1. 1

    Form your LLC or corporation in Massachusetts — laundromats involve premises liability and equipment financing obligations (filing fee: $500)

  2. 2

    Obtain a Massachusetts business license and any local municipality permit for commercial laundry operations

  3. 3

    Secure a commercial lease with adequate water and sewer hookup capacity — verify Massachusetts utility infrastructure can support commercial laundry volumes

  4. 4

    Finance commercial washers and dryers through manufacturers (Alliance Laundry, Electrolux) or leasing companies — equipment financing typically requires 10-20% down

  5. 5

    Obtain a Massachusetts water discharge permit if your laundromat discharges above typical residential volumes

  6. 6

    Install card-operated or app-based payment systems (Laundry Lux, PayRange) — coin-only laundromats are declining; card systems increase revenue 15-25%

  7. 7

    Get commercial property insurance and general liability — $2,000–$6,000/year for typical laundromat

  8. 8

    Set up an attendant schedule or security camera system — unattended laundromats require 24/7 camera coverage to deter theft and vandalism

Frequently Asked Questions

A laundromat requires $100,000–$250,000 to start, with commercial washer/dryer equipment being the largest cost ($40,000–$100,000). A 1,500 sq ft location with 20 machines is a typical starter setup. Acquiring an existing laundromat ($75,000–$300,000) is lower risk than building from scratch.
A well-located laundromat with 20 machines at $8–$12 average revenue per machine daily generates $4,800–$7,200/month gross. After utilities ($2,000–$4,000), rent ($2,000–$4,000), and supplies, net margins of 20–30% are typical. High-traffic urban locations can generate $15,000–$30,000/month gross.
High-density apartment areas where residents lack in-unit washers/dryers. Look for 10,000+ potential customers within 1 mile and low competitor density. Near grocery stores (shared parking) and on major corridors increases visibility. Avoid neighborhoods with high owner-occupied home rates.
Acquiring an existing laundromat is lower risk — established revenue, existing equipment, and proven location. Expect to pay 3–5x annual net income. New construction gives equipment and design control but takes 6–12 months longer to open and carries location risk. Most new entrants purchase existing locations.

Related Businesses in Massachusetts

Start a Laundromat in Other States

See the national overview for Laundromat or browse all businesses you can start in Massachusetts.

Disclaimer: The cost estimates on HowMuchToStart.com are for informational purposes only and should not be considered financial or legal advice. Actual startup costs may vary significantly based on location, scale, market conditions, and individual circumstances. We recommend consulting with a local accountant, attorney, or SCORE mentor before making financial decisions. Data sources include the SBA, state government agencies, industry associations, and market research.