American Coin-Op - August 2019

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CONTENTS AUGUST 2019 VOLUME 60 ISSUE 8

COVER STORY

Clean ’19 and its sold-out exhibition officially drew more than 11,000 attendees to New Orleans. If you couldn’t be there, check out our report featuring a sampling of companies that exhibited in the Big Easy.

8

INSIDE

COLUMNS

22 TIPS FOR ENTERING THE COMMERCIAL LAUNDRY INDUSTRY You’re familiar with the daily rigors of running a self-service laundry operation and now see the potential for local opportunities in providing commercial laundry service. But what’s involved in getting started and then building such a business?

26 GOIN’ WITH COHEN: FAST & MOBILE

32 POINTERS FROM PAULIE B: HOW TO HIRE GREAT EMPLOYEES! Your employees are literally the “face” of your business, and can make or break it. So naturally, you want to hire the friendliest employees who offer quick service with a smile. Employees who are honest, reliable, hard-working.

People who have high integrity. Easier said than done.

But it all starts with the hiring.

There are different ways to attract applicants and each has its pluses and minuses, says retired multi-store owner Paul Russo, who offers some options.

What began as a lunch break turned into breakout success for Linh Nguyen. Just four years in, it’s on to laundry number eight with no sign of slowing down. Speed may describe this this operator’s torrid pace, but what it truly defines is the customer experience he and his family deliver.

DEPARTMENTS 4 6 17 17

VIEWPOINT INDUSTRY SURVEY CALENDAR WEB UPDATE

2

36 NEWSMAKERS 38 CLASSIFIEDS 39 AD INDEX

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30 A CLOSER LOOK A 75-foot garden hose is employed to powerspray soap dispensers, machine gaps, back panels and drain troughs.

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VIEWPOINT

Charles Thompson, Publisher E-mail: cthompson@ATMags.com Phone: 312-361-1680

Donald Feinstein, Associate Publisher/ National Sales Director E-mail: dfeinstein@ATMags.com Phone: 312-361-1682

SMILE BECAUSE IT HAPPENED

Bruce Beggs

At the Clean Show in New Orleans, the sold-out exhibit floor and varied educational sessions were the main draws but there were also opportunities to network or, in some cases, reunite with colleagues and friends from whom you’re separated by busy careers and many miles.

This show was special for me because it was my opportunity to see John Riddle again, and to say goodbye.

You may never have heard of him but if you’ve attended a Clean Show in the last 30 or so years, you’ve seen his handiwork. Or, as he’s quick to point out, the handiwork of his small but loyal staff.

Companies that have exhibited at Clean should be familiar with his contributions in making the industry’s big event come together.

John is one of those people in my life who I may only see every couple of years but we can pick up right where we left off.

He’s a character, and I documented his colorful past—pro baseball player, stadium manager, rodeo producer, etc.—a few months ago in this magazine and through our monthly podcast.

Clean 2019 was the last for the Riddle & Associates team. New owner Messe Frankfurt has taken the management reins and will undoubtedly continue to build upon the show’s strong foundation.

If you’ve worked behind the scenes at Clean, you know how busy it can be. But Riddle & Associates always took time out to treat the trade media covering the show to a reception as its way of saying thank you for our support.

John always used that opportunity to make a toast and, when he did, he frequently became a little, er, emotional. The fact that he’d shed a tear or two every time became an inside joke amongst us journalists, one that John accepted in good nature.

So, as a token of our appreciation for his long service, the international media presented John with an inscribed tissue box. On one side was this quote from famous childhood “philosopher” Dr. Seuss: Don’t cry because it’s over, smile because it happened.

As he retires from active trade show management, John will be spending time with his family, golfing, fishing, and, I’m sure, spinning yarns.

Just thinking about it brings a tear to my eye. Now, where are those tissues?

Bruce Beggs Editorial Director

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Bruce Beggs, Editorial Director E-mail: bbeggs@ATMags.com Phone: 312-361-1683 Roger Napiwocki, Production Manager Nathan Frerichs, Digital Media Director E-mail: nfrerichs@ATMags.com Phone: 312-361-1681

ADVISORY BOARD Kurt Archer Wayne Lewis

Ann Hawkins Kathryn Q. Rowen

OFFICE INFORMATION Main: 312-361-1700

SUBSCRIPTIONS 630-739-0900 x100 www.AmericanCoinOp.com

American Coin-Op (ISSN 0092-2811) is published monthly. Subscription prices, payment in advance: U.S., 1 year $46.00; 2 years $92.00.

Foreign, 1 year $109.00; 2 years $218.00.

Single copies $9.00 for U.S., $18.00 for all other countries. Published by American Trade Magazines LLC, 650 West Lake Street, Suite 320, Chicago, IL 60661. Periodicals postage paid at Chicago, IL and at additional mailing offices.

POSTMASTER, Send changes of address and form 3579 to American Coin-Op, Subscription Dept., 440 Quadrangle Drive, Suite E, Bolingbrook, IL 60440. Volume 60, number 8. Editorial, executive and advertising offices are at 650 West Lake Street, Suite 320, Chicago, IL 60661. Charles Thompson, President and Publisher. American Coin-Op is distributed selectively to owners, operators and managers of chain and individually owned coin-operated laundry establishments in the United States. The publisher reserves the right to reject any advertising for any reason. © Copyright AMERICAN TRADE MAGAZINES LLC, 2019. Printed in U.S.A. No part of this publication may be transmitted or reproduced in any form, electronic or mechanical, without written permission from the publisher or his representative. American Coin-Op does not endorse, recommend or guarantee any article, product, service or information found within. Opinions expressed are those of the writers and do not necessarily reflect the views of American Coin-Op or its staff. While precautions have been taken to ensure the accuracy of the magazine’s contents at time of publication, neither the editors, publishers nor its agents can accept responsibility for damages or injury which may arise therefrom.

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INDUSTRY SURVEY

CLEAN 2019 ATTENDEES ‘HIGHLY LIKELY’ TO PATRONIZE EXHIBITORS

To read other Your Views survey stories, visit www.americancoinop.com 6

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The vast majority (88.9%) of operators polled in this quarter’s American Coin-Op Your Views survey who attended June’s Clean Show in New Orleans say it is “highly likely” that they will do business with the exhibiting companies they visited.

“I personally don’t like coming to New Orleans,” wrote one respondent, “but I spent over $100K buying new equipment.”

Nearly 7% of respondents say it is “somewhat likely” that they will patronize an exhibitor seen at this year’s show, and the remaining 4.4% say it is “neither likely nor unlikely.”

Roughly 88% of the survey respondents say they attended Clean, while 12.5% did not.

Of those who didn’t attend, the majority (44.4%) say they “couldn’t work it into my schedule.” Equal shares of 22.2% “had no interest in attending” or “didn’t care for the host city.” (Respondents could pick any or all from six suggested choices, plus add their own.)

The vast majority of those who attended Clean were there either three days (42.9%) or four days (33.3%). Another 19% visited the show two days, and the remaining 4.8% was on hand only one day.

More than 30 hours of educational sessions were presented during the show. Among respondents, 50% attended none, while 23.9% attended five or more. Roughly 11% took in one or two sessions, while 15.2% attended three or four.

Respondents were also invited to share overall impressions of the show. Here’s a sampling: • “Clean 2019 was as big as I have ever seen. Although having attended seven shows now, it gets harder to be impressed or find new things or ideas that are overwhelming.”

• “More time for distributors. Once the show opens, hard to see other vendors. I suggest a soft opening like SEFA does, open only to manufacturers and distributors the night prior.”

• “Was my first, and it was intimidating at first, but very educational. I walked over 30 miles on the show floor, going back and forth from different booths, and it was great to get to see more aspects of the laundry industry than just the machines that my company distributes.”

• “I came specifically for Laundromats. Booths were scattered everywhere. Recommend one section dedicated to Laundromats, one section to dry cleaning, and the last section for in-between.”

• “I go hoping to pick up one or two new ideas or equipment. This year, I picked up a couple, so it was a good show.”

American Coin-Op’s Your Views survey presents an unscientific snapshot of the trade audience’s viewpoints at a particular moment.

Percentages may not add up to 100% due to rounding. Subscribers to American Coin-Op e-mails are invited to participate anonymously. The entire audience is encouraged to participate to help better define owner/operator opinions and industry trends.

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Letting the

Good Times Roll in N’awlins

More than 11,000 attendees take in sold-out exhibition

by Bruce Beggs, Editorial Director

C

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▼

Photos by Messe Frankfurt, Nathan Frerichs and Bruce Beggs

lean Show 2019 ended its New Orleans run June 23 after drawing more than 11,000 registrants to see the latest equipment, products and services available to the textile care industry, reports show owner Messe Frankfurt.

The booth space in the Ernest N. Morial Convention Center occupied by approximately 430 exhibiting companies totaled 224,500 net square feet, surpassing the 195,140 net square feet recorded at the previous New Orleans Clean Show in 2013.

“The Clean Show has proven once again to be the ideal exposition for industry leaders to find the latest innovations in textile care, ranging from industrial machinery and conveyor equipment to computer software and business systems,” says Show Director Greg Jira with Messe Frankfurt. “From what we’ve heard from exhibitors and www.americancoinop.com

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attendees alike, the show was a great success, generating valuable leads while learning how the various products and services can help their businesses thrive in today’s highly competitive market.”

Some immediate takeaways in the selfservice laundry arena include: • Competition among companies offering point-of-sale software and apps specific to laundry pickup and delivery is increasing.

• Networking and connectivity is playing a greater role in equipment and systems development than perhaps ever before.

• Larger washer and dryer capacities commonly used in institutional and industrial laundry applications are making their way into the self-service arena.

“Messe Frankfurt Inc. is proud to have the Clean Show join its internationally recognized portfolio of trade fairs for the laundry, drycleaning and textile service businesses,” says Constantin von Vieregge, president of Messe Frankfurt Inc. “The right people, the right encounters at the right place is the basis on which we design our events. We are committed and dedicated to providing new opportunities to companies that are ready to showcase their innovations on a global scale and to the attendees looking for business need solutions and educational opportunities.”

The Germany-based trade fair organizer purchased Clean from the five sponsoring associations in December and retained longtime manager Riddle & Associates to oversee this year’s show.

Clean 2019 was the last for John Riddle, whose firm has acted as Clean Show manager under contract since 1992. Riddle, who is retiring from active trade show management, has personally been associated with the show since 1981.

Several organizations and groups presented Riddle and his staff with gifts at gatherings throughout the show days to acknowledge their long service.

There will be no immediate changes to the show, including its previously released schedule, Messe Frankfurt executives said during a mid-Clean press conference.

Future editions of Clean—officially the World Educational Congress for Laundering and Drycleaning—are slated for June 10-13, 2021, in Atlanta; May 18-21, 2023, in Orlando, Florida; and June 9-12, 2025, in Las Vegas.

As memories of Clean 2019 fade, exhibitors hope that attendees hold onto the desire and need to purchase the equipment, supplies and services they learned about.

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This report represents only a sampling of exhibitors and the products/services shown or described. With hundreds of companies in attendance, this article isn’t intended to be all-encompassing.

Be sure to follow American Coin-Op during the coming months for more product and service announcements from these companies and others.

LG ELECTRONICS LG Electronics spotlighted its new 35-pound-capacity Titan C Commercial Washer and Giant C 22.5-pound-capacity washer and complementing dryer.

The Titan C and Giant C washers offer inverter Direct Drive systems for greater durability; an optimized washing system that automatically detects over-sudsing; and a twin spray water-delivery system that ensures a quality wash without machine stall-outs. They are configurable to meet the needs of nearly any vended laundry application, and can stand alone or be stacked with matching dryers, the company says.

Offering a simple-to-use control with a large digital display, the washers allow for intuitive programming of various functions, including water temperatures, fill levels, cycle times, spin speed and vend prices.

ESD Besides displaying the electronic payment systems and mechanical payment systems it’s known for, ESD unveiled its newest addition, the CyclePay app. Now available from the App Store or Google Play, users can view their account balance, add funds and start cycles on washers and dryers, view real-time machine status, and even send service requests if needed.

Mobility increases repeat business, ESD says. CyclePay is Bluetooth- and WiFi-enabled, and there are no extra fees for customers. Owners can change prices remotely, and CyclePay is fully integrated with My Laundry Link™ for audit and transaction reporting.

Booth visitors also had the opportunity to get a look at a new prototype card reader called Trident, which ESD President Wayne Lewis says should be available for purchase within six months.

ADC™ LAUNDRY ADC™ Laundry has sustained its reputation for over 50 years by engineering products that offer thoughtful features and reliable answers to real-world challenges. The brand says it pairs innovation with versatility to produce hardworking dryer solutions that include advanced design, micro-processing controls, and fire safety features.

Clean 2019 attendees had the chance to see how ADC™ dryers can meet unique business needs from equipment that provides fast drying to helping improve throughput and optimize productivity. Innovations on display included the AAFC (Automatic Air Flow Compensator), which is optional on the i-Series, and the engineer-

driven AD Series. The brand also showcased stack multi-load dryers designed for space savings.

R&B WIRE PRODUCTS R&B Wire Products officially launched its Dura-Seven™ line of wire laundry carts.

These carts are coated in a new specially formulated anti-rust coating, guaranteed by the company to remain rust-free for a minimum of seven years.

“As the industry leader in laundry transportation, we are constantly evaluating how we can make our products perform better and last longer for our customers,” says Rick Rawlins, CEO of R&B Wire Products. “We are proud to introduce this anti-rust coating, which provides laundry facilities the added protection from the elements to extend the life of our products in the field.”

Dura-Seven™ carts come standard with all stainless steel hardware and ultra-plated Clean Wheel System™ casters. The casters have 10 times the rust resistance of standard zinc plating, the company says.

SPEED QUEEN®

▼

Speed Queen® launched Quantum Touch, a next-generation touchscreen control platform. The new control, offered on vended washer-extractors and tumble dryers, brings a variety of advanced functionalities to increase profitability and return 12

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“It’s clear that today’s laundry customer is more sophisticated and expects an elevated laundry experience,” says Steve Bowie, North American sales manager. “The integration of technology solutions provides the ability to simplify and enhance the laundry experience.”

Quantum Touch washer-extractors and tumble dryers feature upgraded aesthetics that give owners a “premium look” to differentiate their store, Speed Queen says.

And Quantum Touch includes a variety of functions users value, such as: • A number of cycle options with descriptions, so users can tailor cycles; • Cycle modifier prompts with descriptions, to make it simple to get the desired wash cycle; • 30 language options, so users are always clear on how to operate units; • 7-inch and 5-inch full-color touch screens; and • Step-by-step operating instructions.

Internet-enabled device; and system notifications help monitor locations, the company says.

Offline mode allows owners to continue to operate even if the Internet goes down. Cellular backup—automatic failover to LTE cellular connection—provides maximum reliability. Plus, there’s 24-hour, U.S.-based telephone support with live agents.

The FasCard Flex card reader is wireless and features a color touch-screen interface. With an add-on module, a single card reader can control both upper and lower pockets of a stack dryer. There are multi-lingual instructions and a multi-vend interface, and the reader is fieldrepairable and softwareupgradeable.

MAYTAG® COMMERCIAL LAUNDRY

In celebration of its 125 years in business, the manufacturer displayed laundry equipment from throughout its long history.

Dexter says it revolutionized the industry when it introduced DexterLive, a cloud-based laundry management system, in 2014. Its latest upgrade, DexterPay, is a secure mobile payment app that gives laundry customers the freedom to pay how they want.

It’s fully integrated into the DexterLive network, making it free to set up, plus there’s no annual fee—owners only pay when customers use the app. DexterPay makes it simple for users to add “PLUS” cycles and more convenient for them to choose larger machines.

About larger machines, Dexter’s new T-120 (120 pounds capacity) dryer is ruggedly constructed and features the proven C-Series controls.

The vended dryer is now available in multiple options, including blue or black graphics, white or stainless fronts, and stainless or chrome door rings.

CARD CONCEPTS (CCI) New from Card Concepts Inc. (CCI) is a cloud-based payment solution called FasCard Flex. The company is marketing the product as an easy, flexible system that allows store owners to eliminate coins in their Laundromat.

The redundant, cloud-based infrastructure of FasCard Flex means there are no local computers to manage; owners can configure and manage their store from any 14

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GIRBAU NORTH AMERICA (CONTINENTAL GIRBAU) Continental Girbau announced the day that Clean 2019 opened that it had changed its name to Girbau North America (GNA) (see our Newsmakers section on page 36 for

more on that). During the show, the company showcased its comprehensive offering of soft-mount and hard-mount washer-extractors, complementing dryers and Express Heated-Roll Ironer for vended laundries.

“We took the industry’s broadest and most diverse soft-mount washer line and expanded it further by introducing the new 130-pound-capacity ExpressWash® Washer,” says Vice President of Sales Joel Jorgensen. “Girbau Group, our parent

▼

The brand displayed its newest vended laundry solution, the Maytag® Multi-Load Washer. Designed to handle heavy loads of laundry turn after turn, the washer is available now in rigid-mount construction in capacities of 20 to 65 pounds, with a phased rollout of additional configurations continuing through this year. The configure-to-order washer allows owners and operators to customize construction options to meet the needs of their business.

Vended laundry owners can take advantage of the revenue-generating controls for fully customizable pricing, while customers will appreciate the intuitive LCD screen that’s been user-tested for navigation and comprehension.

Clean 2019 attendees also had the chance to learn first-hand about single-load solutions for reliability, including the MHN33 with the DuraCore Drive System. It was designed and tested to run 15,000 cycles (based on an 11-pound load, 34-minute timed cycle, heavy soil), Maytag says.

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company, introduced this model 40 years ago and it’s been operating in industrial laundries across the globe since then. Now, it’s available for vended laundries and operators are crazy about it.”

Also unveiled was the Epress Clean automatic injection system. The exclusive system works seamlessly with Continental vended washers to automatically dispense the right mix of detergent, color-safe booster and softener into the machine.

SETOMATIC SYSTEMS Setomatic Systems says SpyderWash is the “all in one” payment system, giving customers the ability to use all payment options directly at the washer/dryer while giving owners full accountability of each transaction done, including coin.

Setomatic highlighted SpyderWash’s unique loyalty programs. Customers can now take advantage of the Free Wash and Free Dry Program using a credit/debit card or mobile wallet; they’re no longer required to purchase a loyalty card or download a proprietary app and register in order to receive these benefits.

Setomatic says the newest, most important trend in payments is the emergence of contactless credit cards. “Tap and go” payment has become the preferred way to pay in Europe, Canada, South Korea and Australia, and the U.S. is finally catching up, the company says. All SpyderWash terminals accept contactless payments.

Introduced at Clean was a newly designed card reader called SpyderWash EMV, featuring a full-color display that is also EMV chip insert-enabled; the new product should be available for purchase by the end of the year, the company says.

Also new from Setomatic is the Smart Hub, with remote diagnostics, reconnecting capabilities and an optional cell modem backup pairing to maximize uptime.

FORENTA

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WASH-DRY-FOLD POS After Clean 2017, executives with WashDry-Fold POS heard a similar complaint: that attendees had waited around to see someone but the booth proved too busy. To counter this in New Orleans, the software developer doubled its booth space, equipment and personnel, and implemented its own solution for attendees to easily schedule demo times.

“About 20 current customers stopped by to tell us how much they love the system,” says founder Brian Henderson. “That was the biggest surprise this year.”

HUEBSCH Huebsch previewed its cloud-based Huebsch Command networking solution at Clean 2017 months ahead of its launch. At Clean 2019, the Alliance Laundry Systems brand demonstrated how its newly mobile-optimized system allows store owners to accept mobile payments, control machines, and manage their laundry business from anywhere.

Huebsch Command can be used on desktop, laptop or tablet. Owners can receive service alerts via text or e-mail and access their information at any time.

Huebsch Command can also create automatically generated reports that can be texted or e-mailed.

Cash and cashless options are available for online wallet reloading with the Huebsch app, and customers can take advantage of the Huebsch Value Center, where they can load value to their online wallets. The ability to manage all locations from one interface centralizes refunds, saving owners time, Huebsch says.

Also available via the Huebsch app, Huebsch Rewards helps owners show appreciation for, and retain, customers. Customers accumulate points and earn rewards ▲

Although its products are mainly geared toward dry cleaners, Forenta says it’s seeing a resurgence in its established 10MF shirt folder and 42COU electrically heated utility press thanks to continued growth of the wash-dry-fold market. Since neither unit requires compressed air or steam, they are ideally suited for WDF applications where a boiler and air compressor are not available.

Compact and simple, the 42COU provides a 42-inch-wide press head that is brought against the garment and locked into place by the operator. Its garment squeeze and drying time rivals that of a small, steamheated utility press, Forenta says.

Requiring no utilities whatsover, the 10MF shirt folder allows a wide range of shirts to be folded to a consistent size every time.

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CALENDAR AUGUST 14 Eastern Funding Laundry Improvement Workshop Melville, New York Info: https://easternfunding.com/news-andevents/laundry-improvement-workshop

SEPTEMBER 13-14 Gold Coin Laundry Equipment Founder’s Day Event Jamaica, New York Info: www.goldcoinlaundry.com/ foundersdaysale 14 PWS Inc. Distributor Show South San Francisco, California Info: 650-871-0300; www.pwslaundrywest.com 14 ACE Commercial Laundry Equipment Distributor Show Westminster, California Info: 714-897-4342; https://acelaundry.com

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• Smith Succeeds Cohen as Firestone Financial Leader • Alliance Laundry to Acquire Commercial Equipment Co. • Continental Girbau Inc. is now Girbau North America

COLUMNISTS/FEATURES • Pointers from Paulie B: Fine-Tuning Drop-Off Laundry Service • Improving Vended Laundry Efficiency, Customer Experience • Vended Laundry Trends and Future Outlook

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for visiting a store.

Owners can foster stronger connections with customers, leading to increased loyalty.

It’s fully integrated, meaning there are no third-party payment systems to install and maintain.

Huebsch Command is available on washerextractors and tumble dryers ordered after Jan. 1, 2017, and equipped with Galaxy™ 600 controls.

VEND-RITE MFG. In addition to introducing its expanded, revamped website at www.vendrite.com, Vend-Rite Mfg. displayed various venders that dispense everything from singleload boxes of laundry cleaning products to today’s hottest snack items.

Among them was the redesigned Vendmaster 120N, an electronic four-column vender. Illuminated blue vend buttons make it easy for customers to identify product availability, and the large product display advertises the product selection.

A large 2-by-16-character display board provides a welcoming message and product cost information. The Imonex coin drop accepts quarter and dollar coins but does not make change. A simplified vend cycle assures product delivery, the company says.

HIGH MARK MFG. High Mark Mfg., which has always worked to offer innovative furniture solutions to meet a laundry’s needs, introduced some all-new stylish and rugged models it

designs and builds in the USA. The manufacturer offers three styles of folding tables, custom workstation bars, barstools, pub-height clusters and tandem seating. For example, High Mark can build custom bars complete with outlets and USB ports to keep a customer’s ever-important electronics running at full capacity. Stools are meant to be bolted into place for stability and security, but can also be made with heavy metal bases so they are movable for greater store-layout flexibility.

ACO

Pioneer Milch Receives CLA’s Founder’s Award Bernard Milch, the founder of ment in the North American coin Laundrylux, was recognized postlaundry and institutional markets. humously with the Coin Laundry Electrolux purchased Wascator in Association’s Founder’s Award 1973 and credited Milch and his during a ceremony at the Clean team for its growth in professional Show in New Orleans. It was laundry in North America. one of a number of Laundrylux Execawards CLA presentutive Chairman Neal ed during the event.

Milch accepted the The Founder’s award on his father’s Award recognizes behalf, saying its sigindividuals who have nificance equals the been pioneers in the Kingdom of Sweden’s industry and for their 1980 knighting of his lifetime contributions father with the Order to vended laundry. of the North Star for Milch Milch, who died in his contribution to January at the age of 93, was a Swedish-American business.

Holocaust survivor who came to “This is a well-deserved award the United States to start a new life. for Bernie, who helped shape and He later obtained the sales and influence the industry,” says John marketing rights for a Swedish Evans, head of the Americas, manufacturer’s Wascator equipElectrolux Professional. “He was 18

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certainly proud of the future generations of Milchs, who continue to work at Laundrylux, as well as the success they certainly will drive.”

Other CLA awards presented during the course of the Clean Show were: • The LaundryCares Community Service Award — Paul Pettefer, and Daryl and Lisa Johnson.

• The CLA Sustainability Award, in recognition of leadership in areas of “green” best practices — Michael Fanger.

• The Outstanding Director Award, presented to a CLA Board member who has contributed extraordinary effort — Ted Ristaino.

• The Member of the Year Award, presented to a CLA member who has made the

most significant contribution to the benefit of the association, its members and the industry at large — Michael Finkelstein.

• The Chair’s Award, presented to retired CLA Board chairmen for their service to the industry — Jim Whitmore and Ron Kelley.

• The Distinguished Service Award, presented to CLA Board members completing their final terms of service — Jeff Gardner, Howard Herman, Tom Rhodes, Michael Finkelstein, Chris Moreno, Karl Hinrichs and Jim Whitmore.

Established in 1960, the CLA is the largest trade association dedicated to the self-service laundry industry.

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TIPS

for Entering the Commercial Laundry Industry

Convincing businesses to leave their laundry service to the expert: YOU

by Bruce Beggs, Editorial Director

Y

ou’re familiar with the daily rigors of running a self-service laundry and now see the potential for local opportunities in providing commercial laundry service. But what’s involved in getting started and then building such a business?

Clean Show attendees got some answers during a TRSA-sponsored panel session titled Tips for Entering the Commercial Laundry Industry. Panelists were Lou D’Autorio, director of operations, The Laundry Company, Tampa, Florida; Dan Campbell, president of Wash Around the Clock, Tallahassee, Florida; and Julia

Pooler, president, and Keith Pooler, vice president, Sacramento (California) Laundry Company.

While the panelists all run commercial laundry operations now, how they arrived at this point differs.

D’Autorio’s background is in dry cleaning, having spent 30 years in that industry segment before transitioning to commercial laundry a few years ago through a mutual friend. The Laundry Company came about through an acquisition.

Campbell runs five self-service laundries and first entered the commercial laundry business nine years ago. He still considers himself to be “green” where commercial

laundry service is concerned.

“We’ve had to look for opportunities to find new revenue streams,” he says. “We have found that being independent in a small- to medium-sized market can create some opportunities. There are a lot of customers out there looking for options.”

He says he’s about to retool his commercial plant for a third time to keep up with demand.

The Poolers started with coin-op laundries in 1999 and grew within a few years to running several stores.

“Then the recession hit in 2008 and we started looking at different ways to capitalize on what we had with those coin laun-

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Commercial laundry executives (from left) Keith Pooler, Julia Pooler, Dan Campbell and Lou D’Autorio field questions from moderator JR Ryan (standing) during the Clean Show educational session titled “Tips for Entering the Commercial Laundry Industry.” (Photo: Bruce Beggs) building, get a loan. We had to raise two children. We had six coin-ops we had to deal with. Basically, I quit my job and I drove from coin-op to coin-op, collecting quarters to get to the bank to pay for the

new building we were working on.”

“We ended up building a 60,000-squarefoot laundry. Today we have three (tunnel washers), we have 330 employees, and we’re still expanding. There’s a huge

▲

dries,” Keith says, “and we started a small pickup and delivery service to supplement our fluff and fold business.

“We found that was a very opportunistic way to utilize our equipment that we had in the coin laundries. There are so many businesses out there that require laundry services. We found there’s a really big need for that.”

The Poolers built a 7,000-square-foot commercial laundry dedicated to the pickup and delivery service. “What we found was, shortly after that, we had enough business to expand even further,” Keith says.

The phone rang one day and the manager of a 500-room hotel was on the other end of the line, he recalls: “‘Hey, can you do our linen for us?’ I said, ‘Hey, I’m not really sure what you mean by that. Really have no idea what it means to do linen for a hotel.’ He goes, ‘Well, I’ll give you 15 minutes to give me a yes or no answer.’

Click. I had 15 minutes to decide the fate of the rest of my life. A 500-room hotel. We decided, yes, we’ll do that.”

“We had to fill the building up with equipment,” Julia says. “We had to run it through the coin-ops. We had to build a

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market out there if you can tap into the right niche,” Keith says.

Right before the market crash in 2008, Campbell’s company had developed a 6,500-square-foot self-service laundry and an adjacent 5,000-square-foot space that it planned to rent out. But there wasn’t enough parking for both, he says.

“Just by doing a lot of wash-dry-fold, we met massage therapists, clinics, doctors, just small boutiques. I would see women who run linen rental companies come in with massive amounts of table linen. The wheels started turning. Talked with my distributor and basically said, ‘Let’s put a little plant next door and see what we can do.’ I had no idea what I was doing.

“We put in four washers, a 125-inch ironer, no dryers; we used the dryers on the Laundromat side—we had eight 80-pound dryers in the store. And just started.”

Campbell says he’s still trying to identify Wash Around the Clock’s niche.

“We do a lot of food and beverage, we do a lot of hospitality on the table linen side, then we do a significant inventory of linen,” he says. “That’s something you need to factor into how you get in (the commer-

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cial business). The investment in linen is not always cheap, especially if you’re building the right par levels.”

Two years ago, it was employee scrubs for a large medical marijuana facility.

“I needed to purchase all the inventory, and what was initially a $20,000 investment has quickly turned into six figures.

Fortunately, the growth of that organization has allowed some sustainability.”

“We do both COG (customer-owned goods) and rental,” D’Autorio says of The Laundry Company. “Orlando is our market, so we go after the 50-room to 300room hospitality (accounts). Orlando is a tourist destination, big conference centers, so we handle a lot of food and beverage for hotels that put on events. That part of it is actually COG: they own their property and we process it. And we cater to restaurants.”

D’Autorio suggests starting small: “Find those small commercial accounts—massage studios, gyms, places like that—to build your volume to then be able to take that next jump.”

Julia Pooler says having a lack of operational redundancy early on was a mistake for Sacramento Laundry.

“Probably the most important thing you can do is have redundancy in your buildings,” she says. “If you’re in a dry cleaner or a coin-op, you always need more equipment.

Something is going to break, something isn’t going to work. The biggest mistake we probably made when we first opened our smaller plant … you need a minimum of two of everything. If you have one boiler, you need two. If you have three ironers, you probably need four or five. Plan for one or two more of everything you have: square footage, employees, it doesn’t matter.

“You will not be happy when your one tunnel or washer breaks down and you cannot produce any linen.”

As for financing such operations, Keith Pooler suggests establishing strong relationships with your bank(s), and reaching out to the Small Business Administration to take advantage of its programs.

“We’ve utilized SBA loan programs six or seven times now. As we’ve grown from a coin laundry to a commercial laundry to an even bigger commercial laundry, the SBA has been an integral part of it. And so has our relationship with our main banker.”

He says there are third-party facilitators

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who can assist small businesses in compiling the needed SBA loan documentation, and he found that the service fees were well worth the cost.

What are advantages or disadvantages of growing through acquisition?

“I think one of the biggest advantages is that you have a book of business to start with, so you’re not outlaying for that equipment and you don’t necessarily have the business to operate that equipment,” D’Autorio says.

“If you’re looking to acquire a company, due diligence is the single most important thing you can do. Spend time at that facility. … You have to look out for yourself, because you’re going to be taking over this company. You want to make sure the equipment is working properly. Get an understanding of the management team, of their employee personnel, and see what needs to be done after you acquire it.”

Julia Hooper urged listeners to educate themselves on the basics of financial accounting.

“If you don’t really know how to read a balance sheet and a profit and loss statement, you really need to learn how to

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because you’ve got bigger ones. Then you can start going, ‘Well, there’s a minimum...

“You don’t go into this business not making money. We are not a non-profit.

Tell them what it costs, and that is what it costs. They will probably not be able to find somebody else.”

But don’t be afraid to say no to an commercial account whose revenue doesn’t justify its expense, she adds.

“You price it as you see best for you and that business,” Campbell says. “I use the term ‘value proposition,’ because every business has a different value. The time that you’re saving every business varies from client to client.

“I was given the opportunity to look at some of my competitors’ pricing strategies and I realized very quickly that there was absolutely no conformity in the same industry across the board. It was basically ‘get what you can.’”

“Do our larger customers get a better price? Yeah, but they’re negotiated,” says D’Autorio. “You start with your point, they start with their point, and it comes down to how badly do you want the business and how badly do they need the service.” ACO

read one when you’re going to go buy a business. … Take accounting classes, basic ones, online, anything, because they’re trying to sell you a business and it’s going to be ‘fluffier’ and ‘prettier’ than what is going to happen once you get into it.”

Looking back, Campbell says he didn’t take full advantage of the resources available to him through the Coin Laundry Association and other organizations.

“If you’re not prepared to do everything it takes to make that work, it can backfire on you quickly,” he says. “If you’re willing to do everything you can to make sure it works, it creates opportunity. … Gather as much knowledge as you can from people that have sort of paved the road.”

Taking audience questions, the panel was asked about pricing at start-up. How can one justify the expense of taking on small accounts that contribute little to a plant’s volume?

“As we started doing exactly that, it was totally a side business. It was not our core business,” Julia Pooler says. “We were doing it just to see if it was viable for us.

Once we saw there were people out there, you can start taking on those little ones

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Fast &Mobile

Cheetah speed defines Nguyen family success

hat began as a lunch break turned into breakout success for Linh Nguyen. Just four years in, it’s on to laundry number eight with no sign of slowing down. Speed may describe this operator’s torrid pace, but what it truly defines is the customer experience he and his family deliver.

“We have to live up to our logo. A fast animal, so you get a fast washer, fast spin and fast dry. That is our mandate,” the architect of the Cheetah Speed Laundry chain tells me during a whirlwind tour of his stores dotting Mobile, Alabama, and nearby

Gulf Coast communities.

His wife Huong’s parents, Viet and Dao, along with her brother Khoa, were enlisted to keep Cheetah running quickly and efficiently. Everyone pitches in with day-to-day operations, and when another rehab project comes online, Nguyen’s in-laws are there alongside the industrious owner, each using their hands and minds to create the best Laundromat they can.

Store visits are a family affair to recirculate coins and tokens, as well as impromptu meet-and-greets with patrons. Traversing the aisles, a warm hola is extended to the Monday morning regulars, punctuated

by Nguyen’s infectious grin and happy-go-

Linh Nguyen (far right) is joined by wife Huong and (from far left) in-laws Viet and Dao inside one of the family’s recently completed Cheetah Speed Laundry rejuvenations. (Photos: Laurance Cohen) 26

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lucky demeanor guaranteed to wash away the laundry day blues.

There’s plenty for Cheetah customers to smile about. The basics are there: spotlessly clean, working machinery packaged in welllit surroundings with plenty of elbow room.

And then there’s the creature comforts, ranging from air conditioning and TVs to one-stop credit card pay and well-appointed washrooms.

What patrons won’t notice is the attention to detail behind the scenes that Nguyen brings to his roster of wash emporiums.

Purpose-built bulkheads with overflow channels and a handy garden hose to clean machine backs, gaps and trays. Fortress-like changer security. And high-extract, softmount machines that can easily be spun into different configurations.

With less than a handful of years under his belt, the 38-year-old multi-store owner talks shop like a seasoned veteran. Give him an empty space and he’ll outfit a laundry like a pro.

“If you have a 400-amp panel in place with the power ready, just walk away and four months later I’ll get it open,” he promises.

WELDING SKILL OPENS GATEWAY Laundromats were the furthest thing from Nguyen’s mind when he emigrated to the U.S. from Vietnam with his mother and sister, settling in Salt Lake City, where he enrolled in language and welding trade classes at age 17. While carpentry and auto mechanics programs were big draws, Nguyen preferred training as a welder to minimize his need to converse in English.

Putting his newfound skills to work posed challenges in Utah and, later on, out East in Atlanta. The family’s eventual relocation to Mobile and its deepwater port provided

▼

W

by Laurance Cohen

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Folding tables pick up the color from the vibrant Cheetah logo. scratch — he believed, could get cash flowing.

Attention soon turned to a coin-op minutes from his Mobile residence that had fallen on hard times after the operator’s death. Employees of the Airport Road laundry struggled to keep the doors open until it eventually closed, leaving a trail of utility shutoff notices. Nguyen reached out to the shopping plaza landlord and inked a new lease and a $10 bill of sale four months later.

THE DRIVE TO DESIGN ‘BULLETPROOF’ LAUNDRIES The endcap store he inherited was a frequent target of burglars who picked money boxes and drilled changers, leaving little operable. “I have to say thank you to the thieves,” the owner tells me of his wakeup

Cheetah Speed Laundry patrons can easily split loads among washers of varying capacities.

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A front-load washer’s touchscreen advertises custom selections, including the Cheetah Speed Cycle vending at $8, payable in dollar coins, quarters or dollar-valued tokens. call to design “bulletproof” laundries.

Turning a new page, his rear-load changers were securely anchored to a new cylinder block wall and reinforced with welded steel pipes on the back side. He was sending a clear message to would-be criminals.

“They see the cinder block wall and they know it’s tough for them to use a crowbar,” Nguyen explains. “You don’t want to show them you’re weak. You can try, but you won’t succeed.”

Asked if he believes changers at any one of his 24-hour, partially attended laundries could be pried out, the welder-turned-operator smiles confidently: “I don’t think so.”

That first inherited store is the only location where prefabricated bulkheads are on the floor. To this tradesman, those oftforgotten structures housing the lifeblood of the washer banks deserve critical thought.

“If your bulkhead is not wide enough, not high enough, not clear enough and not clean enough, ask yourself if you want to climb or crawl in there. How are you going to stand up and open a back panel and replace something?”

Nguyen doesn’t cut corners when it comes to his bulkheads and machine

▼

job stability and opened the gateway to a career shift in self-service laundry.

Donning his helmet and armed with welding gear, sparks flew as Nguyen displayed a steady hand in projects that included an around-the-clock replacement of twin 40-ton generators brought through the hull of a Carnival Cruise Line ship. Working on three-story-high scaffolding erected on the port and starboard sides, the team got the vessel back in service after just two weeks.

It was during a dockside lunch that a co-worker encouraged Nguyen to pick up some extra coin by buying a small Mobile Laundromat that was on the market for $42,000. He initially waved off the idea. By the time he decided to pursue it, the location had been snatched up by another party.

Welding had been good, but washing, it seemed, might be better. “Laundromats were on my mind and I started looking,” the Cheetah owner recalls of his first hunt.

A vacant 2,200-square-foot Mexican grocery across the state border in Pascagoula, Mississippi, looked ripe for development, and he signed on to pull permits. What should have been a matter of months dragged on for two years.

“I fed money every month to the landlord from my paycheck,” Nguyen says of the experience, placing a strain on his young family’s livelihood. Focusing on a laundry makeover — rather than starting from

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COHEN bases. Mounting utility lines high and strategically positioning shutoffs ensures ease of service no matter the equipment dimension while all but eliminating the risk of flesh meeting metal when accessing the space.

Machine bases are designed to divert water or suds overflow incidents back toward the rear drain trough.

In many installations, custom cut channels are welded in front of the slightly recessed machines to act as a lip and keep floors dry.

He outfits select bulkheads with an extra water valve to accommodate a long garden hose that can stretch the length of the store to power-spray soap trays, machinery gaps, back panels and troughs — with the residual flow washed toward Above, Cheetah’s branding extends to a custom “golden” the drain. dollar-valued token.

Nguyen prefers high-G-force softmount washers to reduce dryer vend time. Reducing natural gas consumption by The machines increase throughput, he says, 20-25% through shorter dry cycles, he says, pays off not only today, but in the future. as well as add mobility.

“Move two washers from here to there and see how it works,” he motions as we ‘GOING IN A COMPLETELY DIFFERENT DIRECTION’ Cheetah Speed Laundry’s equipment walk an aisle. “If you don’t like it, then count and mix varies in the eight stores, move it back.”

The operator pauses to relate one more averaging a combined total of 45 washers benefit to soft-mount machines — the envi- and dryer pockets per venue. Front loaders ronment. “All our natural resources belong and stack dryers dominate the offerings. to the next generation. This is not ours.” Whether back to back or shotgunned along a perimeter wall, washers are configured in stairstep fashion, allowing customers easy reach to access more than one capacity.

Nguyen began circulating dollar coins from the start and upped the ante this year by offering optional one-stop credit card-totoken pay at his newest venues.

“With the token, it takes the dollar coin a further step to offer the customer use of a credit card.” The tandem’s success convinced him to duplicate the format at all stores in the near future.

The savvy operator is gearing up to launch local TV commercials to promote his offerings and leverage chainwide acceptance of his custom-designed store token.

A proponent of dollar-increment washes paired with full-cycle dry vends, the operator considers himself a price leader in the market. But sensitivity at the coin drop is A 75-foot garden hose at the bulkhead is employed to one lesson he learned early on. power-spray clean every washer soap dispenser, machine After running a free-dry promotion for gap, back panel and drain trough.

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One-stop credit card-to-token dispensing is teamed up with dollar coins at the newest Cheetah locations and slated to be expanded systemwide. six weeks at his inaugural store, Nguyen implemented his planned full-cycle dry price format. One customer’s reaction stopped him cold.

“She said, ‘I’m not going to pay for your renovation. I’m going to take my clothes elsewhere to dry. I’m not going to pay $1.25 for your 25 minutes,’” Nguyen remembers.

“She scared the hell out of me. I’ll never forget that. It was my first laundry, and I spent a lot of money.”

Cheetah’s meteoric rise on the local wash scene is evidence that Nguyen’s layout and pricing scheme work for him. He maintains that customers are willing to pay for a quality wash and dry in a clean, safe and inviting environment. Delivering that package in a minimal amount of time is what Cheetah is all about.

“We’re not a 40-minute wash and a 40-minute dry. We’re going in a completely different direction,” he says.

At a development pace of two stores per year, Nguyen waves off the comparison to a fast-running Cheetah. “Ten stores in one year or 10 years in one store. It doesn’t matter how fast or how slow. For me, I just keep doing it. I don’t set a limit.”

ACO Laurance Cohen crisscrosses the country seeking out the most unique vended laundries. He served as American Coin-Op editor in the early 1990s and currently operates Laundry Marketing Concepts based in Hallandale Beach, Fla. He can be reached at goinwithcohen@outloook.com. www.americancoinop.com

7/11/19 8:43 AM

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POINTERS FROM PAULIE B

HOW TO HIRE GREAT EMPLOYEES!

Paul Russo

Your employees are literally the “face” of your business, and can make or break it. So naturally, you want to hire the friendliest employees who offer quick service with a smile. Employees who are honest, reliable, hard-working. People who have high integrity. Easier said than done. But it all starts with the hiring.

There are different ways to attract applicants and each has its pluses and minuses. Here are some options: PUT A SIGN IN THE WINDOW This age-old technique is the easiest to find crew members who live in the surrounding neighborhood.

The good? If your mat employs local people, you will find it easier to have them show up in bad weather. And you will also find it easier to coax a crew member to come in for extra hours when you get busy, or to fill in when another one takes a day off.

People who live nearby are more likely to want your job, because it’s much easier for them to work locally near their homes.

Additionally, even when you are not hiring, people in your neighborhood will remember seeing your window signs and come in looking for a job. It can be helpful to collect and save their applications.

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The bad? When you put a sign in the window, you will attract locals, including your own customers who you may not choose to work for you.

Let’s say you put a “Now Hiring” sign in your window for two weeks. It’s entirely possible that you attract 25 candidates or more for just one position. Some of the candidates you reject may resent you for not hiring them. Some could be customers who may choose to not patronize your mat anymore.

You may think that you are saving money by just putting a sign in the window, but it could cost you more in lost business.

PLACE AN AD ONLINE There are many job search sites to sign up with, such as Glassdoor.com or Monster.com. Too many to list here. Just Google “job search sites.”

The good? You will be getting lots of calls and applications from people who are searching for a job. While these people often do not live near your mat, they tend to be a little more motivated because they are already in job-seeking mode.

The bad? The trouble is screening out the applicants who are not really serious about the job, or not good for your business needs, which could get overwhelming.

ASK YOUR OWN EMPLOYEES IF THEY KNOW ANYONE WHO NEEDS A JOB What’s the best way to get recommendations from your current workers? Answer: Treat great employees great, and get rid of the ones who consistently give you trouble.

I’ve found that no matter how good a manager you are, if you have someone who doesn’t want to be a team player, they have to go.

If you treat your employees fairly, with kindness, respect, competitive pay, and even a little humor, life will be better for everyone at your mat. Sincere compliments about their work goes a long way in starting and building positive energy.

If you come in as a dictator, then you will unwittingly create resentments and increase your worker turnover.

You’ll always be scrambling to find new ones. Why? Because it is you, the boss, who sets the mood and tone. www.americancoinop.com

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The good? Not only will you find it easier to find someone who has already been somewhat “pre-screened” by your employees, you will have far less turnover. We had a waiting list of people looking to work for us, recommended by our current workers.

The bad? Not much. Unless you think that taking the effort to be nice to your employees, or to be fair to them, is too much effort.

If you believe that paying a decent wage is not in your budget, remember that the job market is competitive right now and you get what you pay for.

THE HIRING PROCESS Begin with a job application form that suits your needs. You’ll find plenty of them by searching “job application forms” online.

Some of them allow you to insert your store name and logo.

Give a good look at candidates who are on time for the interview; I find it incredible how some people show up late, or not at all.

Look for people who tend to smile. Look for people with a job history of no more than one or two jobs a year.

People who call back to remind you they are still interested after the interview always got a second look from me.

I’ve found that people who are happy at home tend to bring that happiness to the job, and vice-versa.

Ask why they want your job, and why they left their last two jobs. Pay attention to their body language when you ask questions, including eye contact. How are they dressed for the interview?

Appearance should be casual but neat.

People who come in with a friend or two standing right next to them, as well as people who let a friend speak for them, could be a red flag. Biggest red flags, if you can detect them, are gamblers and people addicted to narcotics.

Before you hire anyone, try scheduling two interviews per applicant, with your manager or best employee present for at least one.

Two heads are better than one. Your manager may see something that you may miss.

After initial interviews, I would rate my impression on a 1-to-5 scale, with 5 being great and 1 being not likely. From there, call back your highest-rated candidates for second interviews and work your way down the list.

A second interview is important. Some applicants will not show up a second time. Maybe they found another job or just didn’t like what you have to offer. That’s fine – they probably saved you a lot of grief. The ones who do show up for a second interview are serious about getting hired.

For the second interview, I would ask your applicants to allow an hour to take an integrity test, aka “honesty test.” I’ve found these tests to be a helpful tool when you’re narrowing down your list of candidates. There is no foolproof way to determine what’s actually going on in the minds of applicants but a good integrity test can be helpful in screening out the bad apples. You shouldn’t base your decision entirely on a test, but use it as a tool that helps confirm what you’ve already gleaned from your interviews.

Again, you can find websites that offer these “integrity tests.”

I used The Reid Report for years, but it’s gotten a little pricey recently.

▲

THE BARTENDER EFFECT Since your employees will be dealing with your customers, you want them to be likable. So again, look for people who have a natural tendency to smile. Smiles are universal in every language www.americancoinop.com

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POINTERS FROM PAULIE B

and make people feel good. Customers who feel good about your crew will be much more likely to return. The opposite is true if they are turned off by a sourpuss crew member.

Many customers are regulars who will develop relationships with your crew members. They will come in and talk about their lives, just looking for conversation, or they may simply need a friend.

I found that my most popular employees were the ones who just smiled, asked an occasional question, and listened … just like a good bartender or barber.

can result in immediate dismissal): Leaving customers waiting.

Arguing with a customer. Calling in sick at the last moment too many times. Showing up late too many times. Showing up intoxicated. “Borrowing money” from the cash register. Bringing in non-customer friends to fraternize. Sabotaging another worker’s laundry. Leaving the store dirty. Stealing.

These don’ts should go without saying but you must have them in writing so your position is crystal clear. If your list of expectations is typed and posted, there will be no argument as to what you expect, and what you don’t expect. It’s clear, in black and white.

CLEARLY EXPLAIN YOUR CREW’S DUTIES For your crew to do a great job, they must know what it is that you expect of them. Make a list of do’s and don’ts. Make sure they know what behaviors and tasks you are looking for and what behaviors and actions you don’t accept.

Examples of do’s: Smile. Be friendly. Be helpful, especially to new customers. Wipe down the machines every hour, or as needed.

Always show up on time. Do your best, by working quickly and with good quality. Leave the store spotless for the next shift.

Examples of don’ts (some can be separated into behaviors that

POST EMPLOYEE PHOTOS WITH NAMES We had personal name tags for our workers to wear but they would often become lost, so we posted an “employee board” with their names and photos. Such a board is useful in helping drop-off customers identify which crew member(s) they prefer to do their laundry. Their photos are on the board 24/7, whether they’re on duty or not.

“I want the woman with the long black hair to do my laundry,” a customer once said to me, and I replied, “Well, we have five women working here with long black hair. Can you look at the

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employee photo board to see if you can spot her?”

Your good employees will like the board because it tends to encourage tips. Your bad ones will be uncomfortable with the board because it helps to identify those who give customers bad service. It’s helpful for customers to identify an employee who has treated them badly, which tends to keep bad behavior in check.

KEEP AN EMPLOYEE MANUAL An employee manual is a must. It’s a great teaching tool for new workers to learn everything about their new job without you or your manager using up time to explain everything. Use it to enhance your training.

It’s in print, so the visual effect tends to stay in long-term memory. Keep it handy in the store so everyone can go back to it for reference.

Your manual should also describe the handling of all safety measures. For example, it’s a good idea to review how to handle a dryer fire with your crew every six months. You don’t want anyone freezing up when an emergency happens.

I used to post memos behind the counter to alert employees to policy changes, new ideas, tips on how to do something better, how to handle machine issues, how to handle customer complaints (an opportunity to win over a customer again), and more. These memos were slipped into sheet protectors inside a three-ring binder and tabbed by category.

These days, sharp operators issue memos as group texts to employee cell phones, an excellent technique. You could then copy/paste your memos into a virtual binder.

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An example of an employee board posted in one of Russo’s New York City stores. (Photo: Paul Russo) STAY ORGANIZED WITH A FILE ON EACH EMPLOYEE Start with a copy of the same photo that’s on your employee board. Include all government hiring documents, such as W-4, I-9, etc., for that employee.

Don’t forget to fill out the proper legal forms for all workers; there are resources online that can help guide you.

Along with an employee’s documents, include a progress file to record any information from their job reviews.

Hiring great employees will lower turnover to allow you to spend more time on actually running your mat.

ACO Paul Russo owned and operated multiple Laundromats in New York City for more than 40 years before retiring last year. He’s a regular on the Coin Laundry Association’s online forum, posting under the pseudonym “Paulie B.” He invites comments from readers at MyLaundromat@aol.com.

AUGUST 2019

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NEWSMAKERS

CONTINENTAL GIRBAU INC. IS NOW GIRBAU NORTH AMERICA Equipment manufacturer Continental Girbau Inc. recently changed its name to Girbau North America (GNA), President Mike Floyd reports.

Spearheaded by Girbau Global Laundry Solutions (Girbau) — the parent company of the North American subsidiary — the name change to Girbau North America provides a clearer representation of the company and its brands, he says.

“As a company, GNA has grown significantly in terms of product offerings, distributor reach, markets and end-users since first established in 1995 as Continental Girbau Inc.,” says Floyd. “We feel — as Girbau North America — the company better illustrates its broad scope in both product offerings and services area.”

Moreover, the name change helps eliminate any brand/company name confusion. “This will ultimately strengthen our brands and make them more identifiable,” Floyd adds.

Girbau North America’s brands, which remain unchanged, include Continental Girbau®, marketed to vended, commercial and on-premise laundries; Express Laundry Center®, marketed to vended laundries; Girbau Industrial®, marketed to industrial

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laundries; Sports Laundry Systems®, marketed to athletic laundries and health clubs; OnePress® Ironers, marketed to commercial and on-premise laundries; and Poseidon Textile Care Systems®, marketed to fabricare and drycleaning operations.

The name-changing initiative also impacts Girbau’s 15 other subsidiary companies across the globe, which are now named, simply, Girbau.

SMITH SUCCEEDS COHEN AS FIRESTONE FINANCIAL LEADER Firestone Financial, a direct lender that provides Laundromat financing, reports that Michael Smith, executive vice president and chief operations officer, has assumed the company’s top leadership position. Longtime CEO David Cohen transitioned out of the company in mid-May, Firestone says.

“I come into my expanded role excited to continue the foundation David set and bring a renewed energy and excitement for Michael Smith the future,” says Smith. “David’s commit-

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ment to the growth and prosperity of all the industries we serve is ingrained in everything we do. And that commitment will remain the same.”

The company says the management change was part of a well-coordinated succession plan in process since Berkshire Bank acquired Firestone in 2015.

Smith has led all key functional areas of the business during his tenure and brings a deep knowledge of the business and its customers, Firestone says. The company says customers and partners will experience no significant changes in the management of their account or points of contact during or after the transition.

Firestone hired Smith in 2008 to lead key operational areas as vice president, credit, operations, and risk management. In 2015, the attorney was appointed senior vice president, portfolio risk officer, and led the credit, risk, loan operations, and portfolio management teams. He was named executive vice president, chief operations officer, in 2018, adding oversight of sales and marketing, technology, and finance functions.

He has over 30 years of finance and lending experience, having previously worked as director of operations and legal counsel for AGFA Financial Services Inc.

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that includes a showroom, equipment warehouse, parts department and office space for sales and service teams. The celebration brings the company’s offerings to Georgia, North Carolina and South Carolina.

The event was an opportunity to learn more about low financDISTRIBUTOR STATEWIDE LAUNDRY EQUIPMENT OPENS NEW OFFICE Distributor Statewide Laundry Equipment, with four locations in ing rates and investing, while meeting with industry vendors and representatives.and RepsParts. were on hand to acclimate Florida, recently celebrated the grand openingContact of its newest usoffice todaymanufacturer for new Equipment attendees to the Speed Queen brand, and offered service schools. in Smyrna, Georgia.

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AC Power .............................................. 37 ACE Commercial Laundry Equipment ....... 34 American Switch ......................................39 BDS Laundry Systems ..............................31 CSC Serviceworks ....................................27 Cleaner’s Supply ......................................39 Continental Girbau ....................................1 CryptoPay ..................................................7 Dexter Laundry Inc........................... 23, 25 ESD Inc...................................... 20-21, BC Eastern Funding ..................................... 17 Gold Coin Laundry Equipment ...............19 Great Lakes Commercial Sales ................38 HHC Electronic Service ...........................39 High Mark Manufacturing ......................33 Huebsch .....................................................9 Imonex Services .......................................38 Laundry Concepts....................................29 Laundry One ...........................................35 LG Electronics .......................................IBC Low Cost Manufacturing.........................24 Maytag Commercial Laundry ..................13 Metro Laundry Tech Corp. .....................39 Mountain Electronics........................ 36, 38 NIE Insurance ..........................................15 Royal Basket Trucks ................................36 Setomatic Systems ................................. IFC Speed Queen ..............................................3 Starchup...................................................22 TheLaundryPass.com ...............................11 Tjernlund Products ..................................38 Vending Machine Sales ............................38 Vend-Rite...................................................5 AUGUST 2019 AMERICAN COIN-OP 39

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NEWSMAKERS (continued from page 37) Statewide Laundry Equipment has been serving the state of Florida, the Caribbean, South America, Central America and other export markets for over 35 years.

FREESMAN NAMED VP OF MULTI-HOUSING FOR AAXON Aaxon Laundry Systems has hired Mark Freesman as its new vice president of multi-housing, the company says.

The industry veteran worked previously at Aaxon partner Alliance Laundry Systems and will help direct Aaxon’s investment and growth strategy in multi-housing projects, including major apartment, condominium, guest services and other properties that utilize the company’s laundry services.

Freesman previously held roles at Alliance that included senior business unit manager, senior regional sales manager and director of market development.

Previously, he was an executive at Coinmach Corp., Electrolux and General Mark Freesman Electric. He has an MBA from The Schulich School of Business at York University, Toronto, Canada.

Aaxon serves all of Florida, Puerto Rico, the Caribbean, South America, Central America and other export markets.

CALDWELL & GREGORY PARTNERS WITH EQUIPMENT MARKETERS Caldwell & Gregory (C&G), Richmond, Va., which provides value-based laundry service programs to the college and university market, reports it has entered into partnership with Equipment Marketers (EM), a laundry service provider headquartered in Cherry Hill, New Jersey.

C&G will bring EM’s Route and Distribution divisions under its direction, allowing EM’s owners to retire. Terms of the partnership were not announced.

“When EM’s founders, Dick and Sue LaMaina, approached us about needing a partner that would care for their clients and their team members in the exceptional way they have for over 40 years, I was extremely excited,” says Bob Dinnie, C&G president and CEO. “I have always admired the Lamainas’ commitment to excellence and for building a company of tremendous integrity.

To be considered worthy of carrying on their legacy of caring for clients and employees is a great honor.”

Combining the companies made a lot of sense given they share similar business philosophies and geography, C&G says, adding that EM’s customers will continue to receive exceptional service while benefiting from advanced support systems, expanded resources and enhanced technology.

ALLIANCE LAUNDRY SYSTEMS TO ACQUIRE COMMERCIAL EQUIPMENT CO. Alliance Laundry Systems reports it has reached an agreement to purchase the distribution assets of Dallas-based Commercial Equipment Co. (CEC). At press time, the deal was expected to be 40

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finalized for closing in July; terms were not announced.

Headquartered in Farmers Branch, Texas, CEC has a rich history of servicing the Central and North Texas markets, as well as northern Louisiana, since 1967, Alliance says.

“CEC has long been a leader in their market, and we are delighted by the opportunity this agreement affords Alliance to build on that reputation,” says Mike Schoeb, CEO of Alliance Laundry Systems.

As a Speed Queen distributor, CEC has been prolific in helping investors enter and thrive in the vended laundry business, according to Alliance. In 2018, CEC was appointed the UniMac distributor for the North Texas and North Louisiana markets.

While Alliance will acquire the company’s distribution business assets, CEC’s route segment is not included in the purchase agreement. Additionally, CEC President Taylor Smith will remain an active part of the business moving forward with Alliance.

WASH MULTIFAMILY LAUNDRY SYSTEMS APPOINTS NEW EXECUTIVES WASH Multifamily Laundry Systems, a laundry facilities management service company, has appointed two new C-suite executives to its management team. Joining WASH are Arthur J. (AJ) Long, chief financial officer, and Andres de Armas, chief revenue officer.

“We’re extremely pleased that AJ and Andres are coming on board and bringing their expertise to their respective roles as the company grows and expands,” says Jim Gimeson, CEO of Arthur J. (AJ) Long Andres de Armas WASH. “They both contribute unique skill sets and in-depth experience that will be invaluable to the WASH team and its customers.”

Prior to joining WASH, CFO Long held several executive leadership roles with companies such as Pricewaterhouse Coopers, Mitchell International, Qualcomm Incorporated, Sprint Corporation and General Dynamics. Most recently, he was chief financial officer at Kellermeyer Bergensons Services, a provider of technology-enabled integrated facility management services.

CRO de Armas began his career with GE’s Manufacturing Management Program and quickly progressed through GE’s sales organization, eventually leading the CT sales and marketing teams for the Americas, WASH says. He went on to serve in senior vice president positions at Bank of America in both sales and customer analytics.

In his most recent role as SVP, sales, at ADT, de Armas was responsible for sales direct to commercial, small-business, and residential customers, significantly improving sales productivity, net customer adds and profitability.

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Brian Holland, Partner The Laundry Café

Why did you choose an ESD system?

We obviously wanted a state-of-the-art card system that would give us a competitive advantage, but we also wanted a company that was as celebrated for their service and customer care as they are for their most successful products.

ESD is the gold standard in the industry because of superior products, well-trained personnel, and outstanding customer service.

What is your experience in the laundry industry?

In the purest sense of the word, we are “newbies” to the vended laundry arena - excited to be here, eager to play, hungry for knowledge, and humble enough to learn from anyone who is willing to offer guidance.

At the same time we have seasoned experience and battle scars from both corporate- and small business experiences in unrelated industries.

While the industries are completely unrelated, the foundational business principals that they taught - Customer Service, Finance, Marketing, Sales, People Management, HR, Operations - are all directly relevant. Maybe we’re newbies with a little seasoning.

What are the unknown challenges that you faced with your new store? How has ESD’s system helped you to overcome these challenges?

The Laundry Café is located in a fantastic destination location, but it is in a an internet challenged area of the city. ESD exceeded all our expectations by creating a wireless network even though none of the major internet providers were available. ESD has an internal team of IT professionals who customized our system to meet our needs, from design to installation.

Brian Holland & Tyrone Akins of

Is there anything that surprised you about the ESD system?

I was pleasantly surprised at the managerial utilities. The reports are thorough, comprehensive,and seamlessly integrated.

I can produce performance reports that track nearly everything. These are great for tracking your business and making informed adjustments for improvement.

Contact your local ESD distributor or ESD sales representative for more information.

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