American Drycleaner - October 2017

© Copyright 2017 American Trade Magazines All rights reserved.

® October 2017

NOBODY WANTS TO BE

So safeguard your systems now!

■ ‘JOHNNIE NYLON’ ■ ROLLING WITH THE STONES

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drycleaner drycleaner A M E R I C A N

October 2017

Vol. 84, No. 7

FEATURES

DEPARTMENTS

(Cover Image: ©iStockphoto/vkoletic)

6 14

Protecting Your Tech You deploy lots of technology at your place of business, but is it safe from bugs, viruses, and thieves who want to corrupt it or just plain steal credit card numbers? Loss of data is almost impossible to overcome, notes one computer software company serving the fabricare industry. Nobody wants to get hacked.

Find out how to safeguard your operation with tips from dry cleaners and computer experts.

Tim Burke, Editor ‘Johnnie Nylon’ Energizing your drycleaning store’s employees can (and does) happen in a thousand ways — but we’re just looking at two operations: one in rural America and the other in the big city! One serves Broadway shows with a can-do attitude and lots of pride because the show must go on for its business. The other uses “Food Fridays,” friendly and great service, and fun nicknames like “Johnnie Nylon.” Both share a knack for making their stores truly extra special.

Tim Burke, Editor

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American Drycleaner, October 2017

Pre-Inspection Walk-Up, Talk-Up

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Management Strategies Climbing ‘Profit Peak’ Diana Vollmer

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Industry Observations Rolling with the Stones Howard Scott

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Spotting Tips Cleaners Courageous!

Martin Young

30

Off the Cuff Get to Know: Tim Maxwell

32

Product News

33

Around the Industry

34

Classified Advertising

38

Advertiser Index

39

Wrinkle in Time Smitty’s Doing It!

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N EED H ELP FIN D IN G T H E H ID D EN H A N G E R ?

Scan this QR Code for help in finding the hidden hanger on this month’s cover.

Good luck!

www.americandrycleaner.com

9/20/17 3:33 PM

“Business “Business has never been has never been better.” better.”

“The support from CBS was great. Even before Since consistent updates we2003, signedCBS up, has theygiven were me responsive and flexible andineasy understandThey techhave support, all our at ateam price theirtoapproach. helped that become our industry afford. I would recommend CBS, morecan efficient.” and I have, to anyone who is still wasting their time Brentsystems.

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P RE - I N SP E CT I O N

Walk-Up, Talk-Up B

een walking into drycleaning stores and saying hello lately.

For at least a year now. Just saying hi and sometimes dropping off clothes to be cleaned. Don’t mention my name, job or industry, just chit-chat. Gabbing with people, it’s in my gene pool. (Thanks, dad.) And I’m so glad that so many in dry cleaning are the same. Here are some random comments from dry cleaners.

Talking about how telephones hardly ring anymore (how weird), a drycleaning owner replied, “These young people don’t even know what a telephone booth is!

Can you believe it?!” (Nodding yes.)

About convenience being a big deal, at another dry cleaner, we wondered: “Start a mobile drycleaning service?” <Laugh!> Still another dry cleaner told me, “Our business is all about pickup and delivery. That’s where we’re thriving. We’re OK.” An owner told me as we walked through racks of hanging clothes, “We’re like a big family, ” then paused and shared a hug with a smiling co-worker. “And here’s our ‘mom.’ She’s been here 20 years.” <Big smiles!> It’s infectious — and genuine — that friendly way you have.

Tim Burke One of our features this issue, coincidentally, is about personal touches with employees at dry cleaners that make it special to work there. It’s called Johnnie Nylon.

In the cover story, Protecting Your Tech, husband-and-wife owners of Buckeye Green Cleaners share their feelings about safeguarding their drycleaning database.

Our three popular columnists are back. There’s an Off the Cuff with Tim Maxwell.

And the Wrinkle in Time reminisces about Smitty going off to war in 1942.

If you see me walking in your door, we’ll talk and laugh. That’s what I do best.

Note: I’ll be at NCA Texcare at the Meadowlands (N.J.) Expo Center, Oct. 20-22.

P.S. Our hearts go out to fabricare business owners, employees and families cleaning up in the wake of Hurricane Harvey’s destruction on the Texas Gulf Coast in late August and Irma’s in Florida and the Caribbean in September.

Chilly nights have arrived and Halloween draws near. Be safe and have fun! ADC American Drycleaner (ISSN 0002-8258) is published monthly except Nov/Dec combined. 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, 566 West Lake Street, Suite 420, Chicago, IL 60661.

Periodicals postage paid at Chicago, IL and at additional mailing offices.

POSTMASTER, Send changes of address and form 3579 to American Drycleaner, Subscription Dept., 440 Quadrangle Drive, Suite E, Bolingbrook, IL 60440. Volume 84, number 7. Editorial, executive and advertising offices are at 566 West Lake Street, Suite 420, Chicago, IL 60661.

Charles Thompson, President and Publisher. American Drycleaner is distributed selectively to: qualified dry cleaning plants and distributors in the United States. The publisher reserves the right to reject any advertising for any reason. © Copyright AMERICAN TRADE MAGAZINES LLC, 2017. 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 Drycleaner 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 Drycleaner 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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American Drycleaner, October 2017

Publisher Charles Thompson 312-361-1680

cthompson@ATMags.com

Associate Publisher/ National Sales Director Donald Feinstein 312-361-1682

dfeinstein@ATMags.com

Editorial Director Bruce Beggs 312-361-1683

bbeggs@ATMags.com

Editor Tim Burke

312-361-1684

tburke@ATMags.com

Digital Media Director Nathan Frerichs 312-361-1681

nfrerichs@ATMags.com

Production Manager Roger Napiwocki Advisory Board Mike Bleier Steven Dubinski John-Claude Hallak Mike Nesbit Herron Rowland Fred Schwarzmann Beth Shader Ellen Tuchman Rothmann Contributing Editors Howard Scott Diana Vollmer Martin Young Office Information Main: 312-361-1700 Subscriptions 630-739-0900 x100 www.american drycleaner.com

www.americandrycleaner.com

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10/15/14 PM 10/15/14 12:01 2:21 PM

NOBODY WANTS TO BE

So safeguard your systems now!

By Tim Burke, Editor

A

nyone doubt that one of the main keys to happiness in life is peace of mind?

Especially for business owners in the drycleaning industry.

We’re in a world that moves fast, almost as fast as a glowing neon Tron bike darting across a dark, vast 6

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American Drycleaner, October 2017

motherboard of an economic landscape. There are technology elements in your operation now that you must be guarding closely and diligently.

Are you? Are you sure?

“They’re using our signal against us!” Jeff Goldblum’s character pointed out in the first Independence (continued) www.americandrycleaner.com

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“I am 100% dependent on technology to operate for more than a few hours, which is the price of automation.” — John Blair, VP, Buckeye Green Cleaners

Day movie, noting how invading aliens were using our own technology against us.

That really is the fundamental challenge you face in your drycleaning operation. Trying to secure your

Tech Trust! John Blair and Luanne Handley-Blair are husband and wife co-owners of Beavercreek, Ohiobased Buckeye Green Cleaners. Blair says their business is “100% dependent on technology to operate for more than a few hours...” (Photo: Buckeye Green Cleaners)

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American Drycleaner, October 2017

own technology; protecting against bugs and computer viruses on your systems, software, point-of-sale (POS) program, website, apps, social media, and also from someone simply stealing your data. All of it.

Our “age of communication” brought a bugaboo along: The security breach, aka “The Hack.”

Remember back to an even older movie, WarGames?

Matthew Broderick’s character visits some computer nerds who explain that programmers place secret “back doors” into their work so they themselves can get past any future security codes and firewalls put in place, in case the program ever gets compromised. But that, in turn, leaves open “a way in” that you don’t — and can’t — see.

The best thing you can do today, in our wireless, Internet-of-Things world, is be as proactive as possible and protect your technology, thus safeguarding the credit card and personal data your customers have entrusted to you.

Here are some tips and advice from two drycleaning owners and from computer software and systems companies that serve our fabricare industry.

American Drycleaner asked husband and wife coowners of Beavercreek, Ohio-based Buckeye Green Cleaners, John Blair, vice president, and Luanne Handley-Blair, president, this recently: “Generally speaking, how important is protecting your tech at your business?”

“I have thought a lot about that. I am 100% dependent on technology to operate for more than a few hours, which is the price of automation,” relates Blair.

“I bar-code using point-of-sale (POS) system, have an automated bagger and assembly system. Since that makes me paperless after mark-in, and until the invoice is printed, I just have lines of finished clothes close together without technology,” he points out.

Here’s a lesson learned about safeguarding their electronic files and their customer database, that hit home for their business: “We recently switched phone and data service and I allowed my employees to use Wi-Fi for their headphone music. That’s a point of entry for bad guys, so we’re going to get a new modem that will put a firewall between the store info and the Wi-Fi.” (continued) www.americandrycleaner.com

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“In surveying our customers, one of the most important, if not ‘the’ most important, concerns they have from their software investment is data protection and security of valuable assets.” — Joe McCammon, Compassmax

As for a sound warning, he passes along this realization: “When you ask for credit card or other private data, try to reassure your customers that you are trying to keep it private. We’re all shell-shocked after all the hacks of what were thought to be totally secure databases.”

Enter Joe McCammon, owner of Falmouth, Mainebased Compassmax (Maineline Computer Systems), a drycleaning software design firm with more than 25 years experience in fabricare.

“In surveying our customers,” McCammon says, “one of the most important, if not ‘the’ most important, concerns they have from their software investment is data protection and security of valuable assets.”

He points out that when vital information is compromised, the potential losses can often be a challenge, and sometimes impossible to overcome.

As no business is completely immune to data theft or attack, he indicates, “You can opt to safeguard and discourage such attempts and thus minimize any damage, and by being proactive with the strongest and advanced security measures to prevent these potential risks.”

His firm, for instance, which has more than 3,000 partnerships with dry cleaners worldwide (according to his company’s website), has a cloud hosting platform powered by Microsoft Azure that provides a secure hosting option, with data storage and networking solutions for the drycleaning industry, he notes.

This cloud’s hosting features include scalable virtual servers and geo-redundant backups, providing peace of mind that data is well-protected. Security and privacy are built into this platform, and it is continually monitored and updated, his company notes.

According to Joe Kelly, tech manager at Compassmax, “With this platform, we have 256-bit DoD-approved encryption, which means the backup data can’t be accessed unless opened with the Azure vault, thus protecting your data.”

A cost benefit of this type of cloud hosting, the firm points out, is that it allows dry cleaners to avoid up-front hardware infrastructure costs, such as purchasing servers as well as maintaining the equipment.

End-users can potentially get their application up and 10

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running fast, in a manageable way and with less maintenance, giving businesses flexibility and taking some pressure off capacity planning.

The company offers this tip: “With hackers in mind, credit card security is also a major concern for businesses. The key to protecting credit card information from breaches is tokenization. Tokenization is encrypting credit cards where symbols are used in place of numbers.”

“Instead of keeping the credit cards on your server,” McCammon explains, “it stores the numbers in the secured cloud where hackers cannot get the information, thus taking liability out of your hands. This process will also have the added benefit of making it easier to pass your payment card compliance (PCI) annual security review.”

Nick Chapleau, founder and CEO of Chicago-based Starchup, a company that provides the fabricare industry with digital ordering and route management technology, says, “Proper utilization of software and data will keep you a step ahead. Cleaners cannot be scared of technology. But your technology — like anything else in your business — should be properly insured against hazards.”

Technology security is “basically disaster insurance,” as he puts it, adding that a security breach may not be as obviously hazardous as a plant fire or employee injury, but it can end up costing about as much.

His example from a drycleaner owner: “One cleaner we spoke with was victimized by a ransomware attack: someone put malware (‘a virus’) on the cleaner’s selfhosted server that scrambled all of the customer data to make it inaccessible, and then held the cleaner for ‘ransom’ — forcing the cleaner to pay cash for a key to unscramble the data.”

It was the “using our own signal against us” scenario played out for real, with client data held hostage.

How did it turn out?

“The cleaner paid for an IT professional to fix the issue,” Chapleau says, “but it was still quite costly for that service and the downtime.”

He seems to concur with McCammon when he says that “the most obvious tip that comes to (continued) www.americandrycleaner.com

9/21/17 7:32 AM

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“Cloud software allows dry cleaners to get a huge bang for their hard-earned buck.” — Bill Alber, CEO, SMRT

mind is to host your data with one of the major hosting platforms like Google Cloud Services, Microsoft Azure, or Amazon Web Services. These services are by far the most secure way to host.”

He also offers a lower-tech tip: “Simply limit access to all sensitive data. Make sure credit card and account numbers are masked and accessible only by you or the owner of the data.”

Word to the wise, as you’ll see ...

Chapleau continues: “We saw a case where a cleaner customer’s credit card number was taken and used by an identity thief. The cleaner initially blamed the POS’ lack of security, but it turned out to be an employee who simply wrote down the card number on a piece of paper!”

All types of security breaches are possible for any business owner. That hasn’t changed since the first merchant sold their goods. It’s true with drycleaning owners.

But today, in only the burst of a nanosecond, things happen. Remember the speed of those Tron bikes! It pays to be prepared for that peace of mind.

Chapleau adds: “As Jack Ma, founder of China’s biggest online commerce company Alibaba, says, ‘Data is the electricity of the 21st century.’ And as James Brown said, ‘You have to pay the cost to be boss.’ Businesses that use data effectively are the future. Data security will be a minor cost of that leadership.”

But an important cost if you are unprepared for a hack or a malware virus. So be proactive.

“A prominent dry cleaner suffered a breach of their computer network — it was the compelling factor in switching to our firm,” relates Bill Alber, CEO, of San Francisco-based SMRT Systems Inc., an all-in-one digital solution for drycleaning owners.

“They had an IT professional responsible for network maintenance and security; they had a firewall; and the computers were solely used for business,” he says.

Even with an IT professional on the payroll, he points out, they had multiple viruses and a botnet exploit. The Internet is an amazing tool, but without cloud software, getting the most from the Internet in a secure manner requires a full-time security professional.

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He also seems to be in agreement with others here, in that “Cloud software allows dry cleaners to get a huge bang for their hard-earned buck.”

It is “next to impossible for a drycleaning business to maintain its own IT security,” says Alber.

“You need to actively monitor for threats of all shapes, sizes and origins — updating your software in response and applying security patches daily,” he adds.

His tip for the drycleaning business owner: “Company insiders pose the greatest threat to credit card data security. Whether intentional or inadvertent, it’s not at all uncommon for employees to leak data.

“It’s important to routinely train employees on basic computer security and maintain strict permission levels, allowing employee-users access to only that data necessary to perform their work.”

He adds that “moving your data to the cloud also helps with these types of threats, as accessing big chunks of data is typically disallowed in these types of solutions.”

Finally, Alber concludes, “Owners should be sure to take advantage of ‘two-factor authentication,’ so that even with an infected computer, hackers cannot get to your information.”

Blair reminds other dry cleaners: “I guess we have been lucky, but anyone who thinks their data is safe doesn’t understand. Period.”

We asked him to finish this thought: “If you don’t proactively invest in protecting your data, you will...” His answer? “Be a candidate for tomorrow’s headline!”

Chapleau also finishes the same thought: “Pay more in the long run. Whether it’s an actual security breach or the headaches of dealing with minor issues on your own, you have more important things to focus on.”

You do have more important things in your life, like your health and your family. And your successful fabricare business gives you financial security. Make sure that business is secure. Don’t get hacked.

Protect your files. Protect your customer privacy.

Protect your well-being. Don’t let anyone — even aliens from deep space — ever use your own technology against you.

ADC www.americandrycleaner.com

9/21/17 7:32 AM

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‘JOHNNIE NYLON’

By Tim Burke, Editor

Employees at Newport, Ky.-based Atlas Dry Cleaners have nicknames, including ‘Johnnie Nylon,’ smiling here at the front counter.

(Photos: Atlas Dry Cleaners)

“E

Two stories of drycleaning owners energizing their employees: One uses fun nicknames, such as ‘Johnnie Nylon,’ hosts regular Friday lunches, and displays plenty of good feelings for employees, and that ‘vibe’ flows lovingly out to customers (and back again, too); the other has a hands-on management style that promotes an ‘all-together’ attitude to serve its New York City Broadway clients at all hours because, in their own parlance, “the show must go on.”

ach employee decorates their area at the counter, and most have nicknames for their area or themselves personally,” relates Josh Hannah, who manages Newport, Ky.-based Atlas Dry Cleaners for his dad, owner Stephan Hannah. “Some include ‘Stuck Up Lane,’ ‘Slacker,’ ‘Brat,’ ‘TNT,’ and, of course, ‘Johnnie Nylon.’”

That isn’t the only charm to this dry cleaner. There’s food. And as we know, “food is love,” so they say.

“Every Friday, we provide lunch for all of the employees. Employees bring in food and snacks for everyone from time to time,” Josh Hannah says.

“We have customers that are aware of our Friday lunch and will volunteer to bring in sub sandwiches for everyone just to show their appreciation,” he continues, talking about the good vibes emanating from working at this 80-year-old drycleaning operation in a town of about 15,000, on busy Monmouth Street, just a few blocks away from the banks of the Ohio River and facing the city of

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Cincinnati.

He says: “The ladies know most customers by first name and will start gathering the order if they see them pull up to the store.

We have customers bring in cookies, cupcakes, homemade ricecrispy treats, you This, as the sign says, is name it!”

‘Reba’s Spot Station.’

Even the Friday delicacies aren’t the only binding substance to connect managers, employees (continued) and customers at the venerable business, www.americandrycleaner.com

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“We have a marquee that receives local and regional attention,” says Josh Hannah, who manages Newport, Ky.-based Atlas Dry Cleaners. “We try to have fun with it and make people think and laugh.”

first began in 1937, started by the Geisen family and purchased by Stephan Hannah from Bob Geisen in 1994.

Josh Hannah shares: “It is not uncommon to see the

girls at the counter and our customers hug when they walk in. They talk about their lives and personal matters while visiting the store. Some of our employees hang out with customers outside of Atlas.”

The uniqueness and personal quality of the business makes it special for those who come in to get their clothing cleaned and the employees who treat them like friends.

They’re having a good time here. And it shows.

At the store, extra touches make working fun, and being treated nicely echoes out to the community around this business. Every employee gets 10 items dry-cleaned per week for free, Hannah says. “We typically clean garments for funerals free for most of our regular customers.”

He points out: “We celebrate birthdays for every employee with cake or some other treat. We have holiday grill-outs, holiday parties. If an employee has a death in the family, we send flowers from everyone at Atlas.”

That caring comes from the heart. It’s genuine and that’s what makes it special. And it branches out to the clients in so many different ways.

“If customers call us about a service we do not offer, we give them a name and (phone) number of a place that does,” he says.

“We have a marquee that receives local and regional attention. (The latest: Been Working on the Same Spot for 80 Years.) We try to have fun with it and make people think and laugh.”

People do think and laugh (and eat), and that’s proven to be very good at this drycleaning business.

Just ask Johnnie Nylon the next time you visit. (And make sure to go on a Friday—there’s food!) (continued)

(From left) ‘Brat,’ ‘Peanut,’ Atlas Dry Cleaners owner Stephan Hannah, ‘TNT’ or ‘Big Smiles’ (depending on the situation), ‘Stuck Up Lane,’ and ‘Slacker.’

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area in order to service our clients and Broadway. This enabled my employees to produce, as opposed to not working the whole week.”

He says that: “Whether it be a heat wave or a snowstorm or even a holiday, there is never a question from our clients on Broadway if Winzer is working.

They depend on us and we show up, hence the saying, ‘The Show Must Go On.’ (From left) Atlas employees Kit, The same goes for our emMonica, Shannon, Patty, Maurice, ployees—they never quesChevy, Crystal, Margie, Angie and Judy. Greg is in the front. tion working in inclement weather or holidays.”

Expressing how imON WITH THE SHOW portant it is for all their Bronx, N.Y.-based Ernest Winzer Cleaners is known employees to feel like family and always show up eager for its commitment to Broadway and its services. They to work, Barish points out, “There is no margin for error pick up and deliver through snowstorms and hurricanes. in our business. Everything must be perfect without stains “Our drivers work a full day during the day and also and without damages, superior pressing, and certainly no work four nights a week to pick up the Broadway shows, missed deliveries.” as we have to get all of the costumes and wardrobe back His customers benefit from this caring environment to the theaters the following afternoon,” says owner through “our team working together as a family unit.

Bruce Barish.

Therefore, we work together as a fine-tuned machine to The business has been around since 1908, celebrating make sure we service our customers in a near-perfect nearly 110 years. Barish has worked for his family busimanner.” ness since he was 7 years old and has been full-time since When the customers call us for a pickup, Barish notes, 1986. and they want something specific done, “The customer is He took over ownership of the fourth-generation busiaware that it will be done — but not only the first time, ness (he’s a third-generation member) in 2000. Wife every time afterwards.”

Sarah joined the Winzer team in 2005.

The secret to Winzer’s success is always striving to be “Presently, we have a staff of 20. The majority of our better than it is presently. “We take any mistakes personstaff have been with us for many, many years. Our drivers ally and try to make sure never to make the same mistake have been with us for 20 years, and one particular gentletwice,” Barish explains. man from our leather staff has been with us for over 40 The key to his success is operating smoothly and efyears,” he relates. ficiently and always being there for the Broadway clients.

“One of our personal touches is that we personally keep His employees, like him and his wife, are reliable. Indeed, in contact with our customers and their needs, as well as the show always goes on for this operation. being in the mix with our employees on a daily basis,” Atlas Dry Cleaners and Ernest Winzer Cleaners display he says. “Sarah and myself also physically see and indifferent management styles with employees working spect every garment that comes in.” together to satisfy clients. One has a great attitude and ofHe notes that their production is Monday through Friday, fers dependable, big-city, can-do service in any weather. starting in the wee hours of the morning. Some of their emThe other has equally great service in a fun, friendly, ployees are at the business as early as 2 a.m. “During the food-happy work environment that provides good vibes Christmas holiday, some employees are here at midnight.” and keeps people coming back as clients and as friends.

During the Super Bowl in New York a few years ago, They aren’t all Johnnie Nylon, but dry cleaners are good Times Square was shut down all week. people and hard-working — and that shines right through “We had to coordinate police escorts in and out of the ADC to the most important person: the customer!

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M A N A G E M E N T ST RAT E G I E S

Climbing ‘Profit Peak’ Know your cash flow ... and grow, grow, grow

M

anaging your finances helps you grow your business.

As fabricare professionals, you need many skills to handle the myriad of issues you face every day. You must oversee products, people, logistics, production, sales and marketing, locations, facilities — and it’s a full-time job.

But even more importantly, you need to manage the finances, which appears to be a daunting task for many cleaners who contact me for Diana Vollmer assistance.

The most frequent financial question is a variation of: “If I’m profitable, why can’t I: • Pay my bills?

• Get a loan?

• Get a preferred rate?

• Take a vacation?

• Buy needed equipment?”

Or: “I am able to pay my bills, so why am I: • Showing a loss on profit and loss statements (P&L)?

• Not a good risk from the bank’s perspective?”

When speaking to drycleaning owners and managers, their questions often focus on success at reducing expenses or increasing sales or profit on incremental sales.

If you don’t like numbers, now is a good time to grab your caffeine of choice. If you’re serious about your business, passion for them is the key to success.

There are two primary financial documents for operating a business: P&L and Balance Sheet. There are also two secondary statements: Cash Flow and Retained Earnings.

P&L The P&L, also known as the income statement, reflects a specific period of time, usually monthly, quarterly or yearly, with accumulated year-to-date information as well. It reflects sales/revenues, expenses and net income. www.americandrycleaner.com

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(Image licensed by Ingram Publishing)

BALANCE SHEET The balance sheet provides an overview of assets, liabilities and owner equity at a specific date in time. It is a snapshot of the business status the day it is created.

CASH FLOW “The cash flow statement shows how changes in balance sheet accounts and income affect cash and cash equivalents, and breaks the analysis down to operating, investing and financing activities. Essentially, the cash flow statement is concerned with the flow of cash in and out of the business.” – from Wikipedia.org.

Note: Cash flow is quite different from profit and loss and is critical to the smooth operation of the enterprise.

RETAINED EARNINGS “Retained earnings refers to the percentage of net earnings not paid out as dividends, but retained by the company to be reinvested in its core business, or to pay debt. It is recorded under shareholders’ equity on the balance sheet.” – from Investopedia.com.

SO, WHO CARES ABOUT REPORTS? Your banker, your suppliers, and your professional advisers all care a great deal and so should you and your management team. Financial statements are the language of the credit world, so having your statements in professional order and understanding their impact yourself are vital to optimizing your credit and liquidity.

Your managers should also be schooled in the relationships between the operation and the finances so they can manage for success.

The most misunderstood difference is between the (continued) P&L and the cash flow statements. It is American Drycleaner, October 2017

23

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M A N AG E M E N T S T RAT E G IES

also the most critical to understand.

Our industry uses both cash and accrual accounting and some companies combine the two, making the distinction even murkier.

To best understand the difference and the resulting impact on operations, let’s examine the factors that affect both statements: • Accounting method: accrual accounting vs. cash accounting; • Changes in accounts receivable; • Changes in accounts/notes payable; and • Changes in inventory.

ACCOUNTING METHOD Although the different approaches have pros and cons, the accrual accounting method is the most challenging from a daily operations perspective in our industry.

For example, if your sales are booked on incoming orders (as many are), they do not reflect collected revenues and may not convert to actual revenue, so the money may not be there when it is needed.

The same is true for accounts receivables and the terms that are extended. You must pay your employees regularly for the time worked, while your customer may take 30, 60, 90 days or more to pay you.

Usually the inflows and outflows offset each other over time if the company is profitable, but consider that large fire restoration order that has been complete for 90 days and there is still no cash in sight.

Conversely, cash accounting can give you a false sense of security because, in high season, your P&L looks great and you have money to pay for your wish list of acquisitions, expenses, expansion, bonuses, etc.

However, what reserves do you need to set aside to cover overhead in the low season when your P&L is anemic?

CHANGES IN ACCOUNTS RECEIVABLE Many of you have experienced the euphoria of a fat balance sheet due to high accounts receivable and the misery of the rude awakening when that receivable has to be written off as uncollectible.

CHANGES IN ACCOUNTS/NOTES PAYABLE Celebrations often accompany the final payment on a 24

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note or the payoff of a large account balance. Although it has little effect on the operating P&L, a loan payoff greatly affects the cash flow, the balance sheet, owner flexibility and peace of mind.

CHANGES IN INVENTORY If your inventory is high but old, it is not really as valuable as if it is low, fresh and turning weekly.

Awareness of the diminishing value of the inventory and the dwindling likelihood of collecting fees for processing greatly affects realistic cash-flow projections, especially if the sales are booked at drop-off instead of customer pickup.

Inventory is a perishable item with an expiration date that must be actively and aggressively managed.

The impact of worn-out or defective equipment adds greatly to negative cash flow on a daily basis when all of the resulting effects are considered.

For example, a shirt unit that must be repaired regularly is expensive in excess labor expense due to downtime for the operators, increased touch-up labor, and in management distraction, but also in delay of moving the shirts through the plant and onto the vans for on-time delivery.

The maintenance provider(s) must be called in and paid, the parts may or may not be available immediately, inspection may be skipped or rushed, assembly and bagging are delayed, drivers are delayed, store racking is late, and customers may be disappointed by the poor quality, the shortcuts taken or failure to receive orders on time.

Every step along this path is expensive and damaging to your image, reputation and business. A healthy business must have reinvestment funds set aside to maintain optimum operations.

All of you can give examples of financial reporting concerns. They are a regular occurrence for business owners, but advance planning and honest forecasting can overcome most of these issues, providing for relatively smooth operations that can grow sales and profit on a predictable basis.

ADC Diana Vollmer is a managing director for Methods For Management, which has served dry cleaners and launderers with affordable management expertise and improved profitability since 1953. She holds an MBA in international finance, so for assistance managing your P&L and balance sheet, contact her at dvollmer@mfmi.com or call 415-577-6544. www.americandrycleaner.com

9/20/17 3:26 PM

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I N D U S T RY OB S E RVAT I O NS

Rolling with the Stones Motivation key to making dry cleaner’s sale happen

R

ichard Stone began in the industry as a delivery person.

He was 18 and in college. A friend didn’t want the delivery job anymore, so he cajoled Stone to take over. But there was a problem. The delivery vehicle, a VW bus, had a clutch, and Stone did not know how to drive a stick.

The friend taught him that day, and they went back to the boss and Stone was hired. That was in the early ’60s.

Today, Stone and his wife, Judith, run Dry Cleaners Plus, based in Monroe, N.Y., an East Coast matchmaker that brings together buyers and sellers in the fabricare industry. In addition, the company handles acquisitions/mergers, exit planning, and more.

In their 50-plus-year careers in the industry, they’ve been employees, owners (Richard wound up buying that store he drove for), wedding gown rental operators, route managers, and expert witnesses.

Howard Scott Their firm, opened in 1989, has done business in 15 states plus Costa Rica. Hundreds of transactions have passed through their portals. But more important than years of experience, the Stones are astute students of the business.

They have learned what makes dry cleaners succeed, how they fail, what it would take to turn a failing operation around, as well as the qualities needed to be successful in the field.

Richard is quick to point out that not all calls result in being hired. “We try to help the customer. If it isn’t right for us, we might suggest other brokers. We might suggest other ways of merging.”

For example: “I might get a call from a drop-store business that does $50,000. I will tell him that his business isn’t sellable as a going concern. I’ll suggest that he call around to area operators to see if they might be interested in acquiring the store, adding it to their operation.”

In another instance, he says, “I did suggest that an owner get rid of three of his nine drop stores before the business would be sellable. Other times, I might suggest a partnership, if buyer and seller skills would be comple-

26

American Drycleaner, October 2017

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Judith and Richard Stone co-own Monroe, N.Y.based Dry Cleaners Plus and are experienced matchmakers for buyers and sellers of drycleaning businesses. (Photo: Richard Stone)

mentary. So, not all interactions result in sales.”

The matchmaking process begins with the Stones getting to know the business. The duo make several visits, looking over the plant and other parts of the operation.

Judith is the numbers guru. She analyzes the numbers, pulling out the incorrect entries (personal autos on the books, for example), ascertaining the accurate production percent (35% is a good figure), and calculating a true profit.

“Often, there is a discrepancy because the owners don’t understand their business,” she says. In this way, the Stones recast profit.

There is also the issue of legitimacy. If an owner draws $100,000 out of the business, but only pays taxes on $60,000, then the $60,000 is the true income. “If it’s underground, it’s not sellable,” she adds. However, businesses that do over $500,000 are fully compliant.

The team studies the deal. For instance, a potential environmental problem with the property, even though their firm usually doesn’t sell real estate, could be an issue.

Recently, the company has been working with a partnership, one non-active, who can’t agree on the percentage of distribution in the event of a sale.

Even though Dry Cleaning Plus usually doesn’t sell the property along with the business, they (continued) www.americandrycleaner.com

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I N D U S T RY OB S E RVAT I ONS

The hard part: convincing the seller of the business’ true value.

(Photo: Tim Burke)

do suggest a commercial broker and they always recommend getting right of first refusal for the buyer.

When Judith comes up with a true profit, the team considers about 25 factors that might affect selling price. These include the stability of help, equipment condition, economics of the area, and more.

Putting values on these factors, the Stones arrive with a profit multiple. That determines the range of selling price.

“It is true that in the old days, people could expect to sell their businesses for 100% on the sales dollar,” Richard says. “But, today, a seller might expect 70 to 80%. The best I ever got was 90% on the dollar.”

TIMING, TIMING, TIMING Always, timing is critical.

When ZOOTS (Mass.-based drycleaning and laundry company) first began, it was buying dry cleaners for 100% on the dollar. In fact, Dry Cleaning Plus negotiated many of their acquisitions. That’s because it expected to go public and cash out at 40 times its investment.

It didn’t happen that way. Richard says, “The problem with that period is that ZOOTS’ purchases distorted the market, and made it harder for us to sell to conventional buyers.”

Then comes, in many ways, the hard part: convincing the seller of the business’ true value. Sometimes there is a discrepancy.

Richard offers a not-uncommon scenario: “An owner who does $300,000 sales tells his wife that the business is worth $400,000. After our evaluation, we determine that it is worth $200,000 to $225,000. That’s quite a discrepancy that the seller has to square with his wife.”

The duo explain their reasoning. If the owner doesn’t agree, the Stones back out of the project.

“Businesses willing to sell over time (installment sales basis) get a premium,” Judith says. “Businesses wanting all up-front money don’t get a break. If the buyer is an insider and reputable, accepting an over-time payment might be the wise choice.”

Another thing the Stones do is recommend that the seller go to see an accountant to determine the tax ramifications of a sale. Very often, an owner won’t do this, and 28

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several steps along in the negotiation, that same owner is shocked to find that he will owe $200,000 in capital gains taxes.

The Stones also recommend hiring a lawyer who is not their lawyer, but a lawyer who specializes in sales of businesses.

“It is important for the lawyer to protect his client, but it is also important to facilitate the sale,” Judith says.

Richard offers: “I’ve built up an enormous amount of contacts in the industry over the years. I assess whether any of them would be interested. Not finding a buyer, I go on the Internet, and advertise the enterprise.”

The Stones don’t just locate a prospect, they also examine relevant business experience.

At that point, the prospective buyer and seller meet, size each other up, and spend some time together. They do not have to become friends, but they must both be willing to make the transaction happen.

Because of the complexities of today’s sales, the timeline is usually a year.

Convincing a client of true worth is another timeconsuming issue. In fact, Richard claims to be able to walk into a dry cleaner, spend an hour with the owner, and come up with a pretty good assessment of what the business is worth.

When a sale is consummated, the seller pays their company a commission that ranges from 8% to 10% of the sale price. That’s a chunk, but if you think they are not worth it, try selling the business yourself.

The lower sales range (from 100% to 80% of sales in recent years) is not because the drycleaning industry is declining, claims Richard.

“The high-end operators are not only thriving, they are making most of the profits in the industry.”

The bottom line, say the matchmakers: “Having two really motivated people — buyer and seller — who really want to make the thing happen.”

ADC Howard Scott is a former business owner, longtime industry writer and drycleaning consultant. He can be reached by writing him at Dancing Hill, Pembroke, MA 02359, by calling 781-293-9027, or via e-mail at dancinghill@gmail.com. www.americandrycleaner.com

9/20/17 3:25 PM

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S P OT T I N G T I PS

Cleaners Courageous!

In restoring patriotic family heirlooms, victory can be yours

T

here has been much discussion about patriotism over the years. But that term has a special meaning to most of those who have worn a uniform for a branch of the armed services.

It can mean much more to family members who discover a uniform after the owner has passed away.

There is much emotion attached, therefore great care should be taken when that uniform is presented for restoration. Fortunately, uniforms from the armed services are of highMartin Young quality materials and durable construction.

In the absence of abuse and neglect by the owner, the cleaner will find that the restoration of the uniform requires only a limited amount of risk. The uniform should be inspected closely.

The customer will seldom remember the origin of stains or the amount of time the stain has been in the uniform. Insects will be attracted to decaying food; therefore, potential damage can come from various insects seeking a source of food, not just from moths.

Look closely for damaged threads that can break from the mechanical action of cleaning, or for areas where the surface appears to be bald. Both of these conditions are signs of potential damage.

Remove any insignias or ornamentation that can be removed; even buttons can be sewn back on after cleaning. It is worth the effort to remove and protect these items, rather than to try and locate replacements that are lost or damaged in cleaning.

When the removal is not an option on a jacket, you should fold the buttons over so that the inside of the placket is showing and use No. 3 safety pins to secure the placket area to the front of the jacket.

Trousers should be zipped to the top with a No. 3 safety pin through the zipper pull, securing it to the waistband of the trousers. Both the jacket and the trousers should be bagged individually to further reduce mechanical action during cleaning.

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American Drycleaner, October 2017

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Wool is a durable fiber, and military uniforms are tightly woven in plain or twill construction. You should be prepared to restore the hand to the garment with a sizing/ texturizer. Not only will the uniform be clean, the fiber will be brought back to life for a restoration the consumer can feel as well as see.

SAFETY BLEACH In the case of a white garment that is cellulose and/or synthetic, it can be brought back to life by a bleach bath.

Many times, these items will have color variation from light exposure, appearing as dark streaks along folds.

In most cases, this will be remedied by a soak in sodium perborate or sodium percarbonate. Use water that is hot but still allows you to immerse your hand. Use a non-metallic container that is large enough to allow free movement of the garment. Dissolve the bleach in the water thoroughly.

Place the garment in the water and move it around for about 20 seconds to ensure it is evenly saturated. These bleaches are commonly referred to as “safety bleaches,” as they become inert as the temperature drops.

Sodium perborate is considered milder since its effectiveness is greatly reduced as the water drops below 90 F, while sodium percarbonate has a broader operating range and offers stronger bleaching action at temperatures above 120 F. It is a judgment call.

As for me, I will repeat sodium perborate a second time, which offers a lower risk factor. Many times, I will allow a white or pastel garment to soak overnight in sodium perborate, knowing that the bleach “dies” as the water cools.

The next day, I have the choice of hand-rinsing or wetcleaning, depending on the delicate nature of the garment.

After bleaching, rinse once in clear water followed by a rinse in water containing acetic acid, followed by a rinse in clear water. Roll the garment in a dry towel, allowing it to air-dry.

Unfortunately, the best of intentions by a consumer can present a problem for the professional cleaner.

Garments can be packed away in tightly sealed bags that contain moisture and stored in an area that is not tempera(continued) ture-controlled. This results in a wide range www.americandrycleaner.com

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of heating and cooling with the seasonal changes, which leads to condensation inside the storage bag. This leads to water (tan/ brown) streaks and circles.

Many times, these streaks can be minimalized in darker (Image licensed by Ingram Publishing) protein garments by spotting with a good neutral synthetic detergent followed by a tannin formula.

However, on whites, you will have to resort to bleaching. These water marks are more difficult than light streaks, but sodium perborate and sodium percarbonate are the place to start your treatment.

If the results from these two oxygen bleaches are unsatisfactory, I recommend that you switch to a reducing bleach, sodium hydrosulfite. I say this out of experience.

Use a non-metallic container large enough to allow free movement of the garment. Use water that is at or slightly

above body temperature (95-100 F). Dissolve the sodium hydrosulfite in the water.

Be sure you have rinsed and/or neutralized any previous bleach, then immerse the garment in the container. Move the garment around to evenly saturate. You should see immediate change.

Inspect the garment after about two minutes of movement.

Sodium hydrosulfite has the unique characteristic of imparting “whiteness” to a garment, which is of benefit when working with older garments that were originally bright white.

Word of mouth is great advertising. Restoring a family heirloom, in the form of a military uniform, is a great way to get people talking and enhance your image.

ADC Martin L. Young Jr. has been an industry consultant and trainer for 20 years, and a member of various stakeholder groups on environmental issues. He grew up in his parents’ plant in Concord, N.C., Young Cleaners, which he operates today. Phone: 704-786-3011, e-mail: mayoung@ctc.net.

O F F T HE C U F F

Get to Know....

Tim Maxwell Owner, GreenEarth Cleaning

T

ell us where you were born, grew up, and reside today.

“I was born and raised in Toronto, Ontario, Canada, where the family wholesale leather cleaning business is still operating. I moved with my wife, Karen, and my two kids, Kelsey and Kolin, to Kansas City, Mo., where GreenEarth Cleaning is headquartered, in 2006.”

Hobbies (that you’ll admit to)?

“I enjoy water sports (skiing, sailing and boating), and I am an avid downhill skier. Given my Canadian heritage, I am required to play in a men’s ice hockey league

32

twice per week in order to fit into the smaller airplane seats that are standard issue today.”

What gets you excited at work?

“I enjoy the sense of satisfaction when our team is able to save a dry cleaner’s location from a landlord that is not renewing a lease until we present the GreenEarth option.

With the built-in safeguards that are inherent in the system, hundreds of good operators have been able to save their families’ financial wellbeing. Awesome feeling!”

Lastly, tell us a secret (keep it clean) nobody knows about you.

American Drycleaner, October 2017

1017adc_p30-32.FINAL.indd 32

Tim Maxwell

“My secret is that someday I hope to circumnavigate the globe in a sailADC boat ... don’t tell anybody!”

(Readers: Do you want to take part, or know someone who does?

E-mail tburke@atmags.com.) www.americandrycleaner.com

9/20/17 3:21 PM

PRODUCT NEWS

Mobile dry cleaning Liberty Computer Systems, a software development company servicing dry cleaning and laundry for more than 30 years, has released iDryclean Pro for IPhone and Android, combining its software with the mobile needs of your customers, it reports.

“With the explosion of smartphones and the mobile demands of the digital consumer,” says Rick Mugno, company president, “it became clear that the landscape of dry cleaning is changing and the timing for Liberty to introduce this unique app and technology is perfect.” iDryclean Pro enables drycleaning customers to connect to a store anytime, providing them with functionality and services, including: tracking orders (with full ticket recall); tracking order history; receiving push notifications of specials and promotions; making payments; and scheduling a pickup or delivery (integrates with Touch Control software). www.libertycomputers.com | 800-233-9804

Wetcleaning detergent hits U.S. Kreussler, an international provider of professional textile care since 1912, introduces to the U.S. market LANADOL XPRESS. This new detergent, the company notes, brings together the inherent safety of its original LANADOL range with cleaning performance.

This detergent, the company reports, uses broad enzymes and cold-water active surfactants, and provides color and surface protection for aqueous garment care.

“We have taken the guesswork and micro-sorting out of wet cleaning,” says Richard Fitzpatrick, vice president of Kreussler.

“Now your staff can move large quantities of garments through your wetcleaning department safely, quickly and efficiently.” www.kreussler.com | 813-884-1499 www.americandrycleaner.com

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Cloud-based app on cell phone First Dry Clean’s cloud-based management tool integrates with its app system to provide its partners with quality-control tools, reports the network firm.

Log in from any computer to view network data integration from the factory, the store, delivery personnel and customer information, it notes.

The app developer also provides professional marketing and customer service support to help attain more customers. “With our system, you have management tools to improve quality and earn customers’ loyalty,” First Dry Clean adds.

The company reports it wants to help dry cleaners streamline their company communications and take their plant to the next level: “We provide cloud-based technology to keep track of your orders and support your staff in real time. Want to expand your pickup and delivery service? Join the future of the drycleaning and laundry service industry today!”

The First Dry Clean app, its website relates, “is built with an idea to make everything simple and intuitive. All you need to do is create a profile and you can order our pickup and delivery drycleaning and laundry service.” www.firstdryclean.com | 980-288-8436 American Drycleaner, October 2017

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A R O U N D T H E I N D U S T RY

MFM ‘Breakfast Club’

Independent consulting services firm Methods For Management (MFM) hosted a breakfast at Bally’s Hotel and Casino on the Las Vegas strip during the Clean Show, for members and friends, the company reports.

Kermit Engh, managing director and vice president of client services; Marta Shaffer and Diana Vollmer presented their review of the new and exciting products and services offered by the companies represented on the show floor, the firm notes.

The firm’s “show review” breakfast hosted keynote speaker Tim Burke, editor, American Drycleaner, who provided his perspective on the industry from an industry publication’s point of view.

Clean had a high turnout of more than 12,000 people, according to TRSA, with a completely sold-out floorspace, the company indicated. It added that: “Tim’s

A .E .C .

Kermit Engh, Methods For Management (MFM) managing director, emcees the firm’s Clean ’17 “show review” breakfast where many industry voices were heard. (Photo: Methods For Management, Inc.)

speech reflected the energy of the show’s high participation.”

Additionally, the firm hosted a sales panel consisting of three members who had an increase in profits with innovative ideas: Tad Jenkins of Laundry Locker in San Francisco, Calif.; John Massey of Jim Massey Cleaners in Montgomery, Ala.; and Joe Lancaster of Coral Gables LaSalle Cleaners in Coral Gables, Fla.

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TCATA flame burns bright

The Textile Care Allied Trades Association (TCATA) describes its annual get-together in July as “another outstanding conference,” based on a consensus of those who attended the management and educational meeting in Colorado Springs, Colo.

One of the highlights included attendees gathering at the U.S. Olympic Training Center one evening to light the Olympic torch and cauldron, which was relayed by past TCATA presidents who were in attendance, then lit by Gerald Henke, the association’s current president.

During the conference, Henke presented anniversary awards to Alliance Laundry Systems, celebrating 25 years of TCATA membership; and Faultless Laundry Products, celebrating 50 years.

Also, he announced Leslie Schaeffer as presidentelect and John Silverman as treasurer-elect. Both assume two-year terms at the 2018 annual conference.

Jade West of the National Association of Wholesaler-Distributors provided an update on the myriad legislative and regulatory issues in Washington, D.C., including the “colorful” political climate.

Krista Clive-Smith gave members ideas on how they can brand their companies, differentiating themselves

Past and current Textile Care Allied Trades Association (TCATA) presidents pose in front of the Olympic cauldron at the Colorado Springs, Colo., U.S. Olympic Training Center: (from left) Bruce Johnson, Chicago Dryer Co.; David Dawson; Alexander Atwater, A-1 Products; Rick Kelly, Pellerin Milnor; Bryant Dunivan, Energenics Corp.; Steve Mathews, M&B Hangers; and current leader Gerald Henke, Intex Distributing. (Photo: TCATA)

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A R O U ND T H E I N D U S T RY

Wechsler joins Atlas Intl. Leonard hires Norman Atlas International Laundry & Dry Cleaning Equipment Company, a distributor for vended and OPL equipment, welcomed Arthur Wechsler as its new vended laundry equipment sales manager for Texas, Oklahoma and Louisiana.

“I know dry cleaning, having spent 10 years with my father in the business so I’m excited to be representing cutting-edge wetcleaning systems,” says Wechsler.

Charged with working on expanding sales and company brands in the territory, the company notes Arthur Wechsler that he has been in laundry sales for over 25 years, specializing in vended laundry for 15.

“I’m sure our customers have heard of him, worked with him, or are familiar with him and his work over the past 25 years,” says Ulli Mandelbaum, owner, Atlas International.

Isaac Norman has joined the team at Leonard Automatics Inc., the firm reports. His duties will include installation and customer support for its products.

Norman spent eight years in the U.S. Navy where his areas of responsibility included electronic diagnostics and troubleshooting, Isaac Norman gauge calibration, and electronic repair and maintenance.

His recent role as a nuclear electronics control technician included the operation and maintenance of reactor-protection instruments and systems, the company says.

“His Navy training will be a great asset for his role as a technician,” the company notes.

Founded in 1969, Leonard Automatics provides manufacturing solutions for finishing needs.

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Dry cleaners helping out

Hurricane Harvey dropped biblical rain levels on the U.S. Gulf Coast in late August. It left casualties, ruined homes, and lots of cleanup, including Houston-area drycleaning and fabricare businesses.

“Houston is resilient and Texas is strong,” one fabricare voice told American Drycleaner by phone.

Kyle Nesbit, vice president of business development, and Mike Nesbit, president, MW Cleaners, Houston, note that five of their 38 locations had some level of water, and one, a plant, was being evaluated for the extent of damages.

“It appears we have lost a significant part of our equipment and all the furniture and fixtures,” they say.

They have emergency protocols in place, “so there is good lines of communication during crisis.”

With concerns for employee safety, locations opened only on a voluntary basis if employees could get there safely, the Nesbits add. “Sixteen employees lost car or home or both. We have been in contact with each and have provided some kind of assistance that includes money, housing (hotel rooms) and no lost wages.”

Rahim Maknojia, president, CEO, Oaks Cleaners, Houston, says, “With the grace of God, we are doing fine and we are back in full action” as of Aug. 31.

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Two MW Cleaners employees help one of their company managers clean up water-damaged furniture at his house in Spring, Texas, days after Hurricane Harvey flooded vast areas of the Gulf Coast in late August. (Photo: MW Cleaners)

He notes that he is getting some advice and help from the Drycleaning & Laundry Institute (DLI) about things like insurance claims and rent break since, “We were down because of the flood.”

Chris Barnett at Houston distributor FabriClean Supply, notes that Houston is resilient and Texas is strong.

“Neighbors helping neighbors has never been so true.

We have checked on a number of customers and they are doing their parts, setting up donation funds, sending in clothes and assistance.”

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9/20/17 4:02 PM

W R I N KL E I N T I M E

Smitty’s Doing It! 10 YEARS AGO. The U.S. Environmental Protection Agency (EPA) is suing the former landlords of a California city’s drycleaning operation to recover $9 million in expenses it says was spent cleaning up perc contamination in the city’s groundwater, according to a story in the local newspaper. Filed in March, the lawsuit asks that three families involved with the operation turn over their financial records to reveal how much they could contribute to the cleanup. The EPA also asked the court to levy fines of up to $32,500 per day for ignoring a similar request made in 2005. The EPA’s lawsuit is separate from a lawsuit filed by the same city against dozens of drycleaning operations and suppliers in 1998. A jury ordered the defendants in that case to pay the city $178 million for cleanup of the city’s groundwater in 2006, but damages were ultimately reduced to $12.7 million.

35 YEARS AGO. Have you considered offering to clean fashion show garments at no charge or for a reduced price? The North Carolina Association of Launderers and Cleaners says it will help you become aware of fashion trends and be able to spot potential cleaning problems before they get too serious. It will give you a chance to warn the store if the garments are unserviceable. And if they are serviceable, it will give you an opportunity to train your staff on how to handle them — before they start coming across the counter.

50 YEARS AGO. Paper Poodle Pleasers! The silly season usually occurs sometime during Indian summer. Occasionally, this period is also referred to as “the dog days,” and the latter term is highly appropriate this year.

Paper clothes for dogs have made their debut. Dogs of Distinction, a New York kennel, has breathlessly introduced a line of paper raincoats, overcoats and dresses for the well-dressed pooch. The firm also sells matching paper dresses and coats for the dog’s mistress. Do you think that your finishers are ready for this? … Holy Cow! Whether Congress should decide that a herd of 600 cows deserves the description of “sacred cows” is questioned by the Chamber of Commerce of the United

Smitty Abrams, who wrote the popular Ramblings column in American Drycleaner for years, is shown here in his uniform as Captain S.N. Abrams, Army Air Force. He left on Sept. 2, 1942, to report for duty in WWII. Note: He had served as a lieutenant in WWI and was eager to “do something” again.

States. A number of congressmen apparently felt it more important that the Annapolis Naval Academy continue to run its own dairy than to spare the taxpayers $84,000 a year, the business federation observes.

75 YEARS AGO. Salute! “They worked hell out of us (up at 5 a.m.) and we are continually rushing from one formation to another until 6 p.m. Plenty of physical exercise and academic courses. Then we have studying at night — no time for letter writing or pleasure. Must be in our rooms by 10 p.m. Next week, we go through the gas chambers and have to remove our masks and take a dose of it.

The spirit here is marvelous.

Let me tell you, in about six months or a year, we will have an army and air force that will ‘knock hell’ out of the Nazis and Japs.” So goes the word from Smitty Abrams, now Captain S.N. Abrams, Army October 1942 Air Force, who left on Sept. 2 to report for duty at Miami Beach, Fla. In World War I, he had served overseas as a first lieutenant in the 7th Engineers, 5th Division, and he was eager to “do someADC thing” in the present war. He’s doing it!

To read more of American Drycleaner’s chronicling of the industry over the years, visit www.americandrycleaner.com.

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