The Hidden Cost of In-House Laundry: What Businesses Need to Know

Full laundry basket in laundromat with machines.

For businesses that rely on clean linens, towels, uniforms, or other textiles, laundry is a non-negotiable part of daily operations. Whether you run a restaurant, country club, hotel, salon, gym, or healthcare facility, the decision to handle laundry in-house or outsource it to a professional service can significantly impact your bottom line.

Many business owners assume that managing laundry in-house is the most cost-effective option—but that’s often far from the truth. Between water, electricity, detergent, equipment maintenance, and labor, the hidden costs of in-house laundry quickly add up.

By breaking down these costs, it becomes clear that outsourcing to Drop & Dash offers a more predictable, cost-effective, and hassle-free solution—eliminating the operational headaches of in-house laundry.

1. The High Cost of Water & Electricity

Commercial washers and dryers are energy-intensive machines. Every load of laundry requires a significant amount of water, gas, and electricity, and these costs fluctuate based on utility rates and machine efficiency.

 Water Consumption:

  • A commercial washer uses 30-50 gallons of water per load, depending on the machine type and load size.
  • A business that does 10 loads per day can use up to 500 gallons daily—that’s over 15,000 gallons per month!
  • In cities with high water costs, this adds up fast.

Electricity & Gas Usage:

  • Dryers consume significant amounts of electricity or gas per load.
  • A single dryer cycle can cost $0.50 to $1.00 depending on local utility rates.
  • If your business runs multiple loads daily, these costs accumulate quickly.

Estimated Monthly Cost for a Small Business:

  • Water usage: $200 – $500
  • Electricity & gas: $150 – $400
  • Total: $350 – $900/month

The Drop & Dash Solution:

With Drop & Dash, businesses eliminate these fluctuating utility expenses. Instead of paying unpredictable energy bills, you get a flat-rate service with no hidden fees.

2. Equipment Maintenance & Repairs

Running commercial laundry machines means taking on the responsibility of routine maintenance, unexpected breakdowns, and eventual replacements—all of which cost time and money.

Routine Maintenance:

  • Regular servicing is needed to prevent breakdowns, including cleaning lint traps, checking hoses, and replacing worn-out parts.
  • Commercial washers and dryers require professional servicing at least once or twice a year, costing $150 – $500 per visit.

Unexpected Repairs:

  • Washers and dryers don’t last forever. A repair can cost anywhere from $300 to $1,500, depending on the issue.
  • A broken washer could mean lost business if you can’t get laundry done on time.

Equipment Replacement:

  • A commercial washer or dryer can cost $5,000 – $15,000 per machine.
  • Most machines last 7-10 years, meaning replacement is inevitable.

Estimated Annual Cost of Maintenance & Repairs:

  • Regular servicing: $300 – $1,000
  • Unexpected repairs: $500 – $3,000
  • Depreciation (replacement every 7 years): $1,500 – $3,000 per year
  • Total: $2,300 – $7,000 per year

The Drop & Dash Solution:

When you outsource your laundry to Drop & Dash, there are zero equipment costs, repairs, or replacements to worry about. We handle everything—so you don’t have to.

3. Labor Costs: The Hidden Expense Most Businesses Forget

Many businesses overlook labor costs when calculating the price of in-house laundry. Even if you’re not hiring dedicated laundry staff, your employees spend valuable hours washing, drying, folding, and organizing laundry.

Time Spent on Laundry Per Day:

  • Loading/unloading washers & dryers: 10 minutes per load
  • Folding & organizing: 15-30 minutes per load
  • Running 5-10 loads per day? That’s 2-5 hours of labor daily.

Labor Cost Breakdown:

  • If your employees earn $20 per hour and spend 3 hours a day on laundry:
  • That’s $60 per day or $1,800 per month—just on labor!
  • Over a year, that adds up to $21,600 in hidden labor costs.

The Drop & Dash Solution:

With Drop & Dash, your staff can focus on customer service, operations, and revenue-generating tasks—not laundry.

4. Detergent, Chemicals & Supplies

Running an in-house laundry operation requires constant purchasing of:

  • Detergent
  • Fabric softener
  • Dryer sheets
  • Sanitizing agents (especially for healthcare and fitness businesses)

Annual Cost Estimate:

  • Detergents & softeners: $50 – $150 per month
  • Sanitizing chemicals: $100 – $300 per month
  • Laundry bags, baskets, & storage: $100 – $500 per year
  • Total: $2,500 – $6,000 per year

 

The Drop & Dash Solution:

With Drop & Dash, your staff can focus on customer service, operations, and revenue-generating tasks—not laundry.

The Bottom Line: Is In-House Laundry Really Cheaper?

For a small business managing laundry in-house, the costs quickly add up. Monthly utility expenses for water and electricity alone can range from $350 to $900, adding up to $4,200 to $10,800 per year. Then there’s the ongoing burden of maintenance and repairs—unexpected breakdowns, service calls, and general upkeep can cost anywhere from $200 to $600 per month, totaling $2,300 to $7,000 annually.

Labor is often the biggest hidden expense. If employees spend just three hours per day handling laundry at $20 per hour, that’s $1,800 per month or $21,600 per year—without even factoring in the lost productivity that could have been spent on revenue-generating tasks.

Beyond that, businesses must account for the constant need for detergent, fabric softener, and sanitizing agents, which typically cost between $200 and $500 per month, or $2,500 to $6,000 per year.

All together, the real cost of running in-house laundry can reach between $2,550 and $3,800 per month, adding up to a staggering $30,600 to $45,400 annually—a cost that far exceeds the price of outsourcing to a professional laundry service like Drop & Dash.

Now, compare this to outsourcing your laundry to Drop & Dash—a predictable, flat-rate service with no surprise expenses.For most businesses, the savings are clear, instead of paying for equipment, utilities, repairs, and labor, you get:

  • Fixed pricing for easy budgeting
  • No maintenance or repairs to worry about
  • Time savings that let you focus on growing your business

Make the Switch to Drop & Dash

If your business is spending too much time and money on laundry, it’s time for a change. Drop & Dash provides cost-effective, reliable laundry solutions tailored for restaurants, hotels, salons, gyms, county clubs, medical facilities, and more.

Schedule a free consultation. Call 773-436-1994 or contact us today and see how much you could save!