Acquisition Due Diligence Protocol
Laundromat Water Bill Audit & Due Diligence Cheatsheet
💧 Water Bill Reverse Engineering Formula
- ✅ Verify True Gross Income: Divide total CCF / 1,000 gallons used by average washer cycle consumption (~22-28 gal/load).
- ✅ Calculate True Turns:
Total Cycles ÷ Washers ÷ Days in Billing Period = True Turns/Day. - ✅ Rule Out Leaks: Shut down overnight and check water meter for continuous spinning indicators.
🏢 Commercial Lease Due Diligence
- ✅ Lease Length Remaining: Minimum 10 to 15 years remaining (Initial term + Options).
- ✅ Water / Sewer Impact Fees: Ensure no unpaid municipal sewer surcharges or back bills.
- ✅ Landlord Assignment Clause: Confirm landlord cannot unreasonably withhold lease transfer.
⚙️ Mechanical & Utility Inspection
- ✅ Water Heater System: Commercial boiler / Lochinvar system with minimum 94%+ thermal efficiency.
- ✅ Water Supply Pipe Diameter: Minimum 2" to 3" main line to prevent pressure drop during peak hours.
- ✅ Gas Line Capacity: Adequate BTU rating to fire all dryers simultaneously without flame starvation.
💳 Payment Telemetry & Coin Security
- 💎 Hybrid Payment Systems: Verify SpyderWash / CCI / Nayax hybrid coin and credit card readers.
- 💎 Bill Changer Vaults: Check high-security rear-load changers and tamper alarms.
- 💎 Security Camera Cloud Storage: Minimum 30-day continuous video retention of coin handling.