6 Tips for Running a Shoe Laundry Business that Are Getting More Eyes

The shoe laundry business is one type of business other than the barbershop business which is now increasingly being looked at by business people because it has promising business prospects. In addition, the proliferation of the clothes laundry business, it gave birth to a new business line whose income was able to match and even exceed the clothing laundry business, namely the shoe washing business. Coupled with the increasing interest in buying certain brand fashion shoes, making awareness to take care of shoes is increasingly needed. So it is undeniable, that this shoe laundry business opportunity still has a long life to survive.

Well, if any of the BFI friends here are interested in running a shoe laundry business, then this article might help you! Check out a review of the advantages and disadvantages, tips for success in running, and the business capital needed to run a shoe laundry business through the article below. Let's see together!

Advantages and Disadvantages of a Shoe Laundry Business

For those of you who are not familiar with this shoe laundry business, here are the advantages and disadvantages of running a shoe laundry business.

The Advantages of a Shoe Laundry Business

1. Having low competition because there are not many players in this business field.
2. A broad target market, ranging from the middle to the upper middle class.
3. The target customers are broad ranging from students, school children, office workers, and the general public.
4. The tools and equipment needed are not too complicated. Generally you will need a shoe washer, dryer, 1 set of shoe cleaners, shoe rack, etc.
5. Can be run for novice entrepreneurs with minimal experience.

Disadvantages of a Shoe Laundry Business

1. The choice of location must be in a strategic place, which can be visited by many people.
2. Public understanding is still low regarding the importance of maintaining the cleanliness and quality of shoes. Thus, the marketing budget is expected to be larger.
3. It takes high precision to clean and care for shoes. Because the slightest mishandling can result in complaints from customers.

6 Tips for Starting a Shoe Laundry Business

1. Master the Technique of Taking Good Care of Shoes

If you want to run a shoe laundry business, the first step you must prepare is knowing how to properly care for your shoes. This is a provision for you to be able to win the competition and be able to sort out useful information for the sustainability of your business. Currently, there are many shoe laundry trainings that you can follow. You can also increase your knowledge of shoe care techniques properly through your partner who is more skilled in this shoe laundry business. There's nothing wrong with learning through online platforms like Youtube, you know, BFI pals.

Armed with this knowledge, you will get used to knowing the correct shoe care technique for different types of shoes. In addition, of course, customers will have more confidence in the work and services of your shoe laundry business if you really understand this shoe care technique.

2. Create a Competitive Business Plan

After you are confident in your abilities in shoe laundry care techniques, it's time for you to create a business plan that is superior and can compete with competitors. This business plan includes your short and long-term business plan, the budget used, promotional tools, and others. You can do competitor research first before deciding on your business plan. Find out the weaknesses and strengths that competitors have. This will make it easier to prepare a business plan for your shoe laundry business.

Make sure, you have determined the unique selling point of your business to be able to compete with competitors. For example, with a 10-minute shoe laundry service, or laundry made from premium shoes at affordable prices, and so on. With the unique selling point that you have, it will make it easier for you to reach customers.

This shoe laundry business plan also includes determining the target market. Usually, the target market for this shoe laundry business is students, office workers, and the general public. With a clear target market, it will determine the right type of promotion according to the age criteria and interests of the target market.

No less important, pay attention to determining a strategic business location in your business plan. The business location must be related to your target customer. If you want to target customers from among students, for example, you can choose a business located close to campus.

3. Get a Source of Business Capital

The third step in running a shoe laundry business is to prepare business capital. Shoe laundry business capital generally requires no small amount of capital. Details of the range of capital required to run this business are explained at the bottom of the article.

There are various ways to get business capital. If you have sufficient savings, it never hurts to use savings funds for business capital purposes. If not, you can take advantage of business capital loan services at banks or financing companies such as BFI Finance. The loan for initial business capital offered by BFI Finance has benefited thousands of customers throughout Indonesia. No need to worry, our team will help you to get a business capital loan that suits your needs.

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4. Prepare the necessary business equipment and supplies

The equipment and supplies needed to run a shoe laundry business are different from a clothing laundry business. The laundry business requires simpler equipment and supplies. Meanwhile, shoe laundry requires special tools and materials such as cleaning yellowed shoes, and so on.

Here are some of the main equipment and materials needed in this shoe laundry business:

1. Shoe washing machine
2. Dryer or dryer
3. Shoe Rack
4. Equipment Rack
5. Cleaning equipment such as shoe brush, shoe cleaning fluid, shoe perfume, sponge, microfiber cloth, sole needle, and others.
6. Plastic shoe bags of various sizes

Also, pay attention to the quality of the materials used to treat the customer's shoes. The selection of quality materials will affect the final result of a good and durable shoe laundry.

5. Build and Promote Your Brand

After the four points above have been met, then it is important for you to make your brand more known. How to do promotions either by using online or offline means. For this type of shoe laundry business, it's a good idea for you to create social media accounts such as Instagram or Facebook. You can introduce your shoe laundry brand in the media and inform various ongoing promos.

In addition to creating social media accounts, you can also create a website to reach a wider range of customers on search engines like Google.

For offline promotion, you can use pamphlets or brochures distributed to certain strategic places. Or, by placing billboards or banners at intersections and roadsides to make it easier for potential customers to see your brand.

6. Pay Attention to Service Quality

The last step in running a shoe laundry business is to pay attention to your service to customers. The best materials you use in caring for your shoes are of no value if your services do not meet the applicable standards and ethics.

Always serve customers in a friendly and solutive manner. Solution means being able to solve problems faced by customers regarding your business. Do not forget to also be responsive in accommodating all complaints faced by customers. This is nothing but to create maximum customer satisfaction and loyalty.

To maintain customer loyalty, you can also offer promotions such as 10 free 1 laundry, free city shuttle, 50% discount for new customers, and other interesting promos.

Shoe Laundry Business Capital Range

After you know the right tips for running it, here is an explanation of the range of business capital needed for this shoe laundry business:

Initial capital

Operational Costs per month of Shoe Laundry Business

The income per month of Shoe Laundry Business

Assume the cost of the stander package for 1 pair of shoes is

With a total working day in a month for example 25 days, then the gross income per month is 25 x IDR 1,650,000 = IDR 41,250,000

Net income per month

Net income per month IDR 41,250,000 – IDR 5,600,000 = IDR 35,650,000

Break-Even Point

BEP = Initial capital : Net profit per month = Rp. 20,100,000 : Rp. 35,650,000 = 0.6 or 1 month

So, for a return on investment in running a shoe laundry business it takes approximately 1 month.

Those are tips for running a shoe laundry business that is getting more attention. Hopefully, this article will help BFI friends who want to start this shoe washing business. If you need funds for your business capital needs, you can apply through BFI Finance! BFI Finance accepts applications for business capital loans with or without collateral. The types of guarantees that can be accepted are car BPKB, Motorbike BPKB, and House Certificate guarantees. With a secured loan, you can enjoy a cash limit of Rp. 1 million to billions of rupiah. Beyond that, you have the opportunity to get financing of up to IDR 25 million if you apply through an unsecured loan.

BFI Finance has been registered and supervised by the Financial Services Authority and has met the financial needs of thousands of customers ranging from business capital, investment, education funds, wedding expenses, and other consumptive financings. So, always trust your financing through BFI Finance! BFI Finance, the Solution for All Your Financial Needs!