CHICAGO — Whether choosing the franchise route or going independent, drycleaning entrepreneurs face similar operational complexities and must overcome related challenges. The key to success lies not necessarily in which model is selected, but in understanding what each path requires and taking decisive action based on thorough preparation and realistic self-assessment.
In Part 1, we examined the case for franchising, and in Part 2, we explored the other side of the coin — striking out solo. Here, we’ll close by diving into the realities both choices face in today’s business landscape.
Overcoming Challenges
Ricardo Torres, who owns Tiffany Couture Cleaners in Las Vegas, is an Air Force pilot and still trains other pilots six days a month. Coming from that military background, he had to adjust his management approach when it came to the culture and processes at Tiffany’s.
“I’m a major, and if I give a lawful order to someone, they have to abide by it,” he says. “But I can’t do that in the civilian sector. If I ask someone to stay for a 12-hour shift and to press 150 pieces, I can get a ‘yes’ or a ‘no.’ I’m likely going to get a ‘no,’ and I can’t take offense to that.”
To address this, Torres implemented standard operating procedures and cross-training initiatives.
“We have documented and captured many processes instead of simply remembering them or one person being responsible for them,” he says. “We’ve made many of our employees very multi-capable.”
This approach has yielded measurable results, according to Torres: “Instead of having 30 employees, we can successfully run the business with 27 employees, and I’m able to be generous with the salary and the pay scale to ensure that those 27 employees are better compensated than any other competitor in the industry.”
Understanding the Complexity
No matter which model is selected, there are certain similarities that come up.
“It’s the amount of time it takes to build a loyal client base,” says Christopher White, executive director of industry consulting and plant design firm America’s Best Cleaners (ABC), “and dealing with the evolving nature of consumer expectations. It’s the importance of cash-flow modeling across seasonality and fixed costs. Also, most new owners underestimate how hands-on the first 18 months will be.”
White believes that operating a drycleaning business essentially means running three different operations.
“We’re not just a retail operation,” he says. “We’re not just a production shop, and we’re not just a pickup/delivery company. We’re all three of those.”
This complexity, White believes, affects both models equally. He says that, whether franchise or independent, four areas stand out:
- Technical knowledge of garment care and materials.
- Operational execution across all channels (retail, delivery, kiosk, etc.).
- Human resources management, especially recruitment and training.
- Flexibility to adapt to shifting customer preferences and economic conditions.
Making the Decision
So, how can dry cleaners make the best call about whether to go independent or take the franchise route?
Torres offers this framework: “If you want to sit at the head of the table and run everything and have complete ownership alongside your employees, and enjoy both the financial gains and the risk, then independent ownership is for you. If you are looking to mitigate some of that risk and have a template upon which you can function, and are OK with accepting a little less of the financial returns, then the franchise route is for you.”
White recommends thorough study, regardless of the chosen path: “You can start with research. Study eight to 12 months of market trends. Talk to industry groups. Attend events and speak directly with operators. Study exit data. Look at business listings — how many cleaners are for sale and why?”
For those considering franchising, Ryan Armstead, who operates two Tide Cleaners locations in Harrisburg, Pennsylvania, also emphasizes due diligence.
“I’d advise potential franchisees to do their homework,” he says. “Not all franchises succeed. There are plenty of bad outcomes. Read the proposals. Involve your lawyers and accountants. Not all franchises are equal. Royalties, rent, reinvestment ... they amount to real numbers. Make sure that the business is interested in your success as well as their own.”
White stresses the importance of the owner understanding his/her tolerance for hands-on involvement.
“Be realistic,” he says. “This is a labor-intensive, customer-facing business. Know what you’re signing up for — and be passionate about serving people.”
No matter which path one takes, being proactive is the key to success, Torres believes.
“Taking action is more important than the consistent contemplation of what action you’re going to take,” he says. “Eventually, we learn more by doing than simply by ‘analysis paralysis.’ So, whether you go down the franchise or the non-franchise route, the key factor is not so much which route, but instead the action that you’re willing to take.
“You’re going to find success regardless, but it must be preceded by action.”
For Part 1 of this series, click HERE. For Part 2, click HERE.
Have a question or comment? E-mail our editor Dave Davis at [email protected].
