📑 Commercial Laundromat Water & Utility Audit Sheet
Formulaic due diligence to verify seller revenue claims using actual municipal water and gas meters.
1. THE WATER-TO-REVENUE MULTIPLIER:
Never trust handwritten tax returns or cash logs. Calculate actual wash volume directly from city water bills (1 HCF = 748 Gallons). Standard commercial top-load washers consume 24-28 gal/cycle; modern front-load extractors consume 12-16 gal/cycle.
2. UTILITY BENCHMARK CEILINGS:
• Water & Sewer: Should not exceed 10%–14% of gross revenue.
• Natural Gas (Dryers & Hot Water): Should not exceed 8%–12% of gross revenue.
• Total Blended Utility Burden: Must remain under 28% for a profitable operation.
3. LEASE RENEWAL VERIFICATION:
Verify remaining lease term plus options (minimum 10-15 years required to protect equipment capital from landlord hold-up).