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The Rise of Laundromats in India: A Booming Industry

Updated: Feb 25

The laundry mart business in India is a growing industry due to the increasing urbanization and busy lifestyles of people. With the rise in disposable incomes and an increasing number of working professionals, people are increasingly opting for laundry services to save time and effort. The laundry mart business includes services such as dry cleaning, washing, ironing, and folding of clothes.

According to a report by Research and Markets, the laundry service market in India is expected to grow at a CAGR of 5.5% during the period of 2021-2026. The report also suggests that factors such as the increasing number of nuclear families, a rise in disposable incomes, and busy lifestyles are driving the growth of the laundry mart business in India.

As for statistics, there is no official data available on the laundry mart business in India. However, some estimates suggest that the laundry service market in India is worth around Rs. 2,000 crore, with a majority of the market being unorganized. According to a report by Franchise India, the laundry and dry cleaning market in India is expected to reach Rs. 50,000 crore by 2022.

Overall, the laundry mart business in India is a promising industry with potential for growth in the coming years. With the increasing demand for laundry services and a growing market, entrepreneurs can consider investing in this business.

To give a further breakdown of the laundry mart business in India, it is important to note that the market is largely dominated by unorganized players, with only a few organized players holding a significant market share. This presents an opportunity for organized players to capture a larger market share by providing standardized and quality services.

The laundry mart business in India is also being impacted by technological advancements. Several laundry service providers are now offering online booking and tracking of services, which is increasing the convenience factor for customers. Additionally, some players are also using advanced laundry equipment and eco-friendly cleaning solutions to differentiate themselves from the competition.

In terms of the demographics of the laundry mart business in India, the target audience is primarily working professionals, who are time-constrained and willing to pay for convenience. However, as the market grows and awareness about laundry services increases, the target audience could expand to include a broader demographic.

In conclusion, the laundry mart business in India is a growing industry with potential for further growth in the coming years. Entrepreneurs looking to invest in this industry should focus on providing quality and standardized services, adopting technology to increase convenience, and catering to the needs of the target audience. As the market becomes more competitive, differentiation through advanced laundry equipment and eco-friendly solutions could also be an important factor for success.

As I mentioned earlier, there is no official data available on the laundry market business in India. However, here are some estimates and statistics that provide an overview of the industry:

  1. According to a report by Ken Research, the laundry service market in India was valued at around INR 26,000 crore in 2019, and is expected to reach INR 39,000 crore by 2024, growing at a CAGR of 8.5% during the forecast period.

  2. The unorganized sector dominates the laundry market business in India, accounting for around 95% of the market share. However, the organized sector is growing at a faster pace due to increasing demand for quality services and convenience.

  3. Laundry services are more popular in urban areas, where people have busier lifestyles and less time to do household chores. However, the demand for laundry services is also increasing in semi-urban and rural areas.

  4. Dry cleaning services account for a significant portion of the laundry market business in India, with a market share of around 60%. The remaining share is divided among washing, ironing, and other laundry services.

  5. The laundry market business in India is highly fragmented, with a large number of small players operating in the market. However, some of the leading players in the organized sector include Jyothy Fabricare Services, UClean, Laundromat, and Spin Cycles.

  6. The laundry market business in India is being impacted by technological advancements, with several players adopting online booking and tracking of services, as well as mobile apps to enhance the customer experience. Additionally, some players are using advanced laundry equipment and eco-friendly cleaning solutions to differentiate themselves from the competition.

Starting a laundromat business in India requires careful planning and preparation. Here are some steps you can follow to start a laundromat business in India:

  1. Conduct market research: Conduct market research to identify the demand for laundry services in your area, the competition, and the target audience. This will help you determine the viability of your business and the potential for growth.

  2. Develop a business plan: Develop a comprehensive business plan that outlines your business goals, strategies, and financial projections. This will help you secure funding and guide you through the start-up process.

  3. Choose a location: Choose a location for your laundromat that is easily accessible and has a high footfall. Look for areas with a high density of apartments, hostels, and hotels, as they are likely to generate more business.

  4. Acquire equipment and supplies: Purchase or lease high-quality laundry equipment such as washing machines, dryers, irons, and folding tables. You will also need to purchase supplies such as detergents, fabric softeners, and hangers.

  5. Hire staff: Hire trained staff who have experience in operating laundry equipment and handling customer queries. You may also need to hire a bookkeeper to manage your accounts.

  6. Obtain licenses and permits: Obtain the necessary licenses and permits to operate your laundromat business. This includes registering your business, obtaining a GST registration, and obtaining any local permits required to operate a business in your area.

  7. Advertise and market your business: Advertise and market your business through local newspapers, flyers, and social media platforms. You may also consider offering discounts and referral incentives to attract customers.

Starting a laundromat business in India can be a profitable venture if you approach it with the right mindset and resources. With careful planning and preparation, you can establish a successful and sustainable business that caters to the needs of your customers.


To operate a laundromat business in India, you need to comply with certain legal requirements. Here are some of the legal compliances you need to fulfill:

  1. Business Registration: You need to register your laundromat business with the Registrar of Companies (ROC) under the Companies Act, 2013 or as a sole proprietorship or partnership firm under the Indian Partnership Act, 1932.

  2. GST Registration: You need to register your business under the Goods and Services Tax (GST) regime if your annual turnover exceeds the threshold limit of Rs. 20 lakhs (Rs. 10 lakhs for Northeastern and hill states).

  3. Shop and Establishment Act: You need to obtain a Shop and Establishment Act license from the local municipal corporation or the state government. This license is mandatory for businesses that operate within the jurisdiction of the municipal corporation or the state government.

  4. Fire Safety Certificate: You need to obtain a fire safety certificate from the local fire department to ensure that your laundromat business complies with the fire safety regulations.

  5. Pollution Control Board Certificate: If your laundromat business generates any waste or pollutants, you need to obtain a Pollution Control Board (PCB) certificate to ensure that your business is complying with the environmental regulations.

  6. Labor Laws Compliance: If you have employed any staff, you need to comply with labor laws related to minimum wages, working hours, and employee benefits such as provident fund and insurance.

  7. Intellectual Property Rights: You need to protect your business name and logo by registering them under the Trademarks Act, 1999, to prevent others from using them without your permission.

Complying with these legal requirements will ensure that your laundromat business operates legally and avoids any legal issues in the future. It is advisable to consult a legal expert or a chartered accountant to ensure that your business complies with all the applicable legal requirements.

By Siddharth Dalmia

the StartUp Sherpa

+91-9971799250

dalmiasiddharth1994@gmail.com

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