An investment in an on-site laundry delivered immediate cash savings.
This family owned 62 room motel saved nearly $120,000 a year by setting up their own on-site laundry. An asset finance solution from CFI Finance paved the way.
Cattia Andreas, Managing Director of The Clarence on Melville (a Best Western property in Albany) knew significant benefits could be acheived by bringing their laundry on-site, but it meant a signifcant investment in equipment and instalation. With CFI Finance it couldn't have been easier.
Fast Facts
An Asset Finance solution from CFI helped this family run hotel:
- Acquire quality laundry equipment and bring their laundry on-site
- Immediately reduce costs and pay for the equipment from the savings
- Improve service levels and flexibility
The Project
Cattia wanted to install an on-premise professional laundry to accommodate the needs of the 62 room property. This would help reduce the increasing cost of their outsourced laundry contract and provide more options to the business regarding their linens.
The Benefits
- Turn the laundry into a profit-center
- Eliminate high charges and restrictions on using non-hire linens only
- Choice of own quality linens, which can be sold to guests at the end of its hotel cycle
- Assurance that linens meet the highest hygiene standards
- Control on over stock-take allows for loss reduction
- Ability to monitor and control costs tightly
The Results
Cattia estimated the total cost of outsourcing their laundry over a one year period was $167,285. After the installation of the onsite laundry, the estimated operational costs over a one year period are $49,025.
This results in a saving of $118,260 in the first year alone!
*All costs are calculated based on 67% occupancy.
What our customer had to say...
The process was simple and straightforward, the application was completed online with a few simple clicks and I received an instant quote on the day of the inquiry.
Approval was received within 24 hours and funds were paid within 24 hours of the invoice being received.'
We were able to access a high standard of equipment and saved on the initial purchase costs
Want to learn more about our Asset Finance Products? Or how CFI Finance can help fund projects for Accommodation providers?