How a Commercial Laundry Business Hit 30x EBITDA with Route Density

Lucas and Luna dive into the story of a mid-sized commercial laundry service in the Midwest that sold for 30 times EBITDA — more than double the industry average. The secret wasn't flashy tech or fancy contracts. It was route density: the operator consolidated five overlapping delivery routes into three, slashed fuel costs by 18 percent, and increased stops per driver from 12 to 19 a day. Lucas explains how this operational tweak transformed a commoditized linen-rental business into a high-margin acquisition target for a regional roll-up buyer. Luna pushes back on whether the multiple is sustainable, and they debate whether route density is a better multiple-builder than recurring revenue. Specific numbers: the business did $2.8 million in EBITDA, sold for $84 million, and the buyer — a publicly traded hospitality-services firm — paid the premium because the route map was plug-and-play for their existing customer base. #CommercialLaundry #RouteDensity #BusinessBrokers #PrivateSales #EBITDA #ExitStrategy #LinenRental #MidwestBusiness #RollUp #OperationalEfficiency #BusinessValuation #Acquisition #BuyerAndSellerPodcast #Fexingo #FexingoBusiness #BusinessPodcast #ExitPlanning #SmallBusinessSale Keep every episode free: buymeacoffee.com/fexingo