Government Contracts / NAICS 812310
Coin-Operated Laundries and Drycleaners / Laundry and Linen Services
Annual Federal Spend
$350M
Small Biz Share
38%
Set-Aside Rate
42%
Avg Contract
$20K–$200K
Top buyers
Department of Veterans Affairs (VA)
VA medical centers require linen and laundry services — 170+ facilities nationwide, recurring annual contracts.
Department of Defense (Army) (Army)
Military installation laundry — basic training uniforms, barracks linen, and hospital support.
Department of Defense (Navy) (Navy)
Naval base and ship laundry services — including shipboard linen supply for base-ported vessels.
General Services Administration (GSA)
GSA-managed federal facilities that include on-site laundry operations — food service and medical uniforms.
Department of Homeland Security (DHS)
Immigration detention facility linen and uniform laundering — typically multi-year service contracts.
Acquisition angle
Laundry and dry cleaning businesses are often acquired for their route accounts and equipment — but the most durable revenue is recurring institutional contracts. A commercial laundry with existing VA hospital or military base linen contracts has a customer that pays on time (government agencies are the most reliable payers in commercial laundry), renews predictably, and provides volume that smooths out retail volatility. The acquisition case is straightforward: acquire the firm, novate the government contracts, use the recurring revenue to service the SBA loan.
Bid strategy
VA medical center laundry contracts are typically bid through the VA's Network Contracting Offices (NCOs). Each of the 18 VA regional networks issues its own laundry and linen contracts — this means you can bid on the NCO that covers your location without competing nationally. Check VA's eBuy and VA acquisition portal for solicitations specific to your NCO region. Contracts typically include a base year plus four option years, which provides the revenue predictability needed to justify SBA acquisition financing.
Certifications
SDVOSB certification is particularly valuable for VA laundry contracts because the VA has a statutory preference for service-disabled veterans. VA contracting officers are required to check SDVOSB availability before opening competition. A laundry business acquired by a veteran with service-connected disability can qualify for set-asides that reduce competition to 2–3 bidders rather than 10–15 on an open-market solicitation.
Next steps
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