This Mother's Laundry Side Hustle Grew into a $12M Business - Side Hustle Nation

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      What if the mountain of laundry in your spare room was actually a hidden business opportunity?

      That's how Susan Toft describes her experience. As a new mother with a full-time corporate job, she faced a daunting pile of unfolded clothes and thought: someone should provide a service for this.

      So, she chose to be that someone.

      Susan is the founder of LaundryLady.com, Australia’s leading mobile laundry service. Starting solo in 2012, she conducted pickups in her van with her toddler in the back.

      Thirteen years later, she manages a business with $12 million in revenue, employing over 450 contractors in Australia, expanding into New Zealand, launching in Canada, and planning growth in the UK.

      In that journey, she secured a $1 million investment on Shark Tank Australia.

      Tune in to Episode 725 of the Side Hustle Show to discover:

      how Susan validated her idea based on personal experience and transformed it into a scalable service

      what the contractor model involves and the earnings of laundry contractors

      how appearing on Shark Tank reshaped her business and the benefits she gained from the exposure

      The Personal Pain Point That Started It All

      Susan had a demanding corporate career when she became a mother. She didn’t consider herself particularly domestic, yet the laundry in her spare room became a daily source of stress. Each morning, she searched through mountains of clean, unfolded laundry just to find something to wear.

      The realization that this frustration could be a common issue for other busy families sparked her idea: if it’s a pain point for me, it must be for others too.

      That insight led to the creation of Laundry Lady, a laundry pickup and delivery service aimed at those who prioritize their time and want to eliminate the pile.

      How Susan Got Her First Laundry Customers

      With the help of a friend who created her website, Susan gained her first customer. In the initial phase, she managed everything herself, using her household washer and dryer:

      pickup

      wash

      dry

      fold

      delivery

      For customer acquisition, Google Ads proved surprisingly easy initially. When she started 13 years ago, clicks on laundry-related searches were about 20 cents since there was little competition, making it inexpensive and effective to appear in search results.

      Acquiring customers was not the issue; her washing machine limited her capacity.

      She operated solo for the first five years, but life events required a change: after her divorce, she returned to full-time work. To sustain her business, she needed to hire her first contractors.

      Building a Scalable Laundry Business with Contractors and an Online Booking System

      Shifting from a solo operation to a contractor model necessitated a reliable online booking system. Susan applied for a government grant in Australia to finance it and approached a developer with her vision for an “Uber-style booking platform,” with a budget of $5,000.

      The developer found her budget amusing, suggesting she find an off-the-shelf solution. She did so, and the developer integrated it into her website with enough customization for multiple locations and contractors.

      Though not perfect, it worked, becoming version 2.0 of the business.

      For contractor recruitment, Susan began with her personal network and posted on Gumtree, which she describes as Australia's equivalent of Craigslist.

      She specifically sought out parents or moms who needed flexible work around school schedules and family commitments. Her initial group of eight to ten contractors was from Southeast Queensland.

      Why the Demand for Outsourced Laundry Keeps Growing

      Susan tapped into a significant shift in how households view their time. As people's lives get busier, they increasingly value their time, leading to the outsourcing of chores like laundry.

      The customer demographics reflect this shift, with approximately 60% being residential clients:

      busy families

      professionals

      individuals with disabilities

      seniors

      The remaining 40% are business clients:

      beauty salons

      medical facilities

      Airbnb hosts with low to moderate laundry volumes that larger commercial operators might overlook.

      As Susan noted, the problem of dirty clothes isn't going away. The market potential is vast, and Laundry Lady operates in a user-friendly (book online, schedule a pickup) and genuinely useful segment for various customers.

      Laundry Lady Contractor Pay and Business Unit Economics

      Clients typically spend $100 per service and book weekly or bi-weekly, creating a highly recurring revenue model.

      Contractors receive 80% of each job they complete, with the company taking 20% to reinvest in digital marketing and platform enhancement.

      Contractor earnings can range from $300 to $3,000 weekly, averaging between $1,500 and $2,000. Some use it as a side gig while studying or pursuing other ventures, while others transition to full-time as they recognize the potential