Tag Archives: franchise

EnviroStar, An Interesting Business Model

EnviroStar, Inc. has two separate divisions. One division markets industrial and commercial laundry and dry cleaning equipment, steam systems, and replacement parts. It sells dry cleaning machines, clothing presses, sorting conveyors, washers, dryers, coin operated machines, automatic sheet and towel folders, stackers etc.

EnviroStar’s second division is called Dryclean USA and is a dry-cleaning franchise. Both divisions operate in the United States, Latin America and the Caribbean. One of the things that I like about this company is that both divisions are closely related and help each other. The dry cleaning franchise division  obviously buys machinery from the equipment supply division. The equipment supply division can gain valuable feedback and ideas about its products from the franchise division.

The company has a very solid balance sheet and income statement. It has a return on assets (ROA) of 5.75% and a Return on equity of 7.71%.

The main managers of this company are: Michael S. Steiner, the CEO; Lloyd Frank, director, and Venerando J. Indelicato, the CFO.

Disclaimer: The information in these articles is general information and should not be the basis for investment decisions. All decisions should be based on a thorough analysis of the specific investment.