Dry Cleaning & Laundry Services

The 14,248 Dry cleaners in the US provide services to clean and maintain clothing and home furnishings, such as drapes and bedspreads. Services are provided to both individual consumers and commercial accounts and include cleaning, alterations, and repairs. Most firms are independently owned, but may operate as franchisees of national chains.

Changing Regulations

Industry regulation of Perc (perchloroethylene) is continuing to become more stringent.

Green Cleaners as Market Opportunity

Some dry cleaners are using growing opposition to Perc as an opportunity to operate in a more environmentally-friendly way, and advertise their “green” status.

Sep 17, 2026 - SBA Proposes Higher Drycleaning Size Cap

• The SBA’s proposed increase in the small-business size standard could expand financing and federal-contracting opportunities for US dry cleaners, according to an American Drycleaner report. Under the proposal, the revenue cap for NAICS 8123, Drycleaning and Laundry Services, would rise to $47 million from $35 million in average annual receipts, allowing larger operators to retain small-business status. That could broaden access to SBA-backed loans, federal contracting set-asides and other preferences, supporting investment in equipment, plant upgrades and expansion. The higher threshold could be especially meaningful for growing multi-location cleaners that might otherwise outgrow eligibility. At the same time, expanding the pool of qualifying firms could increase competition for federal contracts and SBA programs. The proposal remains preliminary, with public comments due in late September.
• The Other Services segment, which includes dry cleaning and laundry services, lagged the broader US services sector in August, showing no overall growth while the Services PMI rose to 55.4 from 54.1, its 26th straight month of expansion, according to the latest ISM Services PMI report. Within Other Services, business activity decreased, even as the overall Business Activity Index climbed to 61.7, while new orders increased alongside broader services growth. Employment and inventories declined, supplier deliveries slowed, and prices increased, indicating continued cost pressure. Backlogs increased, while new export orders and imports were unchanged. Inventory sentiment was the most elevated of all industries, suggesting stocks were viewed as too high.
• According to a recent American Laundry News report, labor shortages are becoming a growing constraint on the US dry cleaning and laundry services industry, particularly for chief engineers and maintenance technicians. Immigration-policy changes since 2025 have tightened access to workers, while new 2026 requirements are increasing work-authorization screening, verification time, and compliance costs. Operators are responding with higher wages, greater use of staffing and recruiting firms, and investment in RFID tracking, automated sorting, and high-efficiency laundry equipment. AI may help with recruiting and operations, but productivity gains remain uncertain: cited research found employees can save about 11 hours per week using AI, yet spend 6.4 hours checking or correcting its output, while only 13% of organizations report significant improvements. The outlook favors operators that combine automation with stronger retention, technical training, and competitive compensation to offset persistent labor constraints.
• California's expanded return-to-office mandate could provide a modest demand boost for the US dry cleaning industry by increasing the number of employees commuting and wearing office attire more frequently, according to a Facilities Dive report. Beginning July 1, about 109,000 California state employees are required to work in the office four days a week, up from two, potentially increasing demand for garment care services in affected markets. While the policy applies only to California state workers, it reflects a broader trend of employers requiring more in-office time, which could support higher dry cleaning volumes if adopted more widely. However, the mandate has faced union opposition and questions about workplace readiness, suggesting any industry benefit may be gradual and uneven rather than immediate or nationwide. Demand for dry cleaning services may increase as more workers return to their offices, and more professional clothes are needed.

Industry size & Structure

An average dry cleaner has 6 employees and generates $550,744 in annual revenue.

• The US has about 14,248 firms with about $7.8 billion in annual revenue.
• The average establishment has over $100,000 worth of equipment, and spends around $7,000 a year on advertising.
• Dry cleaning establishments may be independently owned or operate as a franchise of a national chain.
• Segments include cleaning services for individuals and businesses, reselling, and alterations.
• Large companies include DryClean USA, Tide Cleaners, Comet Cleaners, and Martinizing Dry Cleaners.