
Service Academy Business Mastermind
#362: Turning the Family Dry Cleaning Business into a Multi-Unit + Software Solution Success with Justin Koh, USAFA '14
Need financing for your next investment property? Visit: https://www.academyfund.com/ Want to join us in Washington, D.C. on Sept 28th & 29th? Visit: https://www.10xvets.com/events ____ Justin Koh is the owner of Al Phillips Dry Cleaners and co-founder of Magnoli.ai, a software platform built specifically for the dry cleaning industry. After serving as an acquisitions officer in the U.S. Air Force, Justin returned home to acquire his family's business, allowing his parents to step away after years of ownership. He approached the business with the same analytical mindset he developed in the military, growing the company from two locations into one of the largest dry cleaning operations in Las Vegas. As the business grew, Justin found himself solving many of the same operational challenges facing independent dry cleaners across the country. Rather than work around outdated systems, he built the tools he wished had existed when he took over the business. Those lessons became Magnoli.ai, helping independent operators simplify day-to-day operations with software built around the realities of the industry. In this episode of the SABM podcast, Scott chats with Justin about: Finding Opportunity in Unexpected Places: Why taking over the family business became the start of an entrepreneurial journey Justin never expected. Growing Through Strategic Acquisitions: How a series of thoughtful acquisitions transformed a two-location business into one of the largest dry cleaning operations in Las Vegas. Building Magnoli.ai: The operational challenges Justin encountered inspired software built specifically for the unique needs of independent dry cleaners. Building a Better Business: Why stronger systems, better visibility into operations, and consistent execution became essential to long-term growth. Looking Ahead: Justin shares the challenges he's focused on today, where he sees the greatest opportunities for growth, and what's next for both Al Phillips and Magnoli.ai. Timestamps: 00:44 From Academy to Family Shop 01:48 Early Struggles and Mindset Shift 04:15 COVID Deals and First Acquisitions 05:59 Vegas Expansion and Scaling Up 08:12 Turning Losses Around 09:19 Building Magnolia Software 14:10 Diversifying Dry Cleaning Services 16:04 Magnolia Today and Coaching Others 20:14 Vision for Stores and Software 28:01 Current Challenges and Funding Needs Connect with Justin LinkedIn | Justin Koh magnoli.ai justin@magnoli.ai If you found value in today's episode, don't keep it to yourself—share it with a colleague or friend who could benefit. And if you're a Service Academy graduate ready to elevate your business, we'd love for you to join our community and get started today. Make sure you never miss an episode subscribe now and help support the show: Apple Podcasts Spotify Leave us a 5-star review! A special thank you to Justin for joining me this week. Until next time! -Scott Mackes, USNA '01

