FAQ’s – geared to the new investor in our business

FREQUENTLY ASKED QUESTIONS

Do I need experience in the Car Wash Business to be Successful?

No. Some basic business sense, and the motivation to consistently deliver the highest level of quality service in order to maximize Customer satisfaction.

Who do I start with in the process of building a self-serve car wash?

The best place to start is the equipment supplier. The potential supplier should be able to direct you to, or obtain for you, all the necessary resources to locate, design, build, and market your car wash project. The equipment supplier will have experience with what services sell best in which areas and how to lay out your facility for maximum appeal. You should choose a supplier with demonstrated capability to service and support your business after completion and well into the future.

How long can I expect it to take to recover my Investment?

Obviously this can vary tremendously based on the success of your business. A good rule of thumb in the retail business world is a 15-20% ROI(return on investment) or a 5-7 year window. You should work within this window to build your business volume so that the profitability is rewarding after the initial investment has been amortized and to make the business attractive for potential resale, lease-out, refinancing, or as collateral for the finance of future projects.

What kind of financing is available for a car wash project?

As with any start-up business, capital can come from numerous sources. Banks tend to have the most attractive rates but the most demanding terms. SBA and other government subsidized loan programs are available and should be explored thoroughly. Venture capital can come from family, partners, or even venture capital firms. Equipment can typically be leased and there are tax implications to each type of financing. A CPA or financial advisor can be invaluable in helping to assess your options. You can expect to need up to 20% of the project financing in cash and be prepared to provide extensive business and personal financial information. Lending institutions will require a detailed business plan that will include proposed equipment quotes and projections of revenue and costs. Your equipment supplier should be able to provide much of this information.

How long will it take to build and start-up a self-serve car wash facility?

This will vary widely depending on the scope and location of the project. Be prepared to spend 3-6 months in the design to permit phase and another 3-4 months from permit to completion of the construction. Weather and contractor scheduling usually represent the biggest challenges. A number of activities must occur simultaneously so an experienced project manager and a detailed plan are essential. An equipment supplier that can provide a dedicated project manager is a tremendous asset and will prevent unnecessary delays and costs.

How much should I plan to spend to open a self-serve car wash?

There are probably more variables involved with this question than any other yet it is the most frequently asked question. If you are going to invest in a business your first question should be "How much money can I plan to make with a self-serve car wash?" The biggest mistake you could make is to under-build for the location since it makes it more difficult to evaluate or recover your investment and leaves the door open for a competitor to move in and take away your customers with a nicer facility. Again, a competent equipment supplier can advise you on expected costs based on the area, the scope of the project, and average or typical experiences of their customers.

What Construction services do you offer?

We have worked with Contractors in many areas, and are glad to refer you to them. We also, with the help of our Project Manager, will work with the General Contractor of your choice in communicating the requirements and procedures that will get you the results you want.

Do you offer a Car Wash Building?

Yes. We have a Concrete Form Building from RBS, which is the best suited building for the Car Wash Industry. It never needs painting or finishing, only cleaning!