free car wash business plan

Car Wash Business Plan Template

Written by Dave Lavinsky

Car Wash Business Plan

You’ve come to the right place to create your Car Wash business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their car washes.

Below is a template to help you create each section of your Car Wash business plan.

Executive Summary

Business overview.

Eco-Clean Car Wash is a startup car wash company located in Boston, Massachusetts. The company is founded by Thomas Wright, a former car wash manager who has gained valuable insights in how to run a car wash during his time working at Clean & Dry Car Wash. Now that Thomas has garnered a positive reputation for his exceptional management skills, he is ready to start his new company, Eco-Clean Car Wash. Thomas is confident that his ability to effectively manage staff and operations combined with his winning customer service record will help him successfully open and run a profitable car wash.

Eco-Clean Car Wash will provide a comprehensive array of car wash and car detailing services sure to impress any vehicle owner. Eco-Clean Car Wash will be the ultimate choice in Boston for people looking for an eco-friendly car wash option. The company uses eco-friendly technology to ensure smart water usage, runs on solar power, and uses chemical-free products to clean and detail customers’ automobiles.

Product Offering

The following are the services that Eco-Clean Car Wash will provide:

• Eco-Express Car Wash
• Full Service Eco-Clean Car Wash
• Eco-Car Detailing
• A La Carte Services (vacuuming, window cleaning…)

Customer Focus

Eco-Clean Car Wash will target all vehicle owners in Boston. The company will target owners of cars, trucks, SUVs, RVs, motorcycles, and vans. Eco-Clean Car Wash will also target those individuals who prefer to do business with eco-friendly companies and are willing to spend more for an eco-friendly car wash. No matter the customer, Eco-Clean Car Wash will deliver the highest quality car care and the best customer service.

Management Team

Eco-Clean Car Wash will be owned and operated by Thomas Wright. Thomas is a former car wash manager for another local car wash. He has gained valuable insights in how to run a car wash business during his time working for Clean & Dry Car Wash. Thomas is a graduate of the University of Boston with a Bachelor’s degree in Finance. He will be in charge of the finances, supplier relationships, and eco-initiatives for the company.

Thomas has recruited an experienced car wash attendant, Patrick Collins, to be his co-manager and oversee the maintenance of the equipment and handle the training and management of the car wash attendants. Patrick Collins has been the top performing car wash attendant at Clean & Dry Car Wash for over five years. Thomas relies strongly on Patrick’s diligence, attention to detail, and focus when providing car detailing services, inspecting equipment, and training car wash attendants.

Success Factors

Eco-Clean Car Wash will be able to achieve success by offering the following competitive advantages:

• The management team, car wash attendants, and car detailers will all provide exceptional service for every customer that comes in for a car wash. The attendants will be trained to employ a high attention to detail to ensure every vehicle is cleaned to perfection.
• Eco-Clean Car Wash strives to live up to its name. The company uses an eco-conscious approach in every aspect of the business from the chemical-free products and water conservation to the recycling program and incentives for customers and employees who make green choices.
• Flexible pricing options – customers can choose from multiple packages, monthly memberships, or a la carte pricing for smaller services like vacuum only or window cleaning only.

Financial Highlights

Eco-Clean Car Wash is seeking $350,000 in debt financing to launch its car wash business. The funding will be dedicated towards securing the property and purchasing car wash equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, utilities, and marketing expenses. The breakout of the funding is below:

• Property purchase and build-out: $200,000
• Car wash equipment and supplies: $40,000
• Three months of overhead expenses (payroll, utilities): $90,000
• Marketing costs: $10,000
• Working capital: $10,000

The following graph below outlines the pro forma financial projections for Eco-Clean Car Wash.

Company Overview

Who is eco-clean car wash.

Eco-Clean Car Wash is a newly established full-service car wash located in Boston, Massachusetts. Eco-Clean will be the most reliable, eco-friendly, and high quality choice for vehicle owners in the Boston area. The company’s eco-friendly approach is built on less water, less energy, and more customer service. Eco-Clean Car Wash will provide a comprehensive array of car wash and car detailing services sure to impress any eco-conscious vehicle owner. The company uses eco-friendly technology to ensure smart water usage, runs on solar power, and uses chemical-free products to clean and detail customers’ automobiles.

The company’s management team is dedicated to training all employees on the best practices for car detailing and customer service to exceed customer expectations. Each car wash attendant and auto detailer is trained to practice attention to detail and thorough cleaning of each car that comes through the car wash.

Eco-Clean Car Wash History

Eco-Clean is owned and operated by Thomas Wright, a former car wash manager who has a Finance degree from the University of Boston. Thomas has worked for a local car wash company and managed a small team of car wash attendants. Thomas’s tenure with the car wash company has given him the skills and knowledge required to venture out on his own and start his own car wash. Thomas has gained a reputation for being an exemplary manager and has a list of car wash attendants who have expressed interest in working for his new company.

Since incorporation, Eco-Clean Car Wash has achieved the following milestones:

• Registered Eco-Clean Car Wash, LLC to transact business in the state of Massachusetts.
• Has identified the desired location and vacant property to purchase for the car wash.
• Reached out to potential suppliers of chemical-free products and eco-friendly car wash equipment to get quotes.
• Began recruiting a staff of car wash attendants and car detailers to work at Eco-Clean Car Wash.

Eco-Clean Car Wash Services

Industry analysis.

The global car wash industry is an estimated $33B market with North America boasting the most car washes of any region. The United States alone contributes to approximately 43% of the total global market share with over 60,000 car wash locations operated by 16,000 companies with over 163,000 employees across the country. The states with the most car washes are California (2,025) followed by Texas (1,465), Florida (1,289), and New York (901).

The market for car washes is highly fragmented with no major players and no companies with more than 5% market share. The most common types of car washes are self-service bay, detailing services, in-bay automatic wash, hand washing, exterior only, and full service. In-bay automatic car wash stations are the most popular, with 51% of customers preferring this type of car wash.

Car wash operators who use eco-friendly products and run eco-friendly facilities can gain a competitive advantage especially among millennial and Gen Z customers who prefer eco-friendly options and are willing to spend more money on these products and services.

Customer Analysis

Demographic profile of target market.

Eco-Clean Car Wash will target all vehicle owners in Boston. The company will target owners of cars, trucks, SUVs, RVs, motorcycles, and vans. Eco-Clean Car Wash will also target those individuals who prefer to do business with eco-friendly companies and are willing to spend more for an eco-friendly car wash.

The precise demographics for Boston, Massachusetts are:

Customer Segmentation

Eco-Clean will primarily target the following customer profiles:

• Owners of cars, trucks, vans, SUVs, motorcycles, and RVs
• Eco-conscious consumers

Competitive Analysis

Direct and indirect competitors.

Eco-Clean Car Wash will face competition from other companies with similar business profiles. A description of each competitor company is below.

Clean & Dry Car Wash

Clean & Dry Car Wash is a full-service car wash located in Boston, Massachusetts. The car wash offers a wide variety of car wash and detailing services including automated, self-service, handwash, and no-water wash options. The company is owned and operated by car enthusiasts who know the importance of car care and are dedicated to providing quality service for their customers. Clean & Dry Car Wash ’s promise is to deliver personalized customer service, exceptional car washes, and low prices.

Classy Bubble Car Wash

Classy Bubble Car Wash is a Boston-based car wash and auto detailing company that provides outstanding service to car owners. Classy Bubble Car Wash makes it easy to get a high quality car wash without the hassle. The company provides comprehensive full-service car wash services for cars, trucks, vans, and any other standard-sized vehicle. The owners of Classy Bubble Car Wash are car detailing professionals so they understand how a thorough detailing job should look. The company has three tiers of car wash packages to choose from – basic, premium, and extra premium. Customers can choose eco-friendly product options like chemical-free soap and waterless washes for an additional fee.

Shine Clean Car Wash

Shine Clean Car Wash is a trusted Boston-based car wash that provides superior service to car owners in Boston and surrounding areas. The company has three locations throughout the city and is able to provide a one-stop shop for anyone looking to get a quality car wash fast. Shine Clean Car Wash provides full-service car wash and auto detailing packages. The company’s car wash attendants are trained in efficiency to provide the quickest service possible and get customers back on the road sooner.

Competitive Advantage

Eco-Clean Car Wash will be able to offer the following advantages over their competition:

• Flexible pricing options – customers can choose from multiple packages, monthly memberships, or a la carte pricing for smaller services such as vacuuming or window cleaning.

Marketing Plan

Brand & value proposition.

Eco-Clean Car Wash will offer the unique value proposition to its clientele:

• Eco-Clean Car Wash uses an eco-conscious approach in every aspect of the business from the chemical-free products and water conservation to the recycling program and incentives for customers and employees who make green choices.
• Flexible pricing options – customers can choose from multiple packages, monthly memberships, or a la carte pricing.

Promotions Strategy

The promotions strategy for Eco-Clean Car Wash is as follows:

Social Media Marketing

The company will invest in professional marketing services provided by a local marketing firm. Social media marketing will be one of the most effective and low-cost strategies for gaining brand awareness and increasing the company’s customer base. The marketing firm will help manage the social media presence by creating and updating various social media accounts such as Twitter, Instagram, Facebook, and TikTok.

Print Advertising

Eco-Clean Car Wash will invest in professionally designed print ads to display in flyers, newspapers, magazines, and direct-mailers.

Broadcast & Streaming Media Advertising

The company will invest in commercials to be played on broadcast networks, podcasts, and streaming services.

Website/SEO Marketing

Eco-Clean Car Wash will work with the same local marketing firm that created their social media strategy to also make the company website. The website will be well organized, informative, and list all the services and pricing options that Eco-Clean is able to provide. The website will also include information on all of the eco-friendly initiatives the company is implementing and ways customers can get involved. The marketing firm will also manage Eco-Clean’s website presence with SEO marketing tactics so that when someone types into the search engine “Boston car wash” or “car wash near me”, Eco-Clean Car Wash will be listed at the top of the search results.

The pricing of Eco-Clean Car Wash will be premium. Customers come to Eco-Clean Wash for high quality eco-friendly washes and superior service. However, customers will also have the opportunity to receive steep discounts for participating in eco-friendly incentives and promotions.

Operations Plan

The following will be the operations plan for Eco-Clean Car Wash.

Operation Functions:

• Thomas Wright will be the Owner and Co-Manager of Eco-Clean Car Wash. He will oversee all finances, supplier relationships, and eco-initiatives for the company.
• Patrick Collins – Co-Manager who will be responsible for all car wash equipment inspections, car wash operations, and attendant training/management.

Eco-Clean will outsource many of its business functions including marketing, maintenance, and recruitment. The company will use business management software for customer relationship management (CRM), accounting/bookkeeping, and employee scheduling.

Milestones:

Eco-Clean Car Wash will have the following milestones complete in the next six months.

10/1/2022 – Finalize contract to purchase property.

10/15/2022 – Purchase car wash equipment and supplies.

11/1/2022 – Begin build-out of the car wash facility.

12/15/2022 – Begin recruiting and training car wash attendants.

1/22/2023 – Implement the marketing campaign.

2/1/2023 – Eco-Clean Car Wash opens for business.

Financial Plan

Key revenue & costs.

The revenue drivers for Eco-Clean Car Wash are the car wash fees that will be charged to the customers in exchange for car wash and detailing services.

The cost drivers will be the overhead costs required in order to staff a car wash. The expenses will be the payroll cost, utilities, car wash supplies, and marketing materials.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.

• Number of car washes per month: 2,000
• Average fees per month: $35,000
• Commercial property mortgage payment per year: $60,000

Financial Projections

Income statement, balance sheet, cash flow statement, car wash business plan faqs, what is a car wash business plan.

A car wash business plan is a plan to start and/or grow your car wash business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your car wash business plan using our Car Wash Business Plan Template here .

What are the Main Types of Car Wash Businesses?

There are a number of different kinds of car wash business , some examples include: Automatic or Tunnel Car Washes, In-bay Automatic Car Washes, Self-service, and Mobile Car Washes.

How Do You Get Funding for Your Car Wash Business Plan?

Car wash businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding. This is true for a car detailing business plan or a car washing business plan.

What are the Steps To Start a Car Wash Business?

Starting a car wash business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Car Wash Business Plan - The first step in starting a business is to create a detailed business plan for your car wash  that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your car wash business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your car wash business is in compliance with local laws.

3. Register Your Car Wash Business - Once you have chosen a legal structure, the next step is to register your car wash business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options - It’s likely that you’ll need some capital to start your car wash business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Car Wash Equipment & Supplies - In order to start your car wash business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your car wash business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful car wash business:

• How to Start a Car Wash Business

Other Helpful Business Plan Templates

Franchise Business Plan Template Car Detailing Business Plan Template

Car Wash Business Plan Ultimate Guide + Free Example

July 6, 2023

Adam Hoeksema

While there are numerous crucial steps to bring your vision to fruition, the creation of a business plan might not be your immediate priority. It's completely understandable if you're more focused on designing a unique car wash experience, developing specialized cleaning methods, and cultivating an inviting atmosphere for your customers. However, in the eyes of potential investors and lenders, a well-crafted business plan is often a prerequisite. This is particularly true if you're seeking financial backing, such as a loan from the Small Business Administration (SBA). A compelling business plan featuring accurate financial projections becomes an essential asset to showcase the potential triumph of your car wash venture. Equally important is ensuring that your plan and financial data align with industry standards.

What Should be Included in a Car Wash Business Plan?

Car wash business plan outline, how to do market research for a car wash business plan.

• How to Create Financial Projections for a Car Wash Business Plan

Example Car Wash Business Plan

Car wash business plan faqs.

With that in mind as the path forward, let’s dive in. 

Your car wash business plan should compellingly convey the distinctiveness of your venture, highlight your team's aptitude for managing the operation, and outline meticulously calculated financial projections aimed at optimizing profitability. In the sections below, we present a comprehensive analysis of our complimentary car wash business plan template , meticulously designed to suit the dynamic and thriving car wash industry.

1. Executive Summary

1.1 Organization Overview

1.2. Objectives

1.3. Mission Statement

2. Organization Description

2.1. Organization History

2.2. Legal Structure

2.3. Unique Value Proposition

2.4. Target Beneficiaries

3. Market Analysis

3.1. industry overview.

3.2. Collaborator and Competitor Identification

3.3. Target Beneficiaries

Key Point  1

4. Marketing and Fundraising

4.1. Strategic Plan

4.2. Program or Service Offerings:

4.4. Distribution Channels

4.5. Promotions and Fundraising

Key Point  2

5. Organizational Structure and Management

5.1. Organization’s Facility & Location

5.2. Staffing Plan and Volunteer Management

5.3. Governance, Financial Management, and Accountability

Key Point  3

6. financial plan.

6.1. Startup Costs

6.3. Expense Projections

6.4. profit and loss statement, 6.5. cash flow projections, 6.6. break-even analysis, 7. appendix.

7.1. Supporting Documents

7.2. Glossary of Term

7.3. References and Resources

Key Point  5

Central to every car wash business plan lies the foundation of market research. It's imperative to grasp your position within the market and substantiate the existence of substantial demand for your distinct car wash concept, location, and pricing strategy. Our approach to car wash market research is elaborated upon here, encompassing a comprehensive understanding of competitors, forecasting potential customer footfall, strategically choosing an optimal location, and anticipating any seasonal fluctuations that could influence your business. Here, we present tools and strategies to effectively conduct market research tailored to your envisioned car wash enterprise.

How Much Will it Cost to Advertise for my Car Wash Business?

We recommend utilizing Google Keyword Planner as a valuable resource to ascertain which keywords to target in your advertising efforts, driving potential customers to your car wash website. This tool also provides insights into the projected cost per click for various keywords, as demonstrated in the example below:

What Keywords are Customers Searching for? 

We use both Google Keyword Planner and Ahrefs to see which keywords are driving traffic to your competitors websites.  For example, you can run a report on your competitors website and see which keywords they are ranking for and how much organic traffic they are getting from each keyword.  This can help you focus your SEO efforts. 

How Seasonal are Car Wash Businesses? 

We like to use Google Trends to determine how seasonal your car concept might be.  You can see below that “Car wash near me” might not be all that seasonal.

How Many Customers Visit my Competitors Each Month?

Finally, we like to pull foot traffic reports on your competitors to be able to see how many customers they typically receive at their car wash station.  You can see an example below that shows number of visits per month for a specific address:

In the realm of car wash ventures, the volume of potential clientele holds pivotal significance, serving as a foundational premise for your financial forecasts. Therefore, comprehending the customer count frequenting your competitors will aid in gauging the anticipated flow of customers to your car wash establishment.

How to Create Financial Projections for a Car Wash Business Plan

Just like in any industry, the car wash business has its unique factors that influence financial projections, such as location, pricing strategies, and customer demand. Utilizing a car wash financial projection template can simplify the process and enhance your confidence. Creating accurate financial projections goes beyond showcasing your car wash's ability to attract customers; it's about illustrating the financial path to profitability and the realization of your business goals. To develop precise projections, consider the following key steps:

• Estimate startup costs for your car wash, including site acquisition or lease, construction or renovation expenses, equipment purchase or lease, licensing and permits, and initial marketing efforts.
• Forecast revenue based on projected car wash volume, pricing per wash, and potential revenue streams such as additional services or monthly subscription plans.
• Project costs related to labor, maintenance and repair of equipment, utilities, and cleaning supplies.
• Estimate operating expenses like insurance premiums, marketing and advertising costs, administrative expenses, and salaried employees.
• Calculate the capital needed to launch and sustain your car wash, covering initial expenses and providing working capital for continued growth and operations.

While financial projections are a vital component of your car wash business plan, seek guidance from experienced professionals in the industry. Adapt your projections based on real-world insights, leverage industry resources, and stay informed about market trends, customer preferences, and advancements in car wash technologies to ensure your financial plan aligns with your goals and positions your car wash for long-term success.

Here, we present the content of our sample car wash business plan. Additionally, you have the option to access a Google Doc version of this car wash business plan template . This allows you to personalize and modify it to align with your unique vision. To further assist you in tailoring the business plan to your car wash concept, you can follow our video walkthrough guide. It's designed to seamlessly integrate the business plan into your specific car wash venture.

Table of Contents

 1.1. company overview.

Briefly introduce the company's background, products or services, and target market.

      -  Example: Speedy Suds Car Wash is a premier car wash facility located in Houston, Texas. We offer professional car washing and detailing services to vehicle owners in the local area. 

   1.2. Objectives

Outlines the company's short-term and long-term goals.

        - Example: Provide an exceptional car wash experience that exceeds customer expectations, resulting in a high customer satisfaction rate of at least 95% within the first year.

    - Example: Long-term: Integrate eco-friendly technologies and practices into our car wash operations, such as water recycling systems, energy-efficient equipment, and environmentally friendly cleaning products, to reduce our ecological impact.

  1.3. Mission Statement

 Describes the company's purpose and core values.

        - Example: Our mission is to provide exceptional car washing and detailing services that leave our customers' vehicles spotless and gleaming. We are dedicated to delivering a superior customer experience, employing environmentally friendly practices, and maintaining the highest standards of quality and professionalism.

  1.4. Keys to Success

Highlights the factors that will contribute to the company's growth and success.

        - Example:  By focusing on exceptional service quality, a customer-centric approach, innovative technology, and strategic partnerships, Speedy Suds Car Wash aims to achieve sustainable growth and success in the car wash industry.

2. Company Description

   2.1. company history.

Provides context on the company's background and founding story.

        - Example: Speedy Suds Car Wash was founded by  Carter Conner and Marty Foster who combined their expertise in the automotive industry and business management to establish a premium car wash service in Houston, Texas. ‍

 Describes the company's legal structure (e.g., sole proprietorship, partnership, LLC, corporation).

        - Example: Speedy Suds operates as a limited liability corporation (LLC)

 2.3. Unique Selling Proposition

  Emphasizes the company's competitive advantage or unique offerings.

        - Example: Speedy Suds Stands out by providing a superior car wash experience with eco-friendly practices, cutting-edge technology, premium car care products, and exceptional customer service.

  2.4. Target Market

Defines the company's ideal customer base.

        - Example: Our services cater to car owners and enthusiasts in Houston, Texas, who seek a convenient, high-quality, and environmentally friendly car wash solution that preserves the appearance and value of their vehicles.

  Presents a general overview of the industry, its trends, and growth potential.

        - Example: The car wash industry in Houston, Texas is thriving due to the city's large population, car ownership rates, and the growing demand for professional car care services.

3.2. Competitor Analysis

 Evaluates the company's direct and indirect competitors, as well as their strengths and weaknesses.

        - Example: Direct competitors: Ocean Fresh - known for their quick and efficient service, Fresh Clean Car Wash is a popular choice among busy professionals. 

        - Example: Indirect competitors: Neighborhood Gas Station Car Wash: Several gas stations in the area offer car wash services as an additional convenience for their customers.

3.3. Target Market Analysis

Explores the company's target customers, demographics, preferences, and pain points.

        - Example: Speedy Suds Car Wash targets a wide range of customers, including individual car owners, fleet owners, and car enthusiasts who value convenience, quality, and environmentally friendly practices in car wash services.

3.4. Market Opportunities

Identifies potential opportunities for the company to grow within the market.

        - Example: Speedy Suds Car Wash can leverage market opportunities by offering premium add-on services such as detailing, paint protection, and interior cleaning, partnering with local businesses for cross-promotion, and implementing loyalty programs to retain customers and drive repeat business.

• Example 1: Conduct a survey of local car owners to determine their car wash frequency and preferences. This data will help identify the potential customer base and their needs. (e.g., 80% of surveyed car owners express a need for a convenient and high-quality car wash service in the area)
• Example 2:  Analyze the car wash industry trends in the local market, such as increasing car ownership and the demand for eco-friendly car wash solutions. This information will validate the market potential and identify niche opportunities. (e.g., The number of registered vehicles in the area has grown by 10% annually over the past three years, indicating a growing customer base for car wash services)
• Example 3: Perform keyword research to understand the volume & trends in relevant search phrases such as “carwash near me”.

4. Marketing and Sales Strategy

4.1. product or service offerings: .

Describes the company's products or services in detail.

        - Example: Speedy Suds offers a comprehensive range of car wash and detailing services, including exterior washing, interior cleaning, waxing, tire dressing, and additional add-on services such as upholstery cleaning and paint protection.

4.2. Pricing Strategy

 Outlines the company's approach to pricing its products or services.

        - Example: Speedy Sudsadopts a competitive pricing strategy based on the local market rates, offering affordable and transparent pricing for its services. Different service packages and options are available to cater to various customer needs and budgets.

4.3. Sales Strategy

  Explains how the company plans to generate sales and build customer relationships.

        - Example: Speedy Suds aims to generate sales and build customer relationships by focusing on providing a convenient and satisfying car wash experience to customers, ensuring repeat business and positive word-of-mouth referrals.

 Describes the methods through which the company will deliver its products or services to customers.

        - Example: Speedy Suds Car Wash primarily operates through its physical location in Houston, Texas, providing easy access to customers. Additionally, an online presence allows customers to explore services, make appointments, and access information conveniently.

4.5. Promotions and Advertising

 Details the company's promotional efforts and advertising strategies.

        - Example: We will implement a targeted marketing strategy that includes online advertising, local community engagement and collaborations with local businesses. Special promotions, loyalty programs, and referral incentives will be used to attract new customers and encourage repeat visits.

• Example 1: Offer a special introductory promotion, such as discounted rates or a free exterior wash for the first 100 customers. This will create excitement and incentivize customers to try Speedy Suds. (e.g., 90% of the promotional offers are redeemed within the first month, indicating a strong initial customer acquisition). You could also offer pre-launch sign ups and all signups secure a discounted rate for the first year of operation. Share with your lender how many individuals are on that list.
• Example 2: Implement a referral program where existing customers receive discounts or free services for referring new customers. This will encourage word-of-mouth marketing and generate a steady stream of new customers. (e.g., 30% of new customers are referred by existing customers, demonstrating the effectiveness of the referral program)
• Example 3: You can start offering car wash and detailing services from your home to establish a small customer base and loyal support system before you launch a full car wash. Provide these first customers with a special lifetime discount. Share sales data for your test phase customers.

5. Operations and Management

5.1. facility location and layout.

 Specify the company's physical business location and refers to the internal arrangement and organization of the space.

        - Example: Speedy Suds will secure a prime location in Houston, Texas, with high visibility and easy accessibility from major thoroughfares. The facility will be designed to optimize traffic flow, with separate areas for car wash services, vacuum stations, and customer waiting areas.

5.2. Staffing and Expertise

  Highlight the company's approach to staffing and the expertise required to deliver high-quality car wash services.

        - Example: Speedy Suds will hire a dedicated team of experienced car wash professionals who are skilled in providing efficient and thorough car wash and detailing services. Ongoing training programs will be implemented to enhance their expertise in the latest car wash techniques and customer service.

5.3. Customer Service

Outline the company's commitment to ensuring customer satisfaction

        - Example: Speedy Suds Car Wash will prioritize customer satisfaction by training our staff to deliver friendly and personalized service. We will strive to exceed customer expectations through attentive communication, timely service delivery, and addressing any concerns promptly and professionally.

• Example: Speedy Suds is founded by  Carter Conner and Marty Foster who combined their  extensive experience in the car wash industry and have successfully operated multiple car wash businesses in the past. This expertise allows them to understand the industry's best practices, operational challenges, and customer expectations, ensuring the success and smooth operation of Speedy Suds. Lenders want to know that you or your team know that you know what you are doing and know what you are getting yourself into.

5.4. Technology and Systems

Describe the technology and systems that will be utilized to streamline operations and enhance efficiency.

        - Example:  We will implement an automated car wash system with advanced sensors and brushes designed to deliver a thorough and gentle cleaning. Additionally, we will utilize a cloud-based management system to streamline scheduling, track customer preferences, and provide personalized service recommendations.

All of the unique Car Wash  projections you see here were generated using ProjectionHub’s 

Car Wash Financial Projection Template . Use PH20BP to enjoy a 20% discount on the template. 

   6.1. Startup Costs

  Provide a detailed breakdown of the total startup costs requirements, and where you plan for those funds to come from. You will also want to break down how the startup costs will be used including working capital to cover losses before the business breaks even.

        - Example: Creating a solid financial plan is crucial, and we are taking the necessary steps to ensure the success of Speedy Suds. We have already raised $500,000 from our personal investment and a small investor, and we are working  to secure a business loan of around $2.6 million. 

6.2. Revenue Projections

Provides an estimate of the company's future revenue based on market research and assumptions.

        - Example:  Speedy Suds projects $300,000 in revenue in the first year. The company anticipates steady growth in revenue over the initial five-year period.

 Estimates the company's future expenses, including fixed and variable costs.

        - Example: Speedy Suds 's primary projected operating expenses include a large amount of marketing related items as well as utilities and insurance. We also plan to hire a salaried general manager right away followed by a shift manager in the second year. We anticipate our COGS both in direct labor and materials to be around 30% of total sales.

Summarizes the company's revenue, expenses, and net income over a specific period.

        - Example: Speedy Suds expects to achieve profitability in year 3  of operation.

 Outlines the company's projected cash inflows and outflows.

        - Example: Speedy Suds cash flow projections account for seasonal fluctuations in sales and expenses.

  Determines the point at which the company's revenue equals its expenses.

        - Example: Speedy Suds anticipates reaching its break-even point in year 3 of operation.

Watch how to create financial projections for your Car Wash Business

Key Point  4 

• Example 1: Example 1: Benchmark financial projections against industry averages and ratios. For example, compare projected revenue per car wash to the average revenue per car wash in the local market to ensure competitiveness and profitability. (e.g., Projected revenue per car wash aligns with the local market average of $12 per wash)
• Example 2: Consider factors such as seasonality and fluctuations in car wash demand. Analyze historical data from other car wash businesses to estimate revenue variations throughout the year. (e.g., A 20% increase in revenue during the summer months due to higher car wash demand)
• Example 3: Conduct a sensitivity analysis to assess the potential impact of external factors on financial projections, such as changes in water and utility costs or fluctuations in labor expenses. (e.g., A 10% increase in water and utility costs reduces the projected net profit margin by 2%)

   7.1. Supporting Documents

 Includes any relevant documentation that supports the information presented in the business plan, such as resumes, financial projections, market research data, and permits or licenses.

   7.2. Glossary of Term

 Provides definitions for industry-specific terms used throughout the business plan to ensure reader comprehension.

   7.3. References and Resources

Lists any sources or resources referenced during the preparation of the business plan, including industry reports, market research data, and relevant publications.

• Example: To demonstrate their commitment and shared risk, the founding team of Speedy Suds will invest a significant portion of their personal savings into the business. This personal financial contribution showcases their dedication and belief in the success of Speedy Suds, which will help build trust with lenders and investors.

How do I start a car wash business?

To start a car wash business, research the market and competition, develop a business plan, secure a suitable location, obtain necessary permits and licenses, purchase or lease car wash equipment, establish relationships with suppliers, and create a marketing strategy to attract customers.

What types of car wash services can I offer?

Car wash services can include exterior hand wash, automated or self-service car wash bays, interior cleaning and vacuuming, waxing and polishing, detailing services, and additional services such as engine cleaning or headlight restoration.

How can I attract customers to my car wash?

To attract customers, offer competitive pricing, provide efficient and thorough car washing services, maintain a clean and visually appealing facility, offer loyalty programs or discounted packages, utilize online platforms for promotions, and provide excellent customer service.

What are the essential equipment and supplies needed for a car wash?

Essential equipment and supplies for a car wash include high-pressure washers, soap and detergent dispensers, brushes or cleaning tools, water recycling systems, vacuum cleaners, air compressors, drying equipment, cleaning solutions, and a reliable payment system.

About the Author

Adam is the Co-founder of ProjectionHub which helps entrepreneurs create financial projections for potential investors, lenders and internal business planning. Since 2012, over 50,000 entrepreneurs from around the world have used ProjectionHub to help create financial projections.

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Car Wash Business Plan

Alongside everything, a spick and span car is crucial to looking immaculate. After all, who would spare a glance at a dirty car even if it belongs to an expensive brand?

And if you love cars and cleaning and restoration is your forte then a car wash business can be an extremely profitable one for you.

Moreover, minor restoration services like fixing dents and scratches, and doing paint jobs can make your services well-rounded and a one-stop shop for your customers.

Industry Overview

According to sources, the global car wash market stood at a market value of 27.8 billion US dollars in 2020 and is expected to grow at an increased pace moving forward as well.

As the demand for convenience and purchasing power of the consumer has increased, activities like washing cars which people did themselves in the past are being outsourced increasingly.

People today are willing to pay a good price for convenience and quality services. Hence, providing quality services is essential if you want to attract and retain customers.

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Things to Consider Before Writing a Business Plan For Your Car Wash Business

Having a good team is important.

This might not hold well for every business, but forms a mandatory aspect for a car wash business. Having employees who know what they are doing and are highly skilled at their job is crucial to the success of your car wash business.

Hence, it is important to get skilled people on board.

Use technology to your advantage

Car wash services are changing and so is the way of doing it. Having the right technology that is cost-effective as well as helpful in providing quality services is crucial to the success of your car wash business.

Moreover, having the right technology also helps you stay updated and ready to meet the changing and rising demands of your customer base.

Identify your marketing channels

Every business should market through channels where its target audience is most likely to be. This helps you make marketing efforts that are effective and yield results.

As a car wash business, it is important to have both online and offline marketing strategies. Because a huge number of people look for services online these days. Apart from that, a majority of your customer base would be people living in your locality, which makes it important to have a good offline marketing strategy.

Pick a good location

A location that is both easily visible and convenient for your customers is essential for a car wash business to work. A good location is easily accessible, has a lesser number of competitors surrounding it, is convenient to park into, etc. Although it might be difficult to find an ideal location , try to find one that covers the maximum number of attributes.

Why do you need a business plan?

A business plan can help you with the following:

• It can keep you updated with the latest trends and technologies in the market.
• It helps you know your customers better.
• It helps you manage your finances better.
• It helps you organize your daily business activities better.
• It helps you manage your team properly.

All in all, a car wash business plan comes in handy for organizing and managing your business better. It makes running your business a hassle-free process, which in turn helps you provide quality services and have a profitable business.

Write Your Business Plan

If you are planning to start a new car wash service business, the first thing you will need is a business plan. Use our sample car wash business plan created using Upmetrics – Business Plan Software to start writing your business plan in no time.

Before you start writing your business plan for your new car wash business, spend as much time as you can reading through some samples of cleaning, maintenance & repairing related business plans.

Reading sample business plans will give you a good idea of what you’re aiming for. It will also show you the different sections that different entrepreneurs include and the language they use to write about themselves and their business plans.

We have created this sample Car Wash Business Plan template for you to get a good idea of what a perfect car wash business plan should look like and what details you need to include in your stunning business plan.

Car Wash Business Plan Outline

This is the standard car wash business plan outline which will cover all important sections that you should include in your business plan.

• Venture Description
• Carmen Perez
• Marketing Plan
• Keys to Success
• Financial Plan
• Legal Form of Business
• Anne Klinesmet
• Ted Holster
• Gerald Lance
• Hiring Plan
• Compensation and Ownership
• Employee Reward and Incentive Plan
• Purpose of Our Services
• Features and Benefits
• Our Services
• Related Products/Services and Spin-Offs
• Current size
• Growth potential
• Industry Trends
• Other Characteristics
• Distribution Channels
• Target Market Profile
• Customer Profile
• Future Markets
• Direct Competition
• Indirect Competition
• Future Competition
• Competitive Analysis
• Marketing Strategy
• Advertising and Promotion
• Telemarketing/Direct mail
• Trade Shows
• Pricing Policies
• Break-even Analysis
• Income Statement Projections
• Balance Sheet Projections
• Cash Flow Statement

After  getting started with Upmetrics , you can copy this sample car wash business plan into your business plan and modify the required information and download your car wash business plan pdf or doc file. It’s the fastest and easiest way to start writing your business plan.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

Download a sample car wash business plan

Need help writing your business plan from scratch? Here you go;  download our free car wash business plan pdf  to start.

It’s a modern business plan template specifically designed for your car wash business. Use the example business plan as a guide for writing your own.

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BUSINESS STRATEGIES

How to create a car wash business plan

• Annabelle Amery
• Sep 6, 2023

Starting a business , whether it's a small venture or a large enterprise, requires careful planning and strategizing. One essential component of this process is creating a clear business plan that serves as a roadmap for starting your car wash business .

A business plan can help you effectively navigate the challenges of the car wash industry, and can serve as the driving force behind your business. Keep reading to learn more about how to create a strong plan, and put your business in the right lane.

Looking to promote your car wash business online by making a website ? Get started for free with Wix’s website builder .

How to write a car wash business plan in 6 steps

As mentioned above, a well-structured business plan serves as a roadmap, guiding your decisions and strategies to ensure the success and profitability of your venture. Here are the six main parts of a car wash business plan:

Executive summary

Business and domain names

Market analysis and research

Operations plan

Marketing and advertising plan

Financial plan

01. Executive summary

The executive summary is the first part of your car wash business plan, providing an overview of your entire plan in a concise and compelling manner. It should capture the reader's attention and provide a clear understanding of your business idea, goals and strategies.

To write a clear executive summary for your car wash business plan you should start with a compelling introduction that highlights the unique aspects and value proposition of your car wash business. Always provide a brief description of the market opportunity and target audience for your services. Make sure to summarize your marketing strategies , competitive advantages and financial projections. Finally, include key milestones and objectives that you aim to achieve with your car wash business.

02. Business and domain names

Choosing the right business name for your car wash is crucial for building brand awareness and trust among your target audience. Your business plan should outline the process of deciding on a company name and domain name.

To choose the right name for your car wash business:

Brainstorm small business name ideas that reflect the nature of your car wash services, such as cleanliness, efficiency or environmental friendliness.

Use a business name generator tool to generate creative and unique name options.

Consider the availability of domain names that align with your chosen company name.

Check for trademark conflicts and ensure that your chosen name is not already registered by another business in your industry. (And make sure to register your business once you’ve decided on your name and business structure.)

When choosing a domain name:

Keep it short, memorable and easy to spell.

Avoid hyphens or numbers that can confuse potential customers.

Use relevant keywords if possible to improve search engine visibility.

Select a domain extension (.com, .net, .org) that is widely recognized and trusted by customers.

03. Market analysis and research

Market analysis and research in your business plan is crucial for understanding the competitive environment and developing effective marketing strategies. This section should provide an in-depth analysis of your target market, customer demographics, competitors and industry trends.

You can do this by:

Analyzing the competitive landscape by researching existing car wash businesses in your area. Identify their strengths, weaknesses, pricing strategies and customer reviews.

Identifying market trends and opportunities that can help you differentiate your car wash business and attract customers.

Conducting surveys or interviews with potential customers to gather insights into their preferences, expectations and willingness to pay for car wash services.

Then, use the data and information gathered from your marketing analysis to develop a solid marketing strategy that will effectively target and attract your ideal customers.

04. Operations plan

The operations plan is a crucial part of your car wash business plan as it outlines the practical aspects of running your business. This section should cover location selection, premises layout, equipment requirements and staffing needs.

When developing the operations plan make sure to:

Select a suitable location for your car wash business that offers high visibility, easy access and ample parking space.

Choose the layout of your premises to optimize workflow and create a pleasant customer experience.

List the required equipment for your car wash, such as automated washing systems, water treatment systems, vacuum cleaners and payment systems.

Outline the staffing needs for your car wash business, including roles like car wash attendants, cashiers and maintenance personnel. Specify their responsibilities and required qualifications.

05. Marketing and advertising plan

The marketing and advertising plan in your car wash business plan details the strategies and campaigns you will implement to promote your services. This section should include an overview of your target market, branding strategies, online presence, advertising channels and promotional activities.

Start by creating a strong brand identity that reflects the values and unique selling points of your car wash business. As part of this, establish an online presence through a business website , social media profiles and online directories. Consider using a mix of advertising channels like local newspapers, radio ads, online ads and community sponsorships.

You could also think about promotional activities—like loyalty programs and referral incentives—to encourage repeat business. By implementing a well-thought-out marketing and advertising plan, you can effectively reach your target audience and maximize customer acquisition for your car wash business.

Building your brand from the ground up? Use Wix’s logo maker to get the creative juices flowing.

06. Financial plan

The financial section of your business plan provides holistic insight into the financial facets of your venture, including how you plan to raise money for your business , revenue forecasts, operational costs and the timeline for achieving profitability. This section not only establishes the fiscal soundness of your car wash business but also helps prospective investors and lenders assess the projected return on their investment.

Thinking of starting another type of business? Check out some of these creative service business ideas  to help get you started.

Car wash business plan examples

These draft business plan templates provide a starting point for your own car wash business plan. Customize them to fit your specific goals. Remember to conduct thorough research and analysis to ensure the accuracy of your financial projections and strategies. Check out these service business examples to help you get started:

Business plan template 1: Full-service car wash

Sparkling Suds Car Wash is a full-service car wash facility located in downtown Anytown. Our mission is to provide exceptional car washing services with a focus on customer satisfaction and environmental sustainability. With our state-of-the-art equipment, eco-friendly cleaning products and highly trained staff, we aim to become the go-to destination for car owners who value quality and convenience.

Company name and domain name

The company name chosen for our car wash business is Sparkling Suds Car Wash. The corresponding domain name will be www.sparklingsudscarwash.com.

Target market: Our primary target market includes busy professionals, families and car enthusiasts who seek high-quality car washing services.

Competitive landscape: We have identified three major competitors in our area, each offering different levels of service and pricing.

Market trends: There is a growing demand for eco-friendly car wash services as customers become more conscious of their environmental impact.

Location: We have secured a prime location in downtown Anytown with high visibility and easy access.

Premises layout: The premises will be designed to accommodate multiple vehicles simultaneously, ensuring efficient workflow and minimizing customer wait times.

Equipment: We will invest in state-of-the-art automated washing systems, water treatment systems, vacuum cleaners and payment systems.

Staffing: Our car wash business will require a team of skilled car wash attendants, cashiers and maintenance personnel.

Target market: Our marketing efforts will focus on reaching our target market through online advertising, local community events and partnerships with nearby businesses.

Branding: We will create a strong brand identity that reflects our commitment to quality, convenience and environmental sustainability.

Online presence: We will build a professional website and establish a presence on social media platforms to reach a wider audience.

Advertising channels: Our advertising strategy will include local newspaper ads, radio commercials and online advertisements targeted at our specific demographic.

Financial projections

Startup costs: We estimate the initial investment required for equipment, leasehold improvements, marketing expenses and working capital to be $300,000.

Revenue projections: Based on market research and conservative estimates, we project annual revenue of $500,000 in the first year, with steady growth in subsequent years.

Expenses: We have carefully considered all expenses associated with running the car wash business, including labor costs, utilities, supplies and maintenance.

Business plan template 2: Self-service car wash

Bubbles & Jets Car Wash is a self-service car wash facility located in a high-traffic area of Suburbia. Our goal is to provide a convenient and affordable car washing experience for individuals who prefer to wash their own vehicles. With our user-friendly equipment, well-maintained facilities and competitive pricing, we aim to become the preferred choice for self-service car washing in the area.

The chosen company name for our self-service car wash business is Bubbles & Jets Car Wash. The corresponding domain name will be www.bubblesandjetscarwash.com.

Target market: Our primary target market includes budget-conscious individuals who enjoy the satisfaction of washing their own vehicles.

Competitive landscape: We have identified two existing self-service car washes in the area, each with its own strengths and weaknesses.

Market trends: There is a growing trend of people opting for self-service car washes as they value control over the cleaning process and cost savings.

Location: We have secured a strategic location in Suburbia with easy access and ample parking space for customers.

Premises layout: The premises will be designed to accommodate multiple vehicles simultaneously, providing customers with enough space to comfortably clean their cars.

Equipment: We will invest in high-quality self-service car wash equipment, including pressure washers, foam guns, vacuum cleaners and vending machines for cleaning products.

Staffing: Our self-service car wash business will require minimal staffing, primarily for maintenance and customer assistance.

Target market: Our marketing efforts will focus on reaching our target market through local advertising, online directories and word-of-mouth referrals.

Branding: We will create a brand identity that emphasizes convenience, affordability and a clean and well-maintained facility.

Online presence: We will establish a basic website with information about our services, location and operating hours.

Advertising channels: Our advertising strategy will include local newspaper ads, flyers distributed in nearby neighborhoods and online listings in car-related directories.

Startup costs: We estimate the initial investment required for equipment, leasehold improvements, marketing expenses and working capital to be $150,000.

Revenue projections: Based on market research and conservative estimates, we project annual revenue of $200,000 in the first year, with steady growth in subsequent years.

Expenses: We have carefully considered all expenses associated with running the self-service car wash business, including utilities, supplies, maintenance and minimal staffing costs.

Benefits of creating a car wash business plan

Your business plan has both short-term and long-term implications for your business. Among them:

Attracting financing: A well-structured business plan tailored to your car wash venture can pique the interest of potential investors and lenders. By showcasing your understanding of the car wash industry, competitive strengths and growth projections, you increase your chances of securing the funding needed to launch or expand your car wash business.

Resource planning: Crafting a business plan specific to your car wash operations allows you to gain a comprehensive grasp of the resources required for a successful launch and ongoing operations. This encompasses identifying essential equipment, supplies, technology and staffing necessary to efficiently run your car wash establishment.

Goal setting: A thoughtfully outlined car wash business plan empowers you to set achievable objectives and milestones. It provides a roadmap for measurable targets, guiding your progress and channeling your efforts toward attaining sustainable success.

Competitive insights: Infusing thorough market analysis into your car wash business plan equips you to navigate the competitive landscape. By pinpointing competitors' strengths and vulnerabilities, you can devise strategies to differentiate your car wash business and gain a distinct market advantage.

Risk management: Integrating a comprehensive market evaluation and competitive assessment into your business plan enables you to identify potential risks that might impact your car wash enterprise. Developing contingency measures and risk-mitigation tactics within your plan equips you to navigate uncertainties and minimize potential disruptions.

Expansion possibilities: A well-constructed business plan for your car wash enterprise lays the groundwork for future growth and diversification. It provides a platform to assess expansion opportunities, such as adding more locations or introducing novel services, while also offering strategies to capitalize on these prospects.

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500+ business plans and financial models

How to Write a Business Plan for a Car Wash: Complete Guide

• February 16, 2023

👇 Check all our resources on car wash businesses 👇

Whether you’re looking to raise funding from private investors or to get a loan from a bank (like a SBA loan) to open a new car wash , you will need to prepare a solid business plan.

In this article we go through, step-by-step, all the different sections you need in your car wash business plan. Use this template to create a complete, clear and solid business plan that get you funded.

1. Executive Summary

The executive summary of a business plan gives a sneak peek of the information about your business plan to lenders and/or investors .

Though the executive summary is the first and the most important section, it should normally be the last section you write because it will have the summary of different sections included in the entire business plan below.

Why do you need a business plan for your car wash?

The purpose of a business plan is to secure funding through one of the following channels:

• Obtain bank financing or secure a loan from other lenders (such as a SBA loan )
• Obtain private investments from investment funds, angel investors, etc.
• Obtain a public or a private grant

How to write an executive summary for your car wash?

Provide a precise and high-level summary of every section that you have included in the business plan. The information and the data you include in this segment should grab the attention of potential investors and lenders immediately. Ensure that the executive summary doesn’t exceed 2 pages in total.

The executive summary usually consists of the 5 main paragraphs:

• Business overview : introduce your car wash company: what is your business model (hand wash vs. automated car wash ; franchise vs. independent business), how many car wash bays will you operate, how many employees will you have, where will the car wash be located, etc.
• Market overview : briefly analyze the car wash industry in your service radius (area), your competitors and target customers (average income, demographic distribution, etc.). One important question you must answer here is how big is your target market is . Also outline the specific problems in your service area that you intend to solve and how you differ vs. competition
• Management & people : introduce the management team and their industry experience. Mention your business partner(s), if any. Also give here an overview of the different teams, roles and their reporting lines
• Financial plan : how much profit and revenue do you expect in the next 5 years? When will you reach the break-even point and start making profits? Also include here a small chart with your key financials (revenue, net profit )
• Funding ask : what loan/investment/grant are you seeking? How much do you need? How long will this last? How will you spend the money?

2. Business Overview

The Business Overview segment of your car wash business plan will introduce your company and try to answer some important questions that potential investors and lenders may have. Here is a sample list of questions that you must try to address in the company overview section:

• Why are you opening a car wash service?
• Where is your shop located? Why did you choose that location?
• What services will your offer?
• What will be your pricing strategy ?
• What will be your operating hours?
• Who is your target audience ?
• How many car wash bays will you operate?
• What will be the legal structure of your company?

a) History of the Project

Any business must have three components:

• Passion & experience of the business owner
• The rationale behind you starting this business today

Passion & Experience

You must be passionate about the business and demonstrate the same to the potential lenders and/or investors through the business plan.

Also, you must have some experience or training in this type of business. For example, you might have been a senior manager at a car wash in the past and want to build your own today.

The business must try to resolve some issues in its current area of operation. For instance, there may not be any 24×7 car wash facility in the area or maybe there are no full-service car wash facilities nearby and your company will resolve that problem.

b) Business Model

Describe the business model that you will adopt in this sub-section. Try and answer some questions like:

• Will you acquire an existing car wash facility, a franchise? Or will you start your own car wash business from scratch?
• What type of car wash is it (full-service, automated, self-service, hand wash, etc.)?

For example, here are a few examples of the different types of car wash:

• Full-service car wash : This vehicle wash is the most thorough. The automobile will have its outside cleaned, the inside of its windows washed, and its inside vacuumed. Customers wait in the waiting area
• Self-service car wash : There are self-service car washes in practically every town for those who enjoy washing their own vehicle. These car washes allow customers to wash their own vehicle anyway they choose with high-quality solutions and brushes and wands
• Brushless car wash : The phrase “brushless car wash” is used in the industry to describe vehicle washes that use soft cloth pads as equipment. Because they are gentle on a car’s surface, cloth and more recent synthetic variants of cloth are frequently utilized, and regular brushless car washing greatly reduces the risk of paint oxidation
• In-bay touchless automatic car wash : This is a reference to the touchless car washes that may frequently be seen at convenience stores and gas stations. When using a touchless in-bay automated car wash, you pull your vehicle into a bay as directed by the LED signs, and the machinery works its way around your vehicle to clean it using carefully formulated detergents and pressurized water streams

c) Pricing Strategy

Explain the pricing strategy of all your car wash services in this segment. Essentially, you must provide an estimated price range for specific services.

We strongly recommend you include here a pricing list for the products and services that you will offer. You don’t need to provide precise numbers. Average pricing will do.

Offering a pricing table is important because your pricing strategy will allow investors to tie your pricing strategy with your financial projections .

d) Legal Structure

Finally, your business overview section should specify what is your company’s legal structure.

Is this a corporation or a partnership (LLC)? Who are the investors? How much equity percentage do they own? Is there a Board of Directors? If so, whom? Do they have experience in the industry?

3. Market Overview

A complete understanding of the market where you want to operate is important for the success of your business.

For example, if you want to open a brushless car wash facility, which happens to be the only facility of its kind in the area, it makes sense.

Similarly, if your car wash facility is a self-service facility in an area with a high percentage of white-collar workers and mothers with children (who generally prefer conveyor facilities over self-service facilities), the business will not succeed.

Therefore, you must cover 2 important areas in the market overview section of your business plan,:

• Market trends : how big is the car wash industry in your area? How fast is the market growing? What are the trends fuelling this growth (or decline)?
• Competition overview : how many competitors are there? How do they compare vs. your business? How can you differentiate yourself from them?
• Customer analysis : what is your target audience (customers)? What type of cars do they have? How much do they spend on car wash services per year?

a) Car Wash Industry Status Quo

How big is the car wash industry in the us.

The US car wash industry is estimated at $13 billion in 2021 , and is expected to grow at 3.1% from 2022 to 2030. Factors driving market growth include stringent environmental regulations that restrict residential car washing in some states.

How big is the car wash industry in your area?

After the US, assess the size of the car wash industry in your city or area. Focus on the zone where you plan to offer your services.

Naturally, you might not be able to get the data for your specific city or region. Instead, you can estimate the size of your market .

To give you an example, let’s assume you plan to operate in an area where there are already 30 car wash businesses:

As we know, the US car wash industry is worth $13 billion today, and there are about 60,000 car wash businesses across the US. This means the average annual turnover per car wash is around $220,000. Now, we can safely assume that the car wash industry is worth $6.5 million in your area .

How fast is the car wash industry growing in your area?

Growth is an important metric for assessing the status of the car wash industry in your region. 

Here if you don’t find information online or via your research, you can calculate growth using the total number of competitors in your area. 

For example, assuming there were 25 competitors in the region in 2018, and 30 in 2022, the car wash industry growth rate in your area is about 5% per year .

What are the current car wash market trends in your area?

It is vital to understand the car wash trends in your target location because it will allow you to come up with effective marketing strategies . 

The best way to perform your research will be to talk with your potential customers. Also, you can study competing car wash facilities to get an idea of the type of customers they receive, the services they provide, etc.

Some common questions you may ask the target audience include:

• What type of car wash facility do they want?
• How many vehicles do they have in a family?
• How frequently do they avail car wash services?

b) Competition overview

Studying your competitors’ business models is vital. You need to understand what makes them successful or why they fail. A clear understanding of their products and services, marketing strategies, etc., will allow you to provide a better service.

If your competitors are offering nearly the same services, then what is their market share and how do they market their products & services to attract new customers?

It is always a good idea to do some research (if necessary, physically visit your competitors without revealing your business intentions) and create a comparative table summarizing their product & service offerings, marketing strategies, target audience, etc.

Car Wash SWOT Analysis

Try to provide a SWOT analysis . It must be crisp and highly focused. SWOT stands for Strength, Weakness, Opportunities, and Threats.

Here is a sample that you can use as a reference:

• Strengths : 5 years of experience in full-service and brushless car wash; eco-friendly and bio-degradable chemicals cycled through water reclamation system’s purification system; a team of highly specialized team with experience in equipment, etc.
• Weaknesses : Startup costs, no initial reputation / brand image
• Opportunities : High percentage of resident car owners and located close to businesses with delivery and company cars
• Threats : Established competitors with large existing customer base and years of operational experience

A clear understanding of your strengths and weakness along with opportunities and threats in the real market can help you to design your marketing strategy. It also helps potential investors to assess the risk and reward profile of your business.

c) Customer analysis

This is a section where you should provide a detailed analysis of your target audience. Some important points that you must include in your customer analysis include:

• Age and gender distribution (you can get local demographic data from census.gov )
• Number of vehicles per family
• Average monthly income and disposable income
• Average annual spend on car wash service per household
• Social group preferences and distribution
• Inclination towards loyalty programs & free perks

You can add as many data points as required to validate your business decision. The idea here is to display your deep understanding of the target audience and the needs, preferences, and expectations. This knowledge can help you to tailor your products & services to attract new customers.

4. Sales & Marketing

This is the segment where you outline your customer acquisition strategy. Try to answer the following questions:

• What is your USP ?
• What are the different marketing strategies you will use?
• How do you intend to track the success of your marketing strategy?
• What is your CAC or customer acquisition cost ?
• What is your marketing budget?
• What introductory promos and offers do you intend to provide for attracting new customers?

What marketing channels do car wash companies use?

A few marketing channels that car wash facilities typically use are:

• PPC ads, Facebook ads, etc.
• Print media
• Direct ZIP code mailing
• Innovative TV & radio ads
• Loyalty programs
• Word of mouth
• Local listing
• Cross promotion together with nearby local businesses

It is not necessary to use all channels. You can start by focusing on a few of them initially and expand later on.

Also, you must have a fair and nearly accurate estimate of your marketing budget. Failure to display a well-planned and adequate cash flow for advertising and marketing may lead to investors losing confidence.

What are your Unique Selling Propositions (USPs)?

In other words, how do you differentiate yourself vs. competitors? This is very important as you might need to win customers from competitors.

A few examples of USPs are:

• Convenience : 24×7 automated car wash – no more rush hours
• Price match : Find a lower price in 20-mile radius and we will match it
• Freebies : Enjoy free Wi-Fi, TV, and coffee while you wait

Your USP will depend on your business model, competitor analysis , and target audience. Whatever your USPs are, it should appeal to your potential customers and attract them.

5. Management & People

You must address 2 things here:

• The management team and their experience/track record
• The organizational structure: different team members and who reports to whom?

Small businesses often fail because of managerial weaknesses. Thus, having a strong management team is vital. Highlight the experience and education of senior managers that you intend to hire to oversee your car wash business.

Describe their duties, responsibilities, and roles. Also, highlight their previous experience and explain how they succeeded in their previous roles.

It is also important that you explain how their experiences and qualifications help you in implementing the car wash facility you are proposing. If they have specialized training and education (such as car wash chemistry, equipment maintenance, equipment control, etc.), add that information.

Organization Structure

Even if you haven’t already hired a service manager, coordinators, sales & customer service, administrative assistant, receptionists, etc., you must provide a flowchart of the organizational structure defining the hierarchy of reporting.

6. Financial Plan

The financial plan is perhaps, with the executive summary, the most important section of any business plan.

Indeed, a solid financial plan tells lenders that your business is viable and can repay the loan you need from them. If you’re looking to raise equity from private investors, a solid financial plan will prove them your car wash is an attractive investment.

There should be 3 sections to your financial plan section:

• Your historical financials (only if you already operate the business and have financial accounts to show)
• The startup costs of your project (if you plan to start a new car wash business, or add a few car wash bays, etc.)
• The 5-year financial projections

a) Historical Financials (optional)

In the scenario where you already have some historical financials (a few quarters or a few years), include them. A summary of your financial statements in the form of charts e.g. revenue, gross profit and net profit is enough, save the rest for the appendix.

If you don’t have any, don’t worry, most new businesses don’t have any historical financials and that’s ok. If so, jump to Startup Costs instead.

b) Startup Costs

Before we expand on 5-year financial projections in the following section, it’s always best practice to start with listing the startup costs of your project. For an auto repair business, startup costs are all the expenses you incur before you open your shop and starting making sales. These expenses typically are:

• Lease deposit or loan downpayment for the real estate
• The car wash bay
• Other car wash equipment

Assuming you do not buy the land and the building but decide to rent instead, it costs on average $50,000 to $150,000 depending on the type of car wash you operate. For more information on how much it costs to open and run a car wash, read our complete guide here .

c) Financial Projections

In addition to startup costs, you will now need to build a solid 5-year financial model for your car wash.

Your financial projections should be built using a spreadsheet (e.g. Excel or Google Sheets) and presented in the form of tables and charts in your business plan.

As usual, keep it concise here and save details (for example detailed financial statements, financial metrics and KPIs , key assumptions and benchmarks used for the projections) for the appendix instead.

Your financial projections should answer at least the following questions:

• How much revenue do you expect to generate over the next 5 years?
• When do you expect to break even ?
• How much cash will you burn until you get there?
• What’s the impact of a change in pricing (say 15%) on your margins?
• What is your average customer acquisition cost?

You should include here your 3 financial statements (income statement, balance sheet and cash flow statement). This means you must forecast:

• The number of cars you service over time ;
• Your expected revenue ;
• Operating costs to run the business ;
• Any other cash flow items (e.g. capex, debt repayment, etc.).

When projecting your revenue, make sure to sensitize pricing and the number of members as a small change in these assumptions will have a big impact on your revenues.

7. Funding Ask

This is the last section of the business plan of your car wash . Now that we have explained what type of car wash services your company would offer, at what price, your marketing strategy, management and people, this section must now answer the following questions:

• How much funding do you need?
• What financial instrument(s) do you need: is this equity or debt, or even a free-money public grant?
• How long will this funding last?
• Where else does the money come from? If you apply for a SBA loan for example, where does the other part of the investment come from (your own capital, private investors?)

If you raise debt:

• What percentage of the total funding the loan represents?
• What is the corresponding Debt Service Coverage Ratio ?

If you raise equity

• What percentage ownership are you selling as part of this funding round?
• What is the corresponding valuation of your business?

Use of Funds

Any business plan should include a clear use of funds section. This is where you explain how the money will be spent.

Will you spend most of the loan / investment to buy the real estate and do the renovations? Or will it cover the cost of the salaries of your childcare staff and other employees the first few months?

Those are very important questions you should be able to answer in the blink of an eye. Don’t worry, this should come straight from your financial projections. If you’ve built solid projections like in our car wash financial model template , you won’t have any issues answering these questions.

For the use of funds, we recommend using a pie chart like the one we have in our financial model template where we outline the main expenses categories as shown below.

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Car Wash Business Plan Templates

Start Your Small Car Washing Business Using Our Free Car Wash Business Plan Templates! It Has an Executive Summary and Other Important Sections of Business Plan Presentations. Whether You'll Be Having an Auto Mobile, Self Serve, or Door-to-Door Car Wash, Our Samples Can Help You! So Download Now on Template.net!

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Writing a business plan from scratch for your car wash business is certainly a time-consuming process. But that won't be the case with our high-quality Car Wash Business Plan Templates printable in A4 and US Letter sizes. Why so? It's because our professional business writers saw to it that they're professionally written for your convenience. Because of their dedication, all you have to do is fill in the blanks. If ever you want to make certain adjustments with them, then it's possible because they're 100% customizable and easily editable using Google Docs , MS Word , and Apple Pages . Ultimately, our templates significantly save time on your behalf due to the fact that they enable you to finish your business plan more quickly than anticipated. Go on and start downloading now!

What Is a Car Wash Business Plan?

A car wash business plan is a written document that contains info and statements about a car wash business's goals together with the marketing strategies and operational methods on how it's going to achieve them. Car wash businesses are a customer service type of business that has been around in the industry since the time of steam cars (first-gen cars).

Nowadays car wash businesses are still booming. There are several types of cars were businesses such as a mobile car wash and a self serve car wash. There are even some that offer home services that clean your car inside the confines of your own garage. Most of the services offered by car wash businesses are exterior car washing and interior cleaning. However, there are some that extend their services to car repairs and maintenance. 

We have a variety of business plan templates and sample business plans that you can utilize for your own car wash business. All of them are compatible with Google Docs, MS Word, and Pages (e.g. Car Wash Business Plan Templates, Mobile Car Wash Business Plan Template) 

How to Write a Car Wash Business Plan

To help you write the perfect business plan for your car wash business, we have gathered a few tips on how you must do it. 

1. Write a Description of Your Car Wash Business

In this process, you'll be talking about your car wash business in general. Talk about the motivation and inspiration that enticed you to start your car wash business plan . Provide a brief introduction to yourself as the owner. Elaborate on its vision, mission, and goals. And lastly, explain the factors on how your business will be different from the ones that already exist.  

2. Enumerate and Describe The Services

What types of car wash businesses will you have? Will it be a mobile car wash? Does it offer both exterior and interior cleaning? Will it offer home services? Will it extend its car repairs services and maintenance? All of those questions will be answered on this part of your business plan. Make sure to elaborate them so that the readers will have a concrete picture on their minds on how the services will look like. 

3. Analyze Your Competition and The Market

The best way and probably the only way for your car wash business to have an edge is to analyze your competition and the market. Once you do a target market analysis , you can then think of some ways and ideas to help your car wash business to be steps ahead of the competition. 

4. Create a Budget

Once you've done all the marketing analysis , it's time for you to create a budget for you to start your car wash business. What should be included in your budget are the expenses of the tools and equipment needed, the estimated monthly rent of the property, the salary of your staff, and other monthly utilities and expenses such as water and electricity bills.     

5. Choose a Good Location

Your car wash business is basically obsolete before you even open it if you don't choose a good location. Your car wash must be located in an area wherein cars usually pass by such as in highways and main roads. 

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There are plenty of reasons why a budding entrepreneur might want to know how to start a car wash business. Car washes are in high demand: More than 2 billion take place each year in North America alone, and more than 72% of people report going to a car wash versus washing their own vehicle at home.

There’s more to a car wash business than merely making vehicles sparkle on the outside, too. The services car washes can provide range from washes to detailing and waxing to vacuuming and more. With so much to offer, starting a car wash business can provide an entrepreneur with a worthwhile business opportunity that can create steady revenue streams — if they take the right steps.

How to start a car wash business

If you’ve ever wondered how to start a car wash business, you’re far from the only one. There are pros and cons to starting your own car wash business of course, and plenty of financial considerations you’ll have to factor in. But if the math adds up for you, starting a car wash could be a great opportunity to be your own boss (and make the town’s vehicles sparkle, too). Here’s how to get started.

How much do you need?

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We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

Step 1: Write your business plan

No matter the industry, opportunity, or location you have in mind for a new company, you have to start with a robust business plan before getting your operation off the ground. A business plan outlines your aspirations for your company, financial projections about the costs involved, industry research, and more.

In fact, a solid business plan does much more than just detail how you plan to get your company off the ground. It also provides you with a general roadmap for how you will run your business on an ongoing basis as well. Think of a business plan as your template for beginning your business and keeping it focused on a specific goal (or goals) after it takes off. You may even want to update your business plan from time to time so it reflects the changing goals and financial needs of your business.

Last but not least, you’ll likely need a solid business plan for financing and small business loan applications as well. Lenders want to know what your business is about, how it makes money, and what your overall vision for the enterprise is. Business plans make it easier for lenders to get this information in one helpful guide, which, in turn, makes it easier for you to make a compelling argument for why you need the financing you seek.

Developing a robust business plan doesn’t have to be a difficult undertaking, either. This is true even if you’re not the most confident writer or a math prodigy. Your typical business plan follows a conventional format. In fact, there are even business plan templates out there to make the process even easier.

Step 2: Get your car wash business registered

Once you’ve got your car wash business plan drafted, you’re going to want to get your company off the ground. But before you can dive in, you’ll need to take care of some additional preparatory work. Some elements of this are obvious, such as coming up with a business name. Other parts are a bit more complex, such as registering your business entity with the state and getting a federal tax identification number. Here’s what you need to know and what to do in order to get your business on the right side of the law.

Set up a business entity

Before you get busy washing and detailing vehicles, you’ll need to set up a business entity to make sure you’re operating within the full regulatory requirements of the town and state in which your business will be based. There are several kinds of business entities, each with different advantages depending on your operating circumstances and needs.

A limited liability corporation (LLC) is a popular option for most kinds of businesses. LLCs make it easy to set up your business, pay taxes, and give your personal assets some distance from your business’s financial operations. Plus, you can determine how you pay business taxes as well—even opting to pay them as part of your personal tax returns if you so choose.

On the more complex end of the spectrum are S-corps and C-corps, which both allow for more control over how a business pays taxes (but require a more complex governance structure and more rules about how business owners can pay themselves).

Step 3: Obtain business licenses

Every municipality is different when it comes to licenses and permits for businesses. It’s crucial to register for each if your location requires them, as they help enforce a set of standard practices between businesses. Perhaps more importantly, your state or town could shut down your business if you don’t have them. Remember that ignorance of the law is no excuse for not following the law: Be sure to check with your local secretary of state’s office or chamber of commerce to make sure you have everything you need. The SBA is another helpful resource to make sure you have all the licenses and permits you need.

One specific consideration for car wash businesses are regulations around waste containment and mitigation. Most states and local governments place strict rules on car washes aimed at controlling their waste water and grit-trap waste disposal, the air emissions allowed from customers’ cars, and the proper storage of fuel tanks. Operating a car wash is an inherently dirty business, and often requires the use of harsh chemicals. These rules help dictate what kinds of mitigation efforts are required for your business to reduce environmental harm.

Step 4: Get business insurance

Just about every kind of entrepreneurial effort benefits from having comprehensive small business insurance. The kind of insurance, as well as the breadth of your policy, depends largely on the kind of company you operate.

In the case of car wash businesses, there is a ton that can go wrong—and in the event of an accident or damage to a customer’s vehicle, you’re going to want to make sure your insurance can pick up a big portion of the bill. You’ll want to make sure your car wash business has good general liability and workers compensation insurance, at the very least. Talk to a business insurance agent or business lawyer for more specific information about your individual needs.

Step 5: Separate your business finances

Once you’ve set up your business registration, obtained any required licenses, and have insurance in the works, your next step toward starting a car wash business is setting up your company’s finances. The first step is making sure that your company has its own business checking account , so that you’re able to keep your business and personal finances separate.

You might be wondering why it’s so important to keep business and personal finances separate. After all, the business is your business, right? Well, there’s more to it than that. You’ll need a business bank account in order to protect your personal assets. If you operate as an LLC, separate business banking accounts will prevent creditors (and, in the event of legal action, those who sue you) from being able to come after your personal assets as well as those of your business. Plus, having separate business accounts will make it easier for you to keep track of your company’s financial performance, pay taxes, and track your cash flow.

Once you have a business bank account, you’ll also want to find the best business credit card for your needs. You’ll use this card for all of your business-related spending, and depending on which one you choose, you can also receive cash back, travel rewards, 0% introductory APR, and more to help make the most of your money.

Step 6: Consider small business financing needs

Buying the machinery needed to operate a car wash can be expensive. So can keeping everything in working order on a regular basis. The equipment involved in most car wash businesses can cost more than $30,000 for a touchless system, and even more basic setups can still cost several thousands of dollars. Whether you choose to buy or rent your equipment, you may still find yourself in need of financing to get everything that comes along with getting your car wash business off the ground.

Thankfully, there are plenty of financing options out there that can make it a little more affordable to get your car wash up and running. Whether you need one large loan, rolling credit for incremental purchases, or financing that’s designed to help you buy equipment, there’s a solution out there.

If you’re able to get a Small Business Administration loan , more commonly known as an SBA loan, you’re in luck. These types of loans provide large sums of cash to qualified applicants at low interest rates and with generous repayment periods.

This can be an excellent option for small business owners who have an existing track record of success with other business undertakings, have good credit, and can show that their business will be viable over the long term. One of the most popular SBA loan options is the SBA 7(a) loan program. These loans can total up to $5 million, and can be used to raise working capital, refinance other loans, or even renovate your business.

Another type of loan, the SBA 504/CDC loan, on the other hand, is designed to help small businesses purchase large, expensive items that they might need for their operations, or even for things like commercial properties. This can be particularly helpful for car wash businesses, as much of the requisite machinery tends to be on the expensive side (and most certainly qualifies for the conditions of this loan program). You can borrow up to $5.5 million through this program, and have anywhere from 10 to 20 years to pay back what you borrowed.

Finally, the SBA microloan program can be a great option for new or smaller-sized businesses that need loans up to $50,000. These loans are great for companies that need smaller sums of cash to get themselves off the ground. Plus, borrowers can take up to six years to repay what they’ve borrowed, which is better than other non-SBA loans in most situations.

Business term loans

Getting approved for an SBA loan can be a pretty difficult thing for most small business owners to accomplish. That doesn’t mean that you’re out of luck with regard to getting small business financing, though. Another great option for accessing the funds you need to help move your car wash business forward is a business term loan .

Term loans provide borrowers with a lump sum of cash that they can use for appropriate business purposes. Your business may be a decent candidate as long as it’s been in business for a while, and both you and your company have a good credit score. The interest rate, payout terms, and the amount of money your lender provides will between applicants and businesses.

Equipment financing

Similar to the SBA 504/CDC loans, equipment financing can also help you obtain the money you need in order to purchase equipment and machinery that you may need to operate your car wash. These loans provide an attractive option to small business owners who may not have enough of a credit history, time in operation, or have bad credit. Instead of basing the loan approval on the track record of the borrower, equipment financing provides an alternative model for serving loans.

Borrowers approach their lender with the price of a piece of equipment, and the lender then provides the small business owner with the money needed in order to make the purchase. The borrower then pays back the loan, plus interest, over a set period of time. If the borrower can’t make payments, the lender will repossess the equipment purchased with the loan. This means you don’t have to offer up collateral to get the money you need, either, which can be great for businesses that are low on cash but big on financing needs.

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The bottom line

There are plenty of boxes to check off when you’re starting your car wash business. But, taking the time to do it right is crucial. You’ll save yourself the headache of doing more paperwork when you’re knee-deep in running daily operations, and will prime yourself for success down the road too.

Knowing how you intend to operate your business, what your financial needs are, and how you’re going to satisfy them all can put you at a distinct advantage.

This article originally appeared on JustBusiness, a subsidiary of NerdWallet.

On a similar note...

Car Wash Business Plan Template [Updated 2024]

Car Wash Business Plan Template

If you want to start a Car Wash or expand your current Car Wash business, you need a business plan.

The following car wash business plan template gives you the key elements to include in a winning business plan. It will help you if you need a traditional car wash business plan or a mobile wash business plan. That’s because a mobile car wash business plan is very similar to the traditional car wash business plan except for the location. You will simply specify which one you operate in a few sections of your business plan.

You can download our Car Wash Business Plan Template (including a full, customizable financial model) to your computer here.

Below are links to each of the key sections of your Car Wash business plan:

Car Wash Business Plan Home I. Executive Summary II. Company Overview III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan

Click below to see each section of our free car wash business plan template. You can also click here to get our car wash business plan pdf .

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Car wash business plan template

Download this car wash business plan template in PDF or Word format, or tailor it to your project directly in our business plan software.

Discover our car wash business plan template

Our car wash business plan template gives you the structure to write a professional plan.

Not accustomed to writing business plans? Our car wash business template will turn a typically challenging process into a total breeze.

Modelled on a complete business plan of a car wash in France, our template features both the financial forecast and the written part that presents the project, its team, the local market and the business strategy implemented by the management.

Cast your eyes on this template to achieve a better understanding of what your bank and investors would like to see, so that you can create a business plan that meets their expectations.

7 day free trial. No credit card required. Car wash business plan template available with paid plans only.

How to use this car wash business plan template

Edit the car wash business plan template online, or download it.

There are 3 ways to use this template:

• Edit it online: you can adapt this template to your business idea by changing the text or the financial forecast directly in our business planning software
• Download in PDF: if you're just after a little inspiration, you can download the car wash business plan template in PDF to read over it
• Download in Word format: want to edit your plan on Word? Simply export the car wash business plan template to Ms Word (.docx) format

Car wash business plan template content

This template includes a complete car wash business plan example, with a financial forecast and the following sections:

• Executive summary: the executive summary gives the reader a clear and concise overview of your business idea
• Company: this section lays out the structure of your business, including its location, management team and legal form
• Products and services: here, you'll give an overview of the services (self-service clean, express hand cleaning etc.) offered by your car wash
• Market analysis: the market analysis is where you’ll demonstrate that there is a strong demand for your products and services through a thorough assessment of the industry (customer profile, hot trends, regulation, competition, etc.)
• Strategy: this section highlights the company's game plan when it comes to pricing, marketing and mitigating risks along the way
• Operations: this step lays out the company's operational organisation, including the recruitment plan
• Financial plan: the financial plan includes a table of sources & uses (initial funding plan), and complete financial statements (P&L, balance sheet and cash flow statement).
• Appendices: this part provides the opportunity to include multiple financial appendices generated by our software (debt maturity profile, monthly financial statements, financial analysis, etc.).

Executive summary of the car wash's business plan

The executive summary gives the reader a clear and concise overview of your business idea.

Our car wash business plan example's executive summary is formed of the following subsections:

• Business overview: in this subsection, we outline who the car wash founders are, what legal form they've chosen for the business, and the rationale behind the choice of their location
• Market overview: in this subsection, we summarize the conclusions of the market analysis performed by the car wash's owners and explain who they might target (our car wash business plan template targets local residents and passing vehicles)
• Financial highlights: in this subsection, we give an overview of the forecasted financial performance of the car wash over the first 3 years of operation
• Our ask: in this subsection, we outline the amount of financing required to start the car wash and how it's going to be funded (the founders are seeking a bank loan to start their car wash)

Company overview included in our car wash business plan sample

This section lays out the structure of your business, including its location, management team and legal form.

Our car wash business plan template's company section is formed of the following subsections:

• Structure & Ownership: in this subsection, we outline who the car wash shareholders are, what legal form they've chosen for the business
• Location: in this subsection, we present the area surrounding the location chosen for the business and the layout and main features of the premises
• Management Team: in this subsection, we give an overview of the background of each of the car wash's founders and explain how they met and why they decided to start a company together

Products and services offered by the car wash

The products and services section is where you will present the range of services provided by your car wash.

In our car wash business plan template products and services section, we cover:

• Self-service cleaning: this allows drivers to stop and clean their own cars, mainly by using an automatic roller cleaning service
• Cleaning by hand: this service will be carried out by a professional and provides a thorough cleaning of the car, including its interior and bodywork
• Express hand cleaning: this service is similar to the hand cleaning service but is much quicker (only takes 15 to 30 minutes)

Market analysis for the opening of the car wash

The market analysis is where you’ll demonstrate that there is a strong demand for your products and services through a thorough assessment of the industry (customer profile, hot trends, regulation, competition, etc.)

Our car wash business plan example's market analysis section is formed of the following subsections:

• Demographics and Segmentation: in this subsection, we explore the market in depth. We look at the supply and demand sides both at the national and local level, analyse the hot trends perceived by the founders, and the key statistics that will help the founders build their positioning
• Target market: in this subsection, our founders explain who they view as their ideal customers (our car wash business plan template targets local residents and passing vehicles) and why they chose to target them
• Competition: in this subsection, we take a look at the direct (independent or franchised car washes nearby) and indirect (car washes located in supermarkets or shopping centers in the surrounding area) local competition to ensure we have a differentiated positioning and that the market is large enough to accommodate the arrival of a new car wash
• Regulation: in this subsection, we give an overview of the main regulation applicable to our car wash

Setting the strategy for our car wash

This section highlights the company's game plan when it comes to pricing, marketing and mitigating risks along the way.

Our car wash business plan template strategy section is formed of the following subsections:

• Pricing: in this subsection, we explain how we set the prices of our main categories of services (self-service cleaning, cleaning by hand, express hand cleaning) and the rationale behind our choice
• Marketing plan: in this subsection, we explain what action we'll put in place to build awareness and loyalty among car wash customers
• Milestones: in this subsection, we give an overview of the main goals we set for ourselves for the next 3 years
• Risks and Mittigants: in this subsection, we perform an assessment of the medium and long-term risks that could jeopardize the financial viability of our car wash and outline how we intend to mitigate them

Operations section of the car wash business plan template

This part lays out the company's operational organisation, including the recruitment plan.

Our car wash business plan example's operations section is formed of the following subsections:

• Personnel plan: in this subsection, we explain what our opening hours will be and explain the responsabilities of each of our car wash staff member
• Key assets and IP: in this subsection, we list the assets and intellectual property rights which are critical to our business operations and explain how we will secure and protect each of these
• Suppliers: in this subsection, we give an overview of the main suppliers we will use our what commercial terms have been negotiated with them

Financial plan included in our car wash business plan template

This section presents the expected financial performance of the car wash over the next 3 years.

Our car wash business plan example's financial plan is formed of the following subsections:

• Start-up funding: in this subsection, we list the cost of each item required to launch the car wash
• Important assumptions: in this subsection, we explain the methodology and the main assumptions used to build the car wash's financial forecast
• Sales forecast: in this subsection, we detail the expected revenues and growth rate for our car wash in the coming years
• Cost structure: in this subsection, we list all the expenses required for our car wash to operate smoothly
• Projected Profit & Loss statement: in this subsection, we analyse our forecasted P&L and comment on the expected profitability of our car wash over the next 3 years
• Projected cash flow statement: in this subsection, we analyse the expected cash generation of the car wash
• Projected balance sheet: in this section we give an analysis of the liquidity and solvability implied from our balance sheet

Appendices of the car wash business plan template

This part provides the opportunity to include multiple financial appendices generated by our software (debt maturity profile, monthly financial statements, financial analysis, etc.).

Our car wash business plan template's appendices include:

• A Maturity profile chart showing the principal repayments of their loans over the next 3 years
• A monthly cash flow forecast: showing how much cash is being generated or consumed each month over the first 3 years of operations

Car wash business plan template sample

Executive summary, business overview.

Lave-Auto Caen will be a car wash located in the city of Caen on a road that leads directly to the ring road surrounding the Caen agglomeration.

Being located close to major roads gives Caen residents the ability to visit our car wash as and when they please for an efficient car washing service.

With a garage and service station located just a few hundred metres from our car wash, we'll complete the range of car services offered in the area to make it a one-stop-shop for motorists.

Lave-Auto Caen will offer three types of services: self-service cleaning, hand cleaning, and express hand cleaning.

We have chosen to offer these three types of services to cater to a wide range of preferences - whether customers are in a hurry and want a quick clean or would prefer a deep cleaning service.

We will also make sure to use biodegradable and environmentally friendly products, while using recyclable cleaning brushes.

Lave-Auto Caen will be a limited company with a share capital of €10,000. Colin C. will be the manager.

Colin has more than ten years of experience in various cleaning companies in the region.

Colin has joined forces with two private investors, Jean P. and Sarah N., who will not be involved in the day-to-day management of the company. The partners have also contributed €55,000 to the director loan's account.

Market Overview

Domestic Market

According to INSEE, there was 32.7 million passenger vehicles in France in 2018, of which 6.1 million were light commercial vehicles.

Vehicle density (corresponding to passenger cars and light commercial vehicles per 1,000 inhabitants) in France is estimated at 600, similar to Germany, Spain, and Great Britain.

The car wash sector

Market figures

According to the French National Automobile Observatory (ANFA), there is very little data concerning the number of car wash businesses in France.

This can be explained by the diversity of the industry. There are 3 different main types of car wash services:

• Roller or jet washing. This takes up the majority of car wash centres in France. The customer goes to this type of car wash, which is generally located near shops such as cafes and convenience stores, and cleans their car themselves
• Steam or waterless washing. With the nation growing ever more environmentally conscious, this type of service has massively increased in popularity. It's carried out by a professional, and generally includes interior car cleaning or bodywork polishing.
• Fast service washing. This consists of leaving the car in with professional cleaners for an express service.

The difficulty in keeping track of the operation of the car services listed above is as follows:

The companies aren't necessarily referenced under the same activity code.Car garages using car washing as a service peripheral to their main activity are difficult to account for, given the activity code under which they operate.

Supermarkets that offer this type of service are also not referenced.Data on the number of car washes, therefore, remains limited - given the variety in the market.

In terms of revenues, Franchise Magazine's 2018 report on the Blue Elephant franchise, one of the car wash industry's biggest players in France, indicates that car washes belonging to their franchise generate between €150,000 and €200,000 in annual revenues with an initial investment of between €300,000 and €600,000 depending on the number of lanes and the size of the infrastructure in place.

Local Market

Since the city of Caen has a high concentration of apartments, it's not particularly easy for residents to wash their cars outside - especially those who live in the city centre.

The Caen metropolitan area alone has more than fifteen car wash stations, which illustrates a strong demand for car washing services.

With 66.9 million inhabitants in France and a fleet of 32.7 million cars, the number of cars per inhabitant is approximately 0.48 cars. It can therefore be estimated that the car fleet in Caen is about 51,000 passenger cars.

Financial Highlights

We believe we can achieve a total turnover of €148,925 in year 1, and then develop the business over the following years, by building customer loyalty and thanks to the impact of the actions planned in the marketing plan, to reach a turnover of €152,647 in year 2 and €158,050 in year 3.

We expect to achieve EBITDA of €12,628 (i.e .8.48% margin) in year 1, then EBITDA of €14,692 (i.e. 9.62% margin) in year 2, and €18,766 (i.e. 11.87% margin) in year 3.

Cash flow is expected to be positive over the duration of the plan, and the company should be sufficiently capitalized to enable us to meet our loan repayments while retaining sufficient leeway to renew our equipment and deal with any unforeseen events.

The opening of our car wash will require an initial investment of €136,000.

The manager and his partners have planned to contribute €65,000, i.e. 44.1% of the total.

To complete the initial financing, we would like to obtain a bank loan of €50,000 and a VAT bridging loan of €21,000.

500,000+ entrepreneurs have already used The Business Plan Shop

Easy to get started with and well-guided throughout. Lots of business plan templates to help you and writing is easy because there are explanations at each step of the process.

Quite frankly excellent because I was able to finalize my business plan in less time than expected. This software offers a very coherent and complete approach to writing your project.

It is a very well designed software that allows you to visualise each step of your project, understand if the idea is viable or not and think about the steps needed to start your business.

The software is just impeccable. Of course, it meets the requirements of people starting a business. In addition to having a tool for putting together a proper financial forecast, there is also a tool to help write the business plan.

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Car wash business plan template faq.

A car wash business plan is a written document that sets out the commercial, operational and financial objectives of the company over the next 3 to 5 years.

It consists of two main parts:

• A written part that presents, in detail, your car wash business, the team, your strategy, and your medium-term objectives.
• A financial forecast that highlights the expected profitability of the car wash and the initial funding requirements.

The lack of business planning is one of the main reasons why more than 50% of startups fail within 5 years. If you're starting a car wash, writing a business plan is a must-have in order to reduce the risk of failure of your project.

Business plans are also required by most lenders and investors in order to secure financing, therefore a business plan is also highly recommended if you're seeking a loan or equity investment for your car wash.

Writing a car wash business plan without The Business Plan Shop can be both error-prone and time-consuming - whether you're new to entrepreneurship or experienced:

• You'll need to research the structure of a business plan, what to include in each section, and what key elements investors and lenders expect to see
• You may encounter writer's block (especially if it's the first time you're writing a business plan for your car wash)
• You'll need to create a financial forecast on a spreadsheet which requires a solid understanding of accounting and financial modelling in order to be done without error
• You'll need to spend hours formatting financial data on Excel or Sheets before it's ready to integrate into your business plan
• Any updates to your car wash business plan or financial forecast will need to be done manually

Luckily for you, The Business Plan Shop's online platform and car wash business plan template guide you through every stage of writing a business plan, so that you can spend more time managing and growing your business instead.

Our editor follows a best-in-class structure for professional business plans. Each section and subsection includes examples and instructions to help you, while our business plan templates provide further inspiration if you're stuck.

Our financial forecasting software helps you create a forecast and integrate it into your business plan with ease. Anytime you update your data, your business plan automatically updates.

And with our forecasting software all the calculations are done for you, without errors.

The budget to start and run a car wash will depend on the exact concept and location.

The type of car wash you choose to operate, whether it's self-service, automatic, or full-service, will impact your startup costs. Automatic car washes tend to have higher initial costs due to the complex machinery involved.

You might set up in a suburban area to save on rental costs but doing so means you'll probably need to invest in marketing to draw customers to your location.

As an example, in our car wash business plan template the total initial funding requirement amounted to €136,000 (c. $145,000 or £117,000), with the founders contributing €65,000 (c. $69,000 or £56,000).

In order to assess the exact budget for your car wash idea, you need to do a financial forecast using a financial projection tool such as the one we offer .

The package we offer at The Business Plan Shop goes way beyond a simple blank template you need to fill. With our platform you get:

• Access to one of the best business plan software on the market
• Access to our car wash business plan template which contains a complete example of a written business plan and financial forecast to start a car wash
• Access to our entire business plan templates library - giving you dozens of examples to take inspiration from
• Access to our financial planning and analysis platform so that you can track the actual performance of your business against what you had planned in your business plan and re-plan easily

But you shouldn't take our word for it: try our solution for free and make your own opinion!

The free trial enables you to try the software for free during 7 days in order to verify that it meets your requirements before buying.

Some features are limited during the free trial, the main limits are:

• You can only create one business plan
• The financials of the first year are visible, but data for other years are hidden
• You can export your plan in PDF but not in Word or CSV
• No access to our business plan templates

You can create your account and start your free trial here .

Access to our template is included with all our paid subscriptions.

Please visit our pricing page to learn about this in more detail.

Other business plan templates and resources to discover

Growthink's Ultimate Business Plan Template

The world's #1 business plan template.

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Car Wash Business Plan Template

The world’s #1 car wash business plan template — it’s the quickest and easiest way to create a winning car wash business plan, period.

• Quickly & easily finish your business plan
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It Took Us 17 Years to Create the Ultimate Car Wash Business Plan Template for You

Hi, I’m Dave Lavinsky, the co-founder and President of Growthink.

I’m honored and flattered to have been recognized as the world’s foremost business planning expert by BusinessWeek, Forbes and others.

Seventeen years ago we started writing business plans for entrepreneurs, executives and business owners like you.

During this time, we’ve helped over 100,000 entrepreneurs and businesses achieve great success.

Using this vast experience, we have created and constantly refined Growthink’s Ultimate Car Wash Business Plan Template to be the hands-down quickest and easiest way to create a professional Car Wash business plan that allows you to raise capital and build a strategically sound business.

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You can finally create a professional Car Wash business plan in less than 1 day thanks to these powerful features of Growthink’s Ultimate Car Wash Business Plan Template:

Simply Fill in the Blanks

We’ve created simple, fill-in-the-blank exercises that guide you through all the key questions your Car Wash business plan must answer.

And we give you samples for every section of your plan.

Just type your answers directly into our template and you’re done!

Automatic Financials

Simply type in some numbers, like your salary and expected growth, and our template automatically calculates your complete 5-year financial projections.

You’ll have your Income Statement, Balance Sheet, Cash Flow Statement, and multiple charts and graphs completed in minutes.

Turn Your Ideas to Reality

If you don’t have an action plan for executing on your ideas, they’ll never materialize.

That’s why Growthink’s Ultimate Car Wash Business Plan Template includes an Operations Plan section.

This section takes you through our proven and proprietary process for creating an Operations Plan that will transform your ideas into reality.

Improve Your Strategy

Growthink’s Ultimate Car Wash Business Plan Template helps you build a strategically sound business.

It guides you through key questions about your company, marketing and operations strategies, and gives you tons of ideas for improvement.

For example, in the Marketing Plan section, you’ll see several of the best marketing tactics to get new customers.

Expert Answers

Our Ultimate Car Wash Business Plan Template “Members Area” gives answers to all your questions, plus access to our amazing customer support team.

Raise Money Faster

The content and format of our Ultimate Car Wash Business Plan Template is tailored to the wants and needs of investors and lenders, so you raise more funding faster.

Our formula works wonders — our clients have raised over $2.5 BILLION!

Lifetime Access

Once you purchase Growthink’s Ultimate Car Wash Business Plan Template, you have lifetime access to use it for any Car Wash business in which you’re involved, now or in the future.

There are no recurring or monthly fees for our template, just a one-time fee.

Zero Learning Curve

There’s no software to learn or install.

You simply download, personalize & print our Microsoft Word® and Excel® compatible Ultimate Car Wash Business Plan Template. And it works flawlessly on both PCs and Macs.

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Frequently Asked Questions

Below are answers to your most frequently asked questions:.

Immediately upon purchasing Growthink’s Ultimate Car Wash Business Plan Template, you will be taken to our Member’s Area where you can instantly download our template and begin working on your business plan.

If for any reason you are not delighted with our product, simply contact our friendly support desk and you’ll be issued a full refund. You have an entire year to request a refund if desired.

Unlike other software that charges you a fee month after month after month, you only pay once for Growthink’s Ultimate Car Wash Business Plan Template and you own it.

You can create an unlimited number of business plans with Growthink’s Ultimate Car Wash Business Plan Template. Once you purchase it, you have lifetime access to use it for any business in which you’re involved, now or in the future.

Yes, Growthink’s Ultimate Car Wash Business Plan Template works flawlessly on both PCs and Macs.

Growthink’s Ultimate Car Wash Business Plan Template is designed for both established car washes and startups.

Yes , you can! Anyone can easily follow our basic instructions and create a great business plan quickly and easily. Plus, my expert team is available to help you if you have any questions.

More Feedback

Even more feedback from the over 100,000+ customers who love growthink’s ultimate car wash business plan template & other business plan templates.

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Although for locals car ownership is a highly desirable sign of success and social status, St. Petersburg's public transport network is actually extensive and efficient, if often overcrowded. The metro is undoubtedly the best bet for visitors, and covers nearly all of the city, with new stations opening almost every year. It also has some spectacular station architecture.

Overground transport is bewilderingly varied, but not difficult to use with the help of a few pointers (see individual pages below), and St. Petersburg's latest transport project means that you can even use the city's waterways to get around. The only real disadvantage of the public transport system is the lack of nighttime services, so if you plan to stay out after midnight, you will have to rely on taxis or your own two feet to get home.

Fares for all forms of public transport are comparatively low (around $1 or less for any single journey), but if you are staying in the city for longer than a week, it is probably worth investing in a travel card (see below for details).

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Car Wash Self-service Business Plan

Start your own car wash self-service business plan

Auto Paradise

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Auto Paradise is a dynamic start-up company requiring $934,100 to establish a two-bay automatic and four-bay self-serve car wash that will provide exceptional car care services to the members of the San Angelo community. Quality services that will exceed expectations will establish Auto Paradise as the premiere car wash service in San Angelo, Texas. Bobby and Vicki Lewallen are pledging $45,000 and are looking for investors to raise an additional $150,000, which represents 20% of the company stock, to establish the company and to secure a Small Business Administration (SBA) loan of $740,400. Auto Paradise will  be dedicated to offering the highest quality laser car wash, self-serve car wash and vacuum/shampoo services. Auto Paradise will also offer ATM services and will sell reverse osmosis (RO) water on site.

Auto Paradise has a strong management team. Mr. Lewallen, who will be the President and Chief Executive Officer of the Auto Paradise Texas Corporation (C), has extensive leadership, management and organizational experience. He has served our country for the last 10 years as an officer in the United States Army. During those 10 years, he served one year as a Brigade Logistics Officer and two years as a Company Commander. As such, he helped plan, coordinate and execute several complex deployments and missions.

Extensive research indicates that the mild winter climate in San Angelo will support steady year-round sales. Further, Auto Paradise’s Avenue N location and marketing campaign will attract the local residents, Angelo State University community and Goodfellow Air Force Base customers. Auto Paradise will be near the intersection of two major roads in San Angelo. Direct competition is limited to outdated “tunnel” or friction car washes, lube & washes and convenience stores. Auto Paradise will boast the Laserwash 4000 “touchless, spot-free” system. Washing Equipment of Texas (WET) is located in San Angelo and will provide all equipment and maintenance support.

Auto Paradise will open approximately 90 days after securing financing. Mr. Lewallen is offering several ways to invest in Auto Paradise:

• Company stock: Mr. Lewallen is offering 20% of company stock to investors:  offering 1% of company stock for $7,500. This capital will help establish the first Auto Paradise location. Auto Paradise plans to distribute $2,500 per 1% share each of the first three years.
• Secured Investment:  Mr. Lewallen is offering a guaranteed 10% annual return for a three year investment. Mr. Lewallen is willing to secure these investments with personal assets/investments.

The SBA loan that Mr. Lewallen will secure from Compass Bank in San Antonio is structured to ensure Auto Paradise’s success during the early months of operation. The $740,400 loan includes two elements designed to help build operating capital. First, the loan includes a 10% ($69,000) construction contingency that will convert to operating capital if the construction costs are consistent with the estimate. It also includes nine months of interim interest which will defer the long-term mortgage payment.

Mr. Lewallen’s ability and willingness to invest substantial cash in launching this business is furthered by the lack of personal dependence on business profits during the first 6-12 months of business.  These factors will enable Mr. Lewallen to expand to a second location within the first two years of operation.

1.1 Objectives

1. Average monthly sales of $28,000.

2. Establish second site 12 months after first Auto Paradise opens.

3. Provide initial investors a 33% ($2,500/share) distribution each of the first three years to recover initial investment.

1.2 Mission

Auto Paradise is dedicated to providing its customers the ultimate car care experience. Focusing all of its energy and resources on customer satisfaction and value, while providing owners and employees an excellent reward.

1.3 Keys to Success

Auto Paradise will be near the intersection of two major roads in San Angelo. Direct competition is limited to outdated “tunnel” or friction car washes, lube & washes and convenience stores.

Auto Paradise will boast the Laserwash 4000 “touchless, spot-free” system. Washing Equipment of Texas (WET) is located in San Angelo and will provide all equipment and maintenance support.

Company Summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">

Auto Paradise is a dynamic start-up company that will provide exceptional car care services to the members of the San Angelo community. Quality services that exceed expectations will establish Auto Paradise as the premiere car wash service in San Angelo, Texas. It will provide that following products and services to the local community:

• Two Laser Automatic “touch-free and spot-free” car wash bays
• Four “self-serve” bays
• Vacuum and car wash vending services
• Reverse osmosis drinking water.

Auto Paradise will establish its first location one lot from the intersection of Avenue N and Byrant Avenue, which are two of the busiest streets in San Angelo. The lot faces Avenue N and will be accessible from two sides. The ATM and RO dispensers will be accessible from a side road and will not interfere with the car wash traffic.

The facility will have two automatic car wash bays, four self-serve bays and an equipment room/office in the middle of the bays. It will also have four high powered vacuum islands (eight total vacuums), vending area, and an ATM/RO water area.

2.1 Company Ownership

Mr. Lewallen will create Auto Paradise as a Texas C corporation based in Tom Green County. Mr. and Mrs. Lewallen will be the majority owners (80%) with principal investors owning the remaining 20%. As of this writing, it has not yet been chartered and Mr. Lewallen is still considering alternatives.

2.2 Start-up Summary

Total projected start-up expenses (including construction, equipment, land, landscaping and related start-up expenses) come to $934,100. The start-up costs are to be financed by direct owner investment and long term financing.

A. Investment Options . Auto Paradise will open approximately 90 days after securing financing. Mr. Lewallen is offering several ways to invest in Auto Paradise:

• Company stock:   Mr. Lewallen is offering 20% of company stock to investors. Auto Paradise is offering 1% of company stock for $7,500. Capital will help establish the first Auto Paradise location and provide “head start” on the second location. Auto Paradise plans to distribute $2,500 per 1% share each of the first three years. 
• Secured Investment:  Mr. Lewallen is offering a guaranteed 10% return for a three year investment. Mr. Lewallen is willing to secure these investments with personal assets/investments.

B. Financing . The SBA loan that Mr. Lewallen will secure from the SBA is structured to ensure Auto Paradise’s success during the early months of operation. The $740,400 loan includes two elements designed to help build operating capital. First, the loan includes a 10% ($69,000) construction contingency that will convert to operating capital if the construction costs are consistent with the estimate. It also includes 9 months of interim interest which will defer the long-term mortgage payment for 9 months (6 months of operation).

C. Land . Auto Paradise is in the process of securing a lot near (one lot from corner) the intersection of Bryant Ave. and Avenue N, which are two of the busiest streets in San Angelo. The lot will be 165′ along Avenue N and 175′ deep. The purchase is pending the results of a phase I environmental inspection, which is expected to produce favorable results.

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E. Construction Contingency . The 10% construction contingency will cover any unexpected expenses or shortfalls. This may be re-negotiated as a “line of credit” in order to reduce the amount of the loan.

F. Equipment . Washing Equipment of Texas (WET) has provided a detailed estimate for the purchase and installation of the equipment for two automatic bays, four self-serve bays, four vacuum islands (eight vacuums) and a reverse osmosis water dispenser. WET, which is located in San Angelo, will also provide all maintenance and repair services.

The assumptions are shown in the following tables and chart.

Auto Paradise realizes the car wash industry, top to bottom, is a service industry. Auto Paradise will establish itself as the premier car wash facility in San Angelo by providing a quality service for a competitive price and by focusing our staff on customer service. We will offer the following services to the San Angelo community:

• First Convenience Bank Goldkey ATM services.

Market Analysis Summary how to do a market analysis for your business plan.">

Auto Paradise will be focusing on Angelo State University students, local residents and Goodfellow Air force Base drive-by traffic for repeat customers. The volume of drive-by traffic (approx. 14,000 – 17000 cars/day) will provide a high volume of opportunity customers. Our most important group of potential customers are those customers who live and work in the immediate area. Those college students, college faculty and local residents who will want a quick, quality car wash at a competitive price. We will also aggressively pursue building relationships with the local car dealerships to develop additional business opportunities.

4.1 Market Segmentation

1. College Students/Faculty, Local Residents and Goodfellow Air Force Base traffic.

2. Drive-by Opportunities: 1998 Department of Transportation data indicates the following:

• Bryant Avenue car count:  37,000 cars per day (37,000 – 14,000 = 23,000 additional cars).

4.2 Competition and Buying Patterns

Extensive research indicates that the mild winter climate in San Angelo will support steady year round sales. Further, Auto Paradise’s location and marketing campaign will attract residential, Angelo State University and Goodfellow Air Force Base customers.

Direct competition is limited to outdated “tunnel” or friction car washes, lube and wash and convenience stores.

Auto Paradise will boast the Laserwash 4000 “touchless, spot-free” system.Laserwash is widely recognized as the leader in automatic car wash systems. It will also have attendants on duty Monday – Saturday to provide additional customer service and car preparation. Washing Equipment of Texas (WET) of San Angelo will provide all car wash supplies, equipment and maintenance support. The Laserwash system is a fast, convenient, high quality car wash system that does not damage your car, while offering a great value to its customers. Auto Paradise will increase its customer base by also offering four self-serve bays for those “do-it-yourself” customers.

Strategy and Implementation Summary

The following topics describe our competitive edge, marketing strategy and sales strategy.

5.1 Marketing Strategy

Marketing in our car wash business relies on the name recognition of the Laserwash system as an industry leader and the “curbside” appeal of the site for first time customers. Quality service will bring customers back time and time again. Also, use of a local radio station and the “word of mouth” advertising of satisfied customers will grow our customer base. We will offer a competitive price for all budgets. Our base wash will be $5 and our deluxe wash will be $8.

5.2 Competitive Edge

We start with a critical competitive edge: there is no competitor in San Angelo that offers a 2-bay, 24 hour, automatic and self-serve combination car wash. Our competitors consist of “event washes.” We define “event washes” as self-serve, lube+wash, gas+wash and friction washes. Currently, San Angelo customers must plan significate time and/or effort to get a quality car wash. Our positioning in these areas are very hard to match if we maintain our focus on customer service, speed, quality and reliability.

5.3 Sales Strategy

Sales in our business is client service. It is repeat business. We will ensure the following elements are the building blocks of our marketing/sales strategy:

• 24 hour service availability
• quality service at good value (attendants on duty: 10 – 6, Mon – Sat, who are always focused on customer satisfaction)
• Reliability in all seasons/weather.

5.3.1 Sales Forecast

The following table and chart give a run-down on forecasted sales. We expect to average over $26,000 in overall sales by the third month of operation. Being an all cash business we also expect to at least break-even during the first two months of operation.

Because of the all-weather capabilities of the Laserwash 4000 system and the mild winters in West Texas, we expect to have relatively consistent sales throughout the year. Variable expenses have been averaged to account for fluctuation in price from season to season.

Plan years 2004 and 2005 have the income and expenses for two sites with the same assumptions for the second site during its first year of operation.

Projected Gross Revenue :

• Both Automatic Bays are projected to average 61 cars/day the first two months and 105 cars/day after the business is well established. Wash prices will vary, currently $5.00 to $8.00, depending on the options the customers selects. Projected automatic wash revenue assumes an average of $6.25 per wash.
• Self-Serve Bay income is projected at $1,500 per month. This assumes 40 cycles per bay each day. A cycle is $1.25 for 4 minutes. The average self-serve customer spends $4.50 per wash.
• Vacuum and Vending revenue is projected to be 5% of aggregate automatic and self-serve revenue. This projection is based on a vacuum price of $.75 for 4 minutes.
• Reverse Osmosis Water revenue is projected to be $750 per/month. Drinking water in San Angelo is a significant market. Reverse osmosis water will be offered at $.25 per/gallon.
• ATM revenue is projected to be $100/month. First Convenience Bank will fully maintain the ATM.

Note:  All numbers assume a second site is opened at the beginning of the second year.

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

Auto Paradise has a strong management team. Mr. Lewallen, who will be the President and Chief Executive Officer of the Auto Paradise Texas Corporation (C), has extensive leadership, management and organization experience. He has served our country for the last 10 years as an officer in the United States Army. During those 10 years, he served one year as a Brigade logistics officer and two years as a company commander. As such, he helped plan, coordinate and execute several complex deployments and missions.

6.1 Personnel Plan

The following table summarizes our personnel expenditures for the first three years, with compensation increasing from less than $50,000 the first year to about $140K in the third. Mr. Lewallen will be the CEO and will manage the Avenue N location. Two attendants will staff the wash Monday – Saturday. They will provide customer service, vehicle prep at the automatic washes and maintain the car wash site. The detailed monthly personnel plan for the first year is included in the appendix.

Financial Plan investor-ready personnel plan .">

Our business is an “all cash” business that will pay for all variable and fixed expenses monthly. Thus, we will rapidly build cash flow to finance future growth. During the first nine months (six months of operation), two key issues will assist Auto Paradise in rapidly building capital:

• Nine months (three months construction, six months of operation) of deferred long-term loan repayment ($7,081 savings/month)
• CEO/manager will not receive a salary for at least six months ($3,000 savings/month).

7.1 Important Assumptions

The financial plan depends on important assumptions, most of which are shown in the following table as annual assumptions. From the beginning, we recognize that variable expenses are critical. Cost of water, sewer and electricity are our largest expenses. Water is our major concern in West Texas. We are planning for this possibility by installing all of the required storage, electrical and plumbing for a total water reclamation system.

Two of the more important underlying assumptions are:

• We assume, of course, that there are no unforeseen changes in local regulations that will interrupt our service.

7.2 Break-even Analysis

The break-even analysis table below the following revenue sources: 

1.  Laser Car Wash Sales 2.  Vacuum/vending sales 3.  ATM revenue 4.  Reverse Osmosis water revenue.

7.3 Projected Profit and Loss

Projected Revenue. See “Sales Forecast” for a detailed breakdown of projected revenue.

Projected Operating Expenses.

• Direct Cost of Automatic Sales.
• Chemicals. Average 8.6% of gross revenue. Chemicals include soap, wax and salt.
• Utilities. Average 13.9% of gross revenue. Utilities include water, electricity, gas and sewer.
• Direct Cost of Self-Serve Sales. Total cost averages 11.1% of self-serve revenue.
• Direct Cost of Vacuum/Vending Sales. Average 1% of aggregate automatic and self-serve revenue.
• Variable/Fixed Expenses
• Labor. Labor is estimated to be $2,000/month with an additional 15% burden to cover related payroll taxes and workman’s compensation insurance. Based on two part time employees, 70 total hours/week @ $6.50/hr.
• Repair and Maintenance includes $750/month for monthly service provided by WET and $100/month to clean each wash bay pit.
• Real Estate Taxes are estimated at 3% of value of land and construction costs ($500,000).
• General Liability Insurance is estimated at $1800/year.

Depreciation. Depreciation was calculated as follows:

• Equipment. $295,000 ¸ 6 years ¸ 12 months = $4,097/month
• Construction:  $390,000 ¸ 15 years ¸ 12 months = $2,167/month

7.4 Projected Cash Flow

The following table outlines are estimated cash flow.

7.5 Projected Balance Sheet

The following table indicates our estimated balance sheet totals.

7.6 Business Ratios

Business ratios for the years of this plan are shown below. Industry profile ratios based on the Standard Industrial Classification (SIC) code 7542, Car washes, are shown for comparison.

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