How to Open a Car Wash Business

Everybody's car gets dirty; getting them to pay to get it washed is the tough part.

Difficulty: Moderate

Instructions

Things You'll Need:

• Business Plan
• Legal Advice
• Business Consultants
• Business Insurance
• Business Licenses
• Business Loans
• Commercial Real Estate Broker
• Financial Advisers
• Business loans

1. Find a location that needs a car wash. A high-profile location, such as a busy street with good visibility, is a necessity for a business such as this to succeed.

2. Contact the city or county department that handles business licenses and request an application.

3. Inquire as to what other requirements there are for opening a business. You may be required to provide insurance or follow certain restrictions for the area.

4. Contact the Franchise Tax Board to get a wholesale permit, if required. This will allow you to purchase goods without paying taxes if they are to be used in your business.

5. Research car washes. Decide whether you want a fully automated car wash or a partially automated one that requires workers to complete part of the washing and drying process.

6. Decide if you want to purchase a franchise or open an independent business.

7. Make a business plan. You'll need to have all of the aspects of opening and running the business worked out for the short and long term.

8. Get financing. Unless you have a lot of money lying around, you will need to borrow money to build the business.

9. Advertise your new business. Use creative marketing to draw customers, such as a coupon book or a frequent-washer program.

10. Hope for rain. Rain creates mud, mud makes cars dirty, and you'll make them clean.

Tips & Warnings

• Consider the ups and downs of the car wash business. There may be certain seasons when people are more or less likely to get their car washed. Expect a seasonal business.
• Talk to owners of existing car washes. Ask them what problems they've had, what they would do differently if they could, and whether they want to sell their business. Buying an existing business is a lot easier, but could be more expensive.
• Make your business investments wisely. Don't get soaked.

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on 3/26/2006 Sponges collect pebbles which will scratch the car. You may not be responsible for aftermarket equipment,
but you are responsible for the paint job.