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Jared
Thursday, 30 December 2021 / Published in Blog

What You Need to Consider before Investing in a Car Wash

With more than 35 million vehicles being registered in 2020 alone, the market for a reliable car wash remains a huge one. There is still a significant need for these services, especially as the world recovers from the pandemic. Of course, there are various factors to think about before investing in a car wash.

It’s best to hunker down on these so you can figure out whether a full-suite or self-service car wash is the right business for you.

Starting Capital

It goes without saying that a budget will have to be set when considering any investment or new business venture. It’s relatively easy to get a startup capital going for this business compared to other enterprises. With that said, however, you should still expect to shell out at least two million dollars for your capital investment.

The figure is not only dependent on the operational tools you will be using but also on the real estate costs. On top of that, it may be wise to think about marketing efforts and how much that will cost.

Type of Operations

These days, there is a decent variety of ways you can run a car washing business. For instance, you can launch a coin-operated car wash which allows customers to pay for use of instruments and resources to maintain their car themselves. This option is particularly helpful if you want to forgo getting a full staff.

There are also automated car washes that include automatic bay equipment or tunnels with washing machinery. The most common you are likely to see is also the full-service car wash which has attendants and automated machinery to handle different jobs.

Plans for Expansion

Of course, you should not get ahead of yourself. You may be too busy trying to map out the big picture that you don’t get to focus on successfully running your first location. However, you do want to consider whether expansion is even a future goal for you.

The most important thing to think about is optimizing your space and operations to the scale that you can feasibly expect. You want to progress your business, and ill-optimized launches will only stunt your expansion. Even if you don’t get other locations, you may still improve and upgrade your services. 

Market Trends

The most important thing for any brand is relevance. If people don’t see the need for your service, the profits just won’t be there. Do your research on demand, especially in your intended service area. 

Even online perception and sentiment should be analyzed so that you can plan accordingly. Running a business takes work anyway, so you may as well check if the market is a friendlier one.

Conclusion

These factors should help you narrow down the best route for your business plans. The car washing business can be pretty versatile in terms of how intensive you want it to be. If you do your research and find that this is an investment you want to take, then you can start taking steps toward launching a brand new car wash.

If you are seeking a car wash for sale in Calgary, CCW Solutions builds and designs car washes tailored for the Canadian industry. Contact us to have industry leaders help you start up your business. 

What you can read next

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5-Step Guide To Starting Your Own Car Wash Business – Our Guide

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