Car Wash Business
full service car washes
self service car wash
car detail business
How to Buy a Car Wash Business
After analyzing the basics on buying a car wash, the next step is to locate the business to buy. There are listings for sale by owner as well as car wash brokers that specialize in this industry. Once the potential locations are found, the following should be taking into consideration when buying a car wash.
2. Drive around the area and research the competition, especially within a 10 mile radius of the desired location. Ask yourself what are the advantages and disadvantages of the car wash in consideration. How is it run relative to the competition. Is there a potential to increase sales? How old is the equipment? What are the fixed and variable costs?
3. Contact the city or county department to check on the necessary licenses and permits for car washes
4. Find out what kind of insurance do you need to run
a car wash.
5. You will need to apply for a vendors license from
the Franchise Tax Board to buy and sell products or snacks if you plan
to run a full service car wash.
6. Make sure you set your expectations at the right level. You'll need to have all of the aspects of running the business worked out for the short and long term, a car wash requires a substantial investment that will take several years to get back.
7. Research your options for financing with banks or finance companies that specialize in the industry. Usually, one can finance about 50% of the cost of an existing Car Wash.
10. Hire a Lawyer to go over contracts and leases.
11. Check what are the revenues relative to water.
For instance, look at the water bills and calculate how many HCFs
(Hundred Cubic Feet of Water) does the car wash need to generate a
certain amount of revenue. Check the water meter and run several tests
to verify revenue is accurate and not being over stated. If you need
help with in verifying revenues using this method, contact us for a
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