As a car wash company with 40 years of experience, we have seen and experienced everything in the industry. That’s why we know very well what you may encounter. We also understand what steps can be confusing and what is important to pay attention to in the process of opening a new car wash. What should be the first step? Choosing the business location? Competition? Finding capital? Or is it market research? In this article, altitudementor.com will discuss 14 Important Steps To Open A Car Wash Business.
We cannot explain all the details you need to know about the car wash business in a single article, but we can share with you the 14 most important steps to take to open a car wash:
14 Important Steps To Open A Car Wash Business
To open a car wash shop, it is necessary to go through processes such as finding capital, building the shop, and hiring personnel. If these factors are taken into consideration, good money can be earned from the car wash business in the long run.
1. Make Sure You Can Do This Job
Starting a business is a difficult process. However, the process may be even more challenging in businesses that require significant capital. In other words, it is of great importance, both psychologically and financially, to establish a business that you can handle and that you enjoy going to in the morning.
In this context, you need to be mentally prepared to start a car wash business. If things like dealing with people and competing with other car washes do not intimidate you, and if you love cars and cleanliness, there is no obstacle for you to open a car wash.
2. Research the car wash industry
Even if you have worked in the car wash business before, you need to be aware of the latest developments in trends and technologies to master the industry. Visit other car washes and decide what type of car wash you want to open. (self-service, automatic, waterless, mobile, etc.)
For example, people use car washes more when the economy is good and vehicle sales are on the rise. Those who have more money to spend do not hesitate to spend money on car washes. Knowing car sales statistics in your area helps you predict the success of your business.
Talk to car wash shop owners, car wash suppliers, and car wash equipment manufacturers. Try to learn every aspect of the car wash business.
Read trend reports and industry publications online. Learn the demographics of consumers in your area. Research what car washes that serve similar demographics are doing.
Read industry publications to find out what the latest equipment and materials are. The car wash industry is advancing day by day in terms of energy-saving and environmentally friendly materials. Therefore, it is very important to keep up with new developments.
3. Prepare a Business Plan
Preparing a business plan is very important for the healthy growth of a newly established business. The mission of the company you will establish, its capital, marketing methods, growth plan, supply options, management strategy, and even plans B and C for closing the company should also be included in the business plan.
A business plan is essential for you to see your future clearly and to receive money from investors and banks. So, when you take out a loan from a bank, the bank requests a business plan from you. Just verbally: “I’m going to open a car wash, I need this much money.” You cannot take out a loan just because.
Step-by-step business plan preparation: The business plan will help you find financing and think through the details of your business. Make your plan as detailed as possible. The business plan should include an introduction, company description, organization and management, marketing and sales strategies, product/service, equity investment and financing, and financial information sections.
Entrance; It should include your executive summary, table of contents, and cover page.
Your market analysis should show information about the car wash industry and the results of the market research and analysis you have conducted. Who are your customers and what are their purchasing habits? What are the risks, strengths, and weaknesses? What is the projected revenue based on the current market and future market trends?
The company description should include information about your car wash business.
Organization and management department; It should cover your company structure, board of directors, and the qualifications of the management team.
The marketing and sales section should clearly outline your marketing strategy. How will you find customers? What ways will you use to reach customers? What is your sales strategy?
The product or service section should describe what you will sell. How will your car wash fill the gap in the market? Why will people choose you over other car wash shops?
The equity and finance section should detail how much money you need to start your business and what financial resources you will use.
Financial information is the most important part of the business plan and should be checked by an accountant or financial planner. It should include your personal financial information, a list of your debts, projected income for five years, and documentation that the information has been reviewed by an accountant or financial planner.
4. Research the competition in your area
To gain a competitive advantage, you need to research other car washes in your area. Visit as many car washes as you can to see how they operate, especially those new to the business. What kind of services do your competitors offer? What are your competitors’ prices? How many customers do they have and how do they market their business? How often do customers use these services? How do they attract customers?
What will they do when you open your own car wash business? How will they act? Can they renovate to be on par with yours? Are their customers loyal and might they cut prices in the short term to compete with you?
Take notes as you browse these car washes. Review the notes you took while preparing the business plan.
5. Get Detailed Information from an Expert
If you are serious about car washing, it would be beneficial to get detailed information from someone who has done this job before. Therefore, learning the ropes from an experienced person will ensure that you encounter fewer problems.
- What should be the price policy in the car wash business?
- How should the water be used? Should tap water be used? Or would well water also work?
- How does business fluctuate seasonally?
- Which brand of equipment should be preferred?
- What procedure should be followed for emergencies?
- How much does a car wash cost?
Discussing these and similar questions with an expert will prevent you from making mistakes. Because mistakes made in these matters may cause you to lose money and time that are difficult to compensate for.
6. Pay Attention to Equipment Selection
In the car wash business, you work with water, detergent, a hose, and a vacuum cleaner. For this reason, even if you cut costs in the short term by going cheap, you cannot ignore the possibility of malfunctions, especially in electronic equipment.
Therefore, if you want to do this job, you should use quality equipment. You can also purchase other materials you will use at more affordable prices by agreeing with a wholesaler.
7. Venue Selection is Very Important in Car Wash Business
Place, place, place… Choosing the right place is one of the most important factors affecting the success of the business.
The ideal location to open a car wash is a place where there is traffic, there is no problem with entry and exit, and it can be noticed while passing by. Your sign must be visible to drivers for at least 40 seconds. Drivers need time to see your sign and decide whether to wash their car. It is a great advantage that the nearest car wash is a few kilometers away.
Choose a space large enough for compartments for cars, pump rooms, vacuum and drying areas, and office accommodation.
Find out whether it is allowed to open a car wash shop in the area you have chosen, according to zoning regulations. If you need to obtain special permits, obtain these documents before renting or purchasing your space.
It would be beneficial to work with a real estate agent, urban planner, lawyer, and/or accountant.
For all these reasons, before opening a car wash, you should thoroughly explore the area in your mind and choose a spot that people and drivers can notice.
8. Calculate the Cost of Opening a Car Wash Shop.
The cost of opening a car wash can start from 100,000 Rupees and go up to 2,000,000 Rupees.
Costs may vary depending on the city, the size of the shop, and the quality of service you will provide. However, you still have to make certain expenses.
For example, you can take over an existing car wash from its owner. Or you may want to set up your own shop. You may want to provide premium service only for luxury sports cars, or perhaps you may only provide washing services for trucks and construction equipment.
So, depending on the model you have in mind, costs will also vary. However, now let us show you some of the things you have to spend on. You can do market research yourself in your city.
9. Place
If you are going to buy a car wash that is transferred from the owner, you will not incur much expense in the beginning. However, if you are going to open a car wash from scratch, you need to open a space suitable for the car wash model you want to establish.
However, if we are going to talk about an average-sized car wash, it would be good to have an area of at least 500 square meters. Additionally, if you are going to wash the interior, it would be more appropriate to do this in the interior of the shop.
In addition, having places such as a lounge and cafeteria in the venue will also increase customer satisfaction.
As we mentioned above, opening a car wash on a busy street will be beneficial in terms of visibility. It is also to your advantage that there is no other car wash on this street.
10. Equipment Required to Open a Car Wash:
The amount you will pay for equipment and materials will also vary depending on the type of shop you will open. However, you will still need the following materials.
Conveyor belt for people who don’t have time (bıcı bıcı)
- Detergents and special chemical solutions
- Hose
- dryers
- Compressed air blower
- Vacuum cleaner
- Brush
- Aquarius
- Water tank and irrigation system
- Payment system (boss device)
- Materials for the mini market (Tea, coffee, toaster, etc.)
- Television, wi-fi, multi-charger for the lounge
11. Employee
Depending on the size of the shop, the number of personnel you will employ will also vary. However, for a medium-sized car wash, it is good to have at least 2-3 employees.
Employee salaries and insurance are also included in the cost of opening a car wash. It is also important that employees have previous car wash experience in order for the work to run more smoothly.
12. Find the Capital Required to Open a Car Wash Shop.
The best way to do this is to present your business plan to a bank or private investor and show that your business idea is viable. You may also consider getting a non-refundable KOSGEB loan from the government.
13. Open your car wash shop
Obtain the necessary licenses and permits: Access the application forms by visiting the website of your municipality. After obtaining the necessary documents from the relevant institutions, apply to the municipality with your application form. If you want to manage your business successfully, you need to obtain the necessary licenses and permits. Also, contact the tax office and complete your tax transactions.
Purchase the necessary equipment for your car wash shop: The equipment you need varies depending on which machines you will wash the cars with and what services you will offer. Full-service car washes, self-service car washes, and automated car washes have different requirements. However, in general, the washing system (e.g. pressure washer, conveyor, self-service equipment, mobile washing systems), chemicals (e.g. cleaning solutions, wax, dryers, pre-wash), dryers, blowers, vacuums, brushes, towels, compressors, pumps, and water You will need a system (e.g. boilers, water heaters, water filtration, extractor fans) and a billing system.
Buy chemicals from major manufacturers.
Be assured that the equipment distributor will be available in times of need.
The durability of the equipment is generally 10 years.
Market your car wash: Advertise your car wash with road signs, flyers, posters, and local print publications. Make the sign of your car wash shop colorful. Make sure people see the sign clearly. The best way to find new customers is to distribute coupons and discounts.
These days, social media is one of the most important parts of marketing. Open a website and get involved on Twitter and Facebook. Make sure your printed materials include links to your website and social media accounts.
Use your website to share information and give tips.
Get employees: The car wash business is customer-focused. Your employees must be punctual, efficient, competent, and polite. Pay attention to your body language and communication skills when conducting interviews.
Open your car wash: Do a soft opening before the grand opening. Wait at least 30 days before holding the grand opening. Solve the problems. Treat the grand opening as a promotional party and social event.
Invite friends, nearby business owners, suppliers, and media.
Give free services and promotional products.
14. Increase your earnings
Add services: Many car washers provide additional services to increase their revenue. Providing additional services helps you find new customers and gain a competitive advantage. A waiting area (e.g. television, free coffee, comfortable chairs) or even a small barber shop are possible additions. Before investing in additional services, ask yourself these questions:
Do I have enough space or do I need additional space?
How much will it cost?
What will be my return on investment?
Will people receive this service?
Offer express detail services: Express detail services (polish, filler, carpet shampoo) are done in 30 minutes or less. Since you have the space and equipment, you can provide these services more cheaply.
It is important that you complete these services quickly. Customers like the fact that the service is fast and the cost is low.
Be sure to advertise your express detail services.
Check prices from other businesses to determine prices.
Use cell phone messages to contact customers: Text messages are a low-cost and effective way to promote your business.
Offer monthly or unlimited cards: Monthly or unlimited cards offer fixed income when customers don’t show up to get the car washed. This is also a method you can use to create a stable customer base. Price these cards carefully. The price must be high enough to make a profit and low enough to convince the customer.
If customers are not interested in the cards, adjust the prices.
How To Advertise and Promote in the Car Wash Industry?
As in every business, awareness is essential in the car wash business. So people need to know about your business so they will come and have their vehicles washed by you.
You can apply various advertising and promotion methods for this.
- For example, you can distribute brochures to houses in your neighborhood.
- You can hang posters at certain points.
- You can advertise on local radios.
- You can be active on social media. Or rather, you have to be! You must have an Instagram and Facebook page.
- You can also remind yourself by taking the contact information of your existing customers and sending them SMS or e-mail at regular intervals.
Marketing Tactics to Increase Business
After setting up a car wash, your only goal is to attract customers’ attention. In this regard, it would be appropriate to apply some marketing tactics that people will like.
Using the tactics listed below to attract existing customers and acquire new customers will be very useful to grow your business and naturally earn better profits.
1. Design a waiting room
Design a lobby-like waiting and relaxation area. Make sure there is a television, free wi-fi, and a massage chair. People will also like it if you offer free tea and coffee. If you design this waiting room carefully, you will leave people with the impression that they are receiving a “luxury” service. And remember, first impressions often mean everything.
2. Have a clear concept
Your car wash may also have a certain concept. For example, having posters of various movies or paintings of certain artists in a car wash adds a different and original atmosphere to the place.
For example, the car wash called Burbucar in Madrid has a very different concept in terms of both its design and the ability to recycle the water it uses.
3. Include large vehicles
In order for trucks and trailers to be in demand at your car wash, offer them suitable washing options. Specify in your advertisements that you also provide service to large vehicles.
4. Get free washing
Have a free washing campaign for private individuals and institutions. For example, wash the vehicles of martyrs’ families free of charge. Or get 50% off on special occasions.
5. Have a mini market and cafeteria
People should be able to shop at the market while waiting for their vehicles to be washed. For this reason, it would be good to have a market, even if small, in the car wash. Free tea and coffee will also please people. Drink and snack vending machines are also a good idea.
6. Implement a loyalty program
In other words, customers who wash their vehicles 5 times will get 1 free wash. This gives people another reason to come to you.
7. Be active on social media
Your car wash must have a website and quality content must be uploaded to the website in order for it to rank higher on Google. For example, if you share an article about the intricacies of car washing on this website, your site will rank higher. If a business’s website appears on the first page of Google, it means that that business also receives orders and reservations online.
Likewise, being active on Facebook and Instagram increases your interaction with people. Additionally, if you upload videos that provide useful information about car washing to YouTube, you can gain a certain audience from there. Remember, videos about cars are watched a lot.
What are the Types of Car Washers?
If you want to open a car wash, you first need to determine the business model. Depending on the model you choose, your earnings, capital to start a business, and number of personnel will also vary.
Generally, people prefer a full car wash. At gas stations, external washing is preferred.
Full Car Wash (Inside and Out):
In a full car wash, which we can call washing and cleaning the interior and exterior of the vehicle from A to Z, services such as washing, sweeping and dry cleaning are provided.
Exterior Washing:
In this type of car wash, where only the exterior of the vehicle is washed, the exterior of the vehicle is washed with pressurized water or detergent. You can also use the bıcı bıcı, which is found at gas stations and operated by inserting money into the vending machine.
Wash It Yourself:
Here, the necessary materials are given or rented to the vehicle owner. The vehicle owner washes his own vehicle. The blue-red colored bıcı bıcı, which you will see above, is activated by inserting a coin worth 20-50 lira into the vending machine. The exterior of the vehicle is washed in 2-3 minutes and you do not need to employ personnel for this job.
Mobile Car Wash:
As the name suggests, mobile car wash is a mobile car wash service. The washing process is carried out at the customer’s doorstep.
Tips
Run regular promotions to keep customers coming during off-peak hours.
Conduct your marketing activities locally, as many of your customers will be local.
Be courteous to customers.
Have all equipment in your car wash shop regularly maintained.
Car Wash Opening Conditions
a) The workplace designed as a parking lot will have a minimum closed area of 400 m2.
b) The place where the car wash will be located will be in the Industry, Commerce, or Commerce+Residential legend in the zoning plans.
c) There will be a car park, office, and waiting room at car washes.
d) The flow slope of the water will be given to the grid, and water will not be discharged into the environment.
d) Sound and noise insulation of the car wash area will be done in accordance with the standards.
e) Oil changes, vehicle maintenance and repair, and spare parts sales will not be made at car washes.
f) The workplace where the car wash will be located must be arranged as a parking lot in the Building Permit, Building Permit, and Project.
Documents Required to Open a Car Wash Shop
a) Application petition,
b) Title deed or lease agreement of the relevant place,
c) The decision of the board of flat owners taken in accordance with the Law on Flat Ownership in places subject to flat ownership,
d) In the case of public properties, permission/allocation, or rental agreements,
d) Scaled site plan of the relevant place,
e) Non-sanitary Establishment Opening License Application/Declaration Form filled out by the applicant attached to the Regulation on Business Opening and Working Licenses,
f) Permission and certificate of conformity for connection to the sewer line from the Directorate of Technical Affairs.
g) Fire department report
h) Copy of identity card
i) 2 photographs
Note: Since these documents and conditions will vary from municipality to municipality, we recommend that you contact the relevant municipality for exact information.
Does it make sense to open a car wash? How Are They Earnings?
As of 2024, there are 27 million 482 thousand 847 registered vehicles in our country. This means 27 million vehicles that will be washed and maintained regularly. Considering the value car owners place on their vehicles in our country, opening a car wash can be quite profitable.
However, depending on which city the car wash is opened in and what kind of services it provides, its earnings may vary greatly. Moreover, there is a huge difference between the earnings of a car wash that is opened in a small district and provides only interior and exterior washing services and a car wash that is opened in a central area of Istanbul and provides personalized cleaning services in 10 different packages. How many vehicles you will serve at the same time is one of the factors that most affect earnings.
For these reasons, we can say that car wash shops will earn between 50 thousand and 400 thousand Rupees monthly.
