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Car Wash Business Plan

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Soapy Rides Business Plan

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.">, opportunity.

East Meadow long island and its surrounding area is quite affluent, 40% of the residents earn over $70,000 a year. Consequently, they have nice cars and want them to look nice. There are five different car dealerships within a three-mile radius which will require car washing services for the various fleets. Lastly, there are many different local businesses that have company cars and that require clean appearances.  All of these potential customers need a car wash that fits their needs and their budget. We will happily fill that need.

Soapy Rides will be providing customers with three services: exterior car washing, interior cleaning, and detailing. Soapy Rides has no true competitors that are trying to offer a high quality service for a reasonable rate

This area has a number of benefits in terms of the market that it will provide for the business. Over 40% of households in the immediate neighborhood earn over $70,000 annually. Many people in the neighborhood own and/or lease new cars and place great value on their cars and how they look. There are a large number of car dealerships in the area–five within three miles of the proposed location for Soapy Rides.

Competition

There is one other hand car wash shop in East Meadow. It is quite new and is trying to compete with automatic car washes by offering low prices. However, it is not targeting the customers who seek quality cleaning.

Soapy Rides will be providing customers with three services: exterior car washing, , interior cleaning, and detailing. Soapy Rides has no true competitors that are trying to offer a high quality service for a reasonable rate.

Expectations

The business will be initially financed by a personal investment by Mark Deshpande and will finance growth through cash flow. This will mean that the company will grow more slowly than it could, but it will ensure that Mark retains control over the direction of the company. In year three, it is hoped that the company will be able to open a second location. It is envisioned that an outside loan or equity funding will be sought at that time.

Financial Highlights by Year

Financing needed.

Mark Deshpande will invest $40,000 dollars to change the the location into a car wash.

Problem & Solution

Problem worth solving.

The car wash will be based in East Meadow, New York. This area has a number of benefits in terms of the market that it will provide for the business. Over 40% of households in the immediate neighborhood earn over $70,000 annually. Many people in the neighborhood own and/or lease new cars and place great value on their cars and how they look. There are a large number of car dealerships in the area–five within three miles of the proposed location for Soapy Rides

Our Solution

Soapy Rides will be providing customers with three services: exterior car washing, , interior cleaning, and detailing. We have the ability to provide a high quality service, both in regards to the actual washing as well as customer service is all based on their ability to find the best employees. Hiring the best employees is cost effective because it decreases HR costs associated with turnover and other employee costs. Hiring the best employees and making sure that they are well taken care of ensures that they in turn take care of the customers. Study after study proves that a happy employee is far more likely to provide the highest level of customer service compared to an employee who is not happy and feels that they are being taken advantage of.

Target Market

Market size & segments.

Soapy Rides segments its customers by type of car ownership. We believe that the type of car that a person owns says volumes about their driving, and, therefore their car washing and detailing requirements.

  • Local businesses : Some local businesses have fleets of cars and small vans that must be kept clean to maintain their company image. These businesses will be looking for a cost effective, efficient car washing service to perform this service, and will prefer to use a car wash service during the week rather than during weekends, like the general public.

Current Alternatives

The hand car washing business in East Meadow consists of many small competitors. Everything from local children raising money for their youth group on a Saturday by cleaning cars, to the automatic car wash machines, are competition for Soapy Rides. However, these two alternatives aim to meet the needs of the price-conscious individuals who are choosing the service simply so they do not have to clean the car themselves. 

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Keys to Success

Our keys to success are: 

  • To be viewed as a premium car wash and detail service in East Meadow.
  • Maintain a very high gross profit margin.
  • Maintain a modest, steadily growing net profit margin.
  • Expand to two locations after third year of operation

Marketing & Sales

Marketing plan.

Our marketing strategy is to attract customers who will be repeat users and will frequent the business in the typically quiet times. It will not be difficult to attract customers during the summer months and on the weekends, the weekdays however, especially in the winter, people will not think about having their cars washed. For this reason, Soapy Rides will target people who will tend not to be restricted to these busy times.

More specifically we plan on targeting: 

  • Business owners who make their own hours. We will reach out to them by paper promotions and brochures handed to everyone who works in the area and connect to the local businesses through facebook and linked in. They will get a discount the first time they use our service for giving us a try. 
  • Retired people – we will mail them promotions or drop them by their homes in the area. This demographic is less likely to be on social media but we will honor any promotions they find online. 
  • Dealerships will need cars detailed and washed regardless of the time of the day and week.  We will build a very good quid pro quo relationship with these dealerships. This will supply a constant flow of traffic.
  • Businesses will need their fleet cars washed during the week during regular business hours. Again this will be due to  strong quid pro quo relationships with these businesses. If they trust their cars or their clients cars with us we will take very good care of them 

Sales strategy is on a one-to-one basis. All customers will feel they are a valued friend of Soapy Rides, and that all employees care about the care and upkeep of each vehicle. We must be aware that there are low switching costs in the car washing industry, so we have to work hard to develop and keep repeat customers.

Locations & Facilities

The location was previously used as a quick stop automobile service shop, so it is set up to move vehicles quickly through the premises, but does not have all the necessary systems in place to host a car wash and detail facility. The services of a contracting company will be sought to convert the use of the facility and to improve the customer waiting room facilities.

Milestones & Metrics

Milestones table, key metrics.

Our Key Metrics 

  • Cold calls – We are aiming to have 3 to 5 percent of who our sales people call use our service
  • The number of cars washed in a day 
  • The number of cars washed in a month
  • The number of businesses that have a working relationship with me. 
  • The number of staff members needed to wash the cars in a timely manner. 

Ownership & Structure

The company is solely owned by Mark Deshpande and will be funded by an initial personal investment. Soapy Rides is New York State registered C corporation.

Management Team

Mark Deshpande is the sole owner and manager of Soapy Rides. In addition, he will be helped (on an unofficial basis) by his father, Barry Deshpande. Barry has over 30 years experience as an entrepreneur, both in the car business and in property development and management.

Mark will also have the assistance of John Shine, the family accountant, in creating a long-term strategic vision for the company. John is a family friend and has worked with the Deshpande family for 23 years. He has worked with hundreds of small- and medium-sized businesses during his career.

Personnel Table

Financial plan investor-ready personnel plan .">, key assumptions.

Our Key Assumptions: 

1 – Everyone appreciates a clean car 

2 – Research and experience show that the average household income in the area is 70,000 so they can afford a 10 to 15 dollar exterior car wash once a week without sacrificing their essentials. 

3 – We assume current and long term loan rates will be 10% and tax rate will be 25%. We have planned our financing and our payables with this in mind. We will appreciate lower rates but will be profitable with higher rates in place 

4 – We assume that we have relationships that will result in deals that will be mutually beneficial. Mark’s family has been in business in the area for years and have contacts that like and trust him. This will help us get going. 

Revenue by Month

Expenses by month, net profit (or loss) by year, use of funds.

Our startup Expenses are: 

Stationery etc. $400

Brochures $450

Insurance $200

Rent $1,200

Research and Development $300

Expensed Equipment $4,100

Building Materials $1,200

Building Labor $1,000 

total 10,050 

Sources of Funds

Mark will invest $40,000 to start. 

Projected Profit & Loss

Projected balance sheet, projected cash flow statement.

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car wash business plan

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Car Wash Business Plan Template

If you want to start a car wash business or expand your current one, you need a business plan.

Over the past 20+ years, we have helped over 5,000 entrepreneurs and business owners create business plans to start and grow their car wash businesses.

Below are links to each section of your car wash company business plan template:

Next Section: Executive Summary >

Car Wash Business Plan FAQs

What is the easiest way to complete my car wash business plan.

Growthink's Ultimate Car Wash Business Plan Template allows you to quickly and easily complete your Car Wash Business Plan.

Where Can I Download a Car Wash Business Plan Sample PDF?

You can download our car wash business plan example PDF  here . This is a sample business plan template you can use in PDF format.

What Is a Carwash Business Plan?

A business plan provides a snapshot of your car wash as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes your company description, including your car washing services, business model and pricing. It includes a marketing plan, marketing strategies and market research to support your plans. It should also include a full financial plan including cash flow statement, income statement and balance sheets.

Why Do You Need a Business Plan for a Car Wash Business?

If you’re looking to start a car wash or grow your existing car wash you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your car wash in order to improve your chances of success. Your car wash business plan is a living document that should be updated annually as your company grows and changes.

What Are the Sources of Funding for a Car Wash Business?

With regards to funding, the main sources of funding for a car wash are bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable. But they will want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.

The second most common form of funding for a car wash is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding, or, like a bank, they will give you a loan. Venture capitalists will not fund a car wash. They might consider funding a chain of car washes, but never an individual location. This is because most venture capitalists are looking for millions of dollars in return when they make an investment, and an individual location could never achieve such results.

CAR WASH BUSINESS PLAN OUTLINE

  • Car Wash Business Plan Home
  • 1. Executive Summary
  • 2. Company Overview
  • 3. Industry Analysis
  • 4. Customer Analysis
  • 5. Competitive Analysis
  • 6. Marketing Plan
  • 7. Operations Plan
  • 8. Management Team
  • 9. Financial Plan
  • 10. Appendix
  • Car Wash Business Plan Summary

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

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  • February 16, 2023

car wash business plan

👇 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?

car wash business plan

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.

car wash business plan

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

car wash business plan

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.

car wash business plan

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 .

car wash business plan

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.

car wash business plan

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.

car wash business plan

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.

car wash business plan

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.

car wash business plan

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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BUSINESS STRATEGIES

How to create a car wash business plan

  • Annabelle Amery
  • Sep 6, 2023

How to create a car wash business plan

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.

steps to developing a business plan

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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