Car wash business plan with calculations - how to open a car wash from scratch

Approximate data:

Monthly income - from 210,000 or 165,000 rubles.
Net profit - from 39,100 or 28,475 rubles.
Initial costs - from 728 800 rubles.
Payback - from 1 year 9 months.

This business plan, like all others in the section, contains calculations of average prices, which may differ in your case. Therefore, we recommend that you make calculations for your business individually.

In this article, we will draw up a detailed business plan for a small stationary car wash with calculations.

Car wash provides services for car washing, polishing, chemical cleaning of the interior, engine wash. Please note that the work will be performed by people, this is not an automated car wash. But for work, professional equipment will be used, which allows you to do the job faster than usual. It will be a relatively small car wash.

In general, a car wash as a business is considered only by those who have their own premises for this activity or have the opportunity to build it on their land. Then this business is profitable. If you rent a room, it turns out to be less profitable, and it is not easy to find such a room. Nevertheless, to draw up this business plan, we considered the option with a rented space.

Market analysis

Market analysis of this industry was covered in. I would like to dwell on the consideration of competitors and methods of dealing with them.

The main competition will be large, well-known enterprises throughout the city. Fortunately, there are not many of them. The main methods of dealing with them are more profitable offers, promotions, discounts, quality services, and their availability. Advertising will also be an important factor. A well-planned business always starts with the development of an advertising campaign.

Small car washes won't do much harm. If they are far from our location, they will have no effect at all. But with those car washes that are located nearby, you will have to compete. Here advertising will become the main instrument of struggle. You will have to spend a lot of money on outdoor advertising. Moreover, these will be not only signs, but also various signs and posters. It is very important to think over the stocks, and change the cost in accordance with seasonal demand. This flexibility will allow you to stay in the black even in times of calm, attracting more and more new customers.

If speak about potential buyers , then these will be people with cars, of course. Mostly men between the ages of 20 and 55. Such a contingent gives preference to the quality of service; consumers of this segment do not pay special attention to the interior decoration. The income of potential buyers is average and above average. Low-income citizens tend to wash their cars on their own.

Women also use car washes. They pay attention to the appearance of employees, their grooming, the presence of signs. Today, women driving have become much younger. It is worth targeting women aged 20-45 with medium and high incomes.

SWOT analysis

Opening your own hand-held car wash requires careful research. It is worth resorting to a SWOT analysis. This methodology allows you to study the business comprehensively, to point out the shortcomings and opportunities.

It is customary to divide factors into external and internal. The former cannot be influenced or changed. These include:

Possibilities:

An increase in the number of cars and, as a result, an increase in the number of potential customers, demand for the service.
Population income growth.
Decrease in the level of competition.
Free entry to the market, no barriers.
The possibility of opening a related business (car service, for example).
Provision of related services.
Sale of spare parts, car care products, etc.

Threats:

Increased competition.
Increased tax burden.
Legislative changes (for example, reintroduction of licensing).
Lower demand due to the economic downturn and lower purchasing power.
Forced relocation to a new location.
The need to meet the requirements of the SES (especially those related to water and room maintenance).
Seasonality of the business, a sharp decline in income as a result.

Internal factors can be changed, work on shortcomings, eliminate them. And to use the strengths for your own benefit, to increase their influence. Internal factors include:

Strengths:

Relatively low level of competition in the selected area.
Favorable location.
The possibility of hiring experienced workers.
Search for favorable conditions for renting premises.
Low cost of providing services (especially raw materials).
Acceptability and affordability of prices for customers.
Changes in the cost of the service are possible.
Low follow-up costs.
Almost all costs are directly related to the volume of work, which reduces potential losses to a minimum.

Weak sides:

Lack of experience in this area.
Lack of regular customers.
Zero business reputation of the organization.
The limited demand is due to the area of the rented premises.
Working with water is the need for constant cleaning, maintaining cleanliness, which is very difficult in these conditions.
Lack of professionalism of employees.
Lack of training courses, training of specialists.
Lack of motivation among employees.
Quite a long and serious stage in the preparation of the premises.

All this must be taken into account when opening your own car wash.

Opportunity assessment

In this type of business, the greatest demand is in the spring-autumn period. The lull is observed during the cold season. But this does not mean that people do not use car wash services at all. They just do it a little less often. In such a period, it makes sense to reduce the cost of services provided, increase advertising costs, and make it more targeted at a “casual” consumer.

Our manual car wash will operate according to the following schedule:

Total: 79 hours per week and 338 hours per month.

You will need specialists to work. There will be 2 teams, each consisting of 2 people. The senior is responsible for working with clients, that is, he makes settlements and accepts payment. At the end of the working day, the premises are cleaned by hand washes by both workers. They will work 2 through 2 to achieve greater efficiency and good rest between working days.

You don't need a secretary or administrator to work. In fact, the administrator will be the senior in the brigade, and there is no need to receive phone calls - the specialists will work on the spot. If it is necessary to receive calls for appointment, then it is advisable to put the administrator, who may also be the entrepreneur himself.

As such, there is no need to develop your own website either. Unless you can limit yourself to a business card site or a group on social networks, which the entrepreneur himself can maintain, adding information about ongoing promotions, discounts, offers, prices.

An accountant is also optional for an entrepreneur. You can either use the services of specialized companies, or. Moreover, today there are many auxiliary services for working and submitting reports directly via the Internet.

Organizational and legal aspects

Registration of your own company. It can be an individual entrepreneur or an LLC. The costs for self-registration will be 800 rubles (payment of the state duty). The OKVED code will be 20.3 - Provision of other types of maintenance services for vehicles... This code is valid for 2016 as well.
The entrepreneur can choose the STS or UTII. In the second case, two options are possible - the USN "Income" 6% or the USN "Income minus expenses" 6-15% (the rate is determined depending on the region).
If you need to accept payment from a client using bank cards, then.
The order of Rospotrebnadzor No. 776 of November 21, 2005 (clause 19) specifies the documents required to obtain a FEZ.
Car wash services do not need to be certified. This is a purely voluntary matter.
When purchasing the necessary equipment, you need to take care of the availability of documents that will greatly simplify the opening of the sink. This includes the environmental agreement "Environmental Protection", license, certificates, standard expert opinion.
It is important to comply with all sanitary and fire regulations. This will simplify the procedure for obtaining the appropriate permits.
When using KKM, its registration is required before the organization begins its work.
It is worth getting an agreement with the relevant company for the disposal of solid household waste. Cleaning of the surrounding area is not required in this case. The environment will not be polluted, all work will be carried out indoors (a large garage, fenced on all sides and preventing water and dirt from entering the environment).
There must be a contract for the provision of utilities (electricity, water).
The lease must be official!

The success of a car wash is half (if not more) dependent on the right place of work. Most often, the owners place their car washes near the entrances to the city, highways, near major city roads, border posts... Such places are very fortunate. After all, we must not forget that almost all clients will be "random", in this type of business it is quite difficult to form your own client base. But we need to work on this.

The size of the room is also worth considering. In our case, 2 cars can be serviced at the same time. Therefore, you will have to equip 2 workplaces. It is possible to rent a slightly larger space, which will provide the possibility of future expansion.

Marketing plan

Price policy:

There is no point in underestimating the cost during the "season". People use car wash services here and now. Almost none of them compare prices, but call in the one that is on the way. But in the cold season, you can reduce the cost, but at the same time advertise throughout the city, offer promotions, discounts, and favorable conditions.

The high level of competition in this type of business necessitates the use of advertising, and this will require a lot of money.

The main types of really "working" advertising include ( don't forget about its quality!):

Use of billboards. They should be as informative, vivid and memorable as possible.
Placing information at the nearest petrol stations. The method is relatively cheap, but very effective.
It is worth considering running promotions. For example, "Only today you get a cleaning of the interior with a 50% discount if you wash your car with us!".
Distribution of business cards. You do not need to dwell on this, but it is better to distribute it to customers who have already come to you so that they visit the car wash again.
Placement of the sign board. This is especially true when placed near a highway or not far from a large supermarket. Such a shield should be colorful, catchy, rather large.
You can think about providing your clients with a corner for leisure activities, free tea, coffee (it will be especially important in winter, when any visitor will not mind getting warm).

Calculation of projected income

We will make the calculation for winter time and the rest of the period separately.

Production plan

We have already mentioned the location of the premises. It is worth choosing a garage in a suitable location. The option would be ideal if it was already prepared for the car wash.

It is very important to establish a system of water intake, its subsequent filtration, purification, and output. All this costs a lot. We must not forget that the filters can work at temperatures not lower than +5 degrees. This means that you need to take care of the heating of the room. All this will be included in the refurbishment. But if you have a central water supply, then filters are not needed.

The necessary accessories include tools such as vacuum cleaners, hand washers (usually from Karcher), compressor units, and so on. Do not forget that we are equipping 2 workplaces.

The work of specialists was mentioned above. Their income will be formed as follows:

Foreman - 33% of the shift revenue.
Foreman assistant - 27% of shift revenue.

Interest includes tax deductions and insurance premiums.

Organizational plan

Financial plan

Period	December January February	Remaining months
Monthly income	210,000 rubles	227,500 rubles
Expenses
Rentals	15,000 rubles	15,000 rubles
Advertising	4 500 rubles	5,000 rubles
Wage	90,000 rubles	95,000 rubles
Purchase of detergents and necessary accessories	2 500 rubles	3,000 rubles
Communal payments	5,000 rubles	5,000 rubles
Taxes, insurance premiums (approximately)	45,000 rubles	48,000 rubles
Total:	162,000 rubles	171,000 rubles
Net profit	48,000 rubles	56 500 rubles
Profitability	17,2%	18,6%

Payback: 21 months, that is, 1 year and 9 months. We remind you that with your premises, the payback will come faster.

Risks

The main risks will be:

High requirements of SES, fines... Possible losses can be eliminated by following all the necessary standards.
High level of competition... Offering quality services, pursuing a serious advertising policy. Building a clientele (although it is difficult).
Wrong location selection... Before starting work, it is necessary to conduct a geomarketing research that will help you choose the most profitable place for a car wash.
Unqualified personnel... It is important to engage in careful selection of candidates, conduct a kind of training, take on a trial period. You can motivate workers with piecework wages (in fact, as in our example).
Force majeure circumstances... This can include equipment breakdown and possible natural disasters. In the first case, it is necessary to timely check the equipment, repair it and re-equip the car wash, which will reduce the risk of breakdowns to a minimum. The second factor is related to weather conditions, here it is already important to strengthen your own car wash, isolate it from the effects of external manifestations. This also includes a pipe break and a temporary shutdown of water. Here, unfortunately, it is almost impossible to protect yourself. It will not be possible to make such a large amount of water. And it will take up a huge amount of space.

Important: Remember that you can independently draw up a business plan specifically for your business. To do this, read the articles:

Last request: We are all human and we can make mistakes, ignore something, etc. Do not judge strictly if this business plan or others in the section seemed incomplete to you. If you have experience in this or that activity, or if you saw a defect and can supplement the article, please let us know in the comments! Only in this way can we jointly make business plans more complete, detailed and relevant. Thank you for the attention!