No matter where you live, starting a mobile car wash business has become a viable option for the masses. It’s the perfect example of a business that became successful just from word-of-mouth recommendations. A mobile car wash is one business you can start with a high chance of success. The demand for car washes increases by the day, and most people nowadays would prefer to have their cars washed in places like their parking lot, garage, or home location.
If you can start a mobile car wash business, providing personalized car wash services right where your customers want it, you are bound to make good money from the business. In this post, we will be showing you how to start a mobile car wash. This is all you need to know about starting the business.
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What Is the Cost of Starting a Mobile Car Wash Business?
This can be a capital-intensive business because of some equipment you will need to buy for the running of the business. To start a mobile car wash business, you might need between $5000 and $25,000. However, this cost can vary depending on some factors, such as your location and business model. But on average, you may need up to $9,000 to start a mobile car wash business.
How Much Can You Make From a Mobile Car Wash Business?
This again depends on a variety of factors, such as the number of cars you are able to wash daily and your pricing structure. Typically, you can charge about $10 for every car you wash. With that, you can expect to make about 60-70% profit in each car wash service.
Since you are providing mobile car wash services, you can as well add some more add-on services to increase your charges.
How to Start a Mobile Car Wash Business: All You Need to Know
Let’s learn about “How To Start A Mobile Car Wash Business” in detail:
#1: First, learn the trade of the business
Before even asking how to start a mobile car wash business, you need first to familiarize yourself with the trade of the business. Learn how to wash a car – both the interior and exterior thoroughly. Have a good knowledge of some trends in the business and know what equipment and supplies people use in the mobile car wash business.
#2: Write a comprehensive business plan for the business
The next step is writing a comprehensive business plan. Writing a business plan for a mobile car wash business serves a lot of purposes. First, it serves as a roadmap that helps you start and grow the business. It shows you the right steps to take per time for the success of the business.
At the same time, having a well-written, a comprehensive business plan will also come in handy when you are looking for funding and investors. Things you will want to include in your plan are your business objectives, description of the business, market analysis, target market, competitors, pricing structure, marketing strategies, etc.
#3: Pick a business name for your mobile car wash business
You will also need to pick a business name for your mobile car wash business. This can be as simple as “Joe’s Mobile Car Wash” or “Spotless Auto Wash.” Your business name should be short and easily remembered without being too long. Try to think of something catchy that people will want to tell their friends and family about.
Always do some research to see if the name you’ve chosen is already in use by another company or if there’s a similar one out there. If there is, it’s best not to use it as this may cause confusion and could also get you into legal trouble.
#4: Decide on a good location
As a mobile car wash, you most times be washing your customer’s cars in their chosen location. This could be in their homes, offices, gyms, clubs, and parking areas. But if you don’t mind, you can still find a permanent location where you can call your business location.
Look for a location near the city center, but not in it. Such a place will help you serve more people without facing the issue of where to park their vehicles or facing the huge cost of getting a location in city centers. Choose a location not too close to competitors. It should be visible to potential customers and have enough space for the business.
#5: Research potential clients
Once you know where you want to target your services, you can research the potential market. Find out who the local car dealerships are and how often they need their cars washed. See how many people in the area own their own cars and how many people use public transportation.
If there aren’t many individuals who have regular access to a car, it might not be profitable for you to do business in that area. You should also find out how many car washes are in the area and what kind of prices they charge for a wash. This will allow you to set competitive rates without undercutting yourself by too much.
#6: Get the necessary license
It is important to get the necessary license for your mobile car wash business. A business license gives you the legal right to conduct business in your city and county. This is where the fuzzy definition of what constitutes a “business” comes in handy. If you are not officially licensed, your clients could file complaints about their work against you—and those complaints would hold up in court because your services are unlicensed and thus illegal!
If this doesn’t sound like much fun, then getting licensing is for you! It totally protects you from any and all lawsuits that might come from unsatisfied customers.
The number and type of licenses needed to run a mobile car wash will vary by state, city, and county. To find out more about which licenses are necessary for the area you wish to operate in, visit your local government’s website or visit a local small-business assistance center if one exists in your area (they often do).
#7: Set your prices
Charge for every service you offer, whether that be an exterior wash or a full detailing. Price each service individually so your customers can tailor the services their cars need. Offer specials and discounts for buying multiple services at once, like a 10% discount for purchasing both a wash and an interior cleaning.
To determine your prices, compare your rates to those of other car washes in your area. If you have the only mobile car wash business in the area, price competitively against local fixed-site businesses but offer higher-quality work.
Include the cost of supplies and travel time so you can set prices that leave room for profit. After one month of operating costs and profits, review pricing to ensure profitability is still possible at current rates.
#8: Get your equipment together
This is a major step in how to start a mobile car wash business. You will need to have the right equipment and supplies to run the business successfully. The most important equipment you will need here is the vehicle. You will need to look for the right vehicle type for the business – one that has enough storage space for your equipment. If you can’t afford a new SUV or a Sedan, you can opt for a used van instead.
Other equipment you might need for a mobile car wash business are a portable water tank and Genset, car wash soap, buckets, towels, sponges, car wax, pneumatic pressure washers, brushes, hose, etc.
#9: Obtain appropriate insurance
Insurance is necessary for this business since there is a risk of vehicle damage, and customers’ property can be damaged or stolen. Owners, at a minimum, need liability insurance and worker’s compensation, which will cover any bodily injury or property damage to any third party that occurs during work.
Businesses also need to insure against theft from employees and customers and water damage from the equipment on the job site. So ask to know what type of insurance you need to get and go for them at once.
#10: Hire employees, if necessary
You can also hire employees and subcontract the work to them. This will give you the advantage of taking a vacation and doing other things while your employees do the work for you. Employing more people will also allow you to take in more clients at a time.
However, hiring employees is an added expense on your part. Make sure that you hire trustworthy people enough that they won’t steal from you or dump clients because they simply don’t feel like doing their job for the day.
#11: Choose your marketing strategy
The best marketing strategy is a mix of different approaches. So it would be best if you created several marketing campaigns at once. You can use social media (Facebook, Instagram, Twitter, etc.) and start a blog to build brand awareness. Paid advertising can be helpful if you have the budget. Do not forget about traditional marketing like cold calling or corporate sponsorship. Networking might be your best option to get customers if you are new in the industry.
#12: Plan your schedule based on weather forecasts and the number of vehicles that need to be washed each day
When scheduling customers, consider the number of vehicles that need to be washed each day. Maximize your time and resources by filling up your schedule first before adding more customers for the day. Take into account the weather forecast, availability of staff and equipment, as well as other factors that can affect your operations.
And that is it. That’s all you need to know about how to start a mobile car wash business. Follow these steps, and you will be starting off on the right foot with your new mobile car wash business.