Car Wash Startup Costs: 2024 Data From 230 Real Car Washes
Interested in learning more about how much it really costs to start a car wash business? The costs involved can vary significantly depending on the type (mobile vs. full-service) and the size of the car wash (the number of bays for example).
First, we examined the investment required for 5 popular car wash franchises representing together 230 real car wash businesses, as a metric to gauge the costs of what starting a non-franchise car wash would actually cost.
On average, for a standard full-service car wash, owners invest between $1,500,000 and $3,000,000 upfront. Costs include anything from car wash equipment (conveyors, drying systems, signage, legal fees, marketing, lighting, etc.).
Car Wash Startup Costs: Real Data From 230 Car Washes
We examined the 4 largest car wash franchises to provide a clear picture of the costs associated with starting your own car wash business. Together, these 4 car wash franchises collectively represent 280 car wash businesses.
In the table below, we break down the low-end and high-end investment costs for these car wash franchises, offering insights into what potential entrepreneurs can expect when starting a car wash.
Franchise | Initial Investment (Low) | Initial Investment (High) | Business model |
---|---|---|---|
Prime Car Wash | $1,509,500 | $2,960,000 | Full-service car wash |
Tommy’s Express | $2,539,643 | $3,102,945 | Full-service car wash |
Spiffy | $48,300 | $101,150 | Mobile car wash |
No-H20 | $135,000 | $163,000 | Mobile car wash |
Fleet Clean USA | $160,000 | $436,000 | Mobile car wash |
As you will see, the costs vary significantly from one franchise to another, this is mainly due to the fact that not all car wash have the same business model, equipment and size.
This is especially true between mobile car wash (Spiffy) and ‘standard’ full-service car wash businesses (Tommy’s Express, Prime Car Wash)
Let’s have a look in detail at 3 of the car franchises discussed here to see exactly what you would pay for, for each of these 2 business models:
Full-Service Car Wash Startup Costs: Tommy’s Express
Tommy’s Express is what you would call a full-service car wash.
This type of car wash offers a comprehensive range of services, including exterior and interior cleaning, detailing, and additional services such as vacuuming, waxing, and tire cleaning. Full-service car washes often combine automatic conveyor systems for exterior cleaning with manual labor for detailed interior cleaning, providing a thorough and personalized vehicle care experience.
That’s why costs are much higher, as they include some expensive hardware, conveyors, and extra building costs to account for the space and equipment the business requires.
Note that the low-end of the cost range ($2,539,643) assumes 8 vacuums and 2-lane POS. Instead, the high-end estimate ($3,102,945) is based on 12 vacuums and 3-lane POS.
Type of Expenditure | Amount (Low) | Amount (High) |
---|---|---|
Architectural Services | $48,000 | $80,000 |
Building Costs* | $883,819 | $974,205 |
Lighting | $51,790 | $51,790 |
Signage | $82,810 | $117,669 |
Conveyor | $137,350 | $138,130 |
Car Wash Equipment | $196,660 | $215,211 |
Cloth | $20,952 | $22,931 |
Drying System | $128,556 | $139,889 |
Support Equipment | $239,771 | $284,280 |
Wash Controls | $134,376 | $161,068 |
Vacuum System | $128,397 | $180,738 |
Point of Sale System | $72,186 | $89,500 |
Accessories | $27,718 | $118,985 |
Installation | $152,208 | $168,529 |
Insurance | $12,000 | $36,000 |
Permits and Licenses | $350 | $5,500 |
Office Equipment and Supplies | $1,000 | $1,500 |
Furniture and Fixtures | $2,500 | $17,000 |
Training Expenses | $17,500 | $22,500 |
Marketing | $22,000 | $22,000 |
Additional Funds (3 months of working capital) | $75,000 | $75,000 |
Mortgage or Rent (3 months) | $105,000 | $180,000 |
TOTAL | $2,539,643 | $3,102,945 |
Full-Service Car Wash Startup Costs: Prime Car Wash
Similar to Tommy’s Express, Prime Car Wash offers a full-service car wash service.
Type of Expenditure | Amount (Low) | Amount (High) |
---|---|---|
Utility Costs | $500 | $25,000 |
Licenses, Permits, and Professional Services | $150,000 | $600,000 |
Site Evaluation | $0 | $5,000 |
Signage | $120,000 | $200,000 |
Computer and POS Equipment | $160,000 | $250,000 |
Tunnel and Vacuum Equipment | $900,000 | $1,400,000 |
Inventory | $20,000 | $40,000 |
Insurance | $4,000 | $10,000 |
Training Expenses | $20,000 | $50,000 |
Advertising | $15,000 | $25,000 |
Development Services | $20,000 | $55,000 |
Project Management Services | $0 | $100,000 |
Additional Funds | $100,000 | $200,000 |
TOTAL | $1,509,500 | $2,960,000 |
This table categorizes the various expenses and provides a clear overview of the costs associated with starting a Prime Car Wash franchise.
Full-Service Car Wash Startup Costs: Spiffy
Instead, Spiffy is a mobile car wash company, hence the required investment upfront is relatively low. The vas majority of costs include mobile car wash equipment and vehicle leasing costs.
Here are the detailed costs by category:
Type of Expenditure | Amount (Low) | Amount (High) |
---|---|---|
Vehicle Costs | $3,300 | $9,900 |
Property Costs | $8,000 | $25,000 |
Supplies and Equipment | $26,750 | $35,750 |
Utilities and Insurance | $2,000 | $5,500 |
Other Costs | $8,250 | $24,000 |
TOTAL | $48,300 | $101,150 |