Franchise car wash in an excellent location with brand new equipment.

Franchise car wash in an excellent location with brand new equipment.

Introduction:

• Location/location/location- this is the magic words to ascertain a profitable sustainable business, including pedestrian traffic and visibility.
• This car wash forms part of a national car wash group that has been in existence for over 18 years.
• This outlay of these car washes of the franchise is totally unique, very professionally done, with refined valet techniques. Their client service is excellent, with unforgettable quick turnaround times and comply to client needs and requests.
• This car wash is brand new in the southern suburbs and will be a top performer in the group in a short space of time.
• Car washes in the Cape Town very rarely come onto the market as it is an easy, controllable business with few overhead costs.
• The products used are environmentally and chemically sustainable, and the water recyclable to reduce costs on water accounts.
• The franchisor will give full ongoing training and to start off will supply a variety of marketing material, radio interviews etc. in order to reach the target clients with the branding of the franchise.
• In this instance, the franchisor has done all the research to ensure that the location will be viable and sustainable.
• A full prospectus is available that can be forwarded to interested parties.
• This is a turnkey operation- a franchisee can just walk in and start doing business, and all the necessary items will be there to i.e. a wash-bay area, site office, safety equipment, stationary, pos system, branded clothing, also all stock/chemicals to start off with.

Financials:

As this is a start- up, no historical financials are available but projections are as follows:

Expenses- basic expenses are as follows:

• Rental R22,000 pm (incl rent of R11500 plus water/electricity etc.
• Insurance R2500 pm
• Employee Salaries R12500 pm
• Chemicals R3000 pm
• Total estimated expenses R40,000

Income

• Every car wash differs (depending on the area it can be a quick cheap wash but on the other side in some areas the clients require a detailed car valet).
• The advantage of this car wash is that it is in a centre so not weather dependency.
• Breakeven will thus be washing 200-250 cars per month, if the cheaper option is chosen i.e. R150-R200 per wash- thus 6-8 cars per day which is very low in a busy A/B income centre like this.

Selling price:

• R990,000 for a full turnkey operation including everything that is needed to start the business