Thinking about building a new car wash in your city? Like most entrepreneurs you’re probably wondering what it’s going to cost right? That is a critical question to ask because the numbers must make sense, especially if you want to have confidence that you’re going to get excellent ROI from that location.
The good news is that as the demand for car washes has grown nationwide over the last decade, we now have more information about the true cost of building a car wash than ever before.
In this article we will offer you a bird’s eye view into the costs associated with building a car wash so that you know what to expect from this investment.
What Does It Really Cost To Build A Car Wash?
Location – The cost of building a car wash is investing in the right location, especially a place that’s near a major highway or road because you’re going to attract more customers who will notice your car wash when they drive by. Base cost – $850K + include site landscaping, paving, grading, permitting and that increases your base location costs to $1.2 million+.
Car Wash Tunnel & Maintenance – As the core of your business, having the right car wash tunnel and technology is critical to the success of your car wash. Base cost $650K+
Water Treatment System – An essential part of any car wash, the water treatment system is essential for recycling the water used for car washes so that you can save money off that cost. Base cost $150K
Electronic Components – Brining the car wash together is the electronic components that make the car wash and pay stations all work and communicate with each other. Base cost $275K
Besides these cost breakdowns, the other base costs that you can expect to pay when building a car wash include the Vacuum System $180K, HVAC & Plumbing $80K, marketing $150K.
Wrapping It Up
In total your grand total costs to build a car wash can range from $3 to $5 million on the low end, to $7 million plus on the high, end especially if you’re planning on building a new car wash in a city like Los Angeles or Miami.
Ultimately, having more than enough capital to finance your venture should be priority #1 especially in today’s world when water shortages and green friendly cities can make building a new car wash a very costly business for any investor.
Thankfully, once your car wash location is built, you can expect to enjoy significant ROI (10% to 20% annually) depending on location, earning you consistent monthly cash flow for years to come.
By Jeremy Raglin, Content Writer
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