A New Endeavor: My Experience with a Small Town Car Wash
I recently embarked on an exciting business venture by purchasing a small three-bay car wash located in a quaint rural town in Missouri, home to about 1,000 residents. This establishment, accompanied by a single vending machine, caught my attention despite its modest size.
One of the unique challenges I encountered was the lack of financial records from the previous owner—beyond utility expenses, there were no clear numbers to guide my decision-making. The car wash primarily operated on a cash basis and, while it was equipped with credit card machines, the internet service was insufficient. Fortunately, I’ve just upgraded to a Starlink connection, which will allow me to leverage the credit card system more effectively. Additionally, I’ve installed cameras to enhance security and oversee operations.
After two weeks of ownership, I’m pleased to report that the car wash has generated approximately $600 in revenue, with a minimal cost of about $120 for soda sales from the vending machine. After accounting for expenses, I estimate that the business will yield around $600 in profit each month, which is encouraging, especially considering this figure includes the new internet bill.
Looking ahead, my goal is to expand operations further. I plan to transition entirely to credit card payments and introduce another vending machine to diversify revenue streams. With these improvements, I believe it’s achievable to boost monthly revenue to around $2,000.
I invested $60,000 in this venture and anticipate an additional $5,000 will be necessary to implement my desired changes. While I’m optimistic about the potential of this car wash, I can’t help but wonder—did I make a wise investment? What are your thoughts on managing small businesses in similar settings? I’d love to hear your insights!
One Comment
Congratulations on your new venture! It’s great to see such enthusiasm and proactive improvements, especially in a small-town setting where community engagement can significantly impact success. Given the limited prior financial data, consider implementing basic bookkeeping or POS software to track daily transactions and operational costs more accurately. This will help you better understand your cash flow and identify opportunities for increased profitability.
Expanding your payment options to fully embrace credit card and digital payments will likely attract more customers, especially as more people prefer contactless transactions. Diversifying your vending machine offerings could also cater to different tastes or include small convenience items, increasing per-visitor sales.
In small communities, building strong relationships with local residents and businesses can be invaluable—consider village events or partnerships that might increase foot traffic. Additionally, monitoring ongoing expenses, especially utilities and maintenance, will be key to maintaining healthy profit margins.
Overall, your mindset of strategic upgrades combined with community-centric management should serve you well. Wishing you continued success in growing your car wash business!