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Teach an Old Carwash New TricksTurn that ugly duckling back into a profitable location
By Ryan Carlson
03/26/2008 Continued from page 1 before spending any money, he outlined what he wanted to accomplish: Goal 1: Evaluate all existing equipment and replace when necessary. Goal 2: Get the equipment and facility to the point where it can wash cars again. Goal 3: Clean up the wash and make a list of cosmetic upgrades. Goal 4: Integrate the new wash identity with existing business branding. Goal 5: Evaluate initial business boosters and modernizations. Start making plans now. Goal 6: Host a grand reopening event no sooner than 90 days after the wash resumes washing cars. Minimizing Equipment Costs After his conversations with other successful carwash operators, Dan was confident his retrofit project was a great opportunity. Because he purchased the carwash for the price of the land, Dan knew he would have enough capitol to get the location in working order and begin washing cars before winter. Dan brought in a local service company to help him make honest evaluations of the wash equipment. He kept as much original equipment as he could, making many of the necessary repairs himself. However, he also hired a professional to handle the most difficult repairs that were beyond his skill and knowledge. The goal of a retrofit like this is to get the wash back on its feet and make improvements and investments that will allow the wash to make more money than it did under previous ownership. Dan had to replace half of the pumps in the back room because they had been so neglected. His chemical distributor evaluated the facility and found several small issues that over time had done damage and required repairs. Dan was amazed that so many small problems had caused thousands of dollars worth of damage — most of which could have been prevented with simple maintenance. The in-bay automatic was in major disrepair. Rather than use valuable capitol to replace it, Dan decided to save money and removed the equipment. He made plans to temporarily convert the space into a large vehicle self-service wash and would re-evaluate adding an in-bay automatic or perhaps an express mini-tunnel in the future. Dan was able to make repairs to the rest of the meter boxes, change machines and vacuum islands. He also placed an order for a new combo vac with air, shampoo, fragrance, and a turbo vacuum option since it had worked so well at his first location. The combo vacuums with higher price point options tend to pay for themselves because of the added revenue they generate at a minimal cost to operate. Since Dan decided to convert the automatic bay into a large-vehicle selfservice wash, he was able to accommodate the department of transportation’s larger vehicles and could attract a new type of customer that no other operators in town could service. Campers, large boats, commercial panel trucks, and large SUVs now had a place in town to get washed, and the idea helped offset the revenue lost by removing the automatic in-bay. Automatic washes can be highly lucrative but only if done right. Had Dan added a new automatic wash immediately, he would not have had the capitol to make the rest of his upgrades. Had he been able to afford financing for all of the needed updates, he certainly would have included a new in-bay automatic, but listening to
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