Auto detailing can be highly profitable with a low barrier to entry and equally low overhead costs. We’ll show you how to start a car detailing business.
We gathered expert advice from GoDetail founder and owner Alan Tursunbaev. He started the auto detailing business for extra money between high school and college. At 22, he’s making $75K per month. Even better, he’s increased revenue by 50% in the last six months. Best of all, he offers $10 discounts for every referral a customer sends.
We’ll explain the step-by-step process of how to start a car detailing business. By the end of this article, you’ll understand more about:
Tips For A Great At Home Car Wash
Someone starting a car detailing company needs to understand the $14.7 billion car wash and auto detailing industry. We’ll answer some common questions about how to start a mobile detailing business.
According to IBISWorld Report 81119A , there are over 67, 000 companies under NAICS Code 811192. That means the average company makes around $220, 000, but it varies dramatically.
The net income for the industry is 17.1% of revenue, which means that the average small business owner makes approximately $37, 620 in profit plus any salary they take from mobile car cleaning. But, Alan told us:
How To Start A Car Wash
Alan started his mobile car detailing business with $500. So you don’t need much money when starting a mobile detail business. If you are starting a detail business with a physical location, it may cost $20, 000 to $10 million, depending on the cost of land, equipment, and labor in your area.
Now, just because you can start this business with $500 doesn’t mean that’s the best choice. A larger investment at the start can often help you grow faster so you’ll end up with more money in the long term. This doesn’t need to mean taking out a massive loan, either. A business line of credit gives you access to funds when you need them and you’ll only accrue interest on the money you use, making it a flexible and cost-saving way to get a quick cash infusion for a new detailing business.
The good news is that starting an auto detailing business doesn’t require a ton of experience. Over 90% of US households have access to at least one vehicle. So, services catering to automobile owners aren’t going anywhere!
Catchy Car Wash Names
IMPORTANT: If you want an in-depth tutorial on how to start a detailing business, check out Alan’s course. He’ll walk you through setting up everything you need for a new business, including the automations and marketing to get more customers and save money. Use coupon code “” to get 25% off.
Automotive detailing doesn’t have as many certifications as other cleaning businesses do. Here are a few you might consider when you start a detailing business:
The IDA offers four levels of certification. With each one, you get uniform badges, branding materials, and a listing on the IDA website. Check out their certifications:
Running A Car Wash Business: Maintenance And Cleaning Tips
The key to Alan’s success is incredible customer service and looking at the big picture. He adds value to his mobile detailing service by:
He added that you need to hire employees, automate, and create scripts to build this into your mobile detailing business model and grow.
It’s that simple. Now shake that up and spray it over any areas of doubt you had about how to start a detail business.
Tips To Find The Best Car Wash
GoDetail provides both home auto detailing and commercial fleet detailing services, but there are many types of detailing businesses. For example, your small business can concentrate on:
Alan and his crew have both mobile and stationary car detailing. Mobile sounds convenient, right? Keep reading to decide what works for you.
Stationary car detailing businesses need a garage, lobby, office, adequate plumbing, parking lot, and other infrastructure. It’s easy to realize that this is the more expensive option. Nevertheless, it can be very profitable. Read more about costs and garage setup when starting a car detail business.
Essential Components Of A Successful Business Plan For A Mobile Auto Detailing And Car Wash
Most businesses that require a customer to wash their own car have gone out of business. If you find one, you might want to buy it because you can add automation without needing to pay for as many construction costs.
Alternatively, boutiques attract customers with luxury vehicles who appreciate first-class treatment and advanced services, such as paint corrections. A boutique detailer provides:
Don’t assume less work and more money is always better. If your personality isn’t refined, a boutique may not be right for you. Maybe you want to do something else involving motor vehicles like:
Touchless Automatic Car Wash
Here’s the magic: All you need is a van and some supplies. Alan estimates startup costs for supplies are around $500. You can get a used van with under 100K miles for $10K to $20K.
Take the next step by researching how to accept payments. Start by reading this: “Invoices & Receipts 101 for Auto Detailers. ” There’s good stuff there.
I know what you’re thinking: I can learn how to start a car detailing business from home and watch the profits shine. Well, there’s more to it than that. The deal is that a car wash business plan is your roadmap to long-term success.
How Profitable Is A Car Wash Business?
And the best part is that ’s guide steers you through writing a business plan, including a free template to download. It’s worth your time to check it out.
Using a dot com in your website address looks very official. Run your name through this domain name search to see what’s available. Also, it’s worth your time to read ’s guide on creating a website .
Run your business name by some trusted friends and family (and Google Trends ) and then register it legally, which brings us to our next step below.
How To Start A Car Wash Business In 2022
Establishing a legal structure is vital and legally necessary, and it might require professional help. The experts at CorpNet understand all the ins and outs of what it takes to set up and run a business legally. They can also be helpful down the line with things like payroll tax registration and other legal matters that will come up as you grow. If you’re just looking for more information, check out their Learning Center for comparisons of different legal structures and other helpful knowledge.
Your new detailing business will likely need assorted licenses, permits, and tax forms. Find out what you’ll need from the Small Business Administration (SBA ) and Municode Library .
The Municode Library is great, but most of us aren’t lawyers. Fortunately, I went through and gathered the information for cleaning businesses and most of it will apply to mobile detailing.
Investing In A Car Wash? How To Finance It
There are several types of business structures you may want to use. You can file for most of them on the Secretary of State website for your state.
To learn more about business structures, check out our blog on 11 structures . You’ll also want to get your business licensed. Some states let you do it all at once. Don’t forget to grab an employer identification number from the IRS . It’s like a social security number for your business.
To run a successful business, you need to open a business bank account because you need to separate your business and personal finances. Business bank accounts can be either online or from banks and credit unions.
Selling Your Car Wash Business: 3 Key Lessons
Online banks tend to have better offers, but they might not offer the range of business credit card accounts you can open in the legacy banking system. If credit accounts or making cash deposits are important to you, go with the legacy banks. Learn more .
Let’s talk numbers. You already have a budget from your business plan and know what the industry profit margin is. How are you going to fund the business?
The auto detailing industry’s barrier to entry is low, but funding is an important step. Try business financing through one of our partners. Other sources provide a boost, such as:
What Are Car Wash Customer Service Tips & Best Practices
Each method has its pros and cons. For example, personal funds help you possess full ownership and avoid interest, but they might place you in a risky position financially.
Rather than charging per hour, Alan set prices for car detailing based on the size of the car. Make sure to have a price list for common cars. Notto charges per foot for boat detailing. Customers appreciate transparency.
Charge extra on the initial detailing or when the vehicle has extra grime. Explain to customers that a routine detail will cost less per cleaning because it keeps the car cleaner.
Do You Work At A Car Wash And Want To Open Your Own?
Once you have a price locked in for a customer, put it in writing. If needed, create a contract with crystal clear terms. It makes sense, right?
He has 18 employees, bringing in revenue of around $75, 000 per month. For more information on how to profit from detailing services, take Detail King’s advice for a spin.
Training and adhering to safety guidelines , such as the Occupational Safety and Health Administration (OSHA ) guidelines, are essential in this business. Take them seriously to keep all parties safe from injury, fines, and legal action.
Things To Consider When Choosing A Car Detailing Service
Be familiar with detailing chemicals and equipment operations, and investigate locations before performing a mobile detail. Here’s the truth: good practices mitigate risk and prevent fines over violations.
Both mobile and brick-and-mortar detailers must be mindful of issues
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