3 How To Start A Green Car Wash

(doylc.com) How to Open a Green Car Wash - Every year, more consumers are looking for environmentally friendly alternatives to traditional products and services. Accordingly, the demand for green car washes is also increasing. An eco-friendly car wash, also known as a sustainable car wash, uses minimal water and energy and avoids the use of chemical detergents and soaps, while still delivering a clean car. For an enterprising person, opening an eco-friendly car wash can be a long-term business opportunity that generates significant income. You can choose to start a green car wash franchise or start your business from scratch.

• Purchase of a Green Car Wash franchise

Find franchise opportunities for eco-friendly car washes. With a franchise business, you sign an agreement to license a franchisor's trademarks and business practices. They regularly pay royalties and other fees to the franchisor, but they help you educate yourself and get your business off the ground. Franchise opportunities exist for mobile and on-site car washes. You can find green car wash franchises in the following ways:

Check the internet. Type "Green Car Wash Franchise" and scroll through the results.

Check out the "Franchise Opportunities Handbook" at your local library and see if there are any franchises for green car washes. This manual is published by the US Department of Commerce.

Hire a franchise agent. For a fee, you could hire someone to find you franchise opportunities. Franchise brokers usually advertise online or in trade magazines. They don't work for free but usually charge a percentage of the sale as commission.

Consider if a franchise is right for you. A franchise has many advantages and disadvantages. You should think them through well before you decide to buy them. Unless you're starting a franchise, you'll need to research how to start an eco-friendly car wash from scratch.

One advantage is the support of the franchisor. Because they want to protect their brand reputation, they have an incentive to ensure your success. A franchise company can help you find a location for your business, obtain the necessary permits, and train you so you can hit the ground running when you open.

One downside to a franchise business is that it can place limitations on the way you run the business. For example, if the franchisor wants to offer a discount in the month of August, you may have no choice but to offer the discount.

Submit an application. Once you've found a green franchise, you can apply, usually with an online application. When you apply, you make no commitment to buy the franchise. However, the application gives the franchisor the necessary information about you so that they can analyze whether you are a good candidate and whether they wish to proceed.

Read the Franchise Disclosure Document (FDD). The franchisor must provide you with a copy of this document. It contains a wealth of information about the franchise that can help you decide if you want to go ahead. Pay attention to the following information:

A list of acquisition and operating costs. Usually you have to pay franchise fees up front. The FDD should tell you how much.

Background information on the executives of the franchise.

process history. You will receive a list of lawsuits in which the franchisor has been involved. Check if the franchisor has ever sued a franchisee. Also, watch out for lawsuits against the franchisor alleging fraud, deceptive trading practices, or violations of the franchise law.

Audited financial statements.

Training programs provided by the franchisor.

Your Obligations Regarding Advertising. Most franchisors require that you contribute a percentage of your sales for local, regional, and national advertising.

Any representation of how much his franchise earns. The FDD must explain the basis for this information.

The names of former franchisees. You should contact them and ask why they left the business and if they would work with the franchisor again.

Get the professional help you need. You will probably not be able to understand some information in the FDD. Accordingly, you should seek professional help. Look for the following:

A franchise attorney. A lawyer can help you understand FDD and can also help you throughout the life of your business. You should request a referral to a franchise attorney by contacting your local or state bar association.

An accountant. Your accountant can analyze the financial disclosures in the FDD and help you understand if the car wash is a sound investment. You can get an accountant referral by asking another business owner or by contacting your state's Society of Certified Public Accountants.

Secure financing. Franchising requires quite a bit of seed capital. The FDD should tell you the amount you'll have to pay in franchise fees and how much you're likely to spend in total to start your green car wash business. You have various financing options:

Get an SBA loan. The Small Business Administration can guarantee credit to qualifying borrowers. They usually require excellent credit and a large down payment. You must also submit a business plan before a bank will fund you. The business plan describes your products or services, your market and your marketing plan. You can use the franchise's FDD to create your business plan.

Ask about a commercial bank loan. Banks can grant a loan even if the SBA does not guarantee it. However, you have to reckon with higher interest rates and less favorable conditions than with an SBA loan.

Check if franchisor financing is available. Some franchisors are willing to offer financing.

Finance the purchase with a second mortgage or with money you've saved in your retirement account.

Check the franchise agreement. The franchise agreement is usually quite lengthy. You should clarify this with your lawyer. You generally cannot negotiate changes to a franchise agreement, although some franchisors may be willing to negotiate some parts. Note the following clauses in the contract:

your duties. The franchise agreement sets out in detail what you can and cannot do as a franchisee. Make sure you understand all of your commitments.

How the franchisor can end your business.

How disputes are resolved. Often the franchise agreement will require you to mediate or mediate disputes. Arbitration is like a court proceeding, but private. In mediation, you and the franchisor meet with a neutral third party to try to reach an agreement.

Sign the agreement. Only sign if you agree with everything. If you don't understand something, call or write the franchisor and ask for clarification in writing. If everything is in order, sign the franchise agreement.

Keep a copy of the agreement at your place of business. You must fulfill all obligations under your contract.

• Starting a business from scratch

Buy necessary supplies. You don't have to work with a franchise to start an eco-friendly car wash. If you want to go alone, you need to buy the necessary materials. For a mobile green car wash, you should buy the following, which you can find at a hardware store:

- Portable shop vacuum cleaner

- Portable waterless car wash system

- Hand or backpack sprayer

- Towels

Find a supplier for your biodegradable detergent. Instead of water, a green car wash uses a biodegradable detergent. You should look online for companies that offer the concentrate you need to buy. For example, Eco Touch supplies consumables.

Buy insurance. Before starting your work, you must take out liability insurance and workshop foreman insurance. You should contact an insurance broker to find the coverage you need.

Insurance brokers should be listed in the phone book or advertise online.

Buy signs for your car. When you start a mobile green car wash, you take calls and then drive to a customer's home or business. If so, you can think about adding signage for your business to your car.

Find a mentor. You will probably have many questions when starting your business. Ideally, you should reach out to someone who currently runs a green car wash and ask them to be your mentor. Since a competitor is unlikely to mentor you, you should try to meet other owners online. The ideal would be someone running a green car wash in another part of the state.

Search online for eco-friendly car wash companies in your state. You can write down the phone number and call the owner. Explain your situation and ask if they have time to answer your questions.

• How to opening of car wash

Choose a location for your business. You can run an eco-friendly car wash from a fixed location or a mobile business from your home. If you want to rent space, then you should look for commercial properties in a good location with a lot of traffic.

Your franchisor should help you find a location. In fact, franchisors often have detailed requirements about where you can locate a business.

Obtain licenses and permits. You cannot open a business without the necessary licenses and permits. Typically, you must obtain them from both your state and local governments. The SBA has a tool to help you find out what state licenses you need: https://www.sba.gov/starting-business/business-licenses-permits/state-licenses-permits. Click on your state and don't forget to contact your city or district administration.

When starting a franchise, the franchisor should help you obtain all the necessary permits and licenses.

Your solicitor can also help you complete all the necessary paperwork before opening.

Hire staff. You may have a one-person operation or need to hire staff. Your franchisor will help you with the selection of personnel. You should always remember to request and check references.

Get certified as a green company. Many independent third-party organizations offer green certifications for companies. If you are certified, you can advertise that you are environmentally friendly in your promotional materials.

Most green certifications are related to products, not services. However, if you use certified green products, you can promote this fact in your promotional materials.

Have a soft mouth With a soft opening, you open the store to sort out the problems before it opens. You could open a day or more and then assess how you were doing at the end of the day. As a rule, they do not advertise at all or less intensively than at a grand opening.

You should still prepare for your soft opening. For example, you and your staff should have cleaned several cars so you know how to operate the equipment and how to clean it properly.

Plan a grand opening. Your grand opening is your chance to generate excitement and publicity. If you have a franchise, the franchisor can help you plan your opening. You should at least do the following:

Get balloons, banners and signs promoting the grand opening theme. You want to be colorful and lively so people driving by will notice you.

Send a press release to your local media. Tell them the opening date and a little about your business.

Buy advertising in TV/radio as well as in print media. Also, create social media accounts (Twitter, Facebook, etc.) and advertise there.