Buying Touchless Wash and need advice

[WOWWash]

I am in the process of purchasing a 2 bay touchless car wash that has been let go for several years. I am looking to update the equipment, signage, lighting etc. I am working with a supplier but am not sure what is necessary and/or overkill. I know they are trying to make as much $ as possible so it is hard to know what is truly a good purchase at a good price. I am trying to find someone to advise me on some of these decisions until I figure this business out. any suggestions????

 

[Greg Pack]

Post a few pictures of the place and equipment. We'll help you spend your money!

 

[washnshine]

Is the current equipment operational?

 

[Randy]

Go slow. Over the 30 + years I've been in the car wash business I've found that most car wash equipment suppliers/distributors are pretty much charlatans who will screw you any way they can.

 

[mac]

Randy hit it on the head. Most sales people have never owned, ran, or serviced equipment. See if you can find out why it closed. If iy was making a decent profit it would still be open. What competition is there? What makes of automatics are there? What other profit centers are there, such as vacs and vending? What are they asking? What is the traffic count? This is not like buying a doughnut shop.

 

[WOWWash]

we are under contract for $145k. One bay looks to be operational except for a few minor repairs, the 2nd was damaged and needs a new tower assembly. they are both "rainmaker" units that were upgraded in 2013. one shows 40k washes, the other 10k. There is only 1 of 2 vacs present and the that one needs replaced. The supplier I am working with owns several car washes and seems to be honest. I attached the quotes for the repairs, do they seem fair? and are they necessary/recommended? the current plan for improvements is posted below. my goal is to make it right from the start and eliminate ongoing issues.

 

[soapy]

I am sure you could buy similar doors locally for less than half. I can get new doors with openers for $3500 from local door company. Visit the Kleenrite website to get a Idea on all the different vac choices and prices.

 

[mac]

Thanks for getting us this info. Here are my thoughts on your potential place and cost estimates:
1. The building has no curb appeal. Looks like some guy that wears plaid pants designed it. What it the tax value on the place?
2. The two automatics are, in my not so humble opinion, some pretty lousy machines. Even when new they simply do not put on any kind of show. And is the original manufacturer still in business? The sign on the window that says new spot free system really troubles me. You simply CAN NOT get a clean and shiny car with a touchless without spot free. This means that for quite some time he was turning out lousy cars. And the main, big thing with these machines, is there someone around that actually knows how to supply and set up the chemicals? Most place there isn't. If this guy quoting you ( and they are all nice when quoting) going to do this? If so, insist that he show you one of his touchless machines that actually cleans a car. Wash a car in it and when it dries rub a clean white towel over it. It must be clean and white after this test. If Hydrospray is out of business who will support the machine with parts and software? Having two machines that are basic at best and both the same can be a tough nut to crack. Maybe junk one machine and use it for parts and put a friction machine in the other?
3. The tower assembly seems way overpriced. I mean 20 thousand installed? Open it up and look inside the tower. There simply isn't that much there. Some belts and pulleys and a motor and gearbox.
4. How old are the autocashiers and what brand? I just bought a wash with a 15 year old Unitec Wash Select 2. I put a new face on it and all of the buttons on the front and had the software upgraded. Cost me around $1,500 and it looks brand new.
5. The doors also seem way overpriced. Why put $20,000 of new doors on a building that has no curb appeal?
6. The terms also seem a little out of line. Most distributors ask for around 30% down and balance either when shipped or lands on the site. Is this guy a real distributor? Go and look at his office and shop. If he doesn't have an office and/or shop, keep looking around. I know of way too many socalled distributors that were one man bands. What happens if he gets a divorce or DUI? Ask to speak to some of his customers.
7. If you go ahead with this and you are new to the business, expect a VERY steep learning curve. Not only will you be doing major upgrades, but you will have to learn about the maintenance for everything: air compressor, electronics in the entry devices and changers, the water treatment which usually consists of a water softener, water heaters, charcoal prefilter, reverse osmosis and vacuums. Even after figuring all of the costs to open you should plan on having around $50K in cash as a cushion. I, in a former life, used to sell and service equipment. I probably talked as many people out of buying things as I did into buying it. Good luck with your choice and let us know what you decide.

 

[Randy]

Does the $145,000 include the land in the purchase price? What model ACW's are installed now? I looked at the Auto Cashier quote and whoever quoted it isn’t doing you any favors or they don’t know what there doing. You don’t want to use a XE validator, you want to have at least one multi-coin coin acceptor, not 2 Slugbusters, you don’t want to mount the ACW on a base you want to brick mount it, like they are now.

 

[cantbreak80]

I would suggest a visit to Hydrospray's facility in Clearfield, PA. to tour their fabrication and assembly operation. Do they have inventory? Or, do they have to build your replacement components?

When HS (Don R. Havens Co.) was in Cedar Falls, Iowa, one could go to the factory and pick up a new tower structure (bare frame or complete assembly). When the company was sold and moved to Mansfield, OH, major components had to be built to order. Not a good situation to deal with in the event of a customer colliding with a tower.

I recall a tower parked at the entrance due to a sensor failure... The big red STOP sign clearly visible. A knucklehead customer ignored the fact that the lights were red and the bay was clearly blocked...drove into the tower... kept going... damaging the car's hood, roof, and trunk...and ripping the tower from the carriage. The new tower was installed and running 3 days later. Is that still possible?

 

[JGinther]

I am sure you could buy similar doors locally for less than half. I can get new doors with openers for $3500 from local door company. Visit the Kleenrite website to get a Idea on all the different vac choices and prices.

What operator have you found supplied by a door company that holds up long term in a wet car wash bay? The EGJ jackshaft operator from liftmaster was discontinued, and all of their other operators seize up and corrode...

 

[soapy]

Where i can I mount door openers in the dry equipment room and run a shaft through the wall to operate the door. Liftmaster makes a car wash door operator that is sealed, and I think genie also makes one. My local door company says they have access to a egj type of camshaft opener but I do not know the price.

 

[WOWWash]

Does the $145,000 include the land in the purchase price? What model ACW's are installed now? I looked at the Auto Cashier quote and whoever quoted it isn’t doing you any favors or they don’t know what there doing. You don’t want to use a XE validator, you want to have at least one multi-coin coin acceptor, not 2 Slugbusters, you don’t want to mount the ACW on a base you want to brick mount it, like they are now.

Yes the purchase price includes building, land and contents. I attached a picture of one of the Cashier units to the original post. I agree with the brick mount i am not familiar with the XE so I will have to research. Thanks for the feedback!

 

[Greg Pack]

Assuming the market is suitable I would be tempted to pull out the rainmaker that needs 20K+ in repairs and use for spare parts. Then, install a friction unit in the empty bay-even if you had to wait a bit.

You can get used wash selects and install a cryptopay swipe device-that will get you wireless internet CC capability for 5-6K. Used goldlines can also be had for 3-4K

 

[WJB]

Location is in a very poor part of town. Stand in the parking lot, look around, a lot of closed up abandoned businesses/buildings nearby.
3 or 4 operators tried to make a go of it. Going to need more than a few component upgrades and lipstick on the pig.

 

[I.B. Washincars]

Location is in a very poor part of town. Stand in the parking lot, look around, a lot of closed up abandoned businesses/buildings nearby.
3 or 4 operators tried to make a go of it. Going to need more than a few component upgrades and lipstick on the pig.

I agree with this statement. Looking at it on streetview, it doesn't look that promising. No amount of upgrades will fix a poor location.

 

[pgrzes]

2 vacuums replaced $26,000???? What kind of vacuums are they putting in? Upgrade technology $30k? Putting in Goldlines is the so called tech. upgrade? Dont get me wrong Goldlines are excellent machines, but 20 year old tech. The only pricing I feel is inline is the airlift doors. If you are all in on this place look to find 8-10 good used combo vacs, look for 2 used Washworld machines/ or Lasers. Put some dormers on the roof and as many mentioned add curb appeal. I have rehabbed a couple places with pretty much all good used equip for about .20 on the dollar. You can find High Velocities for 20-30k each add 10k for installs. Sorry to sound debbie downer, but my opinion on what i am seeing.

 

[OurTown]

2 vacuums replaced $26,000???? What kind of vacuums are they putting in?

On the estimate breakdown the vacs are only $1,588 each plus $250 total shipping and $200 each to install. The $26K was including the two doors.

 

[Greg Pack]

Mac as a former supplier can comment on this more intelligently, but I don't think you are necessarily being "screwed" by the supplier. He knows there will likely be lots of hand holding during the first 6-12 months and needs to get paid for it. If he knows anything about what he is selling he will also field calls from you for years. I sold some equipment back over a decade ago and still get tech support calls from those people because I'm easier to get in touch with than factory support (even though my advice is marginal at times). He also can't necessarily piecemeal things together like we would to get in for fewer dollars. He needs to sell new things that will work and come with warranty and support if they don't.

Having said that, my typical terms for equipment have been 60% - 70% down I think upon order( that covers their cost to order), the balance due when the equipment hits the ground on your property, and installation labor due at the completion of a satisfactory install.

 

[Randy]

I think I’d have to do some serious soul searching before I’d get involved in this car wash. I did a drive around on Street view and the area looks rather depressed. Even after spending a serious amount of money you’re going to have issues, there are always issues at a car wash. I hope you’re very handy in repairing things because you can’t be calling for someone to come fix things all the time. Forget about having any spare time to do the things you enjoy. Almost all of your time is going to be spent working and fixing the car wash, repairing equipment, cleaning, etc. How old is this car wash? How many other people have tried to make a go of it there? Why did the last owner give up? Any idea as to what the revenue was before it got to the state it’s in now? I’d do the bare minimum to get the place reopened and go from there.