So you will be the only game in town - good! If you spent a week driving around the town on the roads etc., how would you choose to wash your vehicle if you had a choice between the two? That would be how I would think about it.The closest wash is in another town 14 miles away which has a 4/1 with a PDQ friction machine. This is a small country town with lots of pickups and suvs. Lot of dirt roads also. There is a laser 4000 in there now but I don't think this wash has operated in over 5 years. Not sure how it did before that though.
To be honest I need to spend the money and it will be less headache with a Razor or Profile allowing me to be elsewhere making money while my machine makes money for me.Is there a big reason you don't want to just make the Laser work and save 150k?
Curious if you have replaced your machine? Its situation dependent on if it makes sense to replace equipment. APW's point about needing to spend the money certainly makes sense from a tax standpoint. However, in a place where there is no relevant competition, and a 'free' piece of equipment that is already installed which could be revitalized for pennies on the dollar, I'm not sure new always makes sense. Laser 4000's can run pretty reliably and cost almost nothing in actual equipment repairs year after year when maintained properly. Price is a factor of supply and demand, not necessarily the newness of a machine. There is demand 'for a car wash' and there is demand 'for a nice car wash'. I firmly believe you can capture both with new equipment or old if you put in the effort to make each appear and act new and cared for. I've seen new equipment go in ugly old washbays with old cashiers and crappy floors and dingy lighting. No new business shows shows up... I've also seen used equipment go in a refurbished old car wash and do incredibly well.Having owned a touch-free machine for over 15 years, I can appreciate the rationale behind purchasing new. I'm sure there are machines in operation that are decades old and still working, but continuing on with an aging piece of equipment is the wrong choice for many. While the investment in a new machine is large, it totally revitalizes your car wash business! Customers love 'new and improved'. Some will gripe and say the old was better, but that's unavoidable ( #Curmudgeons). With a new machine you can raise the price and improve wash quality while increasing throughput. You decrease downtime which increases revenue. You get all the benefits of new technology.
While it may not be feasible for some to reinvest in new equipment at the proper time interval, not doing so is a big mistake, IMO.
Also - if APW’s closest competition is 14 miles away, I’m not sure how much actual competition they are creating for him. I get it - I know that is where someone has to go to get a wash now, so they can take customers away ,but is it located in a location where there would be commuter traffic passing it or would someone have to make a 28 mile round trip for a car wash? If that’s the case, then that might not be too tough to compete with.Curious if you have replaced your machine? Its situation dependent on if it makes sense to replace equipment. APW's point about needing to spend the money certainly makes sense from a tax standpoint. However, in a place where there is no relevant competition, and a 'free' piece of equipment that is already installed which could be revitalized for pennies on the dollar, I'm not sure new always makes sense. Laser 4000's can run pretty reliably and cost almost nothing in actual equipment repairs year after year when maintained properly. Price is a factor of supply and demand, not necessarily the newness of a machine. There is demand 'for a car wash' and there is demand 'for a nice car wash'. I firmly believe you can capture both with new equipment or old if you put in the effort to make each appear and act new and cared for. I've seen new equipment go in ugly old washbays with old cashiers and crappy floors and dingy lighting. No new business shows shows up... I've also seen used equipment go in a refurbished old car wash and do incredibly well.