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Bad News for us all!
- Thread starter ShinePro
- Start date
It definitely is, and our wash counts the last 2 months reflect it.
Overachiever
Active member
My customers don't have credit cards, lol.
soonermajic
Well-known member
same. I hate to hear that, but am glad it's a National trend, & not just at my wash!
Earl Weiss
Well-known member
Being a real estate attorney I have been predicting it for a couple of years . People buying houses with no skin in the game - barely able to afford it - and no one considering that due to high purchase prices Real estate taxes would ratchet up on top of higher utilities etc. plus the national addiction to debt.
This is exactly what happened last time too, coupled with variable interest. This time though, there is so much private equity out there ready to scoop up all the single family homes that will eventually come on the distressed market
And the media is in their pocket. Heard a reporter on the radio this morning say, "The Biden administration says the economy is growing but, there is a perception among some Americans that the economy is faltering and a feeling that prices have gone up." Apparently perception and feeling have been redefined to mean fact.
cleaning up mud
Member
In Texas its the overall economy plus the drought Texas has been in for at least 2 years.
Car_Wash_Guy
Well-known member
Don't forget that Americans at least 60 days late on their car payments are at the highest level in 3 DECADES !
Everything is FINE!
Everything is FINE!
AnalyticWash
Well-known member
This is already happening in my area. If you watch closely, consolidation is starting where the big players are selling off their underperforming locations. I have already heard rumors (from reliable sources) of cash flow issues on more than one large EE brand...
To add to that, people are starting to cut things like memberships to save $$$.
I.B. Washincars
Car Washer Emeritus
Who could have seen that coming...
Take 5 has reportedly closed many locations, some in operation for less than a yearThis is already happening in my area. If you watch closely, consolidation is starting where the big players are selling off their underperforming locations. I have already heard rumors (from reliable sources) of cash flow issues on more than one large EE brand...
To add to that, people are starting to cut things like memberships to save $$$.
They've closed some here. One of them was the best and busiest wash in the state before they took it over.
Good opportunity for someone to pick it up at a discount and bring it back.
Take 5 car wash is a pretty small part of the holding company Driven Brands. In their last earnings call they laid out their plans to close low performance stores and stores with high competition. They are going to get rid of those properties. They have basically stopped their plans for wash development. Their washes, have hurt their Financials, while the rest of their brands are doing well. Their stock is trading at a discount because of the washes, and they have a plan to stop the bleeding of the washes and focus on their core brands. I have bought some stock, and plan to buy more at some point. Driven has other lines of business besides car wash that should eventually make their Financials strong again. Wonder what the landscape of all these large wash only companies will be in just a few years that don't have other lines of business...
goodingcarwash
Member
Great time to stretch out on some debt and jump into this buzz. If I can't make enough to cover my morgage payments im screwed. Oh well just going to take it day by day.
