Financial Strategies for a Mobile Car Wash Business Plan > NetSparsh

Home
>
Small Business
>
Financial Strategies for a Mobile Car Wash Business Plan

Financial Strategies for a Mobile Car Wash Business Plan

Writing a business plan for a mobile car wash is fairly easy, yet often operators fall down in understanding the financial strategies and costs. Bankers and Investors alike will want to see that you have a well thought out business plan to insure your start-up goes successfully. Below you will find a sample mobile car wash strategic financial strategies section for a business plan. I recommend that you print this out and modify it to best fit your over all plan and then once you have a good rough draft think on it for a few days and add in your additional costs and thoughts or insights. Then type it up and use it in your over all business plan so that you can get the funding necessary for a success start-up either thru a loan or investor partner. This sample is written from the perspective of a franchisee, which is part of a larger franchise company. If you are to be an independent business your plan may slightly vary somewhat.

- - - - - - - - - - -

Financial Strategies

Taxes

We will use the provided accounting software on our computer to keep our books, write checks and invoice accounts.

We will receive a print out of all credit card transactions from our merchant account at Wells Fargo Bank. We will know exactly the revenue received from credit card sales. We will keep track of accounts receivable from fleet washing and industrial cleaning. These customers will pay from open purchase order numbers under contract cleaning agreements.

We will find a bookkeeping service to compile data into a standard Profit and Loss Statement, Accounts Receivable Report and Balance Sheet. At the end of the period we will use these reports to do tax statements.

Capital Requirements

To purchase The Car Wash Guys franchise, we will need to either have or borrow $65,380. We will also need as much as $4,000 working capital.

Breakdown of Investment

I. Tangible Items:

· Clipboards, Stationary, Tee-Shirts $ 600.00
· Personal Organizer System 140.00
· Supplies Inventory 493.00
· Water System 150.00
· Carpet Extractor 350.00
· Vacuum/Air Freshner 1,000.00
· Steam Cleaner 6,000.00
· Lights, Tank 400.00
· Credit Card Machine 1,695.00
· Computer, Printer, Etc. 3,200.00
· Signage 112.00
· Truck Bed 6,895.00
· Truck 18,455.00
Subtotal $39,500.00

II. BONZAI AND BLITZ MARKETING:

Subtotal $ 5,380.00

III. TRAINING COSTS AND MISCELLANEOUS:

(COMPUTER, OPERATIONS, ETC.)

Subtotal $ 500.00

IV. FRANCHISE FEE:

Subtotal $20,000.00

Total Cost to Franchisee $65,380.00

Suggested Cash Flow Requirements $ 4,000.00

Total Sum Needed $69,380.00

Our franchisor has secured a leasing company which can help us with financing on approved credit. We can lease $50,380 leaving a total balance to the franchisor of $15,000 which we can pay in cash or charge on a credit card. We will also need $4,000 of working capital to get started and a 10% security deposit to the leasing company covering the first and last payments.

Cash Up Front

$15,000 Franchisor

1,000 10% Deposit On Equipment Lease *Approx. Amount

650 Two Payments On Equipment Lease *Approx. Amount

1,500 Other Costs

4,000 Cash Or Available Credit Card For Working Capital

$22,150 Total Cash or Credit Card Amount

If we choose to finance with credit cards the down payments and remaining initial costs, we will pay these off ASAP due to the high interest rates charged for credit cards.

Benefits

We will buy a major medical plan through an outside insurance provider. Our franchisor has done much research on this and has located an agent with great health care and major medical programs. We can select a plan, which can be purchased for under $150.00 per month and will be paid for out of our company funds. The deductibles are extremely low and the maximum co-payment in a calendar year will be no more than $5,000. Our franchisor will pay the initial first month's payment no matter which major medical insurance program we select. We will obviously shop around and choose the best plan for best possible price. In case of catastrophic medical problems, we can choose to purchase disability income insurance or business overhead expense insurance plans.

"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs

In The News:

Congress Extends Small-Business Loan Program for 5 Weeks The New York TimesHouse passes extension of coronavirus small business loan deadline CNBCHouse passes deadline extension of PPP, coronavirus small business loan relief program WETM - MyTwinTiers.comHouse passes small business loan Paycheck Protection Program extension by unanimous consent CNNWhat counts as a small business? Fox BusinessView Full coverage on Google News

Banks’ $370 Billion Small Business Opportunity Forbes

House Clears Extension of Small Business Loan Program to August Bloomberg

Cisco Warns of High-Severity Bug in Small Business Switch Lineup Threatpost

How To Get Your Small Business Noticed Forbes

Small business grant program depleted funds on first day The Resident Community News

Small business owners hold their breath post-confinement Yahoo News Australia

Small business owners work on surviving following shutdown WLWT Cincinnati

Resources for Small Business Owners & Employees Impacted by COVID-19 myclearwater.com

House votes unanimously to extend deadline for coronavirus small-business loan program | TheHill The Hill