The car wash industry has been experiencing steady growth in recent years due to a rise in demand for professional car washing services. This growth presents investors in 2023 with two options: building a new car wash or purchasing an existing one. Both choices have their own benefits and risks that investors must weigh before making a decision.
Building a new car wash provides the advantage of creating a customized facility that meets specific needs and preferences, including selecting the location, design, and equipment of the car wash. Furthermore, it allows investors to utilize the latest technologies and innovations available in the industry.
On the other hand, buying an existing car wash has several advantages, such as an established customer base, existing workforce, and proven track record of success. It can also be less risky than building a new one since investors can evaluate the business’s performance before making a purchase.
According to IBISWorld’s report, the US car wash and auto detailing industry has an $11 billion revenue and is expected to grow at a 3.4% annual rate over the next five years. This growth is driven by factors such as an increase in disposable income, rising awareness of the benefits of professional car washing services, and the growth of the on-demand economy.
Investors can also capitalize on the latest trends and innovations in the sector, such as eco-friendly car washing solutions like waterless car washes, which are more environmentally friendly and use less water.
Aside from the building vs. buying decision, investors must also consider other factors like financing options, location, and competition. Car wash franchises provide an established brand and support system, while independent car washes offer greater flexibility and customization options.
Overall, the car wash industry in 2023 presents a promising investment opportunity for investors who weigh their options carefully and consider the latest trends and innovations in the industry.
