Small Business Information |
De-Ionization Decisions in Mobile Car Washing
Many mobile car wash operators would like to add de-ionized water to their cleaning process. However before you do this you need to understand the reality of the return on investment. You must also realize how the de-ionization process works. De-ionizing tanks take the water and clean it from 16 parts per million to 1-2 parts per million. They usually last for 2,000 gallons if a water softener is put in line before the de-ionization system. De-ionizing tanks are usually rented. They typically require a $100 deposit. They consist of two tanks side by side. One contains an acid wash solution and the other contains a filter, which catches solution and whatever attaches itself to the acid solution though ion polarization. This works great and the water is totally free of contaminants; in other words; no water spots. Spray off a black car in the sun and simply walk away. It costs $30-60 to recharge the tanks and $40 (approximately) to rent them. Since they only last about ten days with regular washing or ten car lots, it gets kind of expensive. It would cost the average crew $190 per month for such service if you were washing personal cars. If you were doing two to three car lots per day, it would cost: 250 Gallons Per Lot X 3 Car Lots Per Day = 750 Gallons Per Day. 750 Gallons divided by 2000 Gallons To A Recharge = 3.5 Days Until A Recharge. If you wash car lots on Wednesday, Thursday, Friday and Saturday mornings, that's four days per week times four weeks per month. That equals sixteen days per month. Let's look at the numbers; 16 Days Per Month divided by 3.5 Recharge Interval = 4.6 Recharges Per Month times $50.00 Cost Per Recharge or $210.00 Per Month +190.00 Cost To Use Tanks On Route = $420.00 Total De-Ionizing Costs Per Month. Many competitors will swear by de-ionizing tanks. That's because they are lazy. They don't feel like drying the cars. Let's say they have a truck payment. See break down below of Competitor A: Truck Payment $ 250.00; Insurance $125.00; De-Ionized Water $190.00; Printing And Advertising $100.00; Supplies $150.00; Labor $1,000.00; 20 Working Days X $50.00 Per Day = Total Expenses $1,815.00. You can see very quickly how adding additional costs of De-Ionized water filtration can significantly impact the cost. Now lets look at his income; Income Of Competitor A: $150.00 Average Income X 20 Working Days = $3,000.00 Total Income. $3,000.00 Total Income - $1,815.00 Total Expenses = $1,185.00 Total Profit Of Competitor A. I guess competitor A is not only too lazy to dry cars, but also not making enough money to be a viable business model. Not much of a competitor with those kinds of margins, is he? There are problems with de-ionized water. There is usually dirt on the car, which re-ionizes the water, which means it can then spot. Especially whatever doesn't blast off with the pressure washer; For instance: dirt in cracks, door jams, trunk jams and inside rear view mirrors. When you walk away, water, which drips from these places leaves drip marks, very noticeable white lines. It looks horrible on black and it makes customers irritated. On car lots, the cars are new and are rinsed off twice per week. There is no road grime because the cars don't move. On personal cars there is road grime and the cars must be hand washed and soaped. To rinse a car with soap with de-ionized water takes twice as long and that means twice as much water, which means you can only do one-half as many cars before refilling your water tank. This will cost you travel time to fill up with water. It also means that unless you are washing pretty clean cars with only dust and bird droppings, you will expense twice as much on recharging your tanks. In other words, your $190 becomes $380 per month. You must think of these things when choosing to go de-ionized water on your mobile car wash rig. Pencil out the costs, keep the pencil sharp and be serious about your costs. If you are rocking your local market and can afford the additional costs to help streamline your efficiency and you have additional work you are not getting to then it might make sense, but do not fool yourself with the numbers, stay reality based. "Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs
MORE RESOURCES: Unable to open RSS Feed $XMLfilename with error HTTP ERROR: 404, exiting |
RELATED ARTICLES
Blowing Your Own Horn - A Key Marketing Strategy for Small Business -- Building Credibility Through Success Stories --Successful solo entrepreneurs spend quite a bit of time building and expanding their networks. These networks can cover a broad spectrum - professional associations, community service, school or alumni networks, virtual communities, athletic groups, neighborhood associations. Analyzing Customers in Your Business Plan The Customer Analysis section of the business plan assesses the customer segments that the company serves. In it, the company must 1) identify its target customers, 2) convey the needs of these customers, and 3) show how its products and services satisfy these needs. Making a Donation to Bring MORE Business How a donation is different from a sponsorship and what is the advantage to you?Donations are different from sponsorships, as a sponsorship is more likely to headline you for an event whereas a donation will let you be listed as one of the many donors. You do not need to headline every event to get business attention; you can simply donate an amount of funds and be listed. Business Checks are an Added Cost to Your Small Business - Try Making Them Yourself! Starting and managing a small business is no fun chore, especially when it comes to the accounting. There are a few common sense ways that you can help that bottom line. Concrete Cleaning Discussed at World of Concrete Expo 03 If you are in the pressure washing business and are serious about what you clean on the ground floor, I suggest you attend the WOC. The WOC is the World of Concrete Expo in Las Vegas, which is held once per year. What Is YOUR Value Proposition? Every company has a value proposition. That is a statement of their perceived value to their clients. Creative Business Card Marketing Announcements can be handed out as a business cardAnnouncements can be more than just a press release that lets the world know that something special has occurred at your place of business or to you personally. You can make announcements for almost anything. The Game Plan - The Difference Between Small Business Success And Failure It is an American dream to own a business. But sadly, according to the U. Small Business Health Check-Up If your home business is not performing the way you hoped for, rather than stay away at night.. How To Choose A Franchise You'd like to go into business for yourself, and believe that the best way for you to become your own boss is to buy a franchise. You know it will takes time and money to be successful, and that's OK. Marketing - The Way To Make What Youre Really Worth You only have so much time in a day right?So wouldn't it make sense to focus as much of your time as possible on the things that produce the highest payoff.I don't know about you but most small business owners are do-it-yourself types and get sucked into doing the littlest silly work faster than you can say "Oh look, the copier is jammed again. How to Profit from Business Consulting Opportunities Business consulting opportunities might be just what your are looking for in a home based business.What do you do? Do you possess a mastery of your career? Are you articulate and able to convey ideas clearly? If so, you may be the perfect candidate for providing business consulting services. Mobile Detailing VS Fixed Site Detailers Mobile detailers will find themselves with lots of competition even if they do not see them around town. There are also many fixed site detailers who specialize in wholesale detailing or the retail detail or both. How to Compete with the Big Guns?! Many small business startups fail within the first 2 years of existence. There are several different factors reason for the failure. Are You Ready to Own and Operate a Business? How often has someone thought of starting a business based solely on the fact they think it will be easier than working for someone else. Fact is, owning and operating a business can be one of the most grueling experiences you will have. Who Makes the BEST Alliance What types of companies do you want to align yourself with?What is the best company to align with? It is a company that does not quite compete with your core business. By this we mean that the company has offerings that dovetail into what you have to offer. The Virtual Assistant As a small business owner, outsourcing work to Virtual Assistants is fast becoming a popular and intelligent decision. The business owner saves enormous amounts of money by cutting the costs of offices and equipment overhead as well as expensive benefits packages. How Micro Loans Can Mean Macro Success for Your Business "Inch by inch, row by row.. Basic Psychology of Franchisee Ownership and Expansion If you are a franchisee of a large franchise system; before you expand your franchise to include more stores there are some questions you might ask yourself. If, however, you bought your franchise to expand, grow and amass a small empire of your own, your franchisor will be the last person to stand in your way. Firing Underperforming Employees in Your Small Business Here are a few tips on how to hand out pink slips when it comes time to terminate an employee.As a small business owner with employees, you will likely find it necessary one day to terminate an underperforming employee - if you haven't already. |
home | site map | contact us |