Auto detailing is a business where you make people feel good about their vehicles, returning them to near-showroom condition. If you enjoy and believe in this work, a startup as an auto detailing service is an option to look into.
The following article will take you through the steps needed to start a car detailing business. Then we’ll review a few important points, followed by a collection of resources to help you learn more about the industry.
Let’s get started with the steps.
Steps to Starting an Auto Detailing Business
1. Decide If Running a Business Is Right for You
Decide if starting your own business is right for you and if you possess the necessary skills before you get started.
See the link below that can reveal insights into whether you are on the right path.
2. Research
Business Research
Having a solid understanding of auto detailing will make your business more successful.
In the link below, you’ll find inside information about an auto detailing business from industry professionals. In addition, you’ll find ways to talk to them, so they give you inside information.
See An Inside Look Into the Business You Want To Start for more.
Target Audience
To be successful, you need to know who you are advertising to. A better understanding of your target audience will also make it easier for you to set up your business to attract customers.
For more, see, How To Understand Your Target Market.
3. Considerations and Goals
You need to have a goal and a vision for what your detailing service will be like once it’s open for business. By answering questions like the following, you’ll better understand what your business will be like once it’s set up.
As you look through the steps and become more familiar with the detailing industry, your vision may change, which is fine, but for now, start with one vision, so you don’t wander from idea to idea.
Questions to get clear about your auto detailing service:
- Are you planning on operating from home or a commercial location?
- Do you want a full-time or part-time operation?
- Will you do all the work yourself or hire a crew to help you with the detailing and managing the business?
- Will you start with one location and expand to multiple ones?
- Is there anything you can do to bring something new to the market and bring originally to your business?
 4. Choosing The Right Business Location
Success depends greatly on where you choose to do business. A great location can help you succeed, while a bad one will set you back.
It is best to pick a location with a need for vehicle detailing but not too much market saturation.
For more, see Choosing The Best Location for Your Business.
5. Create Your Business Name
It is crucial to select a business name that is easy to remember, simple to say, and catchy. Additionally, you need to have a corresponding domain name.
The following links have further details:
6. Registration and Legalization
To legally operate your business, you must select the appropriate business structure, apply for the required permits, and register the company.
Depending on your financial situation and the size of your business, you can choose the legal structure of your business.
See, How to Register Your Business for all the details.
7. Developing Your Corporate ID
A corporate identity includes a logo, business cards, stationery, promotional materials, brochures, etc.
Adding the required components can begin with a logo and business cards. It is essential to have a professional design to make a good impression on your customers.
See A Complete Introduction to Corporate Identity Packages for more.
8. Calculating Your Startup Cost
Determining how much money your firm will require to launch and operate is crucial. After listing the items, you’ll need to research their costs and add more items as you discover them.
For more, see, Estimating Start-up Costs: Are you Missing Anything? Also, see, Business Expenses To Consider.
9. Business Plan Considerations
Your business plan can help you develop a clear vision for your operation and keep you on track, and you’ll need one to attract investors or secure financing.
The link below describes several possibilities for writing one.
For details, see How to Write a Business Plan.
10. Banking Considerations
It is essential to keep your personal and company finances separate. For this reason, it is recommended to open a second checking account.
In addition, a merchant account is required to accept payments by credit and debit cards.
Consult the following articles for more information about business banking.
- Choosing a Business Bank
- How To Open a Business Bank Account
- What Is a Merchant Account, and How to Get One?
11. Getting a Startup Loan
Startup loans aren’t easy to get because lenders see them as high-risk. They’d rather give money to a business already doing well than take a chance on a new one.
It’s not impossible to get a business loan if you have a professional business plan that makes sense to the lender and collateral to cover the risk.
For ideas, see our article, Getting a Small Business Loan.
12. Software Considerations
Software can improve organization, data analysis, and business operations.
The links below will assist you in locating software that can assist in efficiently managing your business.
I recommend studying and reading reviews to better grasp what others have encountered with the software packages you are considering.
13. Getting Your Service Insured
Before you can launch your company, you must obtain the proper insurance.
By consulting with an insurance broker, you can make sure you have the proper coverage for your staff, customers, and property.
Here is some information on company insurance:
14. Choosing The Right Suppliers
It is possible to streamline processes by selecting the right supplier, but it can also cause disruptions by selecting the wrong one. Therefore, building a long-term relationship with a reliable provider is essential.
For all the details, see, How To Choose a Supplier for tips and insights.
15. Physical Setup and Layout
This step requires you to concentrate on the layout of your operation. You need it to be organized to know where to store and find items.
You want an attractive layout to leave a favorable impression on customers that visit your location. But, of course, the same holds true for your office, where you will spend most of your time managing your firm.
In addition, it is time to display a sign indicating that your company is open for business.
See the following articles for more details:
For More, See the following articles:
16. Creating a Website
Communication with your customers and marketing your business can be accomplished through your website.
The design of your website must be professional and mobile-friendly to impress users.
You will also need to register a domain name from a reputable registrar and a hosting account to get full control over your website.
For more, see our page on How to Build a Website for Your Business.
17. Putting Together an External Support Team
When you’re ready to grow or if you just need some expert guidance in a specific area, don’t hesitate to use your team of professionals.
You can start using those in your unit immediately, no matter how long it takes to assemble the complete team.
Determine the expertise you would require on your team and arrange a meeting with the relevant experts. For example, one or more professionals on your team could be a lawyer, accountant, banker, IT specialist, marketing guru, etc.
For more, see, Building a Team of Professional Advisors.
18. Hiring Considerations
When staffing a company, it’s never a good idea to bring on more workers than are actually needed. As a result of hiring too many people, your business expenses will rise, and your revenues will fall. Therefore, verifying a candidate’s suitability for a job is essential to finding and hiring the best person.
If you make a bad hiring decision, you’ll have to start over from square one, which can be frustrating, and a waste of time and resources.
Considerations Before Starting
In the following section, you will find several important things to consider when starting a car detailing business. In addition to providing an overview of what to expect, we will give you a few tips to keep in mind before you begin.
A Quick Overview of The Business
Auto detailing consists of providing “A New Car Look” to vehicles of all types. There’s nothing like driving your car after it is detailed. It’s like your old car is new again!
Happy customers are returning customers. Returning customers is what keeps a business alive and thriving.
Skills:
- Polishing and buffing.
- Carpet cleaning.
- Window cleaning.
- Odor removal.
- Stain removal.
- Scratch removal.
- Plastic restoration.
- Chrome polishing.
- Excellent eye for detail.
- Common Business Skills
Employee Consideration:
- Auto Detailers
- Common staff positions needed to run some businesses
Hours of Operation:
Regular 9-5 business hours are necessary if you are running a full-time business. You may want to run Saturdays as well because a lot of people don’t have time during the 9-5 workday.
Equipment:
- Heavy Duty Towels
- Lint Free Window Towels
- Microfiber Interior Cleaning Towels
- Sprayer
- Sponges
- Buckets
- Plastic Bags
- Detailing Brushes
- Leather Seat Brush
- Mat and Carpet Brushes
- Upholstery Scrub Brush
- Dash and AC Vent Brush
- Toothbrush Style Nylon Detail Brush
- Professional Vacuum
- Power Polisher
- Pressure Washer
- Mobile Trailer
Monthly Expenses and Operating Costs:
In addition to our list of common business expenses, your auto detailing business will require a budget for the ongoing cost of acquiring cleaning and restoration supplies & products.
Tips for Marketing Your Auto Detailing Business
Marketing is an essential part of running a business. You cannot run a business without customers. It is difficult to gain customers without marketing. The process does not have to be complicated. Promoting your business, products, and services is all about bringing awareness to them. Marketing can be as simple as putting up a sign in front of your business or handing out business cards.
You can market your own business by trying one technique at a time, experimenting, and doing more of what works and less of what doesn’t.
- You can offer a pickup and delivery service option. Some people don’t have a ride and don’t want to ask friends for one.
- You can open on weekends because people may not have time during the week to drop off their cars.
- You can offer different packages, e.g. Wax and polish, interior restoration package, paint chip repair, etc., and offer discounts on multiple packages. You could also offer a “buy three packages get the fourth free.”
- Offer a monthly or quarterly subscription where they get a discounted price on full detailing and a monthly cleaning and quarterly wax and maintenance. Once you detail the vehicle the first time, the upkeep takes a fraction of the time.
- Make a deal with a repair shop and body shop for repairs that you notice while detailing the vehicle, and if you have to drive the vehicle. You’ll be able to tell if the brakes are bad, the tires need replacing, the exhaust system is in need of repair, or electrical problems. This will give the garage or body shop some extra business, give you a percentage of the repair cost, and offer convenience to the customer. Be careful — your main concern should be a good deal for your customers. You don’t want to just do this for the money, or you will lose customers.
- Make a deal with body shops and garages and give them a percentage for each customer they refer to your business.
- You can offer accessories for resale, air fresheners, cell phone charging cords and chargers, license plate holders, and other car accessories your customers may be interested in.
- You can offer a drop-off key box, for people dropping off their vehicles after hours.
- If you talk to local car dealers and give them an irresistible deal and excellent service, you could end up with a lot of work and profit.
- Offer before and after photos, especially for the difference in the shine of the paint.
- Offer scents that your customers can choose from and spray the interior for a long-lasting scent.
- Have a comfortable waiting area for customers who choose a quick wash. Include a TV displaying products and services you offer and the benefits, for example, detailing once every three months protects your paint, plastic, and interior, and keeps your car looking like new.
- Offer free Wi-Fi, free coffee, or soft drinks, and also ensure there is comfortable seating with lots of room.
Pros and Cons:
The Pros:
- Detailing can have a low start-up cost.
- Low operating costs if you do the work yourself.
- The result can be rewarding if you’re an auto enthusiast.
- Because of the low overhead, it can be profitable.
- The business is expandable.
The Cons:
- Limited to the number of cars you can process in a day, especially if you do all the work yourself.
- The business may slow down in the winter due to people not cleaning their cars, only to get them dirty again because of weather conditions
Type of Customers:
-
- Car owners
- Car dealers
- Car rental businesses
- Collision repair centers
-
- Professional drivers, e.g. utility trucks, courier van drivers, taxi drivers
- Car enthusiasts
Profitability and Revenue:
As an auto detailing business owner, your profitability and revenue depend on some of the following issues:
- The number of vehicles you detail each day.
- If you do the work yourself or if you need to hire employees.
- The cost to gain a new customer.
Start-up Cost Considerations:
Start-up costs vary just like in any business. You could start this type of business for under a thousand dollars if you have the equipment, get some business cards made up, register a business, and start from your garage.
Or
Start-up costs can be as high as a few hundred thousand dollars if you purchase, top-of-the-line equipment, and buy a building in a high-traffic area.
Accurate start-up costs can’t be determined unless you figure out how you are going to start with the bare minimum, mid-size business, or starting off with a maximum investment.
Full-Time or Part-Time Business:
An auto detailing business can be run part-time or full-time.
Home-Based Business:
Auto detailing can be run from your home (if local bylaws allow it), but keep in mind you do need protection from the sun. For example, you can’t polish a vehicle in the sun.