Business Plan for Soapy Rides Mobile Car Wash Services Project

This business plan outlines the strategy for Soapy Rides, a mobile car wash service operating in the United States. The plan analyzes the car wash industry, focusing on the advantages of a mobile service model that eliminates the need for a physical location. It includes market analysis, targeting household consumers and detailing various car wash service offerings. The financial projections span five years, forecasting revenue from basic car washes, interior cleaning, and premium polish services. The plan details profit and loss statements, cash flow projections, and balance sheets. The financial highlights show a growth in sales, gross margin, and net profit, indicating the feasibility and viability of the Soapy Rides business model. The plan also includes startup requirements, assets, and sales analysis, providing a comprehensive overview of the business's operations and financial performance.

Running head: BUSINESS PLAN
Business Plan
Name of the Student:
Name of the University:
Author’s Note:

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Table of Contents
Introduction......................................................................................................................................2
Discussion and Analysis..................................................................................................................2
Conclusion.......................................................................................................................................3
References........................................................................................................................................4
Appendix..........................................................................................................................................5
1) Profit and Loss Statement........................................................................................................5
2) Cash Flow Statement...............................................................................................................6
3) Balance Sheet..........................................................................................................................7
4) Start-Up Requirements............................................................................................................8
5) Start-Up Assets........................................................................................................................8
6) Sales Analysis..........................................................................................................................9
6) Financial Highlights 1...........................................................................................................10
7) Financial Highlights 2...........................................................................................................11

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Introduction
The business plan has been drawn for the Mobile Car Wash Services which will be
primarily operating in the United States with its operating name as Soapy Rides. The key reason
for selecting the Mobile Car Wash Services has been in particularly considered as the same
eliminates the need for a physical location, thereby limiting the cost which the company would
otherwise be needing in set-up (McKeever, 2016). As a mobile detailer the company will be
aiming in performing jobs in parking lots, drive-away and garages whereby it can get a sound
customer who actually would be willing to take car wash services. It is important to note that in
United States of America and in rest of the world, the car wash industry accommodates the
highest amount of unskilled labour rather skilled labour because of the simplicity of job involved
(Hartono, 2019).
Discussion and Analysis
In the car wash industry, we have found that the demand for various customized car wash
services are demanded by the consumer and we would be also providing the same. The price
range of the car wash services would vary depending upon the location and type of car it would
service. It is important to note that the establishment of the car wash company and as an auto
detailing company we would be aiming at becoming a market leader in the field of providing
services like cleaning, wax & wash of automobiles which will be as passenger cars, van, trucks,
automotive vehicles and trailers in any preferred location (Thind & Alexander, 2017). As per the
market analysis it was found out that household customers would be contributing the highest

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amount of revenue base for the company. The car wash and detailing companies generally would
be targeting consumers who own a vehicle and are above the age of 18.
The above industry and company details the financial projections for the company has
been done for the sum of five years whereby various income and expenses sources for the
company has been well taken into consideration (Odiana, Onoja & Ebun-Igbeare, 2016). The key
source of income would be for the company in the form of basic car wash services contributing
around 60%, Interior Clean contributing around 25% and Polish Services providing another 15%.
It is forecasted that the revenue of the company in the first year would be around $750,000 and
the market penetration marking the growth in sales of the company would be around 10%. The
profitability of the company is expected to well rise in a linear way with the increase in the
revenue and customer base for the company (Jimenez-Castillo et al., 2018).

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Conclusion
The business plan drawn for the car wash services has been well done by analysing the
industry structure, overview and the financial projections. The financial projections in turn was
done by forecasting the various income projection that the company expects to receive and the
various expenses which will be in the form of operational expenses and capital expenditure that
would be incurred for the sum of five years as analysed, In terms of feasibility the growing
profitability and revenue base marks down the feasibility and viability of business plan drawn.

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References
Hartono, B. A. D. (2019). BUSINESS PLAN Perencanaan Bisnis Car Wash di Semarang “BAPE
Car Wash” (Doctoral dissertation, UNIKA SOEGIJAPRANATA SEMARANG).
Jimenez-Castillo, L., Rivera, M. P., Rice, M. P., & Mendia, M. B. C. (2018). Now what? now
who? a Mexican small family business in transition. SAGE Publications: SAGE Business Cases
Originals.
McKeever, M. (2016). How to write a business plan. Nolo.
Odiana, S., Onoja, M., & Ebun-Igbeare, E. (2016). Municipal water resources management:
evaluation of water consumption by car wash facilities in Bauchi Town, Nigeria. Journal of
Applied Sciences and Environmental Management, 20(2), 363-366.
Odiana, S., Onoja, M., & Ebun-Igbeare, E. (2016). Municipal water resources management:
evaluation of water consumption by car wash facilities in Bauchi Town, Nigeria. Journal of
Applied Sciences and Environmental Management, 20(2), 363-366.
Thind, D., & Alexander, P. (2017). Methods to attract customers In Car wash.

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Appendix
1) Profit and Loss Statement

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2) Cash Flow Statement

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3) Balance Sheet

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4) Start-Up Requirements
5) Start-Up Assets

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6) Sales Analysis
Revenue Growth
Particulars
Year
1
Year
2
Year
3
Year
4
Year
5
Basic Car Wash Service 450000 495000 544500 598950 658845
Interior Clean and Detailing
187,50
0
206,25
0
226,87
5
249,56
3
274,51
9
Premium Wash and Polish 112500 123750 136125 149738 164711
Direct cost of sales 337500 371250 408375 449213 494134
Operating Profit
4125
00
4537
50
4991
25
5490
38
6039
41
1 2 3 4 5
0
100000
200000
300000
400000
500000
600000
700000
450000 495000 544500 598950 658845
187,500 206,250 226,875 249,563 274,519
112500 123750 136125 149738 164711
Sales Analysis
Direct Cost of Sales
Particulars Year 1 Year 2 Year 3 Year 4 Year 5
Total Sales
Basic Car Wash
Service 450000 495000 544500 598950 658845
Interior Clean and
Detailing 187500 206250 226875 249563 274519
Premium Wash and
Polish 112500 123750 136125 149738 164711
Total Revenue 750000 825000 907500 998250 1098075
Direct cost of sales 337500 371250 408375 449213 494134
Basic Car Wash
Service 202500 222750 245025 269528 296480
Interior Clean and
Detailing 84375 92813 102094 112303 123533
Premium Wash and
Polish 50625 55688 61256 67382 74120
Gross Earnings 412500 453750 499125 549037.5 603941.25

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6) Financial Highlights 1
Column1 Sales Gross Margin Net Profit
Year 1 $750,000 $705,200 $44,800
Year 2 $825,000 $754,335 $70,665
Year 3 $907,500 $817,421 $90,080
Year 4 $998,250 $886,197 $112,053
Year 5 $1,098,075 $961,203 $136,872
Year 1 Year 2 Year 3 Year 4 Year 5
0
20000
40000
60000
80000
100000
120000
80000 85000 90000 95000
110000
43300
55500
31200 35740
45052
36700 29500
58800 59260 64948
Highlights
Sales Gross Margin Net Profit

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7) Financial Highlights 2
Sales Profit Before tax Pretax Net Margin
Year 1 750,000 64,000 9%
Year 2 825,000 100,950 12%
Year 3 907,500 128,685 14%
Year 4 998,250 160,076 16%
Year 5 1,098,075 195,531 18%
Year 1 Year 2 Year 3 Year 4 Year 5
0
50,000
100,000
150,000
200,000
250,000
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
Profit Before tax
Pretax Net Margin