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CAR WASH BUSINESS IN NIGERIA

September 30, 2021by ServoNG0

CAR WASH BUSINESS IN NIGERIA

Car wash service is one of the most lucrative businesses in Nigeria which entrepreneurs can take advantage of. Nigeria is a country blessed with a huge population which requires automobile to transport people from one place to a final destination. These automobiles come in different shapes and sizes. The fact that Nigeria is one one the most populated countries in Africa means that more vehicles will be needed for transportation. The more vehicles on the roads, the bigger the market is for companies offering car was services.

Setting up a car wash service is one of the easiest in Nigeria. This is attributed to the low capital required to start up this type of business anywhere around the country. Through this article, information concerning car wash services, how to set it up, and ways to earn big through the business will be discussed. Entrepreneurs can take advantage of the valuable information provided here to set up their own stream of income through the business.

Car Wash Business in Nigeria

Car wash business has ever been present in the business sector in Nigeria. Many entrepreneurs see this business as a low income business due to the relatively low fee paid for services provided by this business. This has led to the relatively reduced number of companies and ventures that offer this service to the Nigerian population. This impression of entrepreneurs towards this business is totally wrong, and according to research, it is one of the most lucrative businesses that pull in huge revenues when the business is set up in the right condition and environment. Similar to many other businesses, the car wash business will not thrive if it is not conducted in the right way, right environment, right conditions, and so on.

This article will obviously help entrepreneurs understand the right conditions which will help their car wash business grow and generate the necessary revenues required to keep the business running perfectly while also earning entrepreneurs in the business, tangible profits.

How to Start a Car Wash Business in Nigeria

Creating a successful business venture require the assembly of many factors in the right ratio. A car wash business is a service company and a business just like the many other ones you will find across Nigeria. As a result, there are different steps that need to be followed in order to build a successful car wash business within any state across Nigeria where you may find yourself. These principles are well suited to the business atmosphere in Nigeria and corresponds with the demands of individuals, companies which require these services.

Start up Capital

Before starting up any business in whatever sector of the economy, the biggest factor that comes into play is the start up capital. This is the total amount of money entrepreneurs intend to invest in their business of choice, which in this case is Car Wash Business. The startup capital which will be required by any car wash service business will majorly depend on the scale of business entrepreneurs intend to start up. It is a general knowledge in the business world that the bigger the business scale, the higher the investment required. Entrepreneurs who want a small scale car wash business, especially for first timers in the business, will require a lower startup capital than when compared to expert entrepreneurs who intend to create a large scale car wash company. Usually, in any business entrepreneurs are willing to venture in, they are always required to start small and grow into the business, especially those ones doing the business for the first time. This is so as to avoid the high risk of running into losses majorly due to inexperience and most likely inadequacy in all forms. Entrepreneurs who are well baked in the job, and have enough experience of the business under their belt can easily start up big with little to no risk of failure.

Business Plan

Subsequent to the decision of the scale of business and the intended investment amount, entrepreneurs are required to to draft a business plan for the car wash service. This is another big step in the right direction for entrepreneurs who have it in mind to oversee this business. A business plan is a detailed documentation of everything concerning the business; right from the first step of the business to the last. It is important to note that these details may include the operation of the business, management, organizational structure, Projections, Goals, objectives (Short term and long term), Business conduct, and many other visions you may have for the business.

Another point where business plan may come in handy for a car wash business is on the case where you may need loans to either keep the business running, fund expansion, create other branches, or sort issues which the problem may face at a given time. Business plan allows financial institutions or government parastatals to buy into your business, estimate its viability, while also creating credibility for you as an entrepreneur. Through this, you can easily secure loans faster than you could ever imagine. Entrepreneurs who have no idea on how to draft a business plan for the car wash business can easily enlist the services of professionals who specialize in writing business plans.

Register your Business

Similar to many other businesses across the country, the car wash business has to be registered in order to operate legally, and identified by the government as a credible business. It is important and obligatory to register the car wash business with the appropriate bodies before you launch operations through the business. The first body to register the business with is the Corporate Affairs commission, which oversee the registration of all business by entrepreneurs and providing the necessary certifications to operate such business. Registering your business with the government saves you a lot of stress and money, because failure to do so will lead to numerous altercations with these government agencies, leading you to spend more on sanctions and penalties for not doing so in the first place.

Aside the Corporate Affairs Commission, there are associations of Car wash in respective states across the country; where you are required to obtain license of operations before providing any car wash service to the general public. All you need to do is to find out the associations in your chosen Area and follow the due process by obtaining a license for your business.

Location

One of the few things that come to minds of entrepreneurs when looking to start a business is the most suitable location which will allow the business not only thrive, but also grow. Such is the importance of the location to this business. Setting up a car wash business in a bad location will prove detrimental to the operation and proper running of the business.

When looking for a suitable place to set up a car wash business, the most suitable place that comes to mind is along busy road sides. This is because it makes it easily accessible for vehicles and trucks to branch for a quick cleaning before going off for daily business or operation. Car wash business thrive the most in areas with huge traffic, major roads, residential, and commercial areas. Road intersections and parking lots, malls can also serve as a very suitable location to get more customers whose vehicles need cleaning.

 Water Source

Water is the most important materials required in the car was business. Without it, it is impossible to conduct the car was business because it is the medium through which dirt are removed from vehicles. This is why it is also important to check for a water source when considering the perfect location to set up your business. These sources of water may include borehole, well water, and tap water. Since car wash consume a lot of water, well water may not be enough to sufficiently serve the business, so borehole water is usually preferable, since it is founded in aquifers with endless supply of water. You may also need a storage tank where the water will be stored. Some car was services don’t use storage tanks, as water can be channeled directly from borehole through a hose.

Space

Depending on the type of car wash you intend to start, your business might either R need an open space for the operations of the company, or a space for necessary constructions. Either ways, you will need a space where the operations are executed and space to accommodate customers whose vehicles you wash. The space required for a car wash section is estimated at 6 x 25 sq.m. which will contain an average 4-5 cars perfectly. This ensures your business can handle multiple cars at the same time, which of course help save customer’s time. Extra space will be needed as rest area for customers. This area should contain seats, and well ventilated. You can even earn more by setting up a small kiosk that offers all sorts of refreshments from cold drinks, to cakes, biscuits, and any other snacks. You can make preferred modifications to the outlook and aesthetics of your car wash, as it gives extra incentives for customers.

Electricity

Electricity is also an important need for the car wash business. Some of the machineries and facilities used by car washers require electricity to operate them, especially the car pressure machine. The pumping machine (Electrical submersible pump) also requires electricity to pump water from the aquifer to storage tanks. As a result, you can be lucky to choose an area where there is constant electricity. And if not, you have to get a back up generator to run the business when there is no electricity. When sourcing for the generating set to buy, you have to consider the power rating of each of the equipments and machineries used. For example, there are pumping machines which have power ratings of 1.5Hp or 2Hp. Acquiring a generator less than 2Hp will be useless because the generating set cannot generate enough power to run these machines.

Human Resources

Like many other regular businesses, the car washing business require labor. This can be a mixture of skilled and unskilled labor. You can easily employ a few skilled personnel in the business for a start, then supporting them with more unskilled labor who will have to learn the trade through the experts. The number of employees which your business require depends on the scale of your business. The larger the scale, the larger the workforce. A car wash that can handle up to 5 cars at a time should have at least 2 experienced employees supported by a couple of unskilled ones.

Marketing

Marketing is a required part of business that is necessary and obligatory for business which intend to grow and multiply with time. Marketing is the process of increasing the reach of your business to target customers. Marketing help expose  your business to wider horizons by earning you customer from all around you, both far and wide. Marketing also help give you a competitive edge over your completion in the car wash market. Using a creative approach in marketing your business will go a long way in helping your business attain its stated objectives in due time.

Marketing your business can be done in numerous way. Some of these includes advertising using all forms of media. You can advertise your business using fliers, plaques, posters. Advertising is also possible through social media. This can be done by advertising on the numerous social media networks with the most followers in Nigeria which includes Facebook, Twitter and Instagram. Through this medium, you can reveal the operations of your business, how you go about each service you offer. You can set up promos, and attractive programs that will earn you more customers in no time. Marketing is the most important tool when it comes to making your business grow and exceed its expectations.

Equipment and Materials

For the successful operation and running of the car wash business, you will need to acquire the necessary equipment which will enable you execute washing and cleaning of all kinds. The equipment needed for the business my also vary, depending on the scale of the business. Regardless of the scale of the business, listed here are all the equipment and machineries associated with car wash business. They include:

  • Car pressure washer
  • Hose
  • Sign board
  • Water storage tank
  • Generator
  • Bucket
  • Brush
  • Sponge
  • Microfiber washcloth and towels
  • Car vacuum
  • Car wash liquid
  • Detailing products and other products
  • Automatic car was machine
  • High Pressure Water Compressor Machine

Conclusion

The car wash business is one of the easiest to set up in Nigeria. As long as all the information and details outlined in this article are followed, entrepreneurs will create the perfect condition in which the car was business will thrive and grow to exceed expectations. Do well to share the post with fellow entrepreneurs who are looking to have a go in this business and earn reasonable profit from this booming market.


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