Quick question on business

Not really just really wanted my own water supply cause I sort of like old fashion car washes myself and I was thinking bout using also for commercial accounts


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soloswilliams said:
I'm doing a business plan for my business to get a loan I got majority of my equipment but was seeking a loan for 2500 the question is how in the hell do u break the financial plan down ? I'm at a total lost on how to do this. I broke it down on how I would get money based on a yearly based with just 5 customers a month


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Congrats on your business and going about it the proper way. Many don't understand having a proper setup in the beginning can help. Having collateral available (i.e. business loan) to fund the business is essential. Sometimes funding isn't always going to come from pure profit.

I sat with a business / financial planner who gave me an outline to follow. Here is how to make it a bit easier. Did you purchase assets for the business? The loan manager should be able to get a list of your assets and value and give you a loan listing those as collateral. See if you can work that deal instead of projected earnings. If they go that rout, they may ask you to insure your assets and business, as my bank did in order to secure the loan. (Hence, garage keepers with the assets listed on the dec sheet of the binder).

If you own a business, it's quite easy to have over $2500K of assets. See if you can use those items as collateral. You can't use personal assets as the IRS sees personal and business assets as two different things. Also make sure you get a federal tax ID number (IEN) and properly follow your states regulations to register your business with the state before going to the bank. My bank required these actions first.

Having said that, my business consultant did state that in lieu of a business line of credit (i.e. business loan) you can always open up a *new* credit card under your business name. Make sure you ONLY use that credit card for your business, nothing personal. Try to find a card that has high cash rewards or bonus points. Those are great to apply back to the principle balance.

I hope all this helps. In a worse case scenario, you can meet with a financial planner who is familiar with small business establishment.
 
There's some good info in this thread. Ryan definitely knows what he's talking about and I would 100% agree that you don't need to go out and get a loan for a few things that you don't have. Just keep rolling the money back into the business and you'll have more than enough.

You mentioned that you have a couple customers a month, which makes me think you must have a full-time (or at least part-time) job as well. If so, then try and let every penny you make right now stay in the business. You'll be amazed at how quickly you'll be able to get completely stocked and have whatever you need on hand.

I have used customers water and power doing mobile detailing for over ten years in Seattle, WA and Bend, OR and I could count on one hand how many people turned me away because of this, so don't let one situation turn you off.

Water is always the biggest issue with using customers, especially in the winter-time, so rinseless is definitely the best way to go about things as you can easily bring enough water to rinseless wash a car - especially if you have a truck. Check out my set-up here http://www.autogeekonline.net/forum...-hhr-panel-my-mobile-detailing-vehicle-6.html as I can easily fit just about all you'll ever need in a small little HHR - you can definitely do it in your truck.

Get yourself a little water tank - NorthStar Spot Sprayer Tank — 26-Gallon Capacity | Sprayer Tanks| Northern Tool + Equipment that's what I have (26 gallons and only $60) and throw it in the back of your truck. Then grab a bucket heater Allied Precision The Premier Line 742G Bucket Water Heater - - Amazon.com - $45. For just over $100 you can rinseless wash cars all day long with hot water all winter. Or as in my case, you'll always have a back-up option if water isn't available at the customers house (and you've already got the power side).

Go out and do it, you be the next major success story like Ryan at FTA Detailing is. No reason you can't! :xyxthumbs:
 
Boot strapping is always the way to go until you've proven your product works and if you need to expand faster than your carrying capacity can handle. Debt is the worst way to start a business. Use personal debt to start if you must, but keep it under $2-3k and stay away from banks unless you are looking for $50k+. But if you need a loan for $50k plus, then the business model which would secure such a loan would also just pay that out in time.

Patience is key. Debt thrives on impatience. Banks know this and make money because of it.
 
You can take the approach of "green" "Eco-friendly" Etc to sell your waterless and rinse less program to old traditional car wash idealists. Your services won't be for everyone but you can get a better $ crowd when you cater to a conscious crowd.


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To the OP, seek out the local SBA and schedule a meeting with a counselor there. They will help you write a business plan and will also help and advise you on what your options and best plan of attack would be. I was assisted with the SBA when I wrote my business plan in 2008 for my photography business. Was a huge help. They will be able to answer all of your questions.
 
That's true.^ You'd be amazed how many tree huggers there are nowadays.
 
DapperStyle said:
What water? Thought you guys ran out of that stuff :laughing: kidding!
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Aye everything is fine unless things get really crazy 1 day and there's no gallons of distilled water for me to purchase at the market.. Until then, the tree huggers and law makers can kiss my eco butt:)
 
I started 5 months ago with 500 bucks, this week I'll clear over 1600. I've reinvested about 2k. I now have 3 polishers, several dozen pads, dozen or so polishes and compounds, a dozen gallons of products.


Start small, and reinvest your profits to get more products.
Buy gallons, it's much cheaper, and wait for sales. Always check the bogo page!

I scored a gallon of dp tire cleaner for 32 bucks, wheen a 32ozis 19.99
 
Search the forum. There was a post made about 3 or 4 years ago with a list of all you need to start a detailing business for about 500$. maybe someone knows the thread and can post a link to it but you should be able to find it if you use the search function of the forum.

Second, I have been detailing for 3 years now and I am part time. Only once I had to bring water to a job because there was no water faucet available to plug my hose. Electricity, never had an issue.

I think it's just the way I approach it that makes it easier. I don't know. When I book the appointment, I explain that since I am mobile and will be working at the customer's place, I will need access to water and electricity for my tools. I also ask them if they have a garage to do the work in. If they ask me why I simply tell them that it is preferable if the weather is bad. Never had anyone turn be down because if it.

What I have seen is people not wanting to have the job done at their place for what ever reason. I happens from time to time. That's why my website is very clear I am mobile. But still, I do receive calls and people want to bring their vehicle to me :)

Finally, start small and grow. When you do a job, use part (or all) of the money you make to get more tools and products. At the end of the year when you do your income tax report, a lot of that will be deductible and you can use the tax return to get even more tools and products... which are deductible... With that approach I was able to get every single tool I need except a hot water extractor (I will get that next spring) and also got a van to go to clients. I started with about 500$.

Where you will need to put your efforts at first will be a solid website and business cards. The hard part of this industry is not making money, but actually getting clients. I make on average 400$ per client. But I have a hard time getting clients. So if you can work around that, you will be making more than enough money to get all the products and tools you want in no time, without a loan.
 
RFrommann said:
I started 5 months ago with 500 bucks, this week I'll clear over 1600. I've reinvested about 2k. I now have 3 polishers, several dozen pads, dozen or so polishes and compounds, a dozen gallons of products.


Start small, and reinvest your profits to get more products.
Buy gallons, it's much cheaper, and wait for sales. Always check the bogo page!

I scored a gallon of dp tire cleaner for 32 bucks, wheen a 32ozis 19.99
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I love your story! Sounds really familiar :props:
Best of luck to you! and the OP as well.
 
Thanks everyone for the imput I really appreciate it and you guys made me realize I don't really need the loan I pretty much have everything I need. Yes I still have to get a polisher and pads with compound but that will come... I was giving customers crack head prices for grade A work... Lol I had to since then up my prices a bit but the work I do is well worth it. I am leaning towards the rinseles and waterless techniques also.. I'm going to start working on a website soon , I have business cards already and working on flyers too. I promote through Facebook and get clients through there and I'm guessing it's time to pound the pavement also. Full time job yes I do have that 40 plus hours a week in the auto industry. I completed my business plan also it's really just time to put everything in effect.... I'm determined and will succeed thanks again guys


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FinishingTouchA said:
No need for a water tank. Stick with rinseless in a highly populated area like that. If you have Customer's that will let you use their water go that route. But be aware of the epa laws about wastewater runoff. I was mobile for 2 years and never needed a water tank or generator. Half that time I loaded everything in a Honda CRX, the other half was a Lincoln Continental or whatever other vehicle I owned. Don't spend money on things that won't make you more money. Get a polisher and get to work. If all you've got it $500 in the bank get a GG6, 20 pads, a gallon of HD speed, 32oz of FG400, and 32oz of SF4000.
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Haha, epa.... you dont know michigan lol
soloswilliams said:
It's a small business program for small business in the city of Detroit, technically I have 3 buckets 2 generators a power washer , chemicals, rags, spray bottles, vacuum, ... I don't have a polisher/buffer or a trailer or a water tanks and that's what I'm going for with the $2500 . But since it's winter and I know the snow coming I'm going for waterless or rinse less washing for the exterior. I have atleast 2 customers per month that is a repeat customer. Working on getting more clientele though and I paid for that out my pocket . I get what your saying thou


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All in all, dont get a loan. Start small and snow ball your money into the business to build it. That way if you: lose interest, cant run a business, end up with a winter like last year (by the looks of it were safe, fingers crossed, suck at detailing (no offense, it happens). To many variables here for a loan. It would suck to have a monthly loan reminding you of what didn't work out and why.

Im in mi too, no where near you or the population. However, i started up again this year (previously from fl). Ppl will be ok with using there water. Ive gotten places and had ppl tell me to save my water and use there's or to quit using my gas up and run an extension. Start small, no reason to go that far.

I started out with getting a majority of what i needed to start and running out of my escalade. Reinvested it and now starting to build up a 6x12 wells cargo tandem trailer i picked up for cheap. Some details i had say an rv i did i bought a ladder the morning of as i had no need for it until then. Now i have a ladder i need the, details paid for it, and got my money back after completing the said rv.

You can go the route you want, but theres safer better options. Just keep in mind i made a decent chunk this year, but no where enough to grow and pay for a loan. All the money went right back into the business. And i still maintain a 40 plus hour job because its not stable or consistent yet to pay my bills and support my family!

Build your foundation first.... can't build a pyramid upside down and expect it to last as long as the others have!

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The other thing you have to fight is the psychological battle. It feels cool to have all of the latest toys. You also feel like it impresses the customer. Stay true to the business discipline. Unless it's about making money. it's a hobby and treat it differently. If it's about money, you got great advice. Does each expense generate income?
 
larry33 said:
The other thing you have to fight is the psychological battle. It feels cool to have all of the latest toys. You also feel like it impresses the customer. Stay true to the business discipline. Unless it's about making money. it's a hobby and treat it differently. If it's about money, you got great advice. Does each expense generate income?
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You being up a good point.^ Because collecting all the fancy products is cool and fun, but if your intended goal and purpose was to put them all to work once you got them, then you have to stick to the plan and follow through. That's when the hard part starts for alot of people, especially those who only detail on the side, because having a full time job to fall back on is an easy excuse for not hustling.


Calendyr said:
Only once I had to bring water to a job because there was no water faucet available to plug my hose. Electricity, never had an issue.
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Yup I agree, except I do sometimes worry about access to electricity. I bring 75' of extention cord with me and sometimes I wonder if it'll be enough to work with in front of someone else place. Even worse if you have to extend all the way to the street.
 
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