‘Self-managed’ car wash sells for 140k, new owner makes 5KA per month, stops only to mix soap and collect cash

When it comes to successful car washes and pop culture references, of Walter White A1A from “Breaking Bad” comes to mind. But for a young entrepreneur, stopping her is no cover – she’s bringing in a ton of money and running pretty much on her own.

What you need to know: According to a Business Insider report, a 22-year-old Hannah Ingram purchased a coin operated car wash in Tennessee in 2021 for $140,000. It makes about $5,500 a month in profit and requires almost zero work.

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When he acquired the almost fully automated car wash about three years ago, it was already active and profitable. After contacting the owners who had listed the business for sale and taking a quick look at the books, Ingram saw several areas where he could cut costs and increase the company’s bottom line.

“For example, they were paying a few hundred dollars a month for a radio ad that I knew I could lose and replace with social media marketing. By doing those calculations, I could see a clear path forward where I could stay in the green, and that gave me confidence in the investment,” she told Business Insider.

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Ingram was able to avoid having to come up with a large down payment by buying the business using seller financing, which is a real estate agreement that allows the buyer to make incremental payments to the seller upon purchase. In this case, she effectively took over the owner’s existing bank loan.

When Ingram finally purchased the car wash, he replaced many of the brushes, vacuums and soap dispensers. It also invested in new signs to give the business a new sheen. Ingram noted that she made a decent profit in her first month of ownership.

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Later, she added machines that accepted credit cards and made several other improvements. In total, she invested an additional $7,500 in the business on top of the purchase price, and the car wash is now making $5,500 in profit each month.

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Ingram used to spend about 30 minutes each day taking out the trash and doing small preventative maintenance tasks at the location, but she hired someone to take over her minimal maintenance routine.

“These days, I basically stop mixing the soap and taking care of the money… Otherwise, it’s entirely self-managed — and I’m still making thousands a month,” she told Business Insider.

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Photo: Robert Wilkos from Pixabay.

This story is part of a new series of features on success, Inspire gasoline.

Some elements of this story were previously reported by Benzinga and have been updated.

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This article ‘Standalone’ Car Wash Sells For 140K, New Owner Makes 5KA Per Month, Stops Only To Mix Soap & Collect Cash originally appeared on Benzinga.com

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