If you had $5000 to invest...

Jngrbrdman

Jngrbrdman

New member
I'm only talking to those of you who are already doing this as more than a hobby. Basically, if you are making more than $500 a week at detailing, then this question is for you.

If you had $5000 to invest into your business to take it to the next level, what would you spend it on? I was thinking about shopping around for the best price on something like this for starters. I would also build me a trailor like TexasTB did this year with the water tank and power source and storage. I'm tired of operating this business out of the trunk of my car. My business license allows me to operate mobile, but it isn't meant for running it out of my house, so I would really like to get some sort of detailing trailer put together so I can get this operation a little more professional looking. I think I would use some money to get some logo wear made up. Some shirts and aprons and things like that. I want my business to appear as professional as my results. I would also put some money into business forms, cards, and things like that.

It is surprisingly easy to take your business to the next level. The difference between running a hobby and having an orgainized LLC with a business license is about $110 bucks in paperwork in Utah. I'm making enough money at this lately that I'm going to start filing taxes seperately as a business instead of adding it to my personal income tax return. As long as I am taking my next level business to yet another level, I figured I'd get some input on how you guys would invest a couple thousand dollars into the business.
 
I don't meet the $500 a week. I think I was up to $250 for a weekend. I never had a large sum of cash to invest like you're proposing. I spent what I made on supplies. But my .02...

Great idea on a pro carpet machine. That'll pay for itself.

Does your state require wash water collection? If so and you plan to go mobile some sort of containment for water runoff would be good.

I think the trailer will do well for advertising. Invest in plenty of signage. Perhaps a nice A frame sign for on the job advertising.

Logo stuff is very pro looking. If I had followed through with my plan, that was my next step too.

Something that won't cost money (maybe cost time, which is money) but is key to go from the trunk of the car to the next level is building a network with local businesses. I had plenty of work from a national automotive service shop and a day spa. The leads from both of those places kept me as busy as I wanted to be.

As far as the LLC, be aware the personal protection offered by the LLC was eroding. Some court case in Colorado was changing the face of LLC protection, according to my accountant. Plus the IRS didn't recognize the LLC a few years back. The lingo the IRS said was way over my head, but the liability was still there for my personal assets.

Good luck.
 
if I had 5,000 to invest id buy one more extractor, one more vac, one more dewalt, a heated pressure washer and some more bright lights
 
An LLC is still more protection than nothing. My education background is actually in paralegal studies and criminal justice, so legal stuff is sort of a specialty. That is one good thing. I don't have to hire someone to write up contracts and that sort of thing. :) My wife's education is in accounting, so I don't have to hire someone for that either. I'm going to lease my garage to myself for storage of my equimpent and supplies and I'm also going to lease myself my truck as well. The only assets that the business will have will be my equipment and supplies. What I charge OCDetails for lease of space and property will be claimed as income on my personal taxes and written off on my OCDetails taxes. That is really the biggest part that holds people back from really taking a step forward. Filing taxes as a business means that you don't get to keep all the money. The good news is that self employed taxes are only 15.something% up to like $76,200. Then it is less than 3% beyond that. With the amount you can actually deduct as business expenses, it really doesn't take much of your profits away. It is just a lot of paperwork to keep track of and a little bit of effort. Hiring the accountant probably costs more than the taxes you end up paying. :lol:

Most of my business will be from dealerships that don't have detail shops. There are several such dealerships just in my zip code, so a lot of my business won't be residential detailing. I'll look into the water reclamation laws, but I don't think Utah requires it. Good advice though. :bigups

Someday I'd like to think about opening a permenant location, but I will always try to operate a mobile arm of that business. I just think there is too much of a market that you can't reach if you aren't mobile. We make money because people don't have the time or experience to detail the car themselves. If they don't have the time to detail, then chances are they don't necessarily have the time to drop the car off. Remaining mobile will add a lot of attraction to my business I believe.
 
Jngrbrdman said:
Most of my business will be from dealerships that don't have detail shops. There are several such dealerships just in my zip code, so a lot of my business won't be residential detailing. .
Click to expand...

I agree with alot of what was said in earlier responses. I am a big believer in professional appearances i.e. uniforms, signage, landscaping,business cards, professional stationery etc....Creates a comfort level with the customers who subconciously realizes this detailer is different form the rest. I would not do anything until a complete professional image is in place.

That being said I thought I would offer something else to consider. You state that most of your business is wholesale, so I would expand my services to cater too their needs. I would learn interior car repairs. In good demand, not weather effected, can be done for under $5000 and offers a nice roi. It is a great add-on that transfers to boats, offices, restuarants and anything else that has leather,vinyl and plastic surfaces.

I am not a fan of these detail systems you linked too. Seems like a good idea, but I have concerns. If any part of the unit brakes, does the rest of the unit become inoperatable? How easy is it to service the various functions? Then if you can't fix it, you will be out of the entire system while it is being serviced. Will I be able to get replacement parts from someone other than the place of purchase? I could get better quality products individually then as one unit.
 
Sorry I am not a proffessional at it, just part time. But if you got $5000 to invest I say invest in apperance. Shirts, hats, give away items like writting pads to give to you customers and callenders
 
If i have $5000 to spend on a mobile detailing bussiness i would start buy buying a very profesional trailer. Nothing looks nicer then when a person pulls up to your car and looks life a pro. It just gives the instant saftey/trust that is needed when working on someones pait. If i could build the trailer for less then 5k i would spend the rest on a marketig plan. As a bussiness student we take a look at marketing and i am conived it is some of the bets money you can spend. Although word of mouth is great people like to see ads. I would put an add in the local yellow pages, set up a flyer mail out as well as try to sponsor a car event such as a show and shine. ALot of the tim ethere is a place to advertise soo you get your name out as well as it is a good place to hand out cards. These are just my 2 cents but if i have 5g to spend that would be what i would do
 
I am a mobile detailer and I make over 1000 per week.
If I had 5k to invest, I would expand to be able to do resedential pressure washing. This means hiring one more helper, buying ladders and wands as well as a trailer with a stronger pressure washer. Hoses and reels too. I did a 1500 square foot home last week and it took me 8 hours. Made 650.00. By myself. People expect to pay more to have a house cleaned than a car. I've spent 8 hours on a car and have only made 350.00 before. If I had a helper and the right equipment I would have finished about 2 hours earlier and would have paid him 60.00. 590.00 is not bad for 6 hours work. This way I could have the detailing and home service and let them feed off each other.
 
I am on the verge of investing about $10-$14,000 before next spring into my own business. Currently, I have already invested in a carpet extractor, Metabo, PC, Ridgid vac, Ozone Generator, Canopies, many chemicals, brushes, towels, applicators, banners, shirts, web site, etc. I am planning on expanding into a 7'X12', 14', or 16' enclosed trailer, pulled by a new to me (used, probably a 2004 Escalade, which my business will pay 80% of the costs, and I will pay the remainder since it will be my personal vehicle as well.)

I also will be buying a 6000 watt generator, 3000 PSI power washer, water tank, the whole nine yards. I think/hope the most important money spent will be about $3000 spent over the the course of 3-4 months in the beginning of the year on advertising.
I too, do not like the machine you linked too. I dunno I have never liked those machines, unless for a fixed location. I do agree with Justin however about doing pressure washing too.

I often see too many many detail/pressure washing services rolled into one. I would only market my detailing services until I impressed my client with that, then let them know we are also up for doing pressure washing as well. I guess I would do that because it seems like anybody can operate a pressure washer, but who can really detail a a car. For some reason, it turns me off when I see a company offering two different services, just because they utilize the same tooling. Maybe its just me but thats my two cents.
 
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