Why ROI is the first decision

Before choosing equipment or chemicals, quantify your traffic, average ticket, unit cost per wash, and uptime. These four variables determine whether you break even in 12–24 months—or watch your payback drift.

• Traffic (daily washes): Driven by location, visibility, and pricing.

• Average ticket: Base wash + upsells (foam, wax, underbody, dryer).

• Unit cost: Water, chemicals, electricity; usually $1.2–$2.0 per car with optimized settings.

• Uptime: Target 97–99% with proper maintenance and spares.

The core formulas

• Monthly Revenue = Daily Washes × Average Price × 30

• Monthly Variable Cost = Daily Washes × Unit Cost × 30

• Monthly Net = Monthly Revenue – (Variable Cost + Fixed Costs)

• Payback (months) = Total Investment / Monthly Net

Illustrative case:

Daily 120 washes × $7 = $25,200 monthly revenue.

Unit cost $1.6 → variable cost ≈ $5,760.

Fixed costs (finance/lease, staff, utilities overhead) ≈ $9,500.

Monthly Net ≈ $9,940 → With a $180,000 system, payback ≈ 18 months.

(Numbers vary by country, water/energy prices, and add-ons.)

What changes the math most?

• Throughput: Program presets and queue management.

• Uptime: Preventive maintenance + quick spares access.

• Ticket size: Simple menu with 2–3 upsells; cashless payments.

• Water reclaim: 50–80% water savings; lowers unit cost and helps permitting.

Choosing your business model

1) Managed Service Partnership (we operate, you share revenue)

Best for: High-traffic locations that want minimal operational burden.

Pros: Professional operations, quality consistency, shared risk.

Impact on ROI: Lower day-to-day workload; payback realized via revenue share rather than pure CAPEX returns.

Must-haves: Clear SLAs (uptime %, response windows), transparent reporting.

2) Space Rental (you rent the site, we install & operate)

Best for: Malls, gas stations, parking facilities with underused space.

Pros: Predictable income; optional performance kicker.

Impact on ROI: Owner sees steady rent; operator carries operational risk/reward.

Must-haves: Utility readiness, access control, signage rights.

3) Flexible Payment Terms (own the system with low upfront)

Best for: Owners who want full control but need cash-flow friendly terms.

Pros: Low down payment, structured installments aligned to seasonality.

Impact on ROI: Faster go-live; payback schedule mirrors financing timeline.

Must-haves: Conservative winter assumptions; spare parts budgeted from day one.

A quick sensitivity check

• +20% traffic or +€1 average ticket can advance payback by 3–5 months.

• A 2-point drop in uptime (e.g., 98% → 96%) can erase a month’s net profit in peak season.

• Reclaim + optimized chemistry often cuts unit cost by 20–35%.

Takeaway

ROI is not a mystery—it’s a few levers you can design and manage. Pick the model that fits your cash flow and operations, then protect uptime and ticket size.

CTA: Want a location-specific ROI sheet? Contact Europe Makine for a free, data-driven assessment.