By Sally Male
28/10/2025

If you’re thinking about selling a car wash, getting the timing, operations, and numbers in order well before you list is crucial. With a 6- to 12-month lead time, you can take specific, strategic steps that enhance your attractiveness to buyers and their advisors and substantially increase your valuation and saleability.

Below are the steps, financial levers, and buyer FAQs to guide you.

• Buyers look for consistency: clean revenues, clean financials, proven operations.
• Value drivers take time: things like maintenance, staffing, systems, and add-backs don’t get fixed overnight.
• Negotiation power: the stronger your case, the higher the multiple you can achieve.

A large part of valuation comes down to EBITDA (Earnings Before Interest, Tax, Depreciation, Amortisation) and what is often called Adjusted EBITDA—where legitimate “add-backs” are used to show the true cash flow a buyer can expect.

These are expenses currently deducted in your profit statement that are either non-recurring, discretionary, or not likely to continue under new ownership. Common add-backs:

• Owner’s personal expenses (e.g. excess owner’s salary, benefits not tied to operations)
  
• One-off or extraordinary costs (storm damage, lawsuits, legal settlements)
  
• Non-core business expenditures (charitable donations, travel, non-business-related use of vehicles)
  
• Under- or over-staffing adjustments: Is the current staffing level above or below what a competent manager would need? Does it require a catch-up?
  

Be careful: buyers will scrutinise add-backs heavily. They must be well documented, justifiable, and truly “outside” what is needed to run the business.

• Car wash valuation often uses an EBITDA multiple. The precise multiple depends on wash type (express, self-serve, full service), revenue size, growth trends, location, competition, age and condition of equipment, and recurring vs seasonal income.
  
• There are also revenue multiples, but these are less accurate because they don’t account for costs.
  

Improving margins and showing upward EBITDA trends tends to unlock higher multiples. Buyers favour “trajectory” as much as current numbers.

Financial clean-ups are essential, but operational and physical presentation also matter:

• Maintenance and repairs: Fix leaky roofs, broken equipment, and worn surfaces. Buyers will inspect.
• Site cleanliness and safety: Clean walkways, landscaping, and signage. Good lighting. Safety compliances.
• Equipment service history: show scheduled maintenance, including parts replaced, and the condition of wash bays or tunnels.
• Standardised operations: document policies, SOPs (Standard Operating Procedures), staffing rosters, and customer handling.

Customer base: Memberships or subscription customers are especially attractive because they generate recurring revenue. Consider including database size (for emails) and/or social media follower count.

Here’s a summary checklist of what you should aim to have ready by when:

• 12 months out: audit, benchmark, begin repairs, maintain consistent operations.
• 9 months out: stabilise income, reduce waste, and implement efficiencies.
• 6 months out: clean up financials and engage your accountant, calculate adjusted EBITDA, and get your documentation in order.
• 3 months out: site ready, legal & regulatory clear, marketing materials, secure selling agent.
• Sale launch: accurate valuation, documented assets, due diligence folder, transparent answers to buyer questions.

Selling a car wash is more than putting a “for sale” sign out front or online. With 6 to 12 months of preparation, you can:

• Optimise your operations so cash flow is clean and stable.
  
  
• Clean up financials with the help of your accountant to show true profitability.
  
  
• Document everything a buyer will check.
  
  
• And handle the physical & aesthetic aspects so the business presents itself well.

These steps not only help maximise valuation, they often lead to lower time on market, fewer negotiation hitches, and a better price.