Prime Car Wash logo

Prime Car Wash Franchise

Audited Financials
AutomotiveEst. 2019Fishers, IN
www.primecarwash.com

Risk Score

Pending analysis

Investment Range

$1,944,500 - $3,731,000

Franchise Fee

$50,000

Min Cash Required

$200,000

Total US Locations

9

Business Summary

Prime Car Wash Franchising LLC offers a franchise opportunity to own and operate a car wash location under the Prime Car Wash brand. These locations provide flex-service car wash and detailing services, including cleaning, vacuuming, waxing, and drying, along with limited sales of beverages, refreshments, and snacks. Each Car Wash operates using Prime Car Wash's proprietary system and marks.

Corporate History

Prime Car Wash Franchising LLC was formed in Indiana in February 2019 and began offering franchises on March 20, 2019. The company operates under its corporate name and the PRIME CAR WASH brand. Its affiliates include PCW Holdings, LLC and Prime Car Wash, LLC, which collectively own six corporate car wash locations in Indiana, and Axia Distributing LLC, which sells equipment to franchisees.

Financial Overview

Investment Range

$1,944,500 - $3,731,000

Franchise Fee (Low)

$50,000

Franchise Fee (High)

$50,000

Minimum Cash Required

$200,000

Royalty %

4%

Marketing %

4%

Equipment Costs (Low)

$1,215,000

Equipment Costs (High)

$1,770,000

Working Capital

$300,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

Prime Car Wash's auditors issued an unqualified opinion on its financial statements for 2022, 2023, and 2024. However, the auditor noted an emphasis of matter regarding corrections for errors found in 2024, which understated related party payables, commissions payable to a member, and corresponding expenses in prior years. The financial statements show a persistent Members' Deficit (negative equity), which the FDD's Special Risks section highlights as calling into question Prime Car Wash's financial ability to provide services and support to franchisees.

Financing Details

Prime Car Wash does not offer any direct or indirect financing to its franchisees. The company also does not guarantee any loans, leases, or other financial obligations for franchisees.

Performance Metrics

Total US Locations

9

Franchised Units

3

Corporate Units

6

Franchising Since

2019

Agreement Terms

Initial Term

10 years

Renewal Term

5 years

Renewal Conditions

To renew their Prime Car Wash franchise, franchisees must not have any uncured material defaults under their Franchise Agreement or any other agreement with Prime Car Wash or the landlord. They also must not have received three or more separate written notices of material default in the 24 months before the renewal date, or two or more such notices in the 12 months before the renewal date. Franchisees need to be in good financial standing, have continuous possession of their approved location, complete required renovations and modernization to meet current brand standards, and pay a $5,000 renewal fee. Additionally, they must sign Prime Car Wash's then-current franchise agreement (which may have different terms), complete a refresher training course and pay its fee, and sign a general release in favor of Prime Car Wash.

Training & Support Program

Franchisor Assistance

Prime Car Wash provides extensive support to its franchisees. Before opening, this includes site selection guidelines and assistance, reviewing and approving lease agreements, defining the designated territory, providing access to confidential operations manuals and lists of required items and approved suppliers. Prime Car Wash also reviews and approves signage, layout, and equipment, offers guidance for grand opening advertising, and conducts an initial training program for up to three people (approximately four weeks at corporate headquarters in Fishers, Indiana, and three days on-site at the franchisee's location). After opening, Prime Car Wash may offer and require additional or refresher training, provide continuing consultation and advice via various communication channels, and offer additional on-site assistance (for which fees may apply). The company reviews and approves all advertising materials, provides seasonal signage and marketing templates, and processes requests for non-approved products/suppliers. Prime Car Wash may also schedule and require attendance at an annual conference, list the franchisee's contact information on its website, administer a Brand Development Fund, provide access to a System Site for updates and materials, conduct inspections and audits, provide manual updates, and research new cleaning products and business methods.

Initial Training Hours

192

Training Location

Corporate headquarters and Corporate Car Wash in Fishers, Indiana, and then at the franchisee's Approved Location.

Ongoing Support

After opening their Prime Car Wash, franchisees may be required to attend additional or refresher training programs, though a fee may be charged for optional or remedial training. Prime Car Wash provides ongoing consultation and advice through various channels like phone, email, or an intranet. The company may also offer additional on-site assistance, for which a fee might apply. Franchisees receive approval for their advertising and marketing materials, as well as seasonal signage and templates. Prime Car Wash manages a Brand Development Fund and provides access to a System Site with updates and materials. The company conducts inspections and audits to ensure compliance, updates the operations manuals, researches new products and methods, and offers guidance for grand opening campaigns. Franchisees are also required to attend an annual conference if one is scheduled.

Franchise Requirements

Ideal Candidate Profile

Prime Car Wash seeks franchisees with entrepreneurial and managerial abilities and a strong focus on customer service. While personal participation in daily operations is recommended, the franchisee (or a principal for entity franchisees) must serve as the primary contact and be ultimately responsible for all operations, ensuring compliance with system standards. The franchisee, along with any designated manager, must successfully complete the initial training program. Ideal candidates should demonstrate good moral character, a solid business reputation, a satisfactory credit rating, and sufficient financial resources to meet the ongoing obligations of the franchise agreement. Spouses of individual franchisees or owners of entity franchisees are also required to sign a personal guaranty.

Industry Experience Required

No

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Retail

Owner Participation

Supervisory

Territory Type

Protected

Territory Size Requirements

Prime Car Wash determines the size and boundaries of each Designated Territory at its discretion, considering factors like geographic area, population density, neighborhood characteristics, competition, and traffic patterns. While there is no minimum size, a typical territory covers approximately a 5-mile radius around the franchisee's Car Wash. The boundaries may be described using zip codes, streets, landmarks, or county lines.

Staffing Notes

Prime Car Wash requires that the franchised business always be managed and staffed by at least one individual who has successfully completed the initial training program. The owner is recommended to personally participate in day-to-day operations, but can hire a Designated Manager with Prime Car Wash's approval. If a manager is hired, the owner must still serve as the primary contact and be responsible for all operations. For multi-unit owners, each location must have a properly trained Designated Manager. The franchisee or a trained staff member is responsible for training all other employees on sales, advertising, maintenance, POS, computer systems, and operational standards. The business must be sufficiently staffed during all prescribed operating hours. The company identifies roles like General Manager (GM) and Assistant General Manager (AGM) through payroll definitions.