A car wash business is a business that is bound to thrive in any state in the United States simply because all the factors that are responsible for making a business grow are available in all states in the U.S.
Basically, a car wash business can thrive in various locations and settings, as long as there is a consistent demand for car cleaning services.
Despite the fact that a car wash business can thrive in all the states in the United States, it is important to note that there are states that have the enabling environment for car wash businesses to break even within the shortest time frame and these are the states we will discuss in this article.
Most of the states discussed in this article have a higher number of frequent car users, they have several urban areas, suburban neighborhoods, high-traffic locations, commercial and industrial zones, shopping malls and retail centers, gas stations, residential communities, tourist areas, colleges and universities, car dealerships, car rental agencies, car repair shops, airports, and high-end residential areas, et al.
Best State to Start a Car Wash Business
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California
If you are looking to start a car wash business in the United States, one of the best states you should consider is California. California has about 14,268,528 automobiles that are registered in the state.
Apart from that, the economy of the State of California is the largest in the United States, with a $3.6 trillion gross state product (GSP) as of 2022.
It is the largest sub-national economy in the world. With that in mind, your guess is as good as mine; starting a car wash business in California is bound to thrive even if you put in little effort into promoting and marketing the car wash as long as the car wash is located in a visible area.
Major cities such as Sacramento, Los Angeles, San Diego, and San Jose are the top destinations you should consider if you want to open a car wash business in California.
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Florida
One of the major reasons why you should consider starting your car wash business in Florida is the fact that there are about 7,853,979 vehicles registered in Florida making it a thriving state for car wash businesses.
Apart from the higher numbers of vehicles in Florida, the economy of the state of Florida is the fourth-largest in the United States, with a $1.4 trillion gross state product (GSP) as of 2022.
It might interest you to note that if Florida were a sovereign nation (2022), it would rank as the world’s 16th-largest economy according to the International Monetary Fund, ahead of Indonesia and behind Mexico. Tallahassee, Jacksonville, Miami, and Orlando are some of the cities you may want to consider if you settle for Florida.
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Texas
Texas has about 7,784,067 vehicles that are registered in the state making it a huge market for car wash business. Apart from the number of registered vehicles in Texas, the state has a robust economy that supports businesses of all sizes.
As a matter of fact, the state of Texas is officially the eighth-largest economy in the world, valued at more than $2.4 trillion.
There are several major cities in Texas where a car wash business can thrive. If Texas is your pick, then you may want to consider cities such as Austin, Houston, San Antonio, and Dallas.
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Illinois
If you want to start a car wash business in the United States, you should consider the state of Illinois. One of the reasons why you should consider starting a car wash business in Illinois is the fact that there are over 4,117,589 vehicles that are registered in the state.
That makes it the state with the 4th highest number of cars registered in the United States. Apart from the large number of vehicles registered in Illinois, the state has a robust and fast-growing economy.
This is so because available data shows that in the 1st quarter of 2023, the real GDP for Illinois was $1.0 trillion in goods and services per year (Source: Bureau of Economic Analysis). If Illinois is your pick, then you may want to consider cities such as Springfield, Chicago, Aurora, and Joliet.
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Ohio
The reason why we listed Ohio in this list is because available data shows that there about 4,086,521 vehicles that are registered in the state of Ohio.
Apart from the number of vehicles that are registered in Ohio, the state has structures in place that support small to medium-scale businesses including car wash businesses. It might also interest you to note that the state of Ohio has a thriving economy that supports business.
According to data released by Ibis World, in 2022, Ohio’s GDP reached $620.7 billion, representing an increase of 1.0% from 2021. Ohio’s GDP has grown at an annualized rate of 0.9% over the five years to 2022.
These and more are what make Ohio an ideal state to start a car wash business. Columbus, Canton, Mansfield, Wooster, Lima, and Van Wert are some of the major cities you may want to consider.
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Pennsylvania
The reason why you should consider Pennsylvania as a state where you can start a car wash business is because Pennsylvania is one of the states with the highest number of registered vehicles in the United States. As a matter of fact, approximately 3,917,586 vehicles are registered in the state.
The state of Pennsylvania also boasts of having a growing and thriving economy. Available data released by the Bureau of Economic Analysis shows that in the 1st quarter of 2023, the real GDP for Pennsylvania was $952.6 billion in goods and services per year making the state a good place to start a business.
Interestingly, there are several cities that you may want to consider in Pennsylvania such as Harrisburg, Philadelphia, Pittsburgh, and Scranton.
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Georgia
With over 3,525,145 vehicles registered, and a robust and thriving economy, Georgia is considered to be one of the best states in the U.S. to start a car wash business.
The state of Georgia has a structure in place that aids the growth of businesses which is another reason the state is considered ideal for starting a car wash business. Available data also shows that in 2022, Georgia’s GDP reached $579.7b, representing an increase of 2.0% from 2021.
Georgia’s GDP has grown at an annualized rate of 2.1% over the five years to 2022. Atlanta, Augusta, Columbus, Macon, and Savannah are some of the cities you may want to consider if you settle for Florida.
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North Carolina
North Carolina boasts of having over 3,280,487 registered vehicles in the state making it a big market for the car wash business.
Apart from that, the economy of North Carolina is also doing pretty well hence a fertile ground for businesses including car wash business.
Interestingly, available data shows that in 2022, the real gross domestic product (GDP) of North Carolina was 559.51 billion U.S. dollars. This is a significant increase from the previous year when the state’s GDP stood at 541.93 billion U.S. dollars.
Major cities like Raliegh, Charlotte, Greensboro, and Durham are known to support the growth of small businesses including car wash business.
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New York
The reason why you should consider starting a car wash business in New York is because New York has about 3,112,030 vehicles registered in the state. Apart from that, New York can boast of having one of the largest economies in the United States of America.
As a matter of fact, available data shows that the economy of the State of New York is reflected in its gross state product in 2022 of $2.053 trillion, ranking third in size behind the larger states of California and Texas. New York state, where 5.9% of Americans live, produced a share of 8.1% of the country’s GDP most recently.
This is indeed one of the reasons why an investor should consider starting a car wash business in New York. Albany, New York City, Buffalo, and Rochester are some of the major cities you may want to consider starting your car wash business in New York.
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Virginia
The reason why you should choose Virginia as a state to start a car wash business is because Virginia has about 2,978,391 registered vehicles making a huge market for car wash business and any automobile-related business. The state of Virginia also has structures in place that support the growth of businesses, and the economy is also thriving.
Virginia’s GDP has grown at an annualized rate of 1.3% over the five years to 2022. Richmond, Virginia Beach, Norfolk, and Chesapeake are ideal cities to start a car wash business in Virginia.
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Washington
With over 2,977,074 vehicles registered in Washington, and ideal weather all year round, Washington, is no doubt, one of the best states where a car wash is meant to thrive. Washington also boasts of having a thriving economy making it a good state to start a small to medium scale business.
As a matter of fact, available data shows that in 2022, Washington’s GDP reached $577.2b, representing an increase of 3.6% from 2021. Washington’s GDP has grown at an annualized rate of 1.6% over the five years to 2022.
Some of the best cities you may want to consider if Washington is your pick to start your car wash business are Olympia, Seattle, Spokane, and Tacoma.
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Michigan
The reason why you should consider starting your car wash business in Michigan is because the state has a growing number of vehicle users and ideal weather that supports outdoor activities and businesses.
Available data shows that there are about 2,894,828 registered vehicles in the state of Michigan and Michigan ranks 14th in economy size among states and Washington, DC.
In 1st quarter of 2023, Michigan accounted for 2.4% of the US economy. Michigan’s gross state product (GSP) in 2022 reached $481.9b, with a growth of 1.0% over the 5 years to 2022.
Cities like Lansing, Detroit, Grand Rapids, and Sterling Heights are cities you should consider if you want to start a car wash business in Michigan.
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New Jersey
With over 2,535,248 vehicles registered in the state, a good economy, and ideal weather, New Jersey is indeed a good place to start a car wash business.
Apart from the population, and weather, one major reason why any investor should consider starting a car wash business in New Jersey is that the state’s economy ranks among the largest in the United States.
According to data published by the Bureau of Economic Analysis in the 1st quarter of 2023, the real GDP for New Jersey was $759.2 billion in goods and services per year.
Major cities like Trenton, Newark, East Rutherford, and Princeton are ideal cities to start your car wash business in New Jersey.
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Tennessee
Tennessee is blessed with sunshine virtually all year round, so any time would be a great time for a car wash business. Apart from the friendly weather, ease of doing business, and the increasing number of car ownership (2,346,547 registered vehicles in the state), one of the major reasons why you may want to consider starting a car wash business in Tennessee is because the state boasts of a growing economy.
Available data shows that Tennessee’s GDP has grown at an annualized rate of 2.1% over the five years to 2022. Moreover, Tennessee’s trailing five-year GDP growth ranks it 15th out of all 50 US states. Cities like Nashville, Memphis, Knoxville, and Chattanooga are ideal cities to start a car wash business in Tennessee.
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Arizona
The state has over 2,258,488 vehicles registered, and a friendly weather that permits car wash business activities. Apart from that, Arizona boasts of having a growing and thriving economy.
Available data shows that Arizona is currently ranked 3rd in the United States for its economic outlook. This is a forward-looking forecast based on the state’s standing (equal-weighted average) in 15 important state policy variables.
Apart from that, businesses in Arizona employed a total of 4,365,728 people in 2022, with average annual employment growth over the past five years of 1.9%. Phoenix, Tucson, Mesa, and Chandler are some of the cities you should consider if Arizona is your pick when it comes to starting a car wash business.
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Maryland
There are about 2,076,393 registered vehicles in the state of Maryland, the state has ideal weather that gives room for car wash businesses to operate for a longer period of time during the day even in the winter period, and the state boasts of a sustainable ease of doing business.
Apart from that, the state of Maryland boasts of a thriving economy. Available data published by the Bureau of Economic Analysis shows that in the 1st quarter of 2023, the real GDP for Maryland was $478.9 billion in goods and services per year.
Maryland’s GDP has grown at an annualized rate of 0.8% over the five years to 2022. Major cities like Annapolis, Charlotte, Greensboro, and Durham are ideal cities to start your car wash business in Maryland.
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Indiana
Indiana has over 2,064,554 registered vehicles and friendly weather that is ideal for businesses that work with water. Generally, the summers in Indiana are pretty warm, the winters are mild, and the humidity is moderate.
Apart from that, economic statistics put Indiana as a good place to start a small to medium-scale business. Indiana’s gross state product (GSP) in 2022 reached $355.9b, with growth of 1.8% over the 5 years to 2022.
Businesses in Indiana employed a total of 3,585,123 people. Indianapolis, Evansville, Fort Wayne, and Jeffersonville are some of the best cities to start a car wash business in Indiana.
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Alabama
The state of Alabama has a growing population and a weather that is suitable for car wash business. The state of Alabama has over 2,059,139 registered vehicles and a growing economy.
Available data published by the Bureau of Economic Analysis shows that in the 1st quarter of 2023, the real GDP for Alabama was $278.3 billion in goods and services per year.
Alabama’s GDP has grown at an annualized rate of 1.0% over the five years to 2022. Major cities like Montgomery, Birmingham, Huntsville, and Mobile are ideal cities to start your car wash business in Alabama.
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Massachusetts
Massachusetts has over 1,980,430 registered vehicles, sustainable ease of doing business, a growing economy, and ideal weather all year round.
As a matter of fact, available data shows that Massachusetts’ gross state product (GSP) in 2022 reached $543.6b, with growth of 2.3% over the 5 years to 2022.
Businesses in Massachusetts employed a total of 4,578,740 people in 2022, with average annual employment growth over the past five years of 0.2%.
Boston, Cambridge, Springfield, and Worcester are some of the major cities you should consider if Massachusetts is your pick when it comes to starting a car wash business.
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South Carolina
South Carolina has a growing population of car ownership, (the state boasts of over 1,919529 registered vehicles) a stable economy, and friendly weather all year round that supports businesses such as car wash business. South Carolina’s GDP has grown at an annualized rate of 1.5% over the five years to 2022.
Columbia, Charleston, North Charleston, and Mount Pleasant are some of the major cities you may want to consider starting your car wash business in South Carolina.