Wednesday, June 17, 2020

Things to Ask Yourself Before Opening an Automotive Shop



Do you have a passion for working on vehicles? Have you ever dreamed of owning your own automotive shop? Starting a business can be costly, but ultimately rewarding. You could start from scratch, or purchase an existing automotive shop. 

An existing auto shop could best benefit you since it will already have an existing customer clientele and all the equipment necessary to start. Overall, research and experience are important. Here's what to ask yourself if you're thinking of opening your own shop.




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Have you found the right location?


Having a few original locations picked out for your future auto shop is vital. No matter which state you live in, there are many (and different) zoning laws. Some laws prohibit auto shops from being located too close to residential properties. 


An auto shop in town will be more convenient for your potential customers. Choose an area that will provide easy access for vehicles of all shapes and sizes (avoid narrow streets, for instance). You’ll probably have lots of enormous trucks coming in and out with things like parts and tires.




Should I get certified?


Although it’s not required, getting your ASE (Automotive Service Excellence) certification tells potential customers you have two years of experience under your belt. ASE mechanics have the knowledge it takes to fix your vehicle. When customers see the white and blue labels, they will feel relieved knowing you are serious about your trade. 
Technicians must be tested every 5 years to keep up with the changing automotive technology. Depending on what type of auto shop you have, some technicians might need automotive and diesel certifications.


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Do I know the initial costs?


It’s wise to have a plan in place around what exactly you want in your shop. If you’re buying an existing shop, it might only need minor upgrades. But a recent building could be more costly. Take into consideration things you’ll need like: 


  • Insurance - $ 4,000/year
  • Essential tools - $ 15,000
  • Lifts (installed) - $ 4,000 each
  • Diagnostic machines - $ 5,000–$ 10,000
  • Rent – this can vary

It can cost around $50,000 to start your own auto shop. Note that this is not including employee salaries, potential space remodel fees, or marketing. Things can add up fast and you’ll want to make sure you have enough funds to cover the ultimate costs




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What type of services will I offer?


While there are many types of automotive services, decide which you will offer. Regular auto servicing shops would be a place customers bring their car regularly for routine services. Other shops specialize in only specific services like mufflers and brakes. You may come across an auto shop that might buy used cars in Nigeria


This online auction mall auctions off used cars from all over the world. An auto shop can fix used cars to re-sell if that's something you're interested in and have to experience with. Used cars could also come in handy if the shop needs spare parts for specific cars. It’s best to know of an automotive shop that offers a wide verity of services.





Who should be hired?


The type and size of your shop will determine how many people you should hire. Hiring certified technicians who have years of experience will help maintain a stable and trustworthy team. It’s important to make your shop a place technicians want to be. Offer fair pay to those with adequate experience. Hire a receptionist to keep up with the front desk. To help recruit your team, try attending job fairs, or posting job listings online.

Creating a new business can be stressful. Most people are leery about who they trust to work on their vehicles. Be sure to be the most trusted shop in town. Advertise your new shop online or on the radio so people will know your open. With determination and knowledge, you’ll be up and running in no time.



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