Quantcast
Jump to content


Recommended Posts

When I started my business, I really had no clue about running a business. And knew far less than I should have about fixing cars. 10 years later the shop is doing well, somewhat profitable but it's paying for bad decisions that caused credit issues and a fairly significant amount of debt in the wrong places. For instance instead of getting a business loan (due to lack of collateral ) I financed all my tools from the tool dealers, got stuck in the buy from the tool truck rut and pay a small payment. I'm currently working on improving that posistion & all together we currently hold roughly $30,000 in debt and within the next two year my credit will be in great shape. My question(s) is this - what are the financing options with no collateral - is it smart to expand with a business loan (purchasing a piece of property, building etc) - and are their any tips or advice you might give someone looking to acquire significant financing for the first time? Most banks I've spoken to locally make it pretty clear that business financing is hard to attain right now - is this the norm or is it my inexperience causing their response?

 

Sent from my SM-N910V using Tapatalk

Share this post


Link to post
Share on other sites


Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

  • Similar Forum Topics

    • Goodyear exiting the repair business

      It seems that Goodyear corporate stores are changing their business model from Tire and Repair Service centers to strictly tires.   The franchise stores are free to continue their old business model.    Around here, the corporate stores are going to close down on January 27 for 2-3 weeks for a major remodel and possibly? rebranding.   They will sell tires and do alignments, but will not be able to align if they need repair parts.   I've not seen any official statements on this, so I don't really know more than the scuttlebutt. It looks like Hunter will have a great year this year as a result.  I saw a brand new Hunter Revolution tire machine in one of the local stores already. I stand to benefit from this change as we may see some of their repair business.   Since I don't sell tires, I'm not a Goodyear competitor, which allows them to safely refer repair business to us.   Almost everyone else around here sells tires.   We refer quite a few folks to tire-only stores, so Goodyear will now be on my referral list.

      By bantar, in General Automotive Discussion

      • 4 replies
      • 145 views
    • Article: Challenges Of The Auto Repair Business

      As the auto industry moves on into the modern age, repair centers all around the country are experiencing pressure with the tech world and our world colliding. We are all trailing nationwide franchises and dealerships that have endless resources working at their disposal. For most smaller auto repair businesses there isn’t enough time, money, or energy to attempt to constantly and actively secure the new business. We’re mostly worried about attempting to maintain the existing business we have, which has newer cars and increasing demands. Most of our time is now spent adjusting to the learning curve of advanced vehicle systems. However, that’s just a shop problem. The front office of your shop has its own issues to contend with that didn’t exist 15 years ago. Make no mistake about it, our industry is in the middle of a revolution and with 3D printing knocking at the door… the amount of balls to juggle are going to be considerable and it's all just getting started. Today’s auto repair businesses need to worry about the following: Location – Securing a proper location and the authorization to conduct business there over the long term ensures survival. Tools – Without the proper tools, we just can’t work on today’s vehicles. Training – Without the proper training, we put ourselves and our customers at high risk. Employee Engagement – Keeping your employees as interested in your success as you are is critical to the elements that keep people returning and employees from leaving. Employee Advancement – Providing an environment where employees know they can grow with your business, whether financially or moving up within the organization, is the key to keeping and securing talent. Marketing – This is the most complicated element in today’s world. It involves a mix of a strong web presence, good advertising ethics, social media profile, and following up with customers. Advertising – Can be expensive and very confusing. The best method to start is to get your feet wet with small budgets that keep your name in front of your potential customers, constantly. Software – Without good software, it is difficult to run any business. Good software is and always has been subjective. Our experiences indicate that good software saves you time and builds trust with your customers. Most importantly, it should work for you and not against you. This article originally published in CAR's News Section
      View full article

      By CAR_AutoReports, in AutoShopOwner Articles

      • 0 replies
      • 81 views
    • Business management training

      Have any of you attended classes or seminars put on by a company called ATI automotive training institute ? Was considering signing up for a 1 day class.

      By Bob K, in Workflow Management

      • 9 replies
      • 1,430 views
    • Article: Zombie Cars - they're coming (updated older story)

      Zombie Cars   “Brains, Brains, we need Brains!”   Zombie cars?  What’s a zombie car?   Way back, when we used points and  condensers and later the basic  electronic ignition systems, cars didn’t  need brains (ECM – Electronic Control  Module), but that all changed in the  mid 70’s on some imports and pretty  much on everything else by the time  the 80’s came around.  Some of these  brains were only cursory, and didn’t  actually control the car, but merely  watched for emission issues, while others played a major role in the actual ignition spark or fuel delivery systems.     Most of the engines in those early years, still used the same basic type of distributor setups (with a few exceptions) as their earlier counterparts that used the old tried and true points and condenser type of ignition systems.  During those cross-over years it was rather easy to slap a different distributor in it, or change the existing points distributor over to electronic ignition (which worked quite well by the way).  These days...it’s not that easy.  These computer systems have become so entangled into the engine functions and nearly every other system that it’s impossible to bypass the fuel or ignition systems as we did years ago. However, there are still a lot of people out there that have hung onto some of the cars from that era.  Most likely they've been kept parked alongside the garage as a future project or hung onto for some sentimental reason.  Some (very few) are in great shape, others… well, they look like zombies already.     What makes them zombies?  The brain… the brain… they need brains!  Just this past week I had several of these faded paint monstrosities lined up in the parking lot. (They never come alone… always in a pack.) For starters an old dilapidated 1986 Dodge pickup with a slant six.  This old rusted, tilting to one side relic had been at another shop for a tune-up, but as the story was told to me by the owner, the other shop tried to start it when a fuel line ruptured and caught the old truck on fire. Luckily, they managed to get it out, but the damage was already done.  The main harness from the firewall to the distributor, coil, charging system, blower motor, oil sending unit, temp. sender, and the starter wiring were completely melted into an unrecognizable mass of plastic and copper.  It was my job to bring this dilapidated hulk back to life. However, the original spark control computer had melted as well, and was unusable. Worse yet, the brain was discontinued eons ago with no replacement parts anywhere to be found.  This zombie needs a brain, and there doesn’t seem to be an easy way to get one. At this point the only solution was to do away with the electronic brain and try to refit the old slant six with a much simpler ignition system from a decade earlier if at all possible.  A lobotomy if you will. (Dr. Frankenstein would be envious.)   Then there was this 2002 Mustang that moaned and groaned while dragging one foot into the shop.  It needed a new BCM (Body Control Module).  Call the dealer, call the parts warehouse, call everybody!  Anybody!  Is there a brain for this car?  Nope, discontinued.  Seems this particular BCM was a rather rare brain out there in zombie land, and at the time, nobody was setup to rebuild them.  It seemed this car was destined to wander the city streets with the rest of the zombie mobiles. At the same time this was going on, in comes a 1982 Ford Bronco with the original Variable Venture carburetor still on it. Ok, not a brain, but just as bad.  It qualifies as a zombie for sure.  Trying to find a suitable replacement these days is a challenge. Ten or twenty years ago this would have been no problem to find a carb. kit (if you dared) or the Holley conversion kit for it, but not today.     This trend of bringing back the dead looks like it’s only going to turn into the next zombie apocalypses.  As these electronic systems get more and more complex the likely hood of your family truckster turning into a zombie is just a matter of time as each new model comes out.  In some ways, I believe the manufacturers have thought this out long before there was a potential of these cars becoming zombies.      In my youth it was nothing for me and a few friends to grab an old car out of a junk yard and raise it from the dead.  Ya just had to throw a few shots of gas down the carburetor, add a few wires and a fresh battery and fire it up.  The rust would fly, the engine would clatter, the smoke would billow out from under the hood,  as the exhaust roared out of every crack in the manifold.  Those days are long gone now.  They may have engineered a longer lasting engine, better paint, and for the part, the interior can hold up to the ravages of time, however, the electronics, are their weakness.      Although, these zombie mobiles seem to be coming out of hiding more often than ever before. Reviving some of these early electronic zombies may happen, but on the other hand, it may be a futile effort. The truth of the matter is… these resurrections are not as easy to do as it was so many years ago. There are countless problems that have to be overcome to bring some of these rusted heaps back among the living, especially if you’re in an area that requires emission testing.  Just trying to bypass some of those early electronic brains when a replacement part can’t be found can be a real challenge. The good news is that there are a lot of guys out there tearing these brains apart and rebuilding them.  But even then, there are some zombie cars that will never make it and eventually die from the lack of a brain, while others wander aimlessly from shop to shop still searching for their elusive electronic gray matter.    Even after you manage to find a brain for these living dead vehicles it’s likely something else is going to go wrong.  After all, being cast aside for so long, all the hoses, belts, and gaskets have dried up.  Something will more likely fall off just like you would expect from any other zombie wandering around.  And, you know, just as soon as the latest zombie joins the living something will undoubtedly come tumbling to the shop floor.  Whether it’s coolant, oil, a belt, or perhaps no#2 connecting rod,  something is not going to stay in place.  Just like in every zombie movie I’ve ever watched,.one of them will always have an arm or leg falling off.  It sure seems that these zombie cars follow right along with that same affliction.       It’s safe to say, these relics of the early electronic era of the automotive world are in some respects the car equivalent of a zombie: half dead, half alive…and in search of a brain they may never find.  So don’t be surprised if you’re at the next traffic light when an old faded-rusty-dented car with a shattered windshield, screeching brakes, with plumes of dense low hanging smoke creeping along with it, don't be alarmed, it’s just another car beginning its transformation into a "ZOMBIE CAR".    
      View full article

      By Gonzo, in AutoShopOwner Articles

      • 5 replies
      • 129 views
    • Aftermarket Parts Issues Driving Me Up A Wall!!!

      There are days I want to set the place on fire (sometimes just customers cars) ok just kidding. I seem to be getting a streak of problematic parts lately. I am so tired of reps telling me about quality, oem specs, warranty blah blah. My main supplier is AAP. Here are some examples below. - 2000 wrangler needing rear axles due to bearing failure. Ordered Dorman axles and both had fitment issues where once installed the differential pin wouldn't fit in due to improper clearances on the axle. Ordered another brand online Yukon Axles. - 1995 Lexus SC300 (mint cond, low miles) Felpro valve cover gasket was manufactured too thick and didn't fit in the groove on the valve cover. Ordered from Lexus and fit fine. - Forgot the year (Chrysler van) water pump with a pulley that wobbled and even the online reviews had the same issue.  - 1993 Wrangler water pump machined incorrectly where once bolted to the block, the ears of the pump where the ps pump bracket bolts to was not machined correctly and if you tried to bolt it on it would bend the water pump. Ordered AC Delco (i think) from Cold air distributors and worked fine. - 1999 Lexus ES300 front left brake hose manufactured incorrectly. Ordered another brand, probably Raybestos from Cold Air Distributors, and all is well. - 2003 Taurus 3.0 OHV timing cover from Dorman 635-117. Online reviews had some issues but the oem unit was expensive. I ordered 3 before I found one that was machined good enough then installed. Came back a while later leaking. I ordered a replacement under warranty and the quality control was horrible. Just ended up getting the ford one and looked and seemed to work great. Time will tell - 2005 Honda Element Monroe struts all the way around (these are the ones) in the front like the civics where the strut has the bracket where the tie rod bolts to. Left front was fine. Right front couldn't get aligned properly as the bracket for the tie rod was welded on at the wrong angle. Went through a couple from the local parts store then I think Monroe sent me a strut that was tested to be ok on their manufacturing/ quality control/ measurement jig and it still failed. They paid to have the old Honda part sent back for inspection. I think i ordered KYB for the front and all was well.  I use the AAP Wearever Platinum which have been great brake pad material and braking, but lately they don't fit properly and I have taken video to show the reps and I believe when the backing plate is cut, there are imperfections where it wont fit into the caliper bracket without me grinding the backing plate on the edges. The actual manufacturing company for them sent a rep to a local AAP BBQ event and I talked to him and he is very aware and they supposedly changed the manufacturing process to address this issue but recently I did a brake job and had the same issue then installed Akebono and all was well. I am considering switching to the Wagner TQ which they stock as well. They give me an across the board pricing on the Platinum pads of $34.99 on most vehicles. Has anybody got a good pricing structure on the Wagners? AAP gives a 3 month parts and labor warranty on pretty much everything they sell. The labor is reimbursed on my parts account at 1/2 my shop labor rate times the book time. The problem is I still have to write up an invoice showing that I replaced the part and didn't charge the customer, and spend time calling their hotline and explain what happened, then fax or scan and email the original invoice, warranty invoice, original parts invoice with the claim numbers and I still have to call and check in to make sure the claims have been processed and paid out. This takes time and is not very encouraging. Otherwise the parts themselves have the standard warranties, 2 year, 3 year, lifetime, etc. though this still requires me to redo the repair that should have been successful the first time. I am the owner and mechanic and I waste so much time in the office dealing with parts, Calling manufacturers tech support lines, taking measurements, sending pictures of parts problems. Then if I cannot get it resolved having to research another part. The Dorman timing covers were terrible. the metal was porous and i sent them a screenshot of their website talking about "High quality plastic or metal construction resists warping, cracking and porousness". I am surprised that these companies don't look at the reviews of their own products and correct the issues. I do need another technician so I don't have to wear so many hats but in the meantime how do you folks deal with these types of issues.  The other issue is because I am not a high volume purchaser, although it is getting better as I grow, I have to purchase the majority of my parts from AAP to keep myself on a reasonable tier level. If I spread my purchases around then I can fall off the tier level in a short time. I like AAP and they have a warehouse near me and have a vast inventory available locally as opposed to other suppliers. Most of the stuff I get is name brand stuff to avoid junk parts. I like Moog, National, Motorcraft, Delco, Etc so its not like I am trying to be cheap on everything, I just seem to get burned a lot. When the commercial reps come by, it is usually to check up on business and try to sell me something or a service or a package deal, however when I show them the issues I am having, they really don't or cannot do anything other than listen and tell me about their "quality parts". I ask for the numbers to the engineering departments to try and at least get some of these issues resolved and I cannot get through. How do ya'll deal with these situations?

      By [email protected], in Automotive Products & Services

      • 21 replies
      • 907 views
  • AutoShopOwner Sponsors



×