By Joe Marconi
My Thoughts on the Coronavirus and Business
In my 40 years in business, I have lived through many economic downturns. From the stock market crash of the late 1980’s, the housing bust of 1990’s, the tragic event of 911 and the great recession of 2008. This is different. The fears and the realities of the coronavirus has affected us all. And some areas of the country have been hit harder than others. In all other situations, I fought like hell to make a difference and beat the circumstances. Again, this is different.
I am not an alarmist, not a defeatist and I do not get sucked into the sensationalism of the press. Just today, I heard a sports announcer on a talk radio show advise her listeners to stay at home, don’t go to work, don’t go to the movies, don’t go out of the house and isolate yourself from other people. Is this rational? I can’t do that.
I am an automotive shop owner. What I do matters to my family and the community. I…WE….need to be there to ensure that the doctors, nurses, police, public officials and everyone else has their transportation ready to perform. Stay home? Us? Is that an option?
But again…this is different. This afternoon, I was getting ready to go to Church; 4:00pm Mass, when my wife got an alert that Church as been canceled. Wait; let me say this again real slow…Church… has…. been…canceled.
Fear has a way of eating at the fabric of our rational being. I fully understand the reality of what is happening. This virus will take people’s lives. But, do we run away in the face of a threat? Is this who we are? What do we do? Close our businesses for a few weeks? A month or two? How many of us can afford that? We all know the answer to that question.
As automotive shop owners, technicians, service advisors and all the other valuable employees of this great profession, we need to take the proper precautions. Do all you can to protect yourself and your family. If you decide to continue to operate your shop during this challenging time, have a meeting with all your employees. Take the proper steps to protect yourself, your employees and your customers.
Business may get ugly for some. My company has taken a 40% drop in business the past three weeks, directly contributed to the coronavirus outbreak.
I write this to tell you how I feel; not to decide for anyone what to do. I will not force my employees to do anything they feel would put themselves or their families in harm’s way. For me, I intend to fight. I will take care of myself, take care of my family. But there are too many people depending on what I do, and way too may years behind me to hunker down and wait this out.
Stay safe, stay healthy. Take this situation serious. But please don’t give up. We will prevail and we will get through this together. We are the hardest working, most resilient, toughest people on the planet.
Let’s show the world and this virus who we are!
Hi! I'm looking to open a new automotive repair shop and I could use some help assessing a specific opportunity from the experts here. To put this in perspective, I would be a new owner without prior repair shop experience, however, I understand repair work and have done almost all of my own work on my personal vehicles for nearly 30 years. The scope of work I have personally performed included transmissions swaps, suspension, brakes, ignition systems, fuel systems, computer diagnostics and so on. My formal training is in science and management and I've been in corporate positions for 20+ years. I also have experience running my own real estate rental business. I've always been interested in auto repair and I believe this business would be a very good fit for my aptitude, skills and experience. I would plan to operate as the business owner and bring in skilled staff to handle repairs and customer engagement under my leadership.
Here is the scenario I could use help with. I found a 10,000 sq. ft. building which is split up between 6 existing bays (3 front and 3 rear), office space and retail area. The section with the bays has about 5000 sq. ft. , about 1000 sq. ft. of office space and another 4,000 sq. ft. of retail area. The property has not been used for auto repair in a long time but could be converted back very quickly along with opportunity to do something interesting in the retail area. I have many potential ideas for the property. I am running into two primary challenges in evaluating the opportunity. The first is the competitive landscape and the second is how quickly I could ramp up the business along with how much business I would likely do from the location after ramp up.
The property is located on a main road with 20-40k total vehicles/day depending on the day of week. About a mile up the road, in a cluster, there are 6 name brand auto dealerships. On the same road, within just a few miles from the site, there are three tire shops, one local and two name brand, along with a Midas and another local 6 bay garage. Think of this as 5 competitors, each with 6 bays plus the new car dealers. There are a handful of smaller local shops with 1-2 bays locally as well. Also, there is a State DMV location, with inspection services in the same zone. The overall geographic area is in a town that contains a Wal-Mart, Lowes, BJ's and a Costco plus restaurants, etc.. These stores are all within 10 minutes from the potential new location. The next closest big retail areas are 30 minutes north or 40 minutes south of the target area described. The demographics of the area skew affluent and population density is moderate - this is not a big city - however people are drawn in from at least a 30 minute drive time radius due to the shopping and other resources.
I have a few ideas to differentiate my business from the rest in the area although on Google, it appears that most of the competing businesses have decent reviews overall. My shop would do all types of repairs including the heavier stuff and the bays are very tall so we could potentially accommodate trucks too.
So, my questions are:
Is this an opportunity worth considering given the competitive landscape? If I were to open a shop, how quickly should I expect business to ramp up? I am really looking for solid feedback from folks with deep experience in this industry to help me evaluate if this is a business proposition worthy of consideration at this location.
Hey everyone. I'm planning on opening in about 3 weeks and am looking for a credit card processing company. Are there any geared for our type of business? Does anyone recommend Intuit for it's ease of integration with Quickbooks? I'll be doing around $10,000 a month in CC payments averaging $200.00 per RO. Payments are predominately Visa or Mastercard swiped. A very small percentage of Amex, Discover or over the phone. If there is a company name that a lot of you experienced members would recommend, I would like to hear it.