Hi, Natalie here. You have a great selection of tools on hand that will cover every job a customer will bring into your shop. Whether it’s Mac Tools, Snap-on, OTC, or Wright, the right tool for the job is priceless.
The tools we’re talking about in this post are for finances, but the same strategy holds true. If you’re planning to do your own bookkeeping, the right tool for your financial job is also priceless. They can take what may appear to be a daunting challenge and save you a ton of time. You’ll be back to running your shop before you know it.
Stick around until the end and I’ll outline what’s in my bookkeeping toolbox. Here is an overview with some suggestions on how to choose great financial tools
Here are the top 10 categories:
1. Accounting Software
QuickBooks has been the go-to software for accounting for decades. There are online tools that may be a better option for you. The most popular choice is Xero and the numbers of small business owners that are using Xero is increasing. Compare several and pick the one that is both robust and flexible.
According to the 2015 edition of the Business News Daily’s Buyer’s Guide here are the features you should look for:
Client/Vendor Contact Management
Billing and Recurring Payments Automation
Quote and Estimate Creation
Integration with Programs Such as Point-Of-Sale Software, Credit Card
Processing, and Google Apps
2. Budgeting Tools
Creating a budget is the cornerstone of your shop’s financial success. Staying on task within your budget is equally as important. If your accounting software has this feature, you may already have the proper tool to create that budget. If your preference is a tool dedicated to this task, a recommendation is PlanGuru.
3. Payroll Management System
Payroll management can occupy so much of your time and mistakes are easy to make. Look for tools that streamline the payroll process and cut costly errors. A tool that integrates with your other tools is another feature to look for. Some tools like SurePayroll can calculate and pay payroll taxes. Simple. A couple of other tool suggestions are ZenPayroll and ADP. These combine payroll and HR functions in one.
4. Agile Billing
Speed and flexibility in your billing process means quicker cash flow back to you. With a tools like FreshBooks or Bill.com the billing process will be quicker and give your customers an easy experience. Improving the billing process will serve you and your customers better and shorten delays in receiving payments.
5. Financial Dashboard
The dashboard gives you a quick look at your shop’s financial health. See at a glance if your shop is thriving or surviving. Tools such as LivePlan or InDinero give you clear visuals and show you if you’re starting to go off course. Then you can take the actions to keep moving towards your financial destination.
6. Cash Flow Analysis
Your accounting software should have cash flow statement capability. As with the budgeting tools there are specialty tools for cash flow tracking. A couple of suggestions are Float or a simple spreadsheet. These give you patterns from the past to offer a forecast of your shop’s financial future.
7. Inventory Management
This is all about efficiency and tracking. From the purchase of parts and consumables to generating sales reports and low inventory alerts, this is a very valuable tool. A couple of cloud-based options are SOS Inventory and Scout’s top Shelf.
8. Expense Tracking
Those tiny expenses can quickly add up and may be hard to track. Using an expense report tool such as Expensify or Xpenditure makes this much easier. Track those meals, gas, and incidental expenses by scanning receipts and typing in cash expenses. Some tools have the capability to link to mobile devices helping to track these instantly..
9. Business Credit Card
A business credit card, when used properly has several benefits
Improve your shop’s credit history
Earn higher credit limits
Receive rewards and discounts
Manage employee cards (ease of tracking expenses)
Boosts employee morale due to convenience and trust
10. E-commerce Solutions
Imagine your customer paying for their oil change before the service is completed. They need a couple of quarts of oil to tie them over. It’s easy to buy them online from their trusted repair shop.
Many businesses have seen an increases in cash flow since the beginning of the pandemic by using E-commerce solutions. These are powerful and create revenue streams that you may not have thought of.
11. Three Rivers Bookkeeping
With my 5-years of experience, these are the tools I use:
Accounting software – QuickBooks
Payroll Management System – ADP
Agile Billing – bill.com
Financial Dashboard – LivePlan
I’m passionate about books and service to my clients. If you’d like to have a conversation about tools and why I selected the one’s above, contact me. I can also outline the services I provide and why adding me to your team may make perfect sense to you.
Saving you time and headaches is the value I bring to you, the Auto Repair Shop Owner.
View full article
By Elite Worldwide Inc.
· When? December 3-5, 2020
· What? Online 3-Day Event + 6 Months of Coaching
· How? Call (800) 204-3548 to enroll
· Enrollment Deadline: November 20, 2020
The Elite Masters Program offers 3 days of intensive sales training, followed by 6 months of sales coaching to ensure that your shop sees permanent results.
All training and coaching is delivered by Ratchet & Wrench All-Star Award winner Jen Monclus, and has been proven to increase sales by an AVERAGE of $10,750 per month after the training!
Better yet, this is a rare opportunity for your advisors to receive the initial 3 days of training online, so you can save on travel and hotel expenses.
This is your last chance to enroll in the course beginning Dec 3-5, so to reserve your advisor's spot, just give us a call at 800-204-3548 or click below to learn more.
About our Masters Program
Hey guys looking for a little advise for people that have been in my situation. We are a smaller shop but really starting to transition to doing more volume in the past 2 years. Been in business for 10 years now and currently have 2 full time tech's and myself. I manage most of the office and service writing stuff and even occasionally help wrench in the back when required. Looking to hire a service advisor soon to help with the work load on the counter.
Currently we just use a a mix of excel spreadsheets for invoicing and customer history, as well as Google calendar. My questions is will I see a big benefit from moving to a all in one management program? Is it worth the monthly fee's for a smaller outfit like mine?
Should mention we are in the powersports arena (mostly boat repair with some other rec equipment) so some of the platforms out there are not 100% tailored to our industry with the ones that are not offering up everything you would get out of a automotive program. Thanks in advance for the help!
By Joe Marconi
From as far back as I can remember, labor has always been an issue. As and industry, we have struggled to get paid properly for the work we do. And those shops that understand how critical labor is, are the shops that have done quite well.
In today's auto repair shop world; Getting the right labor dollars is no longer a buzz topic or debate- Labor dollars will be the salvation of your business. Labor translates into profit, and will also allow you to build for the future and to attract the quality people we need in our industry.
If you don't know what your labor should be, you need to find out. Don't call ABC Auto, down the street to ask him. The odds are he did not do the math. Plus his expenses are not the same as yours.
Depending on what you pay your techs, your overhead, and knowing your numbers will determine your labor rate. I can tell you that there are shops that are paying techs a very good wage and those shops are getting $135 to $150 per hour, and more. That is not a typo. And there are shops that have multi-tier rates. So, for Diag and labor jobs that have no parts associated with the repair, their labor is much higher than their standard labor. It's fair, it's honest and it's time we all raise the bar.
Please, do the math, get help and make sure your labor is right for your shop.
Similar Tagged Content
By Joe Marconi
The issue with part quality and returns is on every shop owner's mind these days. It doesn't matter if you buy from NAPA, CARQUEST, Advance or O'Reillys. Poor quality parts, comebacks and getting the wrong part hurts our bottom line. I don't know how many of you track your losses with regard to comebacks and returns, I do. And I can tell you, it is doing more damage to your profit margin than you may think.
I don't have the answer but I will bring up one fact. In the industry's effort to reduce prices, we have sent a lot of manufacturing business overseas. In order to maintain or reduce price, too often quality suffers. But who's is to blame? The part companies, the shop owner's who are seeking low prices, the consumer?
The truth is, the time for pointing blame is gone. We need to change our mindset, not chose parts by price, but by quality. We need to start sending a message to our suppliers that we want quality not just price. We also need to insure that we don't have internal issues. Are our techs properly trained and do we have an adequate quality control system in place. Our reputation and the safety of the motoring public depends on it.
Here is one other fact that you cannot deny: If you reduce comebacks, improve quality, sell quality parts at a reasonable margin, you WILL make more money, have happier customers and have a lot less stress.
Here's a link to an interesting article on part quality from Aftermarket Business World