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Growing? Is Another Shop In Your Future? – Greg Bunch [RR 742]


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Ever heard of the ‘entrepreneurial curse?’ Do you see opportunity everywhere you look? Are you ready to go multi-location? Or have you been approached to sell? I’m with Greg Bunch from Transformers Institute at Vision 2022 and we discuss the boom in becoming a multi-shop owner and the future of our industry.

Greg Bunch, Aspen Auto Clinic, Transformers Institute. Listen to Greg’s previous episodes HERE.

Key Talking Points

  • Hard lesson learned from IRS
  • Entrepreneurial curse- doing it right, seeing opportunity everywhere
  • Retire with purpose- retiring ‘early’ isn't always the best
  • 3-4% of shop owners are multishop
  • Opportunities for private equity acquisitions- having multi shops changes the multiplier.
  • Does your business rely on you to run?
  • Transformers Institute- Prepping store for growth and talking through acquisitions, partnership, and financing. Education and analysis.Formed different groups, 3 platinum, 3 gold, with a waiting list. “Group of growing peers,” recent group is a shop foreman group (getting more out of the shop with than without)
  • Advice- be curious, ask questions, research
  • Future- electric cars, gas prices, Q & A program for inbound calls (50 per month) measures over 50 data points (tone of voice, price on the phone) people are missing empathy when speaking with customers

 

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More Time. More Profit. Transform your shop at getshopware.com/carm

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  • Have you checked out Joe's Latest Blog?

         5 comments
      I recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
      Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
      Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
      Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
      Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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