Setting up shop

[Mr. Fixit]

Hey guys, this is my first post and it will not be my last.

I know that I am opening up a can of worms, but I am hoping to get some good advise, so take it easy on me.

 

I am working on opening up my shop, I have been scouting some locations and I have a meeting tomorrow with the land owner on what I think will be a good location.

 

I was hoping to get some advise on how I should start up my new business. I have a lot of automotive experience, mainly in dealerships and a Pepboys here and there but I haven't been in the industry for some time, but my love of cars, and that fact I have a lot of family in the business still, I have always been around it.

 

As I am looking to open up in the next moth or so as long as everything goes well.

 

I have been trying to read as much as I can on what I need and should do to be successful, but I wanted to get some of your advise, from people who have been there and done that.

 

Thanks in advance,

[Joe Marconi]

Hey guys, this is my first post and it will not be my last.

I know that I am opening up a can of worms, but I am hoping to get some good advise, so take it easy on me.

 

I am working on opening up my shop, I have been scouting some locations and I have a meeting tomorrow with the land owner on what I think will be a good location.

 

I was hoping to get some advise on how I should start up my new business. I have a lot of automotive experience, mainly in dealerships and a Pepboys here and there but I haven't been in the industry for some time, but my love of cars, and that fact I have a lot of family in the business still, I have always been around it.

 

As I am looking to open up in the next moth or so as long as everything goes well.

 

I have been trying to read as much as I can on what I need and should do to be successful, but I wanted to get some of your advise, from people who have been there and done that.

 

Thanks in advance,

 

First of all, welcome and best of luck!

 

You say you have automotive experience, does that include management training? Do you have a business plan? The best advice I can give you is to make sure you have a well-written thought out plan. Many shop owners, myself included, were great techs, but knew very little about the world of business. I struggled for years until I realize that the skills of mechanics meant very little in being successful at business.

 

do you have specific questions at this point?

[CARMandP]

Welcome to the site from one new shop owner to another. Don't be a stranger as you will find a lot of answers from the shop owners that have been around a while.

[Jeff]

I have to agree with Joe. I consider myself a top tech. I did have some business mgt in school (ag biz). BUT when I opens my shop I went in on a shoestring. About July of this year (opened Nov 04) I wanted to hang myself with that shoestring. I still dont have a complete business plan but am working towards it. Hope to have it done By Jan1. New Year...new perspective. I instituted many changes in August afetr I returned from my little "vacation". Things are beter now, dont know if it will ever be perfect! But by all means make yourself a plan and review it often. Make changes as needed. And dont short change yourself!!

One more thing. Check in here often. It was the support I got from the great folks in ASO that kept me going!!

[gravysuckinpig]

hey fixit -

 

welcome and good luck - having gone through this not too long ago - i can say - your probably very exited - DONT let your excitement get in the way of making smart business decisions- it is too easy to jump on something out of fear of waiting too long so you dont loose it - but at the same time - just when you jump on a good deal or a good property something better comes along - i was so excited about every property i looked at i wanted it- thinking back on the ones i passed by - im GREATFULL my partner had the restraint to say "no" to them. now we have a great building at a great rate- once you get the building - start telling everyone you know your opening a shop and to keep your name out there to everyone they know - talk about it to everyone you have a chance to. word of mouth is one of the best and cheapest forms of advertising you can get.

equipment - i would start out making the least expensive investment you can on equipment- not the lifts though- the reason i went that route was to keep my initial investment as low as possible just in case things didnt work out - and dont be naive enough to think your gonna be a success- i bought my trans jack from harbor freight for 199$ - it paid for itself in 2 jobs - i have yet to need a new one but when i do i can now justify making the 800$ investment for a "good" one. if you get my point. dont buy junk , but be reasonable on your startup costs. ive seen alot of people buy the best of everything right away and be closed in 6 months-

does anyone else think rachel ray is hot?

and like joe said - start looking at things from a MANAGMENT perspective - i found out being a tech and moving into the ownership role was a real eye opener. its easy when your an employee to say the company should do this or that - but when it becomes your money your working with and trying to budget, and STILL have enough left to pay yourself - things take on a different perspective - because you know if you dont keep a close eye on it - it will be YOUR 10-15k investment thats lost. i cant stress enough how important that part is. in other words - if you go into this and are not truly worried about things, (income, initial investment , expenses etc.) ....then your not ready. because those worries are what drives a business owner to make good decisions, to step back and think about things, and manage with your brain and calculator instead of your heart. and trust me - your excitment will turn into worry... are you scared yet?

 

GOOD LUCK TO YOU!!

[xrac]

Gravysuckinpig is correct in that the first thing anyone should do that is bootstrapping their way up is to conserve cash. Weigh every expenditure and make certain that it is needed. However, do not shortchange yourself on purchases that are essential, that will quickly pay for themselves, or that will make you more effecient. I bootstrapped my first business (consulting/contracting) up out of the bedroom of my house but I wasn't working on cars. When I got into the autorepair business it was different: new building, new equipment, inventory, new employees. We were $700,000 in debt and I new nothing about auto repair. How is that for scary or maybe stupid? It was a long hard road but we succeeded.

[GeeZ]

It is very difficult to start any business on a shoe string. Most businesses fail because the lack of capital. If possible, you should have at least 6 month of

operating capital. Remember... location, location, location. When we were looking for rent space, I was amazed at the number of landlords that refused to rent to anything related to car repair. We looked for 6 months before finding something suitable. Try to find someone to mentor you. Someone in the business but not so close to your location that they will feel threatened.

 

Good Luck!