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Can you ever make up for lost sales?


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I don't have a good answer for you Joe, when its busy we "make hay when the sun shines" and try to prepare for the worse. This year has been a roller coaster ride. January found us sweeping the floor while we had the highest grossing February on record. Last week we worked overtime every day, but today I'm looking at three cars on the schedule for next week. March is a high expense month for us too, we opened in march so insurance and everything renews and tax deadline is close.

 

Being in a rural college town feast or famine is a way of life. All our money is made September through May, excluding the winter and spring breaks. You can play hockey in the street in July, its a ghost town. I plan my budget and discretionary spending based on a 8 month year, if we have a good summer I squirrel it away.

 

If 2 weeks off is breaking you I would take a close look at payroll, maybe run a leaner crew if your customers will accept longer wait times. Maybe branch into used cars, detailing work or wrecker service to keep the cash flowing during slow times.

 

Maximizing profits is good, reducing expenses is easier to control.

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My issue is reality interferes with my business plan. I would love to do hub bearings and brakes all day, or put on 100 tires a day. No matter how much I advertise we still have to do low profit jobs to fill in the blanks. I've often thought about switching gears and installing jasper engines and transmissions. While the volume is much less big jobs keep the techs productive. A customer that wants a new $5000 engine to get another 5 years out of his car is probably a keeper.

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I utilize all the down time I get. There is always something that needs done. Lift inspections. New belts on the compressors. The flickering light in the bathroom. Leaking airlines etc. This might not work out for the flat rate techs. But my hourly guys are not standing around waiting on equipment to be repaired when the real work starts again.

Edited by cdhowell
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