Small business guestions for everyone.

[firestorm13666]

I have been thinking about this for some time now.I want to start my own auto repair and HI-PRO business.I will start out small like tune up and other things and as i learn more do more.That frist i will do the work at there place and later find a small shop to rent.I will do it all the right way get a small business license and isurance and have a form they must sign before i work on there car that lays out what work i will being doing on the car and that i am not SAE trained.So iam lookign for any help you guys can give me on this,like what to chare a hour and so on.Thanks

[shwartzbewithyou]

Buddy, I'm not meaning to sound like I'm crushing your dreams or anything but I really think you need to do some more market research first.  
Also you have to have the money to make the money first.  People aren't generally comfortable with you working in their driveway.  That's why they bring it to you at the shop.  They don't like grease or oil stains anywhere near them.
Starting your own company is a good idea as long as you've researched it first.
 
Good luck buck.  

P.S. make sure to spell check your invoices and estimates before you give them to clients.

[wyldman]

You can start small,and work mobile,but you will be extremely limited in what you can do in someones driveway.

To even work in the automotive trade these days,you need a heck of a lot of knowledge,and a ton of experience and training.The older easy to fix cars are slowly disappearing,being replaced by newer more advanced technology,which is almost impossible to work on without the special equipment,training,and service information.

Count on spending $20-30,000 to even get started with the most basic stuff.You will need a truck to carry all the stuff too.Business insurance and garage auto insurance is a small fortune,just to be able to work on other peoples cars.Remember,if you do a brake job,and something happens,you are responsible,so MAKE SURE you have insurance.

I would consider getting some training and experience,to see if you like it.Try getting into a dealership with some sponsored training.Once your ready,and have $100,000 in the bank,or have financing,then consider going out on your own.

I've been running my own shop for almost 20 years,and I wouldn't want to start one now.Good luck in your venture.

[firestorm13666]

Thanks for the info.I have tryed to geting a job doign this at a dealer or a good shop but i have not work history of ti and they will not hire me and the ones i can get into are the ones your get ripped off by and learn nothing.I have tried school UTI that was a huge joke.And all the schools i looking to and talk to the teacher the guy is way old school and still things the small block is King.I want to go to school and all but i am there to learn not play around.That is what happend at UTI they did not like that i complained about how the teacher would tells us stories about when he was a kid and it had nothing to do with what i was there to learn,they told me that was part of the learn exspreness.As you can see there i have tried about of things to get into a shop and all but no on wants to hire me because my age and not work history of the job.I am not dumb nor slow when it comes to working on cars.One of my friend is 40 something and has 20 or more years on the job and i help him when he needs help on his own cars and knows that i know what iam doing.I also use him as a refurus for jobs and that still gets me no ware.Right now this seems like my last hope as it were to get into this line of work.Thanks for all the help

[vwmike]

Your bad luck at the dealerships might have something to do with your location. They are usually hurting for employees out here and will take almost anyone. You could also try getting a job in the parts department or something if it gets your foot in the door.

I'm with the other guys on this one though - a mobile service would be quite difficult and time consuming. Whenever I get one of those calls where someones car broke down I rarely take much of any tools with me because chances are I won't have what I need and will have to make another trip regardless.

You should also try to check your grammar and seplling more carefully. That might help on the job application as well.  :wink:

[lord_verminaard]

A buddy of mine has started/is starting his own shop doing custom paint and bodywork, and I've been helping him out for free right now just because all three of us still have full time jobs.  He took out a big loan, like $17k to get some shop supplies, and it's worth it, but for every 1 cool project car he gets about 10 cars that people just want fixed.  Eventually, he wants me doing the performance stuff and he will stick to custom paint and bodywork.  I also built his website for him:  http://www.evolindustries.com  But it's a long road.  On a side note, next weekend we are taking up a 1956 Porsche 356 speedster for a full restoration.  

Hard work, determination, yada yada.  But we are really looking forward to the day when we dont have to work our office jobs anymore.  

Brendan
84 Scirocco 8v
00 Camaro L36 M49

[fatmobile]

You might be better off buying VW diesel projects, getting them running good, in your own shop/garage, then selling them.

 I saw a VW diesel in a guys yard, every summer he would move it around to mow and in the winter he would park it behind the garage. I knocked on the door and asked him if he wanted to sell it. I got a short sweet, "No". I guess his wife had been urging him to get rid of it for the whole of their 12 year marriage ... and she was standing behind him when I asked  :oops: . Do you suppose that might have started the discussion up all over again?
 ...Anyway, next time I saw him in his yard and asked him what he was going to do with it. He said, "I'm going to get it running". So I offered to help.
 He needed a head gasket. I told him I'd show him how and we could do it in his garage. We did it right. Changed the passenger side motor mount, I-shaft seal and o-ring, a few injection pump seals while it was off, new timing belt and idler.
 It took us about 3 hours to pull the head, he took it to be checked for warp and had the motor mount bushing pressed in and cleaned some stuff up. I came back in a few days and we put it all back together and he closed her up on his own.
 Because he was such a big help he only ended up paying me for about 10 hours ... plus I made a little on parts and had no shop costs, just a few special tools and my regular tool box.
 A month later his brother called and we did the same thing to one of his Rabbits. He wasn't much help and ended up paying for 20 hours.
 I'm a shade tree mechanic, I don't really have a garage ... that will fit a whole Rabbit ... it will fit half a Rabbit so I do one end at a time. :lol:
 This worked well because both of these brothers liked working on cars, had a good place to work and wanted to learn how to work on their VW diesel.
 It worked because I didn't have the expenses involved with operating a shop. I didn't charge $60 an hour while working in their garage. Maybe you could, but you'd have to come better equipped than I did.
 VW diesels is about all I do. Most of the cars I worked on last year came from over a hundred miles away (one was local) as people dropped them in my yard and came back when they were running right.
 This year I'll be converting many of the cars I got running last year, to vegy.
 Point being don't put all your eggs in the mobile shop basket. Buy, fix and sell a few ... get the owners into your repair club and do all the followup work on them. Even if it's just oil changes. Make sure they come to you for parts. Get a reputation for doing good work, then grow.
 Fix cars first, if you are good at it, it can become a business. If you suck at it, it won't.
 People are always looking for a good mechanic that won't rip them off, once they find one, they send their friends.

[shwartzbewithyou]

You might be better off buying VW diesel projects, getting them running good, in your own shop/garage, then selling them.

 I saw a VW diesel in a guys yard, every summer he would move it around to mow and in the winter he would park it behind the garage. I knocked on the door and asked him if he wanted to sell it. I got a short sweet, "No". I guess his wife had been urging him to get rid of it for the whole of their 12 year marriage ... and she was standing behind him when I asked  :oops: . Do you suppose that might have started the discussion up all over again?
 ...Anyway, next time I saw him in his yard and asked him what he was going to do with it. He said, "I'm going to get it running". So I offered to help.
 He needed a head gasket. I told him I'd show him how and we could do it in his garage. We did it right. Changed the passenger side motor mount, I-shaft seal and o-ring, a few injection pump seals while it was off, new timing belt and idler.
 It took us about 3 hours to pull the head, he took it to be checked for warp and had the motor mount bushing pressed in and cleaned some stuff up. I came back in a few days and we put it all back together and he closed her up on his own.
 Because he was such a big help he only ended up paying me for about 10 hours ... plus I made a little on parts and had no shop costs, just a few special tools and my regular tool box.
 A month later his brother called and we did the same thing to one of his Rabbits. He wasn't much help and ended up paying for 20 hours.
 I'm a shade tree mechanic, I don't really have a garage ... that will fit a whole Rabbit ... it will fit half a Rabbit so I do one end at a time. :lol:
 This worked well because both of these brothers liked working on cars, had a good place to work and wanted to learn how to work on their VW diesel.
 It worked because I didn't have the expenses involved with operating a shop. I didn't charge $60 an hour while working in their garage. Maybe you could, but you'd have to come better equipped than I did.
 VW diesels is about all I do. Most of the cars I worked on last year came from over a hundred miles away (one was local) as people dropped them in my yard and came back when they were running right.
 This year I'll be converting many of the cars I got running last year, to vegy.
 Point being don't put all your eggs in the mobile shop basket. Buy, fix and sell a few ... get the owners into your repair club and do all the followup work on them. Even if it's just oil changes. Make sure they come to you for parts. Get a reputation for doing good work, then grow.
 Fix cars first, if you are good at it, it can become a business. If you suck at it, it won't.
 People are always looking for a good mechanic that won't rip them off, once they find one, they send their friends.

This guy makes a very good point.  The best thing I can see you doing from here woudl be paying $100-$200 bucks for someone's old problem and turning it into a profit.  That way your investment is only $100.  Low risk, easy turn around on your own schedule.  Start offering small warranties and the people will keep bringing the car back after the warranty.

[hillfolk'r]

everyone has an idea for you,,,i guess i do too,,, i used to do "side work" at my job,,,to me my time  became more important, so i dont do much anymore,,but thats me,,theres a guy at work that gets all kinds of side work all the time,,he does alot of 6.5t and power strokes,,he always borrows the scan tools from work,,ever price a gm tech2 scan tool???ouch,,,,one thing to do is smaller stuff like simple tuneups,and brake jobs,,so you dont have tolay out alotta cash for special tools,but then,,the potential tomake mega bucks goes down a little too,,,,idunno,,these days,it sorta would scare me,going into business for myself,,,get one upset customer,and it can really affect the business,,everyones sue happy ,,,it depends on how  much of a go getter you are,,,,lotsa stuff out there for info on small businesses,,,,i think they do say a fair amount,like 60% or somethin fold upwithin5 years,,,,gotta have a speciality,or a gimmik,,,,,,,,,,theres lotsa good posts on here so far,,,so really really think about  it,,, the outcome can happen many ways :?:

[firestorm13666]

How much of a need for small diesel techs or repairs does everyone feel there is,and do you feel it will grow or stay where it is?Also what is the reasoning for your answer?When i say small diesel's i mean like VW'S,and light trucks,and the newer diesels that are popping up liek the CRD's and so on.Thanks

[BlackTieTD]

with fuel prices the demand for diesel techs can only be on the rise IMO.

edit: i'm going to elaborate a little... sounds like you are looking for some career direction maybe? if you are interested in working on diesel engines, i can't think of any reason why you wouldn't dig in and try to get hired at any position you can find. with the amount of big diesel rigs on the road, and the increasing commuter diesel vehicle presense, there will always be a job for the skilled diesel mechanic. now it sounds like you've tried and have been unsuccesful at getting your foot in the door.... how about this friend you mentioned, can he put in a good word for you? basically anywhere that will give you experience is what you are looking for.... something to put on your resume not only to show experience, but your desire to get into the field. when i was heading down this path i went from a solid office-atmosphere job working on a computer all day to a junkyard to pull apart european engines and sort junk for minimum wage. it was the only place i could find that would take on someone with zero experience and i tried a lot of places. from there i managed to get my foot in the door at the local VW dealership, but unfortunetly i wasn't happy with that company (bad owners... it was Crosby in Kitchener for you locals, that says it all :lol: ) and my interests shifted. had i stuck with it, i imagine i'd either be done my apprenticeship there by now, or well on my way. try every avenue, and don't give up.. .you'll get in somewhere. swallow your pride too if you have any...  :lol:

[wyldman]

The demand for diesel techs is high....but

There are now two kinds of diesel techs (and mechanics for that matter).There are the typical grease monkeys,who do the re and re,and mechanical repairs,which are common on older vehicles.The new breed of techs are the ones who are well versed in computers,and diagnostics,as the newer vehicles (even diesels),are all computer controlled.

To work on the newer computer controlled diesels,you need a fair bit of training and lots of expensive equipment.

[firestorm13666]

Thanks for the help guys.I was wondering does anyone know about business isurance on here?I really know nothing about it and did a search and did not have much luck.Thanks

[wyldman]

You will need two policies.

One is your CGL,or commercial general liability.This protects the property or business location,it's contents,and customers against slip and falls,etc.

The second policy is a garage auto policy.This covers customers cars in your care and control,and also protects you in the event something happens to a customers car after you repair it.It also covers any dealer plates you may have for transporting unlicensed cars.

The CGL portion is usually reasonable,based on the size of your location and what all you have in it.

The GA is expensive,and will be high for a new business until you prove yourself.

Expect to pay $2-3000 to start for a small one man operation.It may be even more now,as insurance rates have skyrocketed.A lot of companies aren't even taking on new clients for automotive.

One way to get accepted,and at a lower rate,is to start another simple small business (with low exposure or liability),and then add the auto repair on to that policy as a secondary business.It will be much cheaper.