Everything You Need to Know About Opening an Auto Repair Shop From the Ground Up
- (Photo : Auto Repair Shop)
If you're interested in starting your own auto repair shop, you're not alone. Profitability and revenue continue to grow in the automotive maintenance industry, and the sector shows no signs of slowing down. As a result, more and more entrepreneurs are getting into the business. However, just because you decide to start an auto repair shop doesn't mean that you're going to be able to compete with those around you. Here's everything you need to know about starting an auto maintenance business from the ground up, so that you can hit the ground running.
Obtain the Necessary Licenses
In addition to filing the necessary paperwork to become a registered business in your city, there are several other licenses and permits you'll need to apply for if you want to run an auto repair shop. One of these tasks involves making sure that the building and area you are looking to operate your repair business in are zoned appropriately by the city. If it isn't zoned in a specific way, it may be against the law to operate your business in that location, even if you are a registered business. You'll also want to make sure that your mechanics are properly licensed and stay up-to-date on their paperwork, and it's also worth purchasing insurance to cover your employee's safety, as well as general liability insurance and property insurance.
Buy a Property
Once you've confirmed that the location you're interested in using to run your business is properly zoned, you'll want to buy the property or lease it. Both of these choices have their advantages and disadvantages, so it's a good idea to weigh the pros and cons of each option even if you have enough money to buy the building outright. If you lease the property from another landlord, you'll never need to worry about having to sell the property if business doesn't pan out. At the same time, though, buying the property and owning it yourself could mean that your monthly payments for the building are considerably lower, which could be advantageous at the onset of your business. Overall, it's a personal decision to make, but be sure to reference your estimated budget when making the choice.
Make Sure Your Building Is Properly Outfitted
Running an auto repair shop requires a building with certain features in order to run smoothly. As a result, you may need to upgrade or build out the property you buy if it isn't equipped with the right features. For example, you'll want to make sure that there are garage doors to each bay that you'll be working on cars in. At the same time, it's a good idea to use commercial steel doors in other areas of your business, so that you can ensure that your building is appropriately fire proofed and up to code. Having the right pneumatic lifts for each car is also a valuable feature to install at the beginning of your build out of any existing property.
Hire Quality Mechanics
What should you look for when hiring mechanics? Obviously, experience is one of the most important qualities for any technical role like an automotive repairmen. This is because your staff needs to be able to quickly diagnose and troubleshoot complex mechanical problems in order for your business to stay competitive and profitable. Ask each employee you interview what automotive and diesel certifications they have, and when they've put these skills to use. Having a strong educational foundation is of course valuable when it comes to being a mechanic, but it's equally important to be able to demonstrate on-the-job knowledge, too.
Beyond their technical understanding of cars and the auto industry, it's also a good idea to hire people who are friendly and have some customer service experience. Remember that your mechanics will likely be the ones handling the dropoff and pickup of customers' vehicles since they need to be able to explain what work was done on each client's car. Picking a friendly, knowledgeable mechanic ensures that every aspect of your business is covered.
