7 Things To Consider Before Opening A Car Repair Shop

Truth is, owning a car repair shop shouldn’t be difficult provided you can perform your due diligence. You may even check out some tools you will need at British Truck1 to give you an idea of what you may need to get started.

Picture for a moment what it would be like if you own your own car or truck repair shop. Imagine how you’d feel if you are in control of your career for the foreseeable future. All you must do to is consider these 7 things before you open your car or truck repair shop and check.

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1. Get Legal Advice

Before you start looking for a location for your car repair business, you need to obtain a business license and be compliant with requirements relating to liability insurance. Then, you need to file your article of incorporation, handle payroll and tax reporting. It will be difficult for you to do all these processes efficiently without the help of a legal counsel.

Bear in mind that it is not necessary for you to retain the lawyer, you only need to hire him to complete all your “pre-business” steps.

2. Determine Whether You Will Buy Or Rent The Tools

If after adding the cost of the tools (such as a diagnostics machine and a lift with an installation) you will need, and you have the budget to purchase them, this is an easy decision for you to make. But if not, then, you might have to rent the tools until you can purchase them.

If you are going to purchase these tools, make a thorough research to get the best deals and stay within your budget.

3. Know Your Startup Costs

You must have an estimate of the cost that will help to get started. Otherwise, you risk spending all your cash with no customer to show for it. Though it is impossible to predict all costs, you can easily estimate the most common and the most expensive costs such as equipment, insurance, and rent.

New evidence suggests that you will need approximately $47,000 to get started. However, these costs do not take into consideration rent or building costs.

4. Get Certified

Do you have the Automotive Service Excellence (ASE) certification? If no, it is not compulsory. But it may become very difficult for you to secure a liability insurance or find suitable finance options for your new business. Another benefit of the ASE certification is that it instills confidence in the mind of a potential customer.

However, the requirements to take the certification test are:

  • At least one year obtained on the job
  • At least two years of work and educational experience

5. Choose The Right Location

This is an important factor because potential customers prefer locations that are easily accessible. Also, when you are considering a location, make sure it has or can accommodate:

  • An office and a toilet for your customers and your staff.
  • A comfortable space for your customers when they have to wait.

6. Have At Least One Assistant

It won’t be easy for you to be under a car performing a repair and at the same time picking a call from your potential customers. You need an assistant to help you with customer service duties. To have enough time to find and choose the right assistant, verify his references, and negotiate his allowances, start your hiring process at least one month before you open your business.

7. Develop A Marketing Plan

While marketing is not an easy task, it is a necessity. It will ensure that you have a lot of potential customers on the day you open shop.

Here are a few proven marketing techniques you can apply:

  • Distribute fliers around the city
  • Offer a discount on your services for the first week
  • Use social media to promote your business
  • Create a website that displays your services, testimonials of satisfied customers should also be included.

Conclusion

Congratulations! You now know almost everything you need to know before you open a car repair shop. But the truth is, packing away all this information in your noggin won’t do you any good if you don’t put it to use.  And that’s why we suggest you act – starting right now – by seeking legal advice.

If you are interested in even more business-related articles and information from us here at Bit Rebels then we have a lot to choose from.

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