No doubt, the market for mechanics is currently gaining traction and pulling in more profit gains. So if you are thinking of how to start a car repair business, I will assume you already discovered the gold in the industry and ready to mine. There is no better time to open your own car repair shop, especially now that most drivers now have cars that are as old as 10 years. That means there is currently a high demand for auto mechanics to repair those cars when faulty.
If you have been looking for a way to be your own boss and have absolute control over your own hours, opening your own car repair shop is a great idea. In this article, we have given an in-depth overview of what you need to start your own car repair business.
Tips for Starting Your Own Car Repair Business
Design a business plan for your car repair business
No business succeeds without a solid business plan and a car repair business is not an exception. Your business plan defines the scope of your business. It will highlight your start-up cost, how many customers you intend to be serving, how many cars you plan to service daily, and what your marketing plan will look like.
You will need to be critical and thorough while writing your business plan. Let it include certain challenges you might face down the line and make plans to get away from such. A good and well-written business plan helps you avoid any uncertainties that might come as a surprise to you in the business.
Find a strategic location
After writing a detailed business plan, the next thing to do is to look out for a good location for your auto repair business. You need to find a centralized place for your customer base. If you are too far away from your customers, they might consider going somewhere else because towing companies usually charge by the number of miles.
Get a place with wide access to make it easy for your customers to drive in their cars. The place should also have high ceilings to accommodate car lifts and have good natural lighting.
Know the startup cost
This is one of the things an ideal business plan should include. Before you even think of opening your car repair shop at all, you should have a rough estimate of how much it will cost you to run such a business. This is very important. Even if you cannot accurately tell the cost of some things, you should be able to project certain costs ahead.
The major places that will take the bulk of your money are procurement of equipment, renting a space, and getting insurance.
Find your equipment
No doubt, there wouldn’t be any car repair shop without the right equipment. You will need to get the equipment you need to successfully run the business. You can get your tools online. When getting your tools, however, as a startup, you don’t need to splash cash on expensive equipment. If you are running on a budget, you can get used equipment and use it till you can get new ones.
You will need a specialized set of mechanic tools, car lifts, and a diagnostic machine. These are basically the important equipment you need for your car repair business.
Get legal advice
Operating a car repair business goes beyond just getting a location and serving your customers. There is a legal part of the business. You will need to obtain a business license, open a business account, get used to regulations governing such business in your area, etc. That means while opening your car repair business, you will need a competent lawyer by your side. He or she can save you from committing costly mistakes down the road.
Get certified
You will need certification in this business as well. The most important one is the ASE certification. This certification tells your potential customers that you know what you are doing. That hence helps build trust and competence with customers. Before you can get an ASE, you will need at least two years of work experience.
Draw out a marketing plan
In order to establish your initial customer base who will likely become recurring customers, you will need to market your business. An excellent marketing strategy helps your business stand out from the crowd and puts you ahead of the competition.
Some common marketing channels for a car repair shop include radio advertising, print advertising, social media, and review sites like Yelp. You can also take it a step further by sponsoring local events and network within your community.
Another effective way to market your business is through word of mouth. If your auto repair shop can become a trusted source for insurance agents and towing companies, they can help you bring customers to your business. Remember, they are usually the first people potential customers contact when a vehicle breaks down and needs repair.
Conclusion
A car repair business is a good business and it’s increasing in popularity by the day as more old cars roam the streets. Thinking of starting such a business is a profitable idea. However, you need to put some things into consideration before thinking of starting. This includes your location, startup cost, equipment to buy, and what certifications you need. All these have been highlighted in this post. You can read again to see a clear way on how to start a car repair business.
You can also read here to see some amazing business ideas in case you decide to change your mind about opening a car repair shop.
