How to grow your auto repair shop business- My 4 Tips

Posted by Candy Lai on

How many of you are running your own repair shop but feel the market is getting tougher and more competitive?
Do you feel everyone wants to buy their own parts on the internet to save money?
Do you feel equipment is getting more expensive?
And do you feel the new cars are better so the repair jobs are lesser?
Running own auto service center is the dream to the skilled mechanics and car lovers.
You have the vision!
You love the cars and you enjoy shooting car problems.
You got the enthusiasm to achieve the mission.
But except the enthusiasm, You need a plan!
A plan to keep your mind clear and grow your business easier and larger
When facing the coming challenges & competition, you collaborate with them but not against them.
Tip#1 Upgrade your skill to embrace new modern cars.
To specializing in a specific brand of cars is great as it helps to minimize the amount of universal tooling cost.
Also the familiarity with cars can save your repairing time.
But you still improving your skill by learning new knowledge about new model cars.
More modern cars now equip with electronic computer system to monitor the vehicle situation.
Get yourself to the related knowledge and technology.
If you don't manage them, they will come to manage your business soon.
Tip#2 Avoid the Price Battle
Do some research to see the market around your shop, what car models are others specialized in, what service do they provide.
Try to segment your niche by different car brands or repair service you can offer.
And always to keep your shop clean and maintain the professional outlook.
Consumers care the 1st impression when they stop the car at your repair shop.
You got to get your shop ready anytime for them. 
Tip#3 Collaborated with Parts Suppliers
Yes, internet makes car part purchase much easier than before. 
Instead of refusing car drivers to bring their own car parts, you can introduce them to buy from the car part suppliers you affiliate with.
Ask for better offer of brand promoting bonus if you recommend car drivers to buy these brands' parts from them.
If you have long term cooperation part supplier, you can even ask them to keep inventory for you.
So you can leverage the cash flow by minimizing the stock amount. 
Tip#4 Keep Operating Expenses Low and Keep Cash-flow
2nd hand equipment is absolute ok at your very beginning stage.
Be careful of over extending!
You'll never know the slow month is right at the corner.
Some weekly payment from equipment dealer, like $200, looks not much.
But experienced mechanics will know they have to do it for 52 weeks and continue for 5-10 years.
So when you want to grow the business, you not extend the expense. 
On the contrary, you extend the service by investing yourself's skill.
You extend the product items by collaborating with suppliers.
That's the way you will grow the business for success!
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