6 Tips for Buying an Auto Repair Shop
Are you thinking of buying an auto repair shop? Good. Auto repair shops are part of a booming sector and are some of the most stable businesses to own. But buying an auto repair shop and getting it up and running is tough. It’s not just hard work it can be hard to know what to do and when to do it. Perhaps this article can help. Here are six tips for buying an auto repair shop.
1. Know Your Area
Opening an ice skate rental business can be a great idea if you have a space near an ice rink in Kenosha, Wisconsin. It’s less of a great idea if you live in Miami, Florida. Location is important, so look around the area in which you want to buy an auto repair shop. Are there any good spaces for an auto repair shop? Is there a lot of competition? Are there enough motorists?
2. Know Your Area X2
Knowing the best spot in your city to open an auto repair shop is great. But location goes beyond the local scale. You must understand that the market in which you live will determine how much you must spend to buy your auto repair shop. The franchising fees should be the same, but other costs can fluctuate wildly. Buying an auto repair shop next to that ice skate shop in Kenosha will cost a lot less than buying an auto shop and setting it up in Miami. Commercial rent, property taxes, and advertising costs tend to increase in more densely populated areas.
3. Buy An Auto Repair Shop
If you want to run an auto repair shop, you should buy it. Meaning you should buy it from an auto repair franchisor. Auto repair franchises are much more likely to succeed than independently owned auto repair shops. Independent auto shops don’t have brand names under which to operate and you get no guidance or training from them. You get these perks and more along with your purchase of an auto repair ship from a franchisor.
4. Buy An Auto Repair Shop From The Right Franchisor
Of course, the benefits of buying an auto repair shop only apply if you buy the right auto repair shop. You need to do your research and make sure you’re buying from the right franchisor. You must look for the best benefits you can get. Like the brand name. You want to buy an auto repair shop from a company that has been around for decades and that has built up equity in their brand.
5. Get A Protected Territory
Another thing to look out for is a protected territory, A protected territory means that the franchisor won’t allow another franchise location to open in your area, thus eating into your business.
6. Sort Out Your Finances
Auto repair shops don’t come cheap. You can make big money with them, but it requires significant investment. Make sure to buy an auto repair shop from a franchisor who is upfront about all the cost and criteria. It’s also good to buy an auto repair shop from a franchisor who can help you secure third-party financing if you need it.
Tuffy Tire & Auto Service
To buy an auto repair shop from Tuffy, please contact us.Back