Taking over a small garage

[Lucas 9]

A couple of days ago, I was thinking to run a garage. Now I found one. Small, just 800 sqft ground floor, 400 sqft mezzanine with a small office, 500 sqft front yard. An old gentleman ran it for 20+ some years and retired now. I am going to take over it. The problem is that I am not a mechanic. Will this place too small? What is the maximum capacity do you think it can do? Any input appreciated. 

By the way, if you are a mechanic or you know a mechanic who interested in running a small garage, maybe we can talk.

Edited December 18, 2018 by Lucas

[MrV 66]

"The problem is that I am not a mechanic" isn't that a prerequisite for opening a garage? What's your plan Lucas to employ mechanics? Have you employed people before?

Just out of interest what business we're you in before? Property? 

[Lucas 9]

1 minute ago, MrV said:

"The problem is that I am not a mechanic" isn't that a prerequisite for opening a garage? What's your plan Lucas to employ mechanics? Have you employed people before?

Just out of interest what business we're you in before? Property? 

Thank you MrV. Yes, I have to hire one or two mechanics. Yes, I employed people before.

[MrV 66]

6 minutes ago, Lucas said:

Thank you MrV. Yes, I have to hire one or two mechanics. Yes, I employed people before.

What business were you in previously? 

[NOACROSS 414]

How much is the rent, the utilities, the business rates, the insurance, the public liability insurance, equipment (is it still there- you need ramps etc), how much do you think a mechanic x 2 is a year? PAYE, holiday pay etc. What sort of garage? MOT? If so, that's another minefield. How well did the last guy do? 

 

Who's gonna answer the phone and deal with the customers?

[Dave2302 387]

/\ /\ /\ +1

Un believable ........................ 

I have been buying tools, mostly Snap On since I was 14, over the last few years the Snap On purchases have gone down to just the occasional lost socket, or a new gadget etc.................

However, the need for specialist Dealer Level Diagnostic machines, and the learning curve of Computers, (and for you Lucas) how the Cars Electronic Systems works is very very steep.

My Workshop Equipment expenditure last year alone will wipe out your remaining capital .......................

I quote Fraser from Dad's Army (for those of us that remember it lol) "Doooooomed, Doooooomed"

Why do you think the fella is selling up ??

I have a mate locally, owns a fleet and wants his son to take over his business, the boy is brilliant with computers and his dad asked me if i could teach him to use diagnostic stuff ..........................

I gave it a shot, got the boy reading fault codes, looking at data, but the issue is he has no idea how an Engine etc works, so when the code says "EGR Valve" he might just as well go down the pub............. Not a scooby !!

Lucas, you are full of surprises, keep 'em coming 

 

[MrV 66]

Surely as a successful businessman you know that entering a trade you know nothing about, such as car sales, is a risk let alone going into a garage? You're already clueless about selling cars and now you want to buy a garage? I'm calling bull on all of this, and that's coming from the infamous fu** up Benji 

[Nick M.K. 574]

Small garage is good. 

After your last post about paying your first repair bill last month and thinking of a garage business I was worried you might start by taking over a BIG garage or a chain. 

Best of luck! You will need lots of it mate! 

[Lucas 9]

26 minutes ago, NOACROSS said:

How much is the rent, the utilities, the business rates, the insurance, the public liability insurance, equipment (is it still there- you need ramps etc), how much do you think a mechanic x 2 is a year? PAYE, holiday pay etc. What sort of garage? MOT? If so, that's another minefield. How well did the last guy do? 

 

Who's gonna answer the phone and deal with the customers?

Thank you NOACROSS. 

The rent is £18K per annum exclusive, rates payable £2.6K, insurance usually could be 2K to 3K for normal people (but for me maybe will cost another "million" as you know! ), equipment still have some basic thing there like a car lift, air compressor and other hand tools. Mechanic wage between 20-35K per year each based on the internet search. Of course probably plus 20+% other add-ons, etc.etc. It just a normal garage doing things like oil change, small repairs, brake, tyre change, etc. No MOT. The previous owner runs it with a part-time partner help. Business is not good. He said only doing 50K turnover.

That phone... deal with customers...okay, I'd think about it!

9 minutes ago, Nick M.K. said:

Small garage is good. 

After your last post about paying your first repair bill last month and thinking of a garage business I was worried you might start by taking over a BIG garage or a chain. 

Best of luck! You will need lots of it mate! 

Thank you Nick. 

Edited December 18, 2018 by Lucas

[justina3 518]

It must be the season of goodwill as everyone is being so nice, Lucas you must be some kind of fruit and nut to be even thinking about this, spend your time trying to sell the investments you have already purchased. 

You will be bent over so many times you will get dizzy and that will be just from the suppliers and staff before the customers even get a hold of you. 

Bar humbug.

[Lucas 9]

57 minutes ago, Dave2302 said:

/\ /\ /\ +1

Un believable ........................ 

I have been buying tools, mostly Snap On since I was 14, over the last few years the Snap On purchases have gone down to just the occasional lost socket, or a new gadget etc.................

However, the need for specialist Dealer Level Diagnostic machines, and the learning curve of Computers, (and for you Lucas) how the Cars Electronic Systems works is very very steep.

My Workshop Equipment expenditure last year alone will wipe out your remaining capital .......................

I quote Fraser from Dad's Army (for those of us that remember it lol) "Doooooomed, Doooooomed"

Why do you think the fella is selling up ??

I have a mate locally, owns a fleet and wants his son to take over his business, the boy is brilliant with computers and his dad asked me if i could teach him to use diagnostic stuff ..........................

I gave it a shot, got the boy reading fault codes, looking at data, but the issue is he has no idea how an Engine etc works, so when the code says "EGR Valve" he might just as well go down the pub............. Not a scooby !!

Lucas, you are full of surprises, keep 'em coming 

 

Thank you Dave. You are awesome! Yes, the specialist equipment could be very costly. And yes, the car electric system is complicated full of hardware and computer technology nowadays.

I am somehow an electrician and electronic engineer. I've been making electronic products since I was 12. One of my previous business is an electronic product manufacturer. I developed electronic products for a quite long time, such as the digital processors, LCD,  amplifiers, and some 3D image products. These products sell globally. I had 10+ patents and several trade-mark in that area in the different countries. 

Anyway, those are not for car use. So, I have to learn the car business from scratch for sure. I have to learn from you guys. Thanks. 

Edited December 18, 2018 by Lucas

[justina3 518]

All the diagnostics kit in the world will not tell you how to fix a car point you in the right direction maybe, you still have to have years of experience to be able to understand what the machines are telling you.

 

[Lucas 9]

20 minutes ago, justina3 said:

It must be the season of goodwill as everyone is being so nice, Lucas you must be some kind of fruit and nut to be even thinking about this, spend your time trying to sell the investments you have already purchased. 

You will be bent over so many times you will get dizzy and that will be just from the suppliers and staff before the customers even get a hold of you. 

Bar humbug.

Thank you Justina3. I am sorry to let you feel that way. I wish you a Merry Chrismas and Happy New Year. 

[DPF 18]

“ I am somehow an electrician and electronic engineer. I've been making electric products since I was 12. One of my previous business is an electronic product manufacturer. I developed electronic products for a quite long time, such as the digital processors, LCD,  amplifiers, and some 3D image products. These products sell globally. I had 10+ patents and several trade-mark in that area in the different countries”......................................................wow! Impressive qualifications! 

[Lucas 9]

2 minutes ago, justina3 said:

All the diagnostics kit in the world will not tell you how to fix a car point you in the right direction maybe, you still have to have years of experience to be able to understand what the machines are telling you.

 

Thank you Justina3. Yes, you are right. So, I don't think I am qualified to do it myself. I will hire a certificated mechanic to do it. 

[Mikey360 68]

I changed a battery on a mini the other day......... had to take it to my mechanic as you have to program the bastard in!

As Dave2302 said, it's all about computers and software these days, no matter how much kit you buy, car manufacturers will bring out new software that requires another £5k diagnostics kit, you'll have more tablets and laptops than sockets!

[Lucas 9]

Thank you Mikey360. Yes, it needs regular update both in software and hardware as well. It's expensive.

[ExCouncilJobsworth 27]

You could potentially do servicing yourself. And if you learn how to do brakes. You could even change the odd link bar here and there. These are common sense tasks ie the way they come out is the the way they go back in lol

It appears you're a jack of all trades with some comments? What else do you do? 

[Dave2302 387]

Mercedes Benz Server subscription costs  £10k a year on it's own, then there's all the other 11 Mfr's that I have Dealer Kit for, some PAYG, some Annual and some per file downloaded.

Then there is Machine software updates. etc etc etc etc etc, and most run of the mill mechanics won't be able to work it or understand it !!

2 hours ago, Mikey360 said:

I changed a battery on a mini the other day......... had to take it to my mechanic as you have to program the bastard in!

As Dave2302 said, it's all about computers and software these days, no matter how much kit you buy, car manufacturers will bring out new software that requires another £5k diagnostics kit, you'll have more tablets and laptops than sockets!

Absolutely Mikey, a billy asked me the other day why I charged him an hour to "just" fit a Battery

I used to employ good Mechanics / Technicians at my Gearbox firm, and believe me, whenever we interviewed there wasn't 'arf some wankers applying for the jobs !!

Without Motor experience how the hell do you know who is good and who isn't, the good ones are either on top dollar and happy in their PAYE Job or they work for themselves

An "out of work" mechanic coming for an interview would always set bells ringing, it took us years to get the right team together.

If I had Lucas skills with Chips and Electronics etc I'd be in that game, but I just love Cars, Old and New, always have done.

 

[justina3 518]

1 minute ago, Dave2302 said:

 

Without Motor experience how the hell do you know who is good and who isn't, the good ones are either on top dollar and happy in their PAYE Job or they work for themselves

 

This simple statement goes a long long way, i had to give my mechanic a share of the workshop businesses best move I ever done, i could go for months without going in there and it would still be running like a watch.

 

[Lucas 9]

That is a good idea. I will be happy to give a share to the mechanic or anyone who is important to the business.

[Mark101 536]

4 minutes ago, Lucas said:

That is a good idea. I will be happy to give a share to the mechanic or anyone who is important to the business.

Send me some of your stock and I will sell it for you and get them fixed - you just take your share of the winnings

[Lucas 9]

Thank you Mark. 

[Dave2302 387]

1 hour ago, justina3 said:

This simple statement goes a long long way, i had to give my mechanic a share of the workshop businesses best move I ever done, i could go for months without going in there and it would still be running like a watch.

 

Absolutely, keeps 'em keen, we used to do a profit share with our top 2 guys  

[trade vet 702]

£50 per week business rates for 800 sq ft.Where are these premises,Kensington High Street.