What cut should I give the boss?

B

backwoods_lex

New member
Hi guys,



I was turned on to autopia by the lexus owners club a few years ago. I'm extremely thankfull for all of the knowledge that I have gained from both forums and the fact that so many people are willing to help me out with any questions that I have (again-thank you). To make a long story short, I lost my job last June and had to make by part time detailing business full time. Except for an occasional customer hear and there, all of my work is through dealers that pay $10/hour (I actually started at $8/hour-sucks) for mixed detailing and lot work.



Most of my side work is a full detail (clay+OP or poliseal along with full interior) My boss proposed that I do work through my business at the car lot for a percent. After I got some work in, his response was "didn't we agree on 50%?". I quickly said no and eventually we came to the figure of 25%. Well, I am having trouble stomaching that rate right now. All of my work is based on a rate of $20/hour X however long it takes. I came to that figure because I am just starting out, there is not a lot of money in the area that I work, and because I use the PC and hose instead of a rotary pressure washer. I am working on really cutting down work time to boost that rate.



My question is what percent do you think is fair to kick up for a small bay, hose, and electrical connection? Thanks for any thoughts guys.
 
what ever deal you make.....put it in writing. Seems to me like this jerkwad has selective memory. andf in my book........you do the work......20% is a more than fair cut for him....for doing nothing.....Sorry .....I'd give this guy a one fingered solute and move on. Give him a rate that you can live with, and more importantly live ON......
 
do it per month...that way if you have a lot of detailing in the RENTED bay, its almost all profit...that is the way I would do it...



i remember hearing someone was paying 200/month for a single bay and had two cars a day....the first detail or details paid for the rent and the rest was profit...might want to look into that deal as well...



because if you have a $1000 recondition, why should he get $250 for doing nothing....on the other hand, if you have only 4 details in the month, well.....you need to get busier...LOL



both sides of the coin have their perks...just have to figure out which works best for you!
 
No way I'd do more than rent either hourly or monthly. He should never even know how much you make on ANY car. I can't stand for ppl to know about my biz.
 
As a matter of fact, don't be affraid to re-negotiate the terms. Tell him you'll give him a flat rate per vehicle or something very cheap like $25 per car. There is no reason you can't get $125 to $250 per car for basic service. Better yet, ask him to rent the bay for $100 a month. Remember you are your own boss. Why work for $10 an hour when you can EASILY (yes EASILY) work for $100 an hour or more. Tell him you've thought it over and you have decided to give him a flat figure per vehicle or you are better off on your own. Don't be affraid to take some chances. There are many ways to advertise your services and unless your boss is really doing a tremendous favor, you will ALWAYS make more on your own. :doh
 
Or... find out what he pays per sq/ft and then determine how large the bay is. Take that number and go from there to determine what his cost is for you using his bay. Pay him the bare minimum. If he becomes a real jack a$$, tell him to take a long walk on a short pier.
 
I concur with the rent theory....pay him on the 15th or so of the month because if you give it to him on the 1st...he will know how quickly you made it...then he will want more...agree on rent due on the 15th and he asks no questions about how it is going...it is your business not his....or like others mentioned leave his bay and find something else and start fresh with someone else...that way you are making a living and a guy is making money from doing nothing!
 
don't sell yourself short and stand firm on what you believe is fair. hearing about something like this upsets me, people don't understand how labor intensive our details are, and not to mention the high expectations we have over the standard joe schmoe detailer these days...
 
The operative phrase here is "rent the bay" not give a percentage per car. This is your business and he is not your boss, but a landlord. Do you let your landlord tell you how to live? Of course not. Some people are very eager to take advantage of others. You are the boss and in charge of your own future. Set high goals and don't sell yourself short.
 
Thanks for the replies guys. Let me say that he is an ok guy and I do respect him. That being said, like many used car dealers, he has dollar signs in his eyes and probably puts that above all else.



Renting would be an ok idea if he hadn't told me during our conversation that he could rent the bay (size of a single car garage, no drain, and poor lighting) for $1800 a month. I would never pay anything even close to that for a workspace that is only so-so. I also prefer to do mobile detailing, but for some odd reason some customers prefer to drive all the way to the place, drop off their vehicle, and pick it up later. I also do bank repos (great source of business when you are slow-pays better than most lots do) and wouldn't be able to store the vehicle based on their policies. What also sucks is that I can't work outside of his hours. When the place closes, I have to be out of there. If he decides to close shop for 5 days straight during the holidays, I can't work there. Weekend hours are only 10-4, and there is now way to do a full detail and clean up on a large vehicle without cutting major corners and performing hack work.



I think I'll approach him with the idea of 15-20% if I can use his pressure washer also to cut down on time. If not, well, I don't even think the mob has to kick up that percent to the skipper, so I think I'll just stick to the hourly rate and take days off to detail. And toyotaguy is 110% right--I do need to get busier. I do autopian level detailing and am very proud of the work that I do, but the business side of this-well, let's just say that I have a lot to learn. It has been an extremely rough year for me and my hand was kind of forced to into working without being selective of my customers. Anyway, thanks again for the help guys. Hopefully everybody else is doing better than I am.
 
Why dont you create an LLC, get insurance, and propose to take charge of the whole car wash department? (make ready, used cars, service cars, detailing). Do a cost analysis, come up with a volume in which you will be able to maximize your profits, and at the same time "save some money" for the dealership. Take into account that they provide water and electricity therefore you wont be able to charge a lot per say, but as long you minimize costs, you will be ok.

This is just an idea, coming up with an analysis that will convince them that they are better off outsourcing the "car wash" dept. is somewhat hard but not impossible. It all comes to how you are going to sell yourself.
 
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