Who here has their a retail space they are working out of?
- Thread starter David703
- Start date
imported_WCD
New member
Can you describe the area? Traffic Count, auto related businesses near by, is the space set up for detailing, zoning issues, etc. Pls. explain first the area.
Thanks, Rob
Thanks, Rob
I'm just trying to figure out how to determine my gross sales.. I know my fixed costs and have no idea how many cars I can do a day.. I can fit 8 cars easily inside. How can I sign a lease when I have no idea what to expect?
The store is right next to a mechanics shop. Good traffic area. Near affluent towns. A few blocks away from a detail shop that can do two cars at once. This place used to sell cars so it has a beautiful glass garage door.
The store is right next to a mechanics shop. Good traffic area. Near affluent towns. A few blocks away from a detail shop that can do two cars at once. This place used to sell cars so it has a beautiful glass garage door.
David Fermani
Forza Auto Salon
$3000 is alot for rent. I never paid anything more than $2000 for 5000 square ft on a somewhat busy main street. How big is the place you're considering? You really need to make a minimum of $500 per day with employees to break even. Volume is the only way to make money.
$10,000 = total sales for breakeven
-3000 - rent
-5000 - labor
-1500 - utilities/insurance/transportation
-500 - chemicals/supplies
$10,000 = total sales for breakeven
-3000 - rent
-5000 - labor
-1500 - utilities/insurance/transportation
-500 - chemicals/supplies
I do about 16 to 20 full details per week with about 20 hand washes (or wash + wax) from regular clients. We started the operation November of last year, which was not very ideal because of the Minnesota weather but it did give us a change to ease into it. After the weather got nicer, it took maybe 3 months to get steady business (mostly from weekly/monthly clients). We make between $3k and $5k per week depending on weather.
I do most of the detailing myself with the help of two others. On a good day, I'll do three complete details while one other is busy hand washing cars. There are still days, however, where I have two appointments, one will cancel, and I have to fish for work.
We only have one garage but we are in the process of adding two more. I'd like to double our efficiency and hire a second full-time detailer.
I do most of the detailing myself with the help of two others. On a good day, I'll do three complete details while one other is busy hand washing cars. There are still days, however, where I have two appointments, one will cancel, and I have to fish for work.
We only have one garage but we are in the process of adding two more. I'd like to double our efficiency and hire a second full-time detailer.
imported_WCD
New member
Your costs will be determined by your expenses, not someone elses. If you were in my neighborhood in CA. you would pay 5k per month for a 2 bay gas station- a closed one with no tanks running. What is the wash bay like? Do you have a water reclaim set up? If not, you are asking for real trouble. You will need something in place and approved- a clarifier or separater meet the EPA, but some cities will allow other methods. I suggest you become involved in your community through the Chamber, sponser youth teams, etc. You will really need to put a business plan together. "Affluent neighborhoods nearby," does not make money. What is your market? If you don't know yet, than you don't have a plan. There are some great books out that deal with marketing, finding your market and directing your money to getting your market to make you money.
I wonder if you can purchase something? I would rather buy a property than rent since the monthly payments are much less than a rent payment. Plus, you own and then will build appreciation in the value of the property. Heck, work for three years, make a positive gain, and then sell for triple net!!!
The E-Myth Revisited...read it!
Think about car flow. The more you have to move cars, the more risk. How much insurance will you carry? What's the customer area like? Will you sell retail items? What software are you using to track customers? Sales? How often will you send out mailers? Will you do add-ons...tinting, PDR, etc.?
Just some well intended thoughts.
Rob
I wonder if you can purchase something? I would rather buy a property than rent since the monthly payments are much less than a rent payment. Plus, you own and then will build appreciation in the value of the property. Heck, work for three years, make a positive gain, and then sell for triple net!!!
The E-Myth Revisited...read it!
Think about car flow. The more you have to move cars, the more risk. How much insurance will you carry? What's the customer area like? Will you sell retail items? What software are you using to track customers? Sales? How often will you send out mailers? Will you do add-ons...tinting, PDR, etc.?
Just some well intended thoughts.
Rob