Originally Posted by
zito
Originally Posted by
jord0690
Also need to consider the HUUUGGEEE and i mean MASSIVE overhead shops have. Its unreal. Our last bill for ONE parts supplier out of about 5 was over 5k. And thats one we dont call very often. Plus wages, operating costs, the list goes on and on. (theres actually a picture describing it all perfectly that i should upload) Plus the work is tough, dirty, stinky and sometimes painful... Oh so painful LOL. And it takes yeaaars to obtain the knowledge and skills to legally be able to work on cars. Talking from experiance here. Thats why hourly rates are high and some parts have large markups. If it was all cheap like we all want it to be, shops like my familys shop would would be out of business.
Just a couple points. First, I'm not sure what your family's shop charges for an oil change, but locally it's around $40. I just did one myself for $24, and that's using a slightly more expensive Wix filter, and buying the oil at Canadian Tire in a 4l jug. If I bought oil in bulk, it would be noticeably cheaper yet. Perhaps your shop needs to charge higher prices to make more than $1 per liter on a change.
As well, listing the bill from your parts supplier doesn't generate much sympathy at all from me. Considering an average markup of 20% (which is quite low for auto repair), that $5k bill generated you $6k in income. And considering that I've never heard of a shop letting customers pick up their cars without paying for them, you've already gotten the $6k payment long before you have to worry about paying your supplier's bill. Sure, some customers will always stiff you, even abandon their cars, but your 20% markup more than covers their parts.
Most shops now also charge a "shop supplies" surcharge on the bill of 5-7%, which again is usually quite a bit more than any non-billable shop supplies actually cost.
Bottom line is, a repair shop doesn't really face any more difficulty in being successful than any other business. So the work is dirty, smelly, and sometimes painful and dangerous? So's scrapping. So you had to go to school fulltime for two years, or apprentice for four, to get your ticket? Talk to any tradesman. Most repair shops I've seen fail, usually did so for obvious reasons. Such as priced themselves out of business, or hired incompetent staff. Or my favourite; getting somewhat successful, having say 2-4 mechanics, then "We wanna be Big Time!!" syndrome hits. A new, custom built 8-10 bay shop, with a couple extra bays for the new race car and hauler. "Hey, it's advertising, doncha know!". All of a sudden, the shop owner(s) are in way too deep, with no way to dig themselves out. Actually seen the last one happen a few times.
Again, can happen to any business, not just auto repair shops. Every type of business has success stories as well as failures.
We used to make more per L but like everyhing else, prices go up, and makes it hard to compete with the local quick lube joints. And anyone can save money doin it themselves. But alot of guys dont have time or dont wanna lay on their backs. I know I wouldnt. Oil changes arent our money makers. Its more of a conveniance thing for our locals, and Its what we find during oil changes that make us money.
As for the bill I listed, i wasnt looking for any sympathy at all. Just trying to help people understand the kinds of costs shops have. As for paying it, sure we make 20% on parts, but like I said, there are many many more costs we need to cover first. I really wanna find that picture i was talking about lol. Also, we do not charge a shop supplies fee. If we use a can of break clean, or a grinding wheel, we bill them individually. Most of thr time its under 5 bucks.
Nomatter what shop you go to, theres always issues and down time. I cant tell you how often our parts suppliers send us wrong or broken parts and leave us with a car stuck on the hoist. Finding different suppliers isnt an option, as we are a small town shop out in the country and many suppliers dont deliver to our area.
Have you ever worked as a mechanic? Serious question, not being a smart a$$. Cause I have never been as dirty scrappin as i have been workin on cars. Ever. I have gotten hurt just as much though... Oh well i dont mind that stuff too much.
And yes, being a small town shop, we do let some customers leave before payin or we do payment deals. Being smaller, you get to know alot of customers on a more personal level. Not everyone, and we dont give everyone the option to pay later, but its stuff like that, our honesty and the fact that bossman shops around to find the best prices to help our customers, that keeps them coming back time and again. Not to mention we have the lowest rate around that I can find. But someone before made a comment about 25 bucks to clean battery terminals, we charge that all day long. Its not just a little scrub and out the door. We spend about 20 mins per terminal service.
And for the record, im not saying our shop is havin a hard time keepin the doors open, its infact opposite. Bossman cant close em until 7pm most nights. Im just trying to help people understand why stuff is sometimes so expensive. Most understand. But some still complain and want us to act like a thrift shop for automotive repairs.
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