How to Start an Auto Repair Shop? [Best Tips 2021]

As of right now, there is enough Auto Repair shop scattered all across the country. Over 160,000 of them are available for those who need to have their cars, trucks, and SUVs fixed up.

But guess what? There is always room for one more! So if you’ve always dreamed of figuring out how to start an auto repair shop, you should get started on trying to do it.

If you don’t have the slightest clue about how to open an auto repair shop, we’re going to aim to change that today. We’re prepared to walk you through the steps for how to start a mechanic shop from scratch. It should help you get one up and running in no time at all.

Research the Auto Repair Shops in Your Area

Before you spend a bunch of time trying to learn how to start an auto repair shop, you should make sure that there is room in the market for another auto repair shop in your area.

You can do this by Googling “auto repair shops near me” and seeing how many names pop up. If it appears as though there is an auto repair shop on every corner in your city or town, it might not be the best idea in the world to open another one right now.

If nothing else, this will give you some indication of how much competition you’re going to face when you start up an auto repair shop. You’ll be able to strategically position yourself in the market if you decide to open your shop in the near future.

Find a Place to Put an Auto Repair Shop

If you decide that you are, in fact, prepared to go through with opening an auto repair shop, you’ll need to look for someplace to put it. You ideally want to open it in a place where there aren’t a whole lot of other car repair shops around.

You also want to open your auto repair shop in a place that’s going to be easy to get to. Additionally, it should have plenty of room to put all of the cars that you’re going to be working on.

Create an Auto Repair Shop Business Plan

You can’t open an auto repair shop without an auto repair shop business plan. This plan should include all of the information that you’re going to need to set your new business up for success right from the start.

The business plan for your car repair shop should have things like:

  • An executive summary that offers a brief overview of your company
  • Market analysis that shows how much research you’ve done on the local auto repair market
  • A list of your auto repair shop’s products and services
  • Financial projections for your auto repair shop

There is a pretty good chance that you’re going to need to borrow at least some money to get your auto repair shop off the ground. It’s tough to start an auto repair shop with no money.

Lenders are going to want to see your auto repair shop business plan before they even think about giving you a dime. It’s good to get it into place sooner rather than later so that you have it handy.

Invest in the Right Equipment 

There is a whole host of equipment that you’re going to need to buy to start an auto repair shop. Once you have the money to do it, you should purchase things like:

  • Air compressors
  • Jacks
  • Engine hoists
  • Battery chargers
  • Brake lathes
  • And more!
Hire Employees to Work in that Shop

If you’re going to open a very small auto repair shop that only works on one or two cars at a time, you might be able to run it on your own. But otherwise, you’re going to need to have at least a few employees working alongside you to ensure success.

You’re obviously going to need to have one or two mechanics on hand all the time. You’ll also need to have a receptionist to take calls from customers and someone who can handle ordering the parts and supplies that you’ll need.

You should look for experienced and skilled employees to work in your auto repair shop. They’re going to be the backbone of it and will help to make or break your new business.

Market an Auto Repair Shop to the Masses

Once you get to this point, your auto repair shop should be almost good to go. The only other thing you’re going to need to do is begin to market it to those in your community.

Auto repair shop marketing is important because it’ll let those in your area know about your car repair shop and the services that it can offer. You can market your shop by:

  • Running advertisements in local newspapers and on local TV and radio stations
  • Sponsoring events taking place in your city or town
  • Establishing a presence on social media

Marketing your business in the right way will work wonders for it. It’s why you need to put a big emphasis on auto repair shop marketing.

Know-How to Start an Auto Repair Shop Before Doing It

Starting an auto repair shop isn’t something you should do on a whim. You need to put a lot of time and thought into it in order for it to turn out the way you want it to. You have to read a lot of car online manuals that you can find at and learn from them, see what part goes where what tools to use, and so on.

We’ve laid out how to start an auto repair shop for you here. Use what you’ve learned to jumpstart your shop so that you can start serving those in your community.

Take a look at the other articles that we’ve posted on our blog to get more advice on opening up a new business in your area.

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