Performance shop

[posol]

and don't for get insurance!!!!!

you WILL break something, accidents DO happen, and shit DOES get stolen.

 

[erebunicrx]

corey's grandfather owns a oil company, sells realestate, has a gas station, and has had other. he is going to help us out will all the permits and stuff like that.

Brian what would you think about a place that did not have a garage right at the store but had one down the street like 5 min away? would you think that was legit or kinda shady?

 

[Bob Vila]

Performance shops don't last around here, ask Scott from the old TDM. He just couldn't compete with pricing from other big companies, and the labor just wasn't cutting it anymore. To stay competitive you have to beat other's prices, its hard to do unless you have a large buy in from the distributors. When I worked at Manchester Honda, we had initial buyins from Neuspeed and that alone was 20k. This wasn't even the best price deal for a retailer either. We weren't competitive with pricing because of this,and I believe they don't deal with Neuspeed anylonger. You are going to need a lot of up-front capitol to get this thing going, not only for inventory, but for Insurance, Rent, Lifts, dyno's, salaries, tools, construction of the showroom (hint), POS systems, inventory systems, telephone, internet, it all adds up. You're going to need to do a Business Plan, and it needs to be top notch if you wnat a loan from the bank...

 

[posol]

Originally posted by erebunicrx+May 6 2005, 07:01 AM-->

Brian what would you think about a place that did not have a garage right at the store but had one down the street like 5 min away? would you think that was legit or kinda shady?

[post=495858]Quoted post[/post]​

very shady- and even more so, your insurance policy is going to double because you'll be driving the cars, as well as just storing/working on them.
and then you got cars that don't run coming in... you're going to need towing... in the end, i only see it costing more.

Oscar Mayer@May 6 2005, 07:47 AM
Performance shops don't last around here, ask Scott from the old TDM. He just couldn't compete with pricing from other big companies, and the labor just wasn't cutting it anymore.

While I agree for the most part that this is the case, there were also a TON of business faults that TDM had. IMO, they didn't take it serious enough.

To stay competitive you have to beat other's prices, its hard to do unless you have a large buy in from the distributors.

while i'll agree with this for the most part, as long as you are CLOSE to what i can get it for elsewhere, i'd rather see my cash go to a local shop who's cool, than Joe's Ebay Store.

When I worked at Manchester Honda, we had initial buyins from Neuspeed and that alone was 20k. This wasn't even the best price deal for a retailer either. We weren't competitive with pricing because of this,and I believe they don't deal with Neuspeed anylonger.

werd- a lot of big companies are like this... but nowadays, who the hell uses neuspeed shit anyway? lol

a lot of larger distributors offer a re-seller wholesale plan. i know fastbrakes does, and i know wiredspeed.com has dealer options to buy at just a hair above their cost.
they get the big contract, and the huge buy-in, but in order to keep it, they have to meet a certain level of slaes per month- and so to keep it, they offer out just a hair above cost to other dealers.

You are going to need a lot of up-front capitol to get this thing going, not only for inventory, but for Insurance, Rent, Lifts, dyno's, salaries, tools, construction of the showroom (hint), POS systems, inventory systems, telephone, internet, it all adds up. You're going to need to do a Business Plan, and it needs to be top notch if you wnat a loan from the bank...

POS system (hint)

and on top of all that, you have the actual setup of the business to get the business license. LLC, Sole proprietory, inc, etc etc... and all their different quirks... its a LOT of paper work.
if your thinking this now.... you're probably going to need a year to get into a building.

 

[Bob Vila]

I think the license part is one of the easiest pieces of the puzzle, all the other crap is more of a hassle...

 

[erebunicrx]

well as far as the money part goes we are doing a colateral loan (sp?). we could get 400k to start this up. another problem is we are not that confident to work on others cars. sure we've done swaps. but we could do anything in the intake or exhaust part and all of the suspension w/o any problems.

i was just thinking that we could have the other garage down the street wich is free. it not just some garage in the middle of no where. its on rt 10 in back of a gas station. idk, i just think that we could do alot of business selling shit and have fun doing it.