From Mobile to Shop: Things to Think About

Dan Tran

Dan Tran

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Hello fellow Geek!

I have been thinking about a shop for at least two years. Solely based on the fact that I turn down a lot of business even in the winter time.

As I get more and more established with my business, I have been gaining momentum year by year. This month I have turned down about $1200 bucks and the calls have been still periodically coming in.

Generally speaking. Is it common for folks to “break even” in operating cost during the slow months?

Also, many times, I hear from former mobile guys saying that their business volume and profits increased from having a shop front. Your thoughts?

Lastly, my goal is to eventually have a more controlled environment to produce my paint corrections and coating applications. I am currently very selective with who I install pro coatings for. The circumstances will of course need to be right. I feel that having a shop can help stop the bleeding because since I became a pro installer, I had also turned down a decent amount of coating jobs.

Am I just a chicken? Or am I just wise to still stay mobile.

There is a shop space near me that can easily house 4 cars that is going for $1400 a month. But I can’t because it is winter. They want first, last, and security.

One more thing. I was forced to buy garage keepers insurance. Does going into a shop effect my premium?
 
Is the shop space you are able to get suited to wash the vehicals inside? And with the regulations you have where you live if it's needs to have like a oil separate in the drain and the ventilation for driving in the vehicals in and out and if you are able to be setting up any walls and such to separate the vehicals from getting overspray on them and all that stuff. Or if you are able to be washing the vehicals right outside of the shop with access to water and drains that's enough for the kind of work you would be doing during the winter months.

I'm not a proffessional at all. But take a good look at your self if you want to do all of the detailing work in a shop environment. Or if you would like to have a mix of a shop and the mobile work. Hear some saying that has gotten from mobile to shop to doing only mobile detailing again. And they where more satisfied with work as a mobile detailer than in a shop only. I think if you are able to be haveing both options it would be great to get a mixed work. Or if you would be more satisfied with your work as detailer in a shop only. It's always what you as a person find suits you the best to be happy with the work you have. And if you think it's possible to get enough customers to a shop.

No easy way to decide what you are going to be doing. Hope you get some more usefull thoughts you have with haveing an own detailing shop and what to think off.

/ Tony
 
let`s see... after 4 years of mobile i got my first shop , i could fit 2 cars , was decent for what i need it. having a space may allow you to add extra services to your menu. something like ... touch up paint , ppf , tint , pdr , or ...if you don`t wanna learn new skills , upsell and sub-it out , build a network of pro who can provide this service.

now i have a new space since 18, and i can do way more , the working space is almost triple and more efficient line up and i can work on 7 cars simultaneous , or fit 12 cars overnight.
is nice to have a shop , i will never look back , you can keep cars inside and still have projects in bad weather, or keep cars for bigger projects.
having a space may allow you to grow the business, of course you still have to market it.
i still keep the mobile service , but lately i offer it just for maintenance washes , the regular clients mainly , all new clients has to go tru the shop before we do mobile for them.

best way is compare your numbers from last year with this year and that may give you an idea if is the right thing to do. also keep in mind you may looks some of the regular mobile jobs.....
having a space was the second best decision after i wrap the vans ....
if you plan growing shop is one way to do it, but check the numbers first , think : invest in the shop , market , new equipment , rent , utilities , insurance....
 
Great thread Dan. We've recently gone through the same thing and decided to pull the trigger. In early September we took the keys on our new place, a ~2100 sq ft space with a roll up door and a roughly 150 sq ft area that we turned into a waiting/reception area. So it's mostly shop. I figure we can work on 6 cars at once and store maybe 9 that way it's laid out. We had no plans to be open even as a soft opening until after SEMA but we took a couple jobs in there before that. We've been back from SEMA for about 6 weeks, but the weather here has been absolutely dismal since a few days before Thanksgiving. Unfortunately, SoCals are so used to good weather that they really don't do anything when it rains LOL.

We are also keeping the mobile because right now that more than pays the bills. I'll continue to do the mobile and my son is going to try his hand at running the shop. So far, the quality of the jobs coming in is much better than mobile. I average ~$300 every time I stop my truck, but so far in the shop the lowest price job has been about that. We've already done 5 coatings in there and we have another one we had to push back until it stops raining next week and another one that is calling me when it stops raining to pick the best date to do it. We also are offering XPEL PPF through a third party and we've done a full front and coating on a brand new Telsa. That's work we could not get mobile. The advertising for the shop JUST kicked in a couple days ago, so once the weather clears I'm hoping to see a steady influx in jobs into the shop.

I will say this, however much money you think you need, double it. I went in thinking I could get the shop up and running for about $10k, but in the end it ended up costing almost $20k. Luckily we paid cash for everything, no financing and no credit, so even though it hurt initially, almost every dime we make now is back in our pocket profit. Everything costs more than you think. Electricity turn on, cable, internet, spot free water. I had to run water to the roll up door so we could use our pressure washer. I had to run electrical all over the shop. Paint. Cleaning supplies, mop, mop bucket, trash cans, etc, etc, etc. You name it, you have to buy it.

You can check out some of our progress on the shop on our IG @sudsmobileautodetailing • Instagram photos and videos

Good luck!
 
Where's the guy that told me I wasn't making $5k a month fresh in the business two years ago? LOL Where did that guy go? No, you're right I'm not making $5k a month.
 
What I am hoping to happen is to see if my May and June numbers for 2020 will increase significantly to finally justify a move. I am in not rush, I want to do it right. But it’s sad that I am already thinking of next fall and winter. And also thinking about how many jobs I said no to because it was raining hard or there was snow.

It hurts.

Since I already have an in with Opti-Coat, I would be planning on offering Opti-Coat PPF. There is definitely potential for that as well.

Almost every coating job I get, I get asked if I also do PPF...sad face.
 
sudsmobile said:
Great thread Dan. We've recently gone through the same thing and decided to pull the trigger. In early September we took the keys on our new place, a ~2100 sq ft space with a roll up door and a roughly 150 sq ft area that we turned into a waiting/reception area. So it's mostly shop. I figure we can work on 6 cars at once and store maybe 9 that way it's laid out. We had no plans to be open even as a soft opening until after SEMA but we took a couple jobs in there before that. We've been back from SEMA for about 6 weeks, but the weather here has been absolutely dismal since a few days before Thanksgiving. Unfortunately, SoCals are so used to good weather that they really don't do anything when it rains LOL.

We are also keeping the mobile because right now that more than pays the bills. I'll continue to do the mobile and my son is going to try his hand at running the shop. So far, the quality of the jobs coming in is much better than mobile. I average ~$300 every time I stop my truck, but so far in the shop the lowest price job has been about that. We've already done 5 coatings in there and we have another one we had to push back until it stops raining next week and another one that is calling me when it stops raining to pick the best date to do it. We also are offering XPEL PPF through a third party and we've done a full front and coating on a brand new Telsa. That's work we could not get mobile. The advertising for the shop JUST kicked in a couple days ago, so once the weather clears I'm hoping to see a steady influx in jobs into the shop.

I will say this, however much money you think you need, double it. I went in thinking I could get the shop up and running for about $10k, but in the end it ended up costing almost $20k. Luckily we paid cash for everything, no financing and no credit, so even though it hurt initially, almost every dime we make now is back in our pocket profit. Everything costs more than you think. Electricity turn on, cable, internet, spot free water. I had to run water to the roll up door so we could use our pressure washer. I had to run electrical all over the shop. Paint. Cleaning supplies, mop, mop bucket, trash cans, etc, etc, etc. You name it, you have to buy it.

You can check out some of our progress on the shop on our IG @sudsmobileautodetailing • Instagram photos and videos

Good luck!
Click to expand...
All the best to you Sudsy. I know that you will do well. I enjoyed the pictures. Some fajitas and 'ritas hit the spot after a day of detailing.
 
Dan Tran said:
What I am hoping to happen is to see if my May and June numbers for 2020 will increase significantly to finally justify a move. I am in not rush, I want to do it right. But it’s sad that I am already thinking of next fall and winter. And also thinking about how many jobs I said no to because it was raining hard or there was snow.

It hurts.

Since I already have an in with Opti-Coat, I would be planning on offering Opti-Coat PPF. There is definitely potential for that as well.

Almost every coating job I get, I get asked if I also do PPF...sad face.
Click to expand...

A lot to think about. From what you've said I don't think your ready for some fixed overhead. Most small business go bust in the first 2 years because of cash flow.

You need reserves for at least 3 months. What if you get sick or worse, injured..can you pay the rent, utilities and insurance with no income coming in? The answer looks like no for now.

Build a reserve first before jumping in the fire.
 
Rsurfer said:
A lot to think about. From what you've said I don't think your ready for some fixed overhead. Most small business go bust in the first 2 years because of cash flow.

You need reserves for at least 3 months. What if you get sick or worse, injured..can you pay the rent, utilities and insurance with no income coming in? The answer looks like no for now.

Build a reserve first before jumping in the fire.
Click to expand...

I think this is the most beneficial response. Thank you. Again, I am not in a rush to get into a shop. What would be nice is to trial it out for 6 months which is wishful thinking. But a year lease I can’t justify right now.
 
Dan Tran said:
I think this is the most beneficial response. Thank you. Again, I am not in a rush to get into a shop. What would be nice is to trial it out for 6 months which is wishful thinking. But a year lease I can’t justify right now.
Click to expand...

Now you have a new year resolution. Work on those reserves. Good luck to you.
 
Yeah, good advice. I went into it only once I was able to fully fund the business with cash and I had six months of rent left over. Maybe overkill because I'm not abandoning the mobile, but I was born poor and I'm not going to do that again. LOL
 
Yeah. I started out my business with my own money. So I would want to pay things cash. A loan is not a good option for me. Not do I want to.
 
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