AGO an economic indicator?

C. Charles Hahn

C. Charles Hahn

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Over the last few months, there has been a noticeable trend of people coming here looking to start detail businesses and asking for advice with absolutely no experience or background in either detailing or business. Of course, as we also all know well, the economy has been a bit stagnant in its downward state.

So all of this got me thinking, does anyone else see this as a possible economic indicator? As in, people lose their jobs, can't find new ones, and somehow have the idea that starting and running a detail business is a quick and easy way to make some cash.

Of course anyone who has been in the industry for a while knows it's not as quite as easy as Mr. Miyagi or Biff Tannen make it appear, and those who have a formally trained business background are likely aware that 50% of small business startups tend to fail within a year, but not everyone is in that position to start with.

I'm not trying to bash or discourage anyone here who may be in that position, and I truly do feel badly that anyone would have to be put in a desperate position like that. However I wonder if anyone else has the same feelings as I do that a good number of the inexperienced folks we've seen looking to detail professionally may only be setting themselves up for further disappointment if they do not take the time to do their own research, read as much as possible, and learn all they can about detailing and about business before jumping in with both feet first as we have seen many do recently.

What I think will really be telling is whether these topics die down once the economy at large starts to recover, or if we're just seeing a trend that the industry at large is becoming more forum-aware in general (which could actually be a good thing) starting with new entrants in their infancy.

Thoughts, anyone?
 
I've seen it numerous times recently, that some members on here have a name of their detailing business in their signature, yet ask very basic questions about detailing. A bit disturbing if you ask me.
 
07 z-oh-6 said:
I've seen it numerous times recently, that some members on here have a name of their detailing business in their signature, yet ask very basic questions about detailing. A bit disturbing if you ask me.
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:iagree: I'm trying to start a biz up over the next few years. Every time I see those questions you refer to, it scares me a bit. :dig:
 
Shiny Lil Detlr said:
Over the last few months, there has been a noticeable trend of people coming here looking to start detail businesses and asking for advice with absolutely no experience or background in either detailing or business. Of course, as we also all know well, the economy has been a bit stagnant in its downward state.

So all of this got me thinking, does anyone else see this as a possible economic indicator? As in, people lose their jobs, can't find new ones, and somehow have the idea that starting and running a detail business is a quick and easy way to make some cash.

Of course anyone who has been in the industry for a while knows it's not as quite as easy as Mr. Miyagi or Biff Tannen make it appear, and those who have a formally trained business background are likely aware that 50% of small business startups tend to fail within a year, but not everyone is in that position to start with.

I'm not trying to bash or discourage anyone here who may be in that position, and I truly do feel badly that anyone would have to be put in a desperate position like that. However I wonder if anyone else has the same feelings as I do that a good number of the inexperienced folks we've seen looking to detail professionally may only be setting themselves up for further disappointment if they do not take the time to do their own research, read as much as possible, and learn all they can about detailing and about business before jumping in with both feet first as we have seen many do recently.

What I think will really be telling is whether these topics die down once the economy at large starts to recover, or if we're just seeing a trend that the industry at large is becoming more forum-aware in general (which could actually be a good thing) starting with new entrants in their infancy.

Thoughts, anyone?
Click to expand...

:iagree:

07 z-oh-6 said:
I've seen it numerous times recently, that some members on here have a name of their detailing business in their signature, yet ask very basic questions about detailing. A bit disturbing if you ask me.
Click to expand...

:iagree:

Ted S. said:
:iagree: I'm trying to start a biz up over the next few years. Every time I see those questions you refer to, it scares me a bit. :dig:
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:iagree:



Hey Ted, are you listening to Art Bell? I don't know what I find more intresting. The conspiracy theorys they come up with, or the kook callers :dig:
 
Flash Gordon said:
:iagree:



:iagree:



:iagree:



Hey Ted, are you listening to Art Bell? I don't know what I find more intresting. The conspiracy theorys they come up with, or the kook callers :dig:
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:iagree:No, Goerge Knapp was on this mornin'. I like the program though. Good ideas, and good conspiracies. Some of the callers are waaaaay our there though.
 
Ted S. said:
:iagree:No, Goerge Knapp was on this mornin'. I like the program though. Good ideas, and good conspiracies. Some of the callers are waaaaay our there though.
Click to expand...

Shows how long its been since I've listened. I got up especially early today. Might as well start it out with a good conspiracy

Looks like the next segment is on vampires. This should bring the kooks out for sure

Yours,

Lost boys

PS You ever listen to Phil Henry? That guys funny
 
:hijacked: :bolt: :laughing:

I have been at growing my detailing business, starting as a noob as you describe in your original post. I started with zero startup money and relied on a percentage of my profits to propel the growth of things.

Going about it the way that I did was a tough road to say the least. Having to keep a full time job and grow this detailing venture on the side has been draining for me but I still enjoy the satisfaction of the work that I am doing and have carved out a nice clientele locally.

I am now as busy or busier than I would like to be (still working the full time job) but to go at it full time from here would still require a large sum of working capital to cover slow periods, marketing/advertising budget, insurance, supplies, gas/vehicle expenses (mobile) or rent/shop costs if I were to go with a fixed location.

I am in my third or forth year of this venture and cover a lot of the costs with my pay from my regular full time job. I can say for certain that this is no easy venture especially going at it alone. Some folks, I think, don't consider the maintenance involved in running a detailing venture either. Who will launder the towels, refill the bottles, clean the pads, do the products inventories, order the products. write out the checks, run to the bank, meet with the insurance agents, estimate the jobs etc. etc.

Sometimes I wonder how I keep this gig going by myself:doh:

I wish the best to all of the noobs trying to do this and encourage them to do their homework before jumping in with both feet and above all get some experience before trying to work on customer's cars.

Good thread Charlie!!
 
07 z-oh-6 said:
I've seen it numerous times recently, that some members on here have a name of their detailing business in their signature, yet ask very basic questions about detailing. A bit disturbing if you ask me.
Click to expand...

Detailing (in the broadest definition) has very low entry costs (just a bucket, some water, and a few products available locally).

It takes no special skill or expensive tools to start. In tough times, these are where people start due to low entry costs either for extra cash or more committed as a source of all income. Much of it can be done without paying any taxes as well since it can be mostly on a cash basis.

Scary..maybe..but think of the damage done by a typical mechanical car wash place can be more scary. I think a semi-knowledgable wash/waxer leaves the vehicle in no worse condition that many of the $6 car wash machines at gas stations.
 
Shiny Lil Detlr said:
Over the last few months, there has been a noticeable trend of people coming here looking to start detail businesses and asking for advice with absolutely no experience or background in either detailing or business. Of course, as we also all know well, the economy has been a bit stagnant in its downward state.

So all of this got me thinking, does anyone else see this as a possible economic indicator? As in, people lose their jobs, can't find new ones, and somehow have the idea that starting and running a detail business is a quick and easy way to make some cash.
Click to expand...

This has been a pet peeve of mine for a while (the decision to start a "detailing business" when you've never even detailed your own car), but I don't see it as an economic indicator or anything else, or that it's changed this year from previous years.

Remember, it's spring and a bunch of people just graduated from high school and college into a crappy job market, and there's a whole bunch of high school and college kids off for the summer, looking to make some bucks so they can party.
 
The only ones who really bother me are the ones who in their introduction thread want you to tell them everything there is to know in 1 response :rolleyes:
 
tuscarora dave said:
:hijacked: :bolt: :laughing:
I can say for certain that this is no easy venture especially going at it alone. Some folks, I think, don't consider the maintenance involved in running a detailing venture either. Who will launder the towels, refill the bottles, clean the pads, do the products inventories, order the products. write out the checks, run to the bank, meet with the insurance agents, estimate the jobs etc. etc.

Sometimes I wonder how I keep this gig going by myself:doh:


Good thread Charlie!!
Click to expand...

I agree! It's almost more work maintaining the day to day stuff then it is to actually detail the cars.
 
I wanna start detailing cars, Can you fellows tell me how. I own a vacuum that has a hose on it. I also have a bucket and a wash cloth.

This is every thing i need right. What else do i need to know.










J/k :D
 
gt08vapor said:
I wanna start detailing cars, Can you fellows tell me how. I own a vacuum that has a hose on it. I also have a bucket and a wash cloth.

This is every thing i need right. What else do i need to know.










J/k :D
Click to expand...

Thats actually more helpfull then some I've seen. At least tell me what you currentally have

The ones that bother me go like this:

hi, my name is xxxx, i've been thinking about getting into detailing and am wondering if you guys could tell me "everything" i will be needing? i've already done a search, but got no results

This place is awesome

Regards,

xxxxx
 
I could be an instigator in this theory, since what I have been doing is leaking valuable info into the hands of younglings willing to learn....recently 1 even left my staff to start their own bussiness. I do believe it is an education for them, if they succed great, if they fail they don't return. Not everything is as easy as it seems. I notice a cycle over the years also where peeps are starting up in the spring and don't generally make it to the fall. I found in my bussiness it helped me make some coin also, if they did a poor job, I usually ended up with a new customer who realized cheaper isn't always better!
 
I would have to agree with almost everything stated here. I graduated with a Small Business Management and a Entrepreneurial Studies degree last year. I am in no way a professional (at least yet) but I do see a lot folks asking questions about unaffordable ventures they want to start. I've only been detailing for 3-4 years and still learning new things from the more experienced people like yourselves.(Dwayne) I just think people should look more into developing research about the industry before they ask a question that requires us to do it for them. For example, a gentlemen who just graduated from high school was asking questions about owning and operating a 700k - 1.5 million dollar 10 bay self car wash. He was asking about the profitability of this venture and several other car washes instead of a more realistic approach to a mobile detailing venture, which was suggested to him. The questions I ask myself are..... CAPITAL??? NO ESTABLISHED CREDIT....how could this even been somewhat realistic at this time? I've also had people pm me asking me for my product lists, things I use and don't use.....how to use a buffer.... and questions pertaining to those topics. I understand everyone wants to learn, but they need to do so with an experienced person!! (actually in person)
 
tuscarora dave said:
Some folks, I think, don't consider the maintenance involved in running a detailing venture either. Who will launder the towels, refill the bottles, clean the pads, do the products inventories, order the products. write out the checks, run to the bank, meet with the insurance agents, estimate the jobs etc. etc.

Sometimes I wonder how I keep this gig going by myself:doh:
Click to expand...

Good thing you have Jack to lend a helping hand... er.. paw! :laughing:

TL
 
Charlie...a really great post:dblthumb2:

I believe you were being kind in your estimate of the percentage of year-to-year new business failures---but it is an eye-opening, clean off the rose-colored glasses reminder...

Another stark reality that will effect any new start-up, or for that matter, IMHO, some "established" detail businesses, is, among others:

-More and more dealerships (new and used), under the auspices of their OEMs, are now understanding the profits that can be earned to "detail" their own client base vehicles.
-Teph Seal is just one example of the "detail" companies the dealerships employ
-Proctor & Gamble has recently decided to venture into the "detail" business

How does a new "detailer/detail business owner" compete with the investment capital these Corporations have?

Bob
 
I agree with you 100% Charlie but here's the thing, with AG advertising heavily now more and more people will find their way here and the trend will continue. AG is here to service that crowd, they thrive off of it. I can't say that I blame them either, there's tons of money to be made on the quick start up and fail detailing business. The best thing we can do is point them to Mike P's how-to page.
 
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