Are you turning over enough currently to pay the lease & still be able to eat ?
How seasonal is it where you are ?
I had 3 bumper years when I took over the service run but it has not rained for the past 18 months so there has been no servicing, just repairs, mostly on hand helds and they are done at a loss most of the time if I was to pay a wage.
No great problem for me because my rent is 20 hours labour on the farm, but if I was paying rent I would have run the bank account down to zero quite some time ago.
All of the parts suppliers are running massive discounts at the present because the past 2 years nation wide have been poor and there are lots of brand new mowers turning up at auction houses from dealers who can not sell them or have gone bust.
Working out of home your overheads are almost nothing but running a shop they are massive.
Down here as a mobile mechanic my public liability is $ 1300 /pa the shop up the road pays over $ 5,000 /pa.
Then there is fire & thieft insurance , the workshop here is an old house so I have a home owners, self employed policy that is quite cheap but a stand alone workshop policy is 4 times as expensive
I used to sharpen about 50 chains a week but now plastic chain sharpening machines are every where for $ 30 so it is down to about 10 / month.
The retail shop up the road has to turn over $ 500/ week just to cover fixed costs and he owns the building.
So have a good think about it, find out the most expensive costs then compare it to your current income.
Do not count on extra through the door jobs cause there is no guarantee they will happen so if you are not making enough now to cover the fixed costs of a stand alone workshop, consider a bigger garage till you can.
Yep what Bert said............... He lives in the most richest country in the world... The wages are great, but if you go eat at a restaurant it will cost you 40 to 50 bux for one person.... I have friends in OZ and they tell me that all the time.......
I live in the South like you do Primer, so we have a long mowing season and chainsaw work goes all year round as weedeaters also........ A lot of pressure washers are active all year round because of construction work digging trenches and PW's have clean them before you bring them back to the rental place.... Also Washing houses...........
Down here in Louisiana our power company CLECO is 500 bux for the deposit..... House or a biz.... First you have to have the water Co. to hook up first another 100 bux LAWCO... Then the city hits you for another 75 bux for a deposit on the sewerage part......
Then a occupational license from the city, then the school board tax license and then the La. State Tax license fee and the Federal Tax license fee........
It goes on and on plus the liability insurance..... Man It makes a person think about the American Dream come UNTRUE
Then comes your question about a building to lease, which is at least 400 bux a month or more in a nice area where you won't get broke into and lose a lot of money in tools and peoples equipment.....
A person nowadays has to have a deep pocket with a thick wad of 100 dollar bills to start a biz going for at least 6 months... Then a good wholesaler for parts to buy from... AND I mean wholesale prices..........
If you have a good client list and a good rep in town then you are in good shape.....
We just became a Briggs dealership last week over here in my area... There is one already and we got lucky on ours...I was a Briggs dealer back a long time and I think that helped us out.....
If you need some help on a wholesaler let me know Mon Ami ....
Plus Tard Mon Ami ~!~!
Down here to get Briggs wholesale license I have to do a Briggs training course $ 1300 and keep a $20,000 inventory of Briggs parts ( mostly dead money ).
Kohler were happy to give a certificate on the strength of an internet test but they too require I keep a $ 20,000 inventory and have a $ 3,000 minimum order and a $12,000 minimum annual parts turn over if I want to become a Kohler agent
So there goes the better part of $ 50,000 just to hang 2 signs in the window.
OTOH the aftermarket suppliers , Stens & Gripskies are happy to have me on their books.
I finally got "trade" pricing from Jacks which is between 10% to 20% off their list price which effectively covers the shipping and the retail price from the USA is almost the same as the wholesale price I would get from Briggs and a lot less than the wholesale price from Kohler.
If you have a tax number you should be able to get a trade account with Oregon, Prime Line, Rotary & Stens and trade discounts from Jacks, Barretts , ME warehouse, E replacements etc so apart from plastic you should be covered for most parts.
The mower mechanic I know who makes the most profit does fixed cost annual servicing of push mowers at the customers home.
He does 15 to 30 services @ $ 45 each per day, no repairs at all.
He has a small van and because he knows exactly what he will be servicing just loads the parts required for that days work and of course has the runs organised to be very compact.
Because there is no repairs, just servicing, each job is very quick and because he buys blades in bulk packs ( 100 to 1000) he pays $ 0.75 for a blade& bolt set I pay $ 4.50 for and retail for $ 7.00.
The customer of course sees themselves getting $ 50 ( retail ) worth of parts fitted for $ 45 so think they are getting a bargan.
HE passes a few repairs on to me that are near enough to my service footprint.
SO there is a slightly different approach and all that will cost is a slick web page and face book equivalent.
And as Rod says, it is a regular run so he organises to have 9 free weeks a year so he gets holidays without cost and is available for birthdays, anniversaries etc
My special service is a gate key service for all the local contactors so they drop their gear off on the way home , I repair / service it overnight and they pick it up in the morning on route to their first job which could be anything from 3am to 9am, a service they can not get from any other mower service or shop.
Those who I can trust will also pop in and pick up stuff in the morning like spare blades, oil, chaps, earmuffs etc etc. again some thing they can do with any other retailer ( and yes I do have cameras in the store room ).
The contractors do not get discounts on this service ( 10% off spares ) and are happy to pay full price to avoid having equipment in a repair shop for a week or having a crew hang around to 8 am so they can drop it off to a regular shop.