Although the majority of mechanics make their livelihood by working for somebody else, if you have a large number of years of experience working with cars behind you and an extensive motor skill set, you might be considering setting up your own auto repair business and being your own boss doing the job that you are good at.

However, for those looking to start an auto repair business, it’s important to consider that there’s lot more to it than simply fixing cars. We’ve listed a few of the main things that you’ll need to take into consideration when setting up your own auto repair shop.

Business Plan

It might seem obvious to have a plan for your business, but you’d be surprised at how many budding entrepreneurs in a number of different industries fail to prepare and stick to a solid business plan for their new company. A business plan is essential if you’d like your company to develop and succeed, and having one allows you to set both short term and long term goals that you can put steps into place in order to meet. A business plan is also an essential item if you are thinking of applying for funding such as a business loan for the bank, and you are likely to be required to produce one when you apply for business insurance.


Once you’ve set up the basics of your business and written your business plan, it’s time to start thinking about insuring your business. Insurance is essential as you’ll be working on other people’s vehicles, and you will need to be covered in the event of anything going wrong – accidental damage to a customer’s car or van whilst it’s under your care could result in you having to fork out money from your own pocket to repair the damage, or even worse you could end up in a lawsuit which could completely deplete your business’ account. You will need professional liability insurance, and if you’re planning on selling cars as well as fixing them, you will also need to consider motor trade insurance.


Another thing that you will need to take into consideration when setting up your own auto repair business is how you plan to go about marketing your company to the public. Auto repair shops are necessary for any car owner, which is why you will have plenty of competition – we can almost guarantee you will have at least one competing auto repair shop in the area, and if you don’t you’re one of the few lucky ones. For this reason, you should start to put plans in place early for a solid marketing campaign that will convince your potential customers to choose your company for their auto repair needs.

Do you own an auto repair shop business? Which factors do you wish you had considered more when first starting out? If you’d like to share any advice with other readers, we’d love to hear from you in the comments below.

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