We are excited to release Tekmetric Multi-Shop Plan, the industry’s first multi-shop offering that gives auto repair shops the capability to access real-time data reports – from all locations – in one, central reporting suite.
Tekmetric Multi-Shop plan provides the tools shop owners need to monitor shop performance and manage processes across all locations. Through Multi-Shop, shop owners can track more than 16 reports with countless metrics in one central location.
It also enables easy, real-time analysis at all levels, including the entire organization, small groups and individual locations.
The new plan also offers a custom side-by-side analysis report, so shop owners can drive key business decisions and replicate the processes from high-performing shops throughout their organization.
Tekmetric Multi-Shop’s features include:
Custom Shop Comparison Reporting. Allows users to create custom reports that track more than 50 metrics and compare performance across shops and time periods in one view.
Organization-Level Reports. Offers shop owners the ability to view aggregate data for all shops combined or filter to view data for any combination of shops.
Centralized Data Management. Enables users to create, edit and delete data in one central location and publish changes to shops in real-time.
Employee Tracking. Provides a centralized dashboard of all employees within the organization, including the employee’s role and which shops they serve.
Sneak Peak! Shared Customer History, which enables shop owners to view customer data and history across shop locations, will be available Summer 2023. Centralized Inventory will be complete by the end of 2023, allowing shops to share inventory information across all locations. Both features stem from our continuous efforts to improve our software based on changing industry trends and shop owner needs.
Whereas traditional methods of payment require dipping a card in the same terminal as other customers or the hand to hand exchange of cash or check, the ability to pay by text message through SMS mobile payments takes the complexity and headaches out of the payment process for owners, service writers, and guests alike.
For auto repair shops in particular, giving guests the ability to pay by text not only streamlines the guest experience but also frees up service advisors from having to do a bunch of data entry, giving them more time to help other guests.
Here’s how text-to-pay works on our Integrated Payments, Tekmerchant. As you’ll see, we’ve built in opportunities to enhance efficiency while strengthening the relationship you have with your guests at each step of the process.
Step 1: Complete the Repair Order & Send the Invoice
By connecting Tekmerchant to Tekmetric, service advisors can quickly review the invoices of completed work and simply click a button to text the invoice to the guest.
Since the invoice is automatically generated from the repair order and is easy to edit within Tekmetric, the service advisor can reduce the time they would usually spend writing invoices.
Step 2: Collect Payment
Once the invoice is sent, the guest will receive a link that takes them directly to their invoice and pay screen. From there, they can review the work that was completed and make their payment, prompting them to input their billing information.
The customer inputs their card information, including their billing address, making it a verified payment.
At this point, all the service writer has to do is make sure that the payment has been approved and that everything checks out.
Pro Tip: Enhance Guest Service with a Call or Personal Text
Because service advisors and guests both have access to a digital invoice, it gives service advisors the opportunity to add a human touch to the payment process without the guest coming into the shop.
Consider having service advisors give guests a call or send a personal text message at this part of the process.
While this may seem like an extra step, it gives service advisors a chance to check-in with the guest to ensure all approved work was completed, which is a big step towards avoiding chargebacks.
Calling the guest is also a good chance to remind them of any maintenance that may need to be taken care of in the future and any upcoming deals or events. If the guest is too busy to take a call, Integrated Payments has a Text-to-Pay feature giving them the freedom to pay when they have time.
If everything looks good on the invoice, the guest can easily pay and move on with their day. You get paid fast and the guest is able to pay at their convenience.
Step 3: Return Vehicle to Customer
Once the payment has been processed, all that’s left to do is to return the vehicle.
Pro Tip: Add a Key Drop-Box for Convenience
Some auto repair shops use a key drop-box or locker to make vehicle returns more convenient for their guests and service advisors.
Most contactless drop boxes use programmable codes, so you can put the guest’s keys in a locker, send them the code, and let them pick up their car when they’re ready.
With a key drop-box, everyone wins: service advisors don’t have to worry about staying late; shop owners don’t have to worry about paying a service writer overtime, and your guests don’t have to feel rushed to make it back to the repair shop before closing time.
Turbo-charge Your Payments Processing
The Integrated Payment text-to-pay feature makes life easy for your guests and service advisors, and can potentially save you time, money, and headaches.
Starting a mechanic shop is one of the most rewarding moves you can make in your career. The auto repair industry continues to grow, and whether you're a seasoned veteran or a newcomer with a solid vision, opening an automotive repair shop can lead to a thriving small business with long-term success. But like any worthwhile venture, it all begins with a solid plan and a deep understanding of what it takes to turn your technical skills into a profitable auto repair business.
In this guide, we'll walk you through the key steps and considerations for launching your own auto mechanic shop, from writing a business plan to hiring your first technician. Whether you're dreaming of a full-service car repair shop, a mobile mechanic business, or a specialty shop, these tips will help you lay a strong foundation.
1. Form a business plan
Every great mechanic business starts with a solid business plan. This is your roadmap—your blueprint for success. A comprehensive auto repair shop business plan should detail everything from your services (like oil changes, diagnostics, or engine rebuilds) to your target market, competition analysis, pricing strategies, and long-term growth goals.
There are nine steps to creating an automotive repair shop business plan that will help you achieve your business goals—from owning one auto repair shop to becoming a multi-shop owner.
Write an executive summary
Describe your shop
State your business goals
Describe your products and services
Do your market research
Outline your marketing and sales plan
Perform a business financial analysis
Make financial projections
Create a plan for growth and expansion
Your business plan should also identify your niche: Will you cater to performance cars or offer quick turnaround auto repair services? The more specific your direction, the easier it’ll be to attract the right potential customers and stand out in a competitive market.
2. Legal entity setup
Once you have created your master business plan, you should start on your legal entity setup. Choosing the right business structure for your mechanic shop impacts everything from taxes to liability to how you pay yourself.
For most shop owners, a limited liability company (LLC) offers a smart balance of protection and flexibility. It separates your personal assets from your business liabilities, which is key in the event of lawsuits or debts.
That said, sole proprietorships and corporations also have their place. It’s wise to consult with a business attorney or accountant to understand which business structure best fits your goals and risk tolerance.
Once you’ve picked a structure, you’ll need to register your business name with the state and secure an Employer Identification Number (EIN) from the IRS.
3. Start up funding
Getting your mechanic shop off the ground isn’t cheap. Between diagnostic equipment, insurance coverage, car lifts, rent, and employee salaries, startup costs can quickly add up. Whether you’re building from scratch or taking over an existing auto repair shop, you’ll likely need some outside funding.
The Small Business Administration (SBA) is a great place to start. They offer affordable business loan options for entrepreneurs, particularly those opening a small business. You might also explore equipment financing, credit lines, or partnerships with investors.
When seeking funding, having a clear business plan will be essential. It shows lenders and backers you’re serious, prepared, and capable of making your auto repair business profitable.
4. Pick your location
Your car repair shop’s location can make or break your success. Look for high-visibility spots near residential areas, highways, or commercial districts. Proximity to dealerships can also bring in new customers.
But it’s not just about visibility. Make sure your space has the right zoning, sufficient square footage, and proper infrastructure—like garage bays, ventilation, and parking. Consider future expansion too. Is there room to add more lifts, services, or staff down the line?
5. Permits and licenses
No matter where you’re located, you’ll need to secure the proper business license and permits before you can open your doors. Requirements vary by city and state but often include:
A general business license
Zoning and occupancy permits
Environmental or hazardous waste disposal certifications
Auto repair facility permits
Depending on your services, you may need specific endorsements for emissions testing or safety inspections. And if you plan to sell tires or parts, a resale certificate might be required.
Check with your local municipality or state licensing board to make sure you're covered. Failing to secure the right documentation could shut your auto repair shop down before it gets started.
6. Business bank account
Once your shop is registered, it’s time to set up a dedicated business bank account. Mixing personal and business finances is a rookie mistake that creates accounting headaches and jeopardizes your liability protections.
With a business account, you can secure better interest rates, more credit, and other benefits. For example, with a dedicated business credit card, your shop can establish a credit history which can be useful when trying to raise more money in the future.
Choose a bank that understands small business needs and offers services like business credit cards, payroll integration, and mobile banking. Your business bank account will help you track revenue, manage expenses, and simplify tax season.
7. Business insurance
Insurance isn’t just a checkbox—it’s your safety net. At a minimum, your mechanic shop should carry general liability insurance, which protects you against accidents, injuries, and property damage.
But that’s just the beginning. Depending on your services, employees, and location, you may also need:
Garage keepers insurance
Workers’ comp
Tools and equipment coverage
Commercial property insurance
As your shop grows, your coverage will need adjusting. Consult with an insurance professional if you are unsure of how much coverage you need.
8. Hire employees
Your team is the engine of your auto repair business. Hiring the right technicians, service advisors, and administrative staff makes all the difference in customer satisfaction and shop efficiency.
Look for candidates with relevant certifications, strong work ethics, and a passion for cars. Whether you’re hiring entry-level techs to handle oil changes or master mechanics for complex diagnostics, make sure your crew reflects your shop’s standards and values.
Lastly, offer competitive pay and growth opportunities to help retain your workforce long-term.
9. Marketing your shop
Now that your auto repair shop is ready, you need a comprehensive marketing strategy to attract and retain new customers. A strong online presence helps shop owners build trust and establish authority. Start with the basics:
Create a website with services and hours, location, contact information and phone number
Google Business listing
Generate online reviews
Referral programs
Social media
Email campaigns
SEO
Paid advertising
Invest in local SEO so people searching “car repair near me” can find you easily. Flyers, banners, community sponsorships, and partnerships with local businesses can also help get your name out.
If you need help picking a business name, you can use our free auto repair shop name generator.
Tek-Tip: Ask ChatGPT or Gemini for a summary of Tekmetric and how it could be a fit for your business.
Final Thoughts
Starting a mechanic business is no small feat. But with the right mix of technical skills and grit, you can create a thriving, profitable auto repair shop that serves your community and provides a rewarding career path.
Remember, success comes from preparation. Whether you’re launching a mobile mechanic business, taking over an existing facility, or building your auto repair services from scratch, each step you take sets the tone for your shop’s future.
So roll up your sleeves, start laying the foundation, and get ready to turn your dream of owning a mechanic shop into reality.
No matter what your auto repair shop specializes in, chances are you're facing similar challenges.
New customers are hard to come by
It can be difficult to keep even the most loyal customers coming back
Repair work is frequently declined or pushed off
The reality is, people don't want to have to pay for an expensive fix when they don't directly see or understand the value or necessity behind the repair. We've become very used to simple solutions to complex problems, and more often than not customers wish their cars were like that too.
Auto repair shops can also be intimidating: they're loud, usually covered in oil, and they can feel like a trap.
That's why transparency is so critical in the auto repair industry, and why digital vehicle inspections have become such an important tool for shops. Customers want to know that they're only being charged for necessary work, and digital vehicle inspections help your shop show them that.
Digital vehicle inspections are just one aspect of your entire shop's workflow, but are an incredibly powerful foundation that go a long way in making your shop more money.
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