Low start up business ideas
Discussion
crosseyedlion said:
So, I finally have news.
I've been gradually finding my niche over the months and have worked on some interesting cars and completed some interesting projects. At the moment I'm building a mercedes sprinter camper conversion, in April I turbocharged a Mercedes 190e for a customer. You can follow it all
https://www.instagram.com/aw_automotive_engineer/
and
https://www.facebook.com/AlexWheatleyAutomotiveEng...
It has been bloody cold and wet though, there have been multiple times I've questioned my sanity choosing this as a startup but i've survived the winter.
The big news is that I've just agreed on some premises! All being well I'll be in by the end of the month, with a big of an open morning/grand opening at the end of July.
Photo's once I have the keys.
The van has served me very well and I've only had to invest in a few odds and sods tool's wise, nothing too substantial. It was a very cheap start up, but I'm increasingly finding jobs taking a lot longer than they could with a ramp/workshop and (more importantly) a lot harder physically. Hence the unit.
Congratulations!I've been gradually finding my niche over the months and have worked on some interesting cars and completed some interesting projects. At the moment I'm building a mercedes sprinter camper conversion, in April I turbocharged a Mercedes 190e for a customer. You can follow it all
https://www.instagram.com/aw_automotive_engineer/
and
https://www.facebook.com/AlexWheatleyAutomotiveEng...
It has been bloody cold and wet though, there have been multiple times I've questioned my sanity choosing this as a startup but i've survived the winter.
The big news is that I've just agreed on some premises! All being well I'll be in by the end of the month, with a big of an open morning/grand opening at the end of July.
Photo's once I have the keys.
The van has served me very well and I've only had to invest in a few odds and sods tool's wise, nothing too substantial. It was a very cheap start up, but I'm increasingly finding jobs taking a lot longer than they could with a ramp/workshop and (more importantly) a lot harder physically. Hence the unit.
So, the solicitors took a lot longer than promised to sort out the lease on the premises.
But i'm in! Ramp went in this week...
The van and my BMW e39 touring will be up for sale shortly, to be replaced with something more interesting.
With the vast uplift in overheads (5k on insurance alone!) and additional scope for work, I need to specialise for marketing and tooling purposes but it's proving tricky.
Aside from (genuine, product development) automotive engineering experience my experience lies with TVR's mostly and German brands. Although I don't particularly want to start a TVR-only specialist in Sheffield, and I don't want to target 'ordinary' stuff too much.
So for now I've settled on 'sports and performance' cars - with investment in marketing and equipment being directed towards Porsche. I've worked on a few 997's now and got most of the way to putting an audi v8 into a 986 porsche boxster so feel very familiar with the cars (986/7 & 996/7). I also have access to a 4 poster laser alignment rig.
But...we shall see what happens, I've a long hard road ahead of me - I'll keep you updated when I settle on an open morning date.
Ps. I've been working on some cool stuff...
Also, I've just realised - yesterday was a year since the original post!
But i'm in! Ramp went in this week...
The van and my BMW e39 touring will be up for sale shortly, to be replaced with something more interesting.
With the vast uplift in overheads (5k on insurance alone!) and additional scope for work, I need to specialise for marketing and tooling purposes but it's proving tricky.
Aside from (genuine, product development) automotive engineering experience my experience lies with TVR's mostly and German brands. Although I don't particularly want to start a TVR-only specialist in Sheffield, and I don't want to target 'ordinary' stuff too much.
So for now I've settled on 'sports and performance' cars - with investment in marketing and equipment being directed towards Porsche. I've worked on a few 997's now and got most of the way to putting an audi v8 into a 986 porsche boxster so feel very familiar with the cars (986/7 & 996/7). I also have access to a 4 poster laser alignment rig.
But...we shall see what happens, I've a long hard road ahead of me - I'll keep you updated when I settle on an open morning date.
Ps. I've been working on some cool stuff...
Edited by crosseyedlion on Thursday 25th July 12:07
Also, I've just realised - yesterday was a year since the original post!
Edited by crosseyedlion on Thursday 25th July 12:09
Congratulations. As somebody who has been through a similar journey I would like to offer the following thoughts off the top of my head....
1. This is not an easy business to do on your own. Everyone is going to want a piece of you which is great but time spent on stuff like talking to clients or picking up cars generally can't be billed. Either get help or develop a strategy to manage your time away from revenue generation. I started by doing the latter and explicitly told my clients that they were free to call me on my mobile any time 24/7 but I will only answer if I could. They were asked to leave a message or text if I didn't answer and I would follow up with them as soon as possible. Generally I didn't answer the phone whilst working but did glance at the messages. If one looked urgent then I'd be able to stop work and address the matter. Everything else waited until I was home.
2. I suspect you may be paying too much for insurance (based on the photo of your workshop). I don't know your location but I'm not paying that much more for £2m of stock cover plus £500k of personal cars over 4 locations (also includes insurance on the buildings we own and employees and family road risk cover). Insurance is the biggest fixed overhead that is variable (unlike rates) so it is worth trying to get the best cover at the best price. I realise that getting cover in the first year of trading is difficult but you should look to drive the cost down in the future (IMO).
3. In my opinion it makes sense to specialise. I work closely with a workshop up the road from me that is attached to a v.large used car sales lot. The mechanics there are constantly pulling their hair out trying to work out how to do things for the first time. In contrast we are frequently developing special tools and methods for jobs that we perform time and time again. Getting very good (very quickly) is not only good for profitability but if you are able to make a name for yourself in a particular field then clients will be beating a path to your door = low marketing costs and a full diary. We do zero marketing and are currently taking bookings for late September.
4. Don't be afraid to turn work away. In the early days for me this was stuff I hadn't directly done before - try and stay inside your comfort zone for as much as possible. You'll never make any money working for hours you cannot bill. These days I'm more likely to be biffing off prospective clients I get a bad feeling about.
5. Don't get known as a bad payer and cultivate your supply chain. This industry is full of bad payers and arrogant tossers. If you pay your suppliers properly and treat them with respect it will pay dividends. I use the same bodyshop as one of my major competitors - we are allowed to drive cars away and pay on receipt of invoice (sometimes over £10k of work) whereas our compatriots have to pay up front. Usually this allows us enough time to get the car out/invoiced/paid for which means we don't have to fund the gap.
If at any point you'd like a sounding board then please feel free to PM me. I'm about three years ahead of you (business wise) and I had to figure out everything on my own. I'd be more than happy to help in anyway that I can. I also have some (positive) thoughts on specialising in Porsche that I'm not prepared to share in public.
1. This is not an easy business to do on your own. Everyone is going to want a piece of you which is great but time spent on stuff like talking to clients or picking up cars generally can't be billed. Either get help or develop a strategy to manage your time away from revenue generation. I started by doing the latter and explicitly told my clients that they were free to call me on my mobile any time 24/7 but I will only answer if I could. They were asked to leave a message or text if I didn't answer and I would follow up with them as soon as possible. Generally I didn't answer the phone whilst working but did glance at the messages. If one looked urgent then I'd be able to stop work and address the matter. Everything else waited until I was home.
2. I suspect you may be paying too much for insurance (based on the photo of your workshop). I don't know your location but I'm not paying that much more for £2m of stock cover plus £500k of personal cars over 4 locations (also includes insurance on the buildings we own and employees and family road risk cover). Insurance is the biggest fixed overhead that is variable (unlike rates) so it is worth trying to get the best cover at the best price. I realise that getting cover in the first year of trading is difficult but you should look to drive the cost down in the future (IMO).
3. In my opinion it makes sense to specialise. I work closely with a workshop up the road from me that is attached to a v.large used car sales lot. The mechanics there are constantly pulling their hair out trying to work out how to do things for the first time. In contrast we are frequently developing special tools and methods for jobs that we perform time and time again. Getting very good (very quickly) is not only good for profitability but if you are able to make a name for yourself in a particular field then clients will be beating a path to your door = low marketing costs and a full diary. We do zero marketing and are currently taking bookings for late September.
4. Don't be afraid to turn work away. In the early days for me this was stuff I hadn't directly done before - try and stay inside your comfort zone for as much as possible. You'll never make any money working for hours you cannot bill. These days I'm more likely to be biffing off prospective clients I get a bad feeling about.
5. Don't get known as a bad payer and cultivate your supply chain. This industry is full of bad payers and arrogant tossers. If you pay your suppliers properly and treat them with respect it will pay dividends. I use the same bodyshop as one of my major competitors - we are allowed to drive cars away and pay on receipt of invoice (sometimes over £10k of work) whereas our compatriots have to pay up front. Usually this allows us enough time to get the car out/invoiced/paid for which means we don't have to fund the gap.
If at any point you'd like a sounding board then please feel free to PM me. I'm about three years ahead of you (business wise) and I had to figure out everything on my own. I'd be more than happy to help in anyway that I can. I also have some (positive) thoughts on specialising in Porsche that I'm not prepared to share in public.
Little update
Voicey's advice was superb (as well as the lengthy email he sent me) - have taken lots on board and have managed to save 2k on my insurance bill for better cover! Lots of other things I hadn't quite considered.
The workshop is now booked up 5 1/2 weeks ahead, so that's August sorted! Thanks mostly to offering a very good deal on TVR chassis outrigger replacements (something I can do easily with a low material cost) and marketing directly to my target demographics via Facebook. If I target correctly £50 of advertising on Facebook will gain me at least 1 decent booking/new customer.
The TVR chassis promotion cost me £60 and has generated around £15k of work with whats already booked in (not all of it TVR chassis...but it got customers attention) - aside from that particular promotion i'm strictly pricing in line with my competition, no less. No one wins in a race to the bottom. I generally find that once I've talked to a prospective customer or met them, they seem to be fine with any pricing and the fact the business is so new.
Will be increasingly steering it away from 'normal' stuff, towards TVR then Porsche. Then some fancier/bigger premises in the countryside in a few years.... A boy can dream...
Voicey's advice was superb (as well as the lengthy email he sent me) - have taken lots on board and have managed to save 2k on my insurance bill for better cover! Lots of other things I hadn't quite considered.
The workshop is now booked up 5 1/2 weeks ahead, so that's August sorted! Thanks mostly to offering a very good deal on TVR chassis outrigger replacements (something I can do easily with a low material cost) and marketing directly to my target demographics via Facebook. If I target correctly £50 of advertising on Facebook will gain me at least 1 decent booking/new customer.
The TVR chassis promotion cost me £60 and has generated around £15k of work with whats already booked in (not all of it TVR chassis...but it got customers attention) - aside from that particular promotion i'm strictly pricing in line with my competition, no less. No one wins in a race to the bottom. I generally find that once I've talked to a prospective customer or met them, they seem to be fine with any pricing and the fact the business is so new.
Will be increasingly steering it away from 'normal' stuff, towards TVR then Porsche. Then some fancier/bigger premises in the countryside in a few years.... A boy can dream...
Become plumber .....
No shortage of work or enquiries
You dont ever have to turn up on time
You can take a day off without notice to a customer and they will STILL want to pay you to sort their boiler out when/if you can fit them in
You can charge whatever you want
You can dress however you want
You dont even have to shower in the morning and customers will still be queuing up for your services
Once you are in, you are indispensable
Landlord market is a (free) licence to print £££
Plumbing is simple
No stock needed
No shortage of work or enquiries
You dont ever have to turn up on time
You can take a day off without notice to a customer and they will STILL want to pay you to sort their boiler out when/if you can fit them in
You can charge whatever you want
You can dress however you want
You dont even have to shower in the morning and customers will still be queuing up for your services
Once you are in, you are indispensable
Landlord market is a (free) licence to print £££
Plumbing is simple
No stock needed
Edited by khushy on Wednesday 31st July 10:12
I am fed up with IT and dealing with users all the time, looked into a trade and think it'd be a good move. Obviously need training up, but I am very pratical and logical, so think I'd take to it. I also enjoy DIY, yes, I know it's different.
Was thinking of going self employed to get some money in doing the odd IT project/support whilst training to do a trade. If the IT side takes off, stick at it as it's probably a better money maker!
Looking at local courses starting with the new school year, maybe about to make the jump!
Was thinking of going self employed to get some money in doing the odd IT project/support whilst training to do a trade. If the IT side takes off, stick at it as it's probably a better money maker!
Looking at local courses starting with the new school year, maybe about to make the jump!
Much the same here. I already have a side line business but rely heavily on the bay, which I cant stand.
Websites however I have found to be very very hard to gain traction with traffic.
I had thought about a window cleaning business, low costs outlay. But I haven't looked into competition or pricing just yet.
Fast approaching 40 and bored of the 9-5 corporate BS daily.
So watching this thread with interest and renewed enthusiasm
Websites however I have found to be very very hard to gain traction with traffic.
I had thought about a window cleaning business, low costs outlay. But I haven't looked into competition or pricing just yet.
Fast approaching 40 and bored of the 9-5 corporate BS daily.
So watching this thread with interest and renewed enthusiasm
Kingdom35 said:
Much the same here. I already have a side line business but rely heavily on the bay, which I cant stand.
Websites however I have found to be very very hard to gain traction with traffic.
I had thought about a window cleaning business, low costs outlay. But I haven't looked into competition or pricing just yet.
Fast approaching 40 and bored of the 9-5 corporate BS daily.
So watching this thread with interest and renewed enthusiasm
Window cleaning seems tricky, low start up yes. But incredibly territorial. Websites however I have found to be very very hard to gain traction with traffic.
I had thought about a window cleaning business, low costs outlay. But I haven't looked into competition or pricing just yet.
Fast approaching 40 and bored of the 9-5 corporate BS daily.
So watching this thread with interest and renewed enthusiasm
So much so that I've heard that buying/selling window cleaning rounds isn't that uncommon. Kind of frustrating that the public become a product to trade.
crosseyedlion said:
Kingdom35 said:
Much the same here. I already have a side line business but rely heavily on the bay, which I cant stand.
Websites however I have found to be very very hard to gain traction with traffic.
I had thought about a window cleaning business, low costs outlay. But I haven't looked into competition or pricing just yet.
Fast approaching 40 and bored of the 9-5 corporate BS daily.
So watching this thread with interest and renewed enthusiasm
Window cleaning seems tricky, low start up yes. But incredibly territorial. Websites however I have found to be very very hard to gain traction with traffic.
I had thought about a window cleaning business, low costs outlay. But I haven't looked into competition or pricing just yet.
Fast approaching 40 and bored of the 9-5 corporate BS daily.
So watching this thread with interest and renewed enthusiasm
So much so that I've heard that buying/selling window cleaning rounds isn't that uncommon. Kind of frustrating that the public become a product to trade.
Does this apply to every trade then?
Back when I was a kid we had 2 window cleaners in the village with a population of 10-15k. Always busy.
I wonder what % of people have their windows cleaned these days
PistonBroker said:
Blimey! Renewed a client's £4,500 Motor Trade policy yesterday and they're in a much bigger space with, judging by that pic, a lot more crammed in.
I'll remember this when my clients inevitably moan!
Best of luck with the new place.
I've managed to get this down to 2.9k thanks to the advice of another PH'er - for much better cover. There is now no limit to the value of vehicle I can drive fully comp (ANY vehicle, standard, modified, classic, supercar etc... although only covered to 2mil. of damage to the vehicle) and 100k limit on vehicles in storage (realistically I can only store 5 vehicles anyway). I'll remember this when my clients inevitably moan!
Best of luck with the new place.
Whatever the cost, being under insured isnt a way to run a business, so I don't mind.
Glasgowrob said:
great to see you've got premises sorted out 
and fully booked for the next 5 1/2 weeks is great going, especially if its the stuff you want to be doing as well.
any scope for getting a 4 post in there as well or too tight for space?
It's a little tight for space, the 2 poster I got was very wide. I'm sure a 4 poster would fit but it would become another obstacle when moving cars around. Because of that I think I'll get a scissor lift.and fully booked for the next 5 1/2 weeks is great going, especially if its the stuff you want to be doing as well.
any scope for getting a 4 post in there as well or too tight for space?
I'm already planning to move to somewhere bigger in 2020/21 - luckily my landlord has some much bigger units and hasn't had an issue relinquishing tenants of their lease when they want to upgrade.
Excellent thread.
To the OP, I'd be cautious targeting Porsche owners as your end game. Unless I've missed something, you're not a previous Porsche mechanic and have only worked on a couple of cars - owners tend to like a little more provenance than that and you'd probably need a wealth of experience of all the models, over the last 30 years, to be able to truly specialise.
To the OP, I'd be cautious targeting Porsche owners as your end game. Unless I've missed something, you're not a previous Porsche mechanic and have only worked on a couple of cars - owners tend to like a little more provenance than that and you'd probably need a wealth of experience of all the models, over the last 30 years, to be able to truly specialise.
crosseyedlion said:
I've managed to get this down to 2.9k thanks to the advice of another PH'er - for much better cover. There is now no limit to the value of vehicle I can drive fully comp (ANY vehicle, standard, modified, classic, supercar etc... although only covered to 2mil. of damage to the vehicle) and 100k limit on vehicles in storage (realistically I can only store 5 vehicles anyway).
Whatever the cost, being under insured isnt a way to run a business, so I don't mind.
Agreed on your last point, but £2.9k sounds more like it. Whatever the cost, being under insured isnt a way to run a business, so I don't mind.
Badda said:
Excellent thread.
To the OP, I'd be cautious targeting Porsche owners as your end game. Unless I've missed something, you're not a previous Porsche mechanic and have only worked on a couple of cars - owners tend to like a little more provenance than that and you'd probably need a wealth of experience of all the models, over the last 30 years, to be able to truly specialise.
I have basically rebuilt a 986, including re-engineering many aspects. I have worked on multiple 997. I have worked on sports cars extensively including from the position of engineer developing them. I'm very comfortable with water cooled Porsches and my level of knowledge already. To the OP, I'd be cautious targeting Porsche owners as your end game. Unless I've missed something, you're not a previous Porsche mechanic and have only worked on a couple of cars - owners tend to like a little more provenance than that and you'd probably need a wealth of experience of all the models, over the last 30 years, to be able to truly specialise.
I apply an engineering (rather than technician) mindset to my work. This is one of my points of difference and a certain type of customer appreciates that.
I have a customer who swore by a very well known specialist down south. After letting me spend a little time on the car they now won't take it anywhere else.
With the greatest of respect - If anyone takes issue with that, they can go elsewhere - it's their loss.
I'm certainly not going to target the air cooled market.
Like I said before I'm targeting TVR and Porsche owners for now...and I'm not going to be a one man band forever.
It's going to likely be a gradual take up of Porsche owners for the reason you mentioned.
Edited by crosseyedlion on Friday 2nd August 18:51
Badda said:
To the OP, I'd be cautious targeting Porsche owners as your end game. Unless I've missed something, you're not a previous Porsche mechanic and have only worked on a couple of cars - owners tend to like a little more provenance than that and you'd probably need a wealth of experience of all the models, over the last 30 years, to be able to truly specialise.
I don't agree with this. Lots of 1998+ water-cooled 986/87/97/97 owners with cars in the £5-£20k range that just want someone that knows what they're doing to do a job and a fair price. Not all owners of these cars are currently going to specialists and if I were one I'd be happy to give the work to the OP.Gassing Station | Business | Top of Page | What's New | My Stuff