Starting a small classic vehicle servicing business advice

[Slamdunkdub]

I have a particular set of skills that would benefit local classic car owners especially one particular group. With modern garages going digital I have years of old school motoring experience which I feel is in demand to the right groups.

I've been doing work on Freind's or Freind's of Freind's cars for a while and I get more interest the more I do. I hate my 9 to 5 so thought it's worth doing some research.

Problem is, I have no idea what's involved!
I appreciate I will need a company name registered, but what about VAT, tax, what can be claimed back for things used by the business?

I assume I'll need to negotiate with suppliers a rate and an account which I'm comfortable doing.

If I charge the average hourly rate for an independent garage I could turn over double my current salary allowing for overheads such as premises, rates, energy etc so my thinking is financially I could be the same but much happier and free than working where I am 9 to 5.

Any advice would be a great help.

Thanks
Stu

[steveo3002]

factor in alot of jobs will take double the time to do because of rust and 40 years of bodgers working on it

[AndyC_123]

Slamdunkdub said:

I have a particular set of skills that would benefit local classic car owners especially one particular group. With modern garages going digital I have years of old school motoring experience which I feel is in demand to the right groups.

I've been doing work on Freind's or Freind's of Freind's cars for a while and I get more interest the more I do. I hate my 9 to 5 so thought it's worth doing some research.

Problem is, I have no idea what's involved!
I appreciate I will need a company name registered, but what about VAT, tax, what can be claimed back for things used by the business?

I assume I'll need to negotiate with suppliers a rate and an account which I'm comfortable doing.

If I charge the average hourly rate for an independent garage I could turn over double my current salary allowing for overheads such as premises, rates, energy etc so my thinking is financially I could be the same but much happier and free than working where I am 9 to 5.

Any advice would be a great help.

Thanks
Stu

Top lurking.

I personally would start off very simply as a sole trader. No need to register a company name & very simple for the books. Business expenses can be claimed back. If you turn over more than £85k you have to be VAT registered. You will have to charge your customers VAT making their bills more expensive (unless you are supplying VAT registered companies, which I expect you aren't). I would avoid registering for VAT voluntarily.

I would also build the business up whilst you are still employed in your 9-5. It will be tough from a working hours point of view, but gives you some financial security whilst building a customer base.

You could offer a driveway service to reduce overheads of a rented workshop/unit but that may be an issue with tools/ramps/weather.

Best of luck. You'll only regret not giving it a go one day.

[jonsp]

The first step would probably be to think where am I going to get enough clients to make a sustainable business from?

You've clearly got a target market in mind - can you put a number on the size of this market, how many cars are out there?

You also mention work for friends of friends - was this paid at commercial rates or more like mate's rates? Did they come to you because you were cheaper or because you were better?

You say charge the average rate for an existing established garage with existing clients and a decent reputation. Why would a guy who's (presumably) happy with his existing garage switch his business to you for the same cost?

[Eric Mc]

Be aware also of the limits of operating a business from your home premises - especially what is effectively a car repair business.

[Simpo Two]

Slamdunkdub said:

stuff

All good questions to ask and get answers to. But as said, to make it all work you need customers. So first you need to look at your market, and work out how to persuade customers to come to you. What's the competition like? Is there a shortage of garage services in your area? If not then you need to offer something ahead of the rest.

I spent several months planning my first business, and if you can get everything right, and you have the right attitude and (obviously) competency, it will work

[DanCat]

I'm 6 years into my coachbuilding/restoration business, its be a challenge at times but I wouldn't change it. You'll work more than you are now and you may find you can't actually book out as much as you think.
Premises and insurance are likely to be your biggest issues, I think you'd struggle to find insurance without a commercial base. I've only been with

https://www.classicinsuranceservices.com/

From day one, if you go through these please mention my name as I get discount

I dont advertise, most of my work come from word of mouth, I do attend Beaulieu autojumble though as its close. I've picked up some work here but it's also good for networking.
I also join the appropriate Facebook group for the model I'm working on and share the work on there. Posting in the classic section in this site has also lead to work, obviously you need to stay within forum rules here.

I have trade accounts where I can, local autofactors etc but some of the big classic suppliers don't need to offer these.

As stated above I'd build the business up alongside your full time job until you can't fit it all in. Premises will probably be the key, do you intend to just service or fully restore? It may be worth having one long term job on the go to fall back on if possible.

Check out my website above and feel free to message me directly if it helps

[voicey]

I've been through this and now have a successful business that rivals some of the most established rivals in my area.

Where are you located? If it's South East then please do stop by for a chat. Otherwise send me a PM and I'd be happy to chat over email - unless you're about to set up a rival business to me!

There's some great advice in these two threads:

https://www.pistonheads.com/gassing/topic.asp?h=0&... Page 5 for my thoughts

https://www.pistonheads.com/gassing/topic.asp?h=0&... Page 9 for my thoughts

In any case, it's a tough gig to do on your own so I wish you all the best with it. There's nothing like being your own boss...

[skwdenyer]

DanCat said:

I'm 6 years into my coachbuilding/restoration business

Just have to say, looking at your site, really liking the work.

When the job is "All new ash frame and body" you're a long way outside of the zone of many "restorers"