Startup Expenses for an Auto Repair Shop
Lift with Installation – $4,000.
Insurance Cost per Year – $4,000.
Tools – $15,000.
Diagnostic Machine – $5,000 to $10,000.
Do you need a mechanic license to open a shop?
In most states, it is necessary to obtain a car repair shop license. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits. Most businesses are required to collect sales tax on the goods or services they provide.
How much does it cost to run a mechanic shop?
It’s the least-fun step, but also the most necessary. Expect your startup costs to hover around $50,000, including equipment, rental fees and insurance. These are the bare basics: Diagnostic machine, between $5,000 and $10,000.
How much does a mechanic shop owner make a year?
The median annual salary for all automotive service technicians and mechanics is $39,550 as of May 2017, yet many auto repair owners are more experienced and may be more likely to earn incomes at the top end of the pay scale. The top 10 percent earn more than $65,430, while the bottom 10 percent earn less than $22,610.
How do I open a mechanic shop?
If you’re a mechanic or working on becoming a mechanic, reaching that dream might start with the idea of opening your own auto repair shop.
Opening an Auto Repair Shop: 6 Things You Should Know
- Get Certified.
- Know the Startup Costs.
- To Specialize or Not To Specialize.
- Get Legal Advice.
- Set up Interviews.
- Get the Word Out.