Sample Auto Repair Shop Business Plan


What are some new business ideas in the automobile industry?

If you are so passionate about starting an automobile business of your own, this is indeed a great time for you to do so because by mere looking around, the market for mobile car repair is by this time experiencing a great deal and large margin of profit.

These are some areas to invest in the automobile industry:

Need to write a plan for your venture? Download a FREE Business Plan PDF Sample to develop a template for your own startup.

Here is a sample business plan for starting an auto repair service workshop.

Starting an automobile business on your own is not a bad idea and I shall, therefore, write you some significant steps to follow to make your dream comes through. The steps will be broken into three segments or parts regarding the top 10 automotive business ideas.

The First Segment (The Automobile Business Plan)

Here in this segment, we shall look critically at what those requirements you need to meet before the business can be classified as standard. The first thing to do when creating a business plan for the automobile industry  is;

Plan your business Niche

Starting an automobile business of your own requires you to plan for the business thoroughly by having in mind the specifics number of potential customers to cater to, how many vehicles or cars will you attend to in a day, and how many workers will you hire. All these needs plan before going further.

It will speak well of you to decide from inception on what niche of automobile you will base your business on, are you going to specialize on tire repair, engine repair, or changing and gauging of oil, or will you just go for the comprehensive or general repair of the mobile car?

You need to make up your mind whether to buy off one workshop that has been in existence or you start your own fresh, juxtapose the cost and benefit between buying existing and starting a new auto repair service or automobile detailing business.

Identify Your Location

Automobile business or franchises like Cottman and AAMCO transmission requires a definite location where your potential customer can easily locate and recognize you. Look for a location that is near to road, highway, or traffic access, avoid sitting your automobile business shop in a seclusion area, you will have low patronage.

Also, your workshop or your location should have an office for you to look after your customers and other administrative works for most successful small business ideas in the automobile field.

Get the Equipment needed Ready

Do you know the right equipment and premises to start an auto repair workshop? The next thing that will cost you to spend largely in the course of establishing an automobile is getting and buying the equipment required ready. It wouldn’t speak well of you to be renting and borrowing tools here and there but to have yours is just the best.

Write the Capital Involved

Ranging from the money spent on location, tools, insurance, the salary of the worker, and other things in the course of opening the business opportunities in the automobile sector.

How to Start My Own Auto Mechanic Shop

State your U. S. P

The meaning of USP is, “Unique Selling Point”. Your U.S.P is your competitive strength that will make your business known, you need to vividly and clearly state your unique selling point, what your workshop will offer your customer that no other or competitor would, is it the easy turning center you will provide or cut down your price?

Identifying your unique selling point will help you to bring, fetch, and attract customers before the opening.

However, the aforementioned are the first segment you need to put into consideration, haven’t done that, move to the next step without hesitating.

Second Segment (Opening the Automobile Workshop)

The second segment shall talk about the necessary things you are to do when your workshop just kick start.

Obtain License and other Documents

Different country and different states have their conventional ways of getting their license done. Make any payment when required to get certain documents sign to prevent any form of obstacle in the future.

Ensure your Business

Check and ask around for the steps to follow in getting this done in your state.

Strategize your Market

For you to liberate and breakthrough through any forms of car service business ideas, you need to relate very well with your customers. Define in detail your major values, and let them have trust in you.

You can go further by advertising your automobile business ideas in India through media outlets as it is considered as the only medium that can reach countless numbers of audiences within a short period.

Strike a Deal with Car Dealers

Endeavor to ally with car dealers because some or majority of them have their automobile shops attached to them, but if you can strike a deal with them, they can in return direct customers to your workshop.

Third Segment (Enlarge Your Coast)

This is the last segment and it is basically on how one can start an automobile business. It consists of the methods you can adopt to spread your wing to different areas.

Going for Home Service

You can go to the customer’s home to do some minor works as such it will bring more about familiarity and they will trust and depend on you more.

Split into Branches

If you find out that your automobile business opportunities have gone viral and you’ve gain ground, have many and different customers, why don’t you consider opening other branches somewhere else?

By so doing, make sure the manager in every branch is reliable but if you realize that you haven’t seen anyone who fit for such position, you needn’t enlarge the coast of your automobile business at all cost.

How to Start an Auto Repair Shop

An auto repair shop is increasingly in demand these days, fuelled by an ever-increasing number of car owners both in the developed and the developing world. As demand for auto repair shops grow, there is an accompanying demand for professionalism among clients, and continuous innovations both in the way clients are handled and in technology.

This article focus on how to start an auto repair shop, with important tips, which when used will greatly help in bringing about the much-needed growth needed by the entrepreneur. We begin with the following tips which effectively answer the question bothering on how to start an auto repair shop;

  • Have in Place a Well Written Business Plan

This is a critical ingredient necessary for the success of any business enterprise. For an auto repair shop business, a business plan charts the way for the future of the business. It contains all the details from the least to the greatest.

The advantage of having in place an effective business plan is that it eliminates guesswork or second-guessing. It sets clear what should be done and at what time it should be done. Dedicating time to writing this business plan will prove helpful at the end of the day.

  • Ensure that Your Auto Repair Shop is Licensed

To start an auto repair shop, certification is key to the realization of meaningful success. However, getting certification requires that the individual well trained, as your skills will be tested through a certification test.

A licensed auto repair shop gives more confidence to your clients on your capability of taking care of their vehicles.

Being licensed attracts more clients to your business leading to business growth.

  • Fully Understand the Cost Implications of Starting One

This is critical to the success of your business venture. Without having a hang on how much exactly is needed, or having a projected cost, the entrepreneur is most likely to work blindly which results in insufficient funds to follow through with the business, resulting in an uncompleted business venture.

To avoid this, get an expert in valuation in this field, plus know exactly the tools needed and their cost implications.

Although the costs of tools might sometimes fluctuate, it is safer to have a cost range to work with than not having at all.

  • Seek Legal Guidance

This is a requirement for any meaningful business venture. This guides the entrepreneur to avoid pitfalls that might be caused by being ignorant of the business laws and other legal frameworks. Also, seeking legal guidance helps the entrepreneur avoid pitfalls that might result in the closure of the business.

  • Location is Key

In starting an auto repair shop, location is a key component that must be considered. Location boosts the chances of succeeding or failing.

With the right location, the auto repair shop is likely to experience increased patronage. For an auto repair shop, an area with lots of traffic will be most ideal. This adds an advantage of increased visibility to the business enterprise, leading to more clients.

An auto repair shop located in a small town is more likely to attract fewer clients compared to the one located in a densely populated area where there are typically more vehicles.

  • Put In Place an Effective Publicity and Advert Structure

This should be a very important consideration to make. How well your business does largely depends on how effectively you market your business. Your business should have in place a marketing department that will formulate the best advert and publicity strategies to adopt.

Some of the strategies to be adopted might include the set-up of an easy to use the website, accompanied by the creation of incentives such as a guarantee of services done plus a few free automobile maintenance services to new clients.

  • Selecting Your Work Force

This will determine how far your business goes. An effective workforce will result in a well-run business. Having employees that have huge experience in the automobile service industry results in a business that will effectively compete with its larger competitors because its workforce understands the dynamics of the business environment and drive the business in the direction of growth and profitability.

  • Buy all the Necessary Tools and Equipment Necessary for Smooth Operations

To start a successful auto repair shop, there have to be tools which must be standard and of the right specifications. These will help the business to function effectively with minimal disruptions.

All the required tools must be put in place before opening for business. This is because different clients with different auto repair needs will become a constant feature. Each of these requires the use of certain tools. Without these, there will be an inability to meet the client’s expectations, resulting in loss of confidence.

  • Hire the Services of A Financial Advisor

The services of a financial advisor’s such as an accountant are very key to the success of the business enterprise.

Running a business without the guidance of a financial advisor is an invitation to disaster. The financial advisor will arrange the cash flow system to ensure efficient management of resources including the payroll system of the business.

The tips given on how to start an auto repair shop are key to the success of any auto repair shop business, as they help in creating a defined line of action to be taken by the entrepreneur. This is a business venture that requires careful planning and implementation. The elimination of any haphazard process increases the chances of success.

How to Start a Brake Repair Service Business

The automobile repair industry has been in existence from the time the first automobile was rolled out from the manufacturing plant. From that time to this present day, the growth experienced in this industry has been astronomical.

A lot of vehicle models have since emerged each with different designs, but working on the same principle. Since then, a lot of improvements and innovations have been made resulting in hybrid automobiles.

The auto repair industry has witnessed a huge transformation, resulting in the emergence of different specializations within it. It is no longer as it used to be before, where a single automobile technician/mechanic handled every aspect of automobile repair. Today, there are many areas of specialization in the auto repair industry.

Some of these specializations include car engine repair, vulcanizing, brake repair, wheel alignment, and auto electrical repair among others.

This article focuses on how to start a brake repair shop business. Being an area of specialization in the automotive repair industry, the right knowledge on starting this business must be made available to interested individuals who possess the right skills on brake repair. This is a guide to help entrepreneurs successfully start their brake repair shops. These are the necessary steps to take;

Obtain Certification

Obtaining an ASE professional certification is necessary if you want to be taken seriously by new clients. An ASE certification stands for the certification given by the National Institute for Automotive Service Excellence. This professional body is tasked with the responsibility of certifying professionals and all forms of auto repair shops in both the United States and some parts of Canada.

This certification speaks volumes about your ability and gives added confidence to your clients. Another importance of obtaining this certification is the opportunity for applying for financing. Without an ASE certification, it will be difficult to obtain financing for your brake repair shop business.

Have a Good Knowledge of the Cost Implications

The startup costs must be taken into account by the entrepreneur. Without a good knowledge of the startup costs and proper financial planning, the entrepreneur is bound to have financial difficulties which are inimical to the growth of the brake repair shop.

Factors to take into account the cost implications should include the purchase of the right equipment and the money to be expended on rent. These among several others should be well planned to avoid future problems.

Seek Legal Guidance

The importance of legal guidance cannot be overemphasized. To avoid any costly mistakes that may occur in the future, the services of a lawyer should be strongly considered. Legal advice guides the entrepreneur by ensuring that the business is patterned around the existing legal framework, without violating any. The whole process of registering the business, organizing the business, and employment plus the payroll system needs to be vetted by a lawyer.

The Business Plan

The success of a brake repair shop business largely depends on a business plan. The business plan should not be hurriedly written but must involve the input of experts such as the services of professionals like accountants, a lawyer among others. These check the reliability of the brake repair business plan and easily identify where there are red flags.

Producing a well-written business plan greatly impacts the success of the business. The business plan is the working document of the business and includes all the things to be done and the timeframe they should be carried out. The good news about this is that there are professionals whose business is to write good business plans for businesses.

Using their services helps the entrepreneur avoid mistakes. However, after writing the business plan, it should be taken to a lawyer for review.

Know Your Competition

To effectively deliver services to clients, it will do well to have a good knowledge of your competition. Within the business area, how many people are offering your type of services? Are their services affordable? What areas of the gap have you noticed in their services that you can easily fill? The success of your brake repair shop depends on answering these questions satisfactorily.

Location is Golden

Starting a successful brake repair shop business strongly depends on the location. The location of the business will likely determine profitability and turnover. A brake repair shop sited in a sparsely populated neighborhood is likely to witness low patronage as compared to the brake repair shop sited in busy neighborhoods or a Central Business District (CBD).

When starting your brake repair shop, strongly consider locating such in busy centers where there is high vehicular and human traffic. In such areas, you are more likely to have a higher level of patronage than areas where there is low vehicular and human traffic.

Develop an Effective Advert and Publicity Strategy

To grow your client base significantly, effective advert and publicity strategies need to be put in place. The presence of a business should be increased. This can be achieved through the use of publicity tools such as the internet, social media, electronic and print media, and the adoption of the word of mouth marketing.

These if effectively put into action will increase the patronage of your brake repair shop significantly.

Focusing on how to start a brake repair shop business, the above guidelines are an effective way of establishing your business in the path of growth and sustainability.


With so much potential in the auto repair industry and franchises like AAMCO, and its potential for further growth, this area of business has continued to attract the attention of entrepreneurs.

However, the planning stage for every business enterprise requires that such a business should have a working document, which is usually what the business plan represents.

This article will be paying close attention to the auto repair service business.

This article provides the basis for guidance to entrepreneurs that fall within this bracket of entrepreneurs. It will be anchored under the following;

  • Executive Summary
  • Products and Services
  • Our Vision
  • Our Mission
  • Competitive Advantage
  • Target Market
  • Sources of Revenue Generation
  • Sales Projection
  • Payment Channels
  • Publicity and Advert Strategy

Executive Summary

Mike’s Auto Repair is an auto repair shop to be located in Atlanta. Specialized in the provision of auto repair and maintenance services for vehicles that include trucks, buses, vans, trailers among several other car types, it is a fully licensed business that eventually plans on spreading its reach beyond Atlanta, to other states within the United States.

We intend to compete favorably with other similar service providers, with plans on hiring the best hands with impressive track records and years of experience. We will be channeling all our resources and efforts at ensuring that client satisfaction becomes a reality.

Products and Services

We will be offering a variety of products and services that will include the repairs, service, and also the maintenance of automobiles. This is in addition to services that include training and certification of auto technicians and also the sale of auto engine accessories.

Among the services to be offered is the repair of damaged vehicle transmissions of all car types, wheel balancing and alignment, fixing of damaged vehicle electrical fittings, repair, and replacement of mufflers, exhaust systems, repair, maintenance, and service of the truck, car, and other vehicle engine types.

Our Vision

Our mission is to be among the top 10 auto repair shops within the first 3 years from the commencement of business operations like auto body repair. Through the provision of highly professional and efficient services driven by a dedicated and well-motivated workforce, we intend to build a brand name synonymous with service excellence and total client satisfaction.

Our Mission

Driven by a commitment to satisfy our esteemed clients, we plan on eventually spread our outlets to cover more states within the United States. This will also involve a deliberate effort to grow our client base to impressive levels.

To achieve this, we will focus on encouraging our satisfied clients to spread the word about our services for an incentive such as discounts in repairs, maintenance, and servicing of their automobiles.

Competitive Advantage

An area that gives us an advantage over other similar businesses is our special attention to detail. With a quality control department headed by seasoned professionals, we will ensure that only the best services are rendered to clients by our technicians.

Also, all our workforce will be adequately motivated through the provision of work-friendly environments, attractive remuneration packages; all aimed at ensuring our workforce achieve job satisfaction.

Target Market

With an ever-increasing number of people using vehicles and automobiles, there is ever-expanding business potential for an auto repair, maintenance, and servicing. Hence, our target market will be diverse and will include individuals, businesses, and corporate clients.

Some of these include transport companies, individuals and households, corporate organizations, schools, financial institutions among several other potential clients.

Sources of Revenue Generation

Our revenues will be realized by the diverse services and products offered by us. Some of these areas where are revenues will come from including the fixing and servicing of vehicle brakes, wheel alignment, repairing, servicing and maintenance of vehicle exhaust systems, replacement, repair and servicing of car mufflers, and all general automotive repairs including the training sessions to be conducted for all new auto repair technicians. These and others will form the bulk of where our revenue will be generated.

Sales Projection

Using the current potential within the industry, we have drawn a three-year sales projection that will see our revenue increasing considerably to health levels. This however discounts major factors as natural disasters such as earthquakes, hurricanes among others, and also economic recession.

Our sales projection is briefly represented by the chart below;

  • First Year $140,000
  • Second Year $210,000
  • Third-year $290,000

Payment Channels
We will be introducing a wide variety of payment channels that will ensure that difficulties faced due to limited payment options are eliminated.

To achieve this, we will be using POS machines for payments, acceptance of credit cards, mobile banking acceptance of cash payments among several other payment options as may be available.

Publicity and Advert Strategies

To adequately inform our potential clients of the services provided by us, we will be adopting multiple publicity and advert measures aimed at considerably increasing our client base.

These measures include paid adverts in both electronic and print media, the use of social media channels, the printing of flyers and handbills, and also the reliance on the word of mouth marketing which has been and continues to be effective.

Satisfied clients will be encouraged to spread the word about our services to their relatives, acquaintances, and friends.


This auto repair shop business plan sample has been specifically written to guide entrepreneurs with little or no understanding of how to adequately and correctly write an auto repair shop business plan sample. While following the guidelines provided, all they have to do is simply brainstorm on what is unique to their small auto repair business.


This article presents you with an automotive business plan sample that will serve as a template for writing a good business plan for your automotive business.

No doubt, you must have avail yourself of all the requirements you need to get started with your automotive business, and I know you are not here to read about how to start up a small automotive business. So, let us get right to business!



Are you interested in starting up an automotive business, and are looking for an automotive business plan sample to serve as a useful template to help you write a business plan for your automotive business or transmission repair franchise?

BUSINESS NAME: Gentle Jimmy Automotive Company.

  • Executive Summary
  • Vision Statement
  • Mission Statement
  • Business Structure
  • Products and Services
  • Market Analysis
  • Sales and Marketing Strategy
  • Financial Plan
  • Sales Forecast
  • Conclusion


Gentle Jimmy Automotive Company is a fully registered and licensed automotive business. The Company will be located in one of the industrial zones of Ohio, United States. Our company will be concerned with providing the following services such as mechanical and electrical repairs and maintenance services that involve cars, trailers, trucks, et al.

Jimmy Sullivan will be the owner and the Chairman Executive Officer (CEO) of Gentle Jimmy Automotive Company.

The startup investment that will be required is a $300,000 sum. $100,000 of it will be contributed by the owner, Jimmy Sullivan, from his savings and investments. $50,000 will be borrowed from the owner’s close friends and family, while the remaining $100,000 will be obtained as a loan from the owner’s bank.


Our vision at Gentle Jimmy Automotive Company is to be renowned as the standard and world-class automotive company whose products and services will be accepted not just in Ohio but all over the United States and even all around the globe.

We will ensure we achieve this vision by making sure we do all that is permissible under the laws of the state and the United States.


Our mission is to deliver quality and professional automotive-related services such as auto repair, maintenance services, to our customers, which will assist them in making sure that their automobiles are always in shape and top quality. Nonetheless, our company will be ready to compete favorably with the other top companies in the industry.


Our company, Gentle Jimmy Automotive Company, is an automotive company that hopes to start on a small scale in Ohio. In subsequent years, probably five to six years after startup, we hope to grow our business big to the level where it can favorably compete with other top and leading brands in the automotive industry in Ohio and the United States at large.

We are aware of the importance of building a very strong business structure that is capable of supporting and guaranteeing us the prospect of actualizing our business vision of becoming a renowned standard and world-class automotive company in the United States.

This is why we will ensure we hire only the right employees for our business, who are ready to work for us and work with us in actualizing our dream. We will only accept into our business, candidates that are hardworking, competent, driven, customer-centric, and have some measure of experience in the automotive industry.

Our employees will be hired based on their performance in an interview session that will be organized by us. In no particular order, the following are some of the positions to be filled:

  • Auto Garage Supervisor.
  • Sales and Marketing Executive.
  • Automobile Repair and Maintenance Engineers/ Technicians
  • Accountant.
  • Client Service Executive.
  • Human Resources and Admin Manager.


At Gentle Jimmy Automotive Company, our aim in the automotive industry is to maximize profits and minimize costs as practicable as possible under the laws of the United States.

Our focus is not to simply offer services to customers, but to make sure we offer the best in the industry. We want to establish our business to be able to completely compete with other businesses in the industry.  This is why we will offer products and services that include the following:

  • Repair and replacement of automotive engines.
  • Power train repair services.
  • Scheduled and preventative repair and maintenance services.
  • Truck repairs.
  • Repairs and replacement of mufflers.
  • Repair of automotive transmission.
  • Repair of automotive radiators.
  • Repair and replacement of automotive exhaust systems.
  • Repairing of general automotive.
  • Several other repairs and maintenance services.

Jimmy Sullivan will be the owner and Chairman Executive Officer (CEO) of the automotive company.

Market Trends

One good market trend in the industry whether in developed or developing countries is the fact that one could find steady growth in the automotive industry. In the last few years, the industry had grown so well in the United States that the growth rate is even projected to increase in subsequent years.

Target Market

Our target market includes the following key groups:

  • Financial Institutions such as Banks and Insurance Companies.
  • Corporate Organizations.
  • Transport Companies.
  • Blue Chips Companies.
  • Manufacturing and Distributing Companies.
  • Individuals and Households.
  • Haulage Companies.


We will ensure we hire some of the very best experts to attend to our sales and marketing needs. We are well aware that the competition in the industry is very stiff, hence we will make sure our experts are very proficient in deducing formidable sales and marketing strategies to be able to keep our competitors at bay and shoot our company to become rated among the leading automotive companies in the United States.

We will start by introducing our automotive business and our services to the relevant groups such as the transport companies, corporate organizations, et al; which we will do by sending our brochure and introductory letters to them.

We will ensure we also list our business in yellow pages ads. We will also advertise our company and services in relevant business magazines, newspapers, and on radio and TV stations.

We will also leverage the internet and social media world to make sure we advertise our business. Also, we will have a functional website that our customers can log onto.

Startup costs

A total estimated sum of $300,000 will be required to start up Gentle Jimmy Automotive Company in Ohio, United States.

Sources of Funds

A total sum of $100,000 will be contributed to the owner’s savings and investments. $50,000 will be borrowed from the owner’s friends and family, and the last $150,000 will be obtained as a loan from the owner’s bank.


The following is a sales projection for Gentle Jimmy Automotive Company for the next three years.

Year One                    $300,000
Year Two                   $800,000
Year Three                 $1,000,000

This sales projection has been done based on various factors such as the location of our automotive business, and other obtainable statistics in the automotive industry. Nevertheless, this projection has not considered the emergence of any major competitor within the same location. Also, this projection has not considered the occurrence of any major economic meltdown.


The business plan sample in this article is an automotive business plan sample. This business plan sample has presented all the key areas of the business that will demand attention. It has presented the executive summary of the company; the vision and mission of the company; the products and services of the business to their clients; and the sales and marketing strategy to achieve their set out a business vision.

It can only be hoped that this business plan sample will serve as a useful template for enabling you to write a good business plan for your automotive business.

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