It is often the common understanding that to run a business, you will need an ample amount of capital and the right people. However, the role of increased knowledge and well-researched information is seldom discussed. Misinformation and not knowing the trends in the current business space can impede your business’s growth.
Result? The adjustments required in the strategies will be made in the nick of time. This can somehow disrupt the roadmap that leads a family business to become a multi-generational legacy. High Lift Financial noticed the gaps within the collision industry. The steps taken to bring you the podcast, Your Business, Your Life are with the intention that the right and most current information reaches the people operating in this space.
Barrett Smith, Founder, and CEO of Auto Damage Parts joins Matt DiFrancesco. They discuss the automotive industry and how Barrett is helping shop owners become more effective and profitable through his experience in the collision and insurance industries.
Life throws countless wrenches. It is imperative that you have well-laid-out plans and are constantly updated about the ups and downs in the business environment. Whether it’s a succession plan or a retirement plan, it will be a surprise that business owners should have some work done right at the beginning of their entrance into the market.
If you require any information or assistance regarding the collision space, you can schedule a free 20-minute conversation with Matt DiFrancesco today.
The Problem of Misinformation
Most body shops are owned and run by technicians who work under the hood. Since they are constantly working in the business, it becomes hard to follow up or analyze the current trends in the industry. The lack of knowledge coupled with the misinformation out there can hurt any auto body shop.
Historically what a shop would do is they would ask insurance company adjusters regarding the labor rate. The insurance industry has been fed the information they want to provide, and they haven’t departed from that. As a result, many body shops are doing less than ethical things in the name of survival.
Lack of Technicians
A financial advisor works closely with clients and is in the trenches with them. Some common problem areas in the automotive industry can cause issues, especially when it comes to continuing the business for multiple generations.
One of these is the shortage of available technicians. The technology continues to evolve, but we have fewer technicians available. The average technician right now is between 40 and 55 years old. They, too, are looking for a way out to exit. The major reason is that they don’t know how to run a business. Plus, they face difficulty when evaluating how to pay their people fairly.
In addition, these business owners are taking advice from the wrong people. The immediate remedy is to start conducting a business. So, in short, stop working in the business and start working “on” the business. This is how they can make it attractive for younger people to become technicians.
Customer Satisfaction is Key!
To overcome the cashflow challenges and resolve the customer service issue, shop owners can quit billing the insurance company and start billing their customers. In addition, it is crucial to managing the customer’s expectations early on from the moment they come in.
Even before they set foot in your shop, you have to ensure your yellow page and website are attractive and very professional. In addition, you want to ensure that as they approach your facility, it’s clean, well organized, and it looks like cars are in production. The shop shouldn’t be in a condition where the cars seem to have been sitting around for months.
The average consumer isn’t experienced in collision repair. Plus, they’re looking for a solution. So between the body shop and the insurance company, the customer should be well covered. The body needs to be a problem solver. Also, you can always go one step further and educate the customer. This is how you will build customer loyalty.
How to connect with Barrett Smith?
You can visit Barrett’s website. He provides services to the community, consumers, insurance companies, legal professionals, and body shops. For more answers, you can send an email or get connected via LinkedIn.
Contact High Lift Financial Today!
When it comes to seeking financial advice, it’s important to find a qualified professional who can help you grow your business in the collision industry. In addition, a financial advisor can help you research and communicate that information to help you position yourself for success.
They can provide insight into strategies that are tailored for your specific business and help you create a plan that meets your needs. As a result, this can aid you in making informed decisions toward boosting your business growth. Schedule a free 20-minute conversation with Matt DiFrancesco today!
Know What Industry Specialists Have To Say!
High Lift Financial constantly engages with industry specialists who discuss current practices, trends, and strategies that can help grow a business. Here are some articles that you might be interested in reading:
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Disclaimer
The information compiled and posted here solely represents the opinions and views of the guest. It might not be similar to the opinions and views of High Lift Financial. It is not a substitute for tax or legal advice or professional investment.
Always consult your financial advisor with any personal or business planning queries. DiFrancesco Financial Concierge, LLC. d/b/a High Lift Financial is a Registered Investment Advisor registered with the State of Pennsylvania and subject to the State of Pennsylvania’s regulatory oversight.