Automotive Business

Things You Should Consider Before Starting an Automotive Business

Are you very passionate about cars? Do you feel like you can turn this hobby and passion of yours into a career?  Click here to see how you can start your own business.

Entrepreneurship and starting your own business can be quite a challenge, especially if you’re new at all of this. However, you don’t have to start blind. In this article, we’re going to discuss the various things you should consider before starting your own automotive business. If you apply these things, you’ll have a better chance at starting on the right foot.

Why Are You Starting an Automotive Business?

Before even doing anything else, you need to answer this critical question. Are you starting an automotive business because you want to make a career out of your passion? Or do you want to earn more while not having to answer to anyone but yourself? Answer this question honestly and it will help narrow down your thinking towards an automotive business. Make sure to think wisely, is your passion going to make this business thrive? Only you can answer these questions.

You Need to Get Certified

Even though an ASE certification (Automotive Service Excellence Certification) is not required to work on cars, without one makes it very difficult and expensive to obtain liability insurance. It can also make finding proper financing for your business harder. An ASE certification can be a great marketing asset. It will tell your potential customers that you’re competent and know what you’re doing. This gives them confidence when deciding to shop from you.

Startup Costs

Before you start spending on the resources, you need to know the total amount of costs to get your business up and running. This is to ensure that you avoid running out of funds before you even get your first customer. Each startup will cost differently, depending on its scope and needs. However, most automotive startups will cost around $47,000; according to this article by the AppointmentPlus. This estimate includes equipment, insurance, and rent. This number may change significantly if you need to alter your workspace.

Get Professional Legal Advice

Starting a business on your own without the guidance of legal experts can spell doom. Numerous things go into opening a business, not just finding the right location and providing your service. You’re going to need to study the regulations on liability insurance requirements, get your business license, open accounts that handle your business finances, etc. A trustworthy and skilled lawyer is a must-have to make this process as smooth as possible.

Choose Whether You’re Going to Specialize or Not

There are plenty of different specialties in the ASE certification; a total of 16 specialties. This includes Collision Repair, Automobile, School Bus, Transit Bus, Medium to Heavy Truck, and Truck Equipment.

If you intend to specialize, you’re going to have to do thorough market research to see if there’s enough demand to support your specialized shop for a long time. For example, specializing in producing the best brakes can earn you a reputation for the garage with the best brakes around. However, you can lose out on business in other specialties.


That’s it, those are just some of the things you should consider when opening an automotive business.  We know that entrepreneurship and starting your own business can be a tough battle. That’s why we’re here to offer you guidance where we can.

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