Owning an auto repair shop is a great way for those who love cars to make money doing something they love. When you open a shop though, you need to worry about things like making sure you have the right equipment and advertising to reach prospective customers. Buying an auto repair franchise comes with some built-in support, including help picking the right advertising methods and assistance with stocking your shop. While there are some great benefits to operating a franchise, it's helpful to look at some of the requirements associated with opening one.
Most franchises require that those who want to open one meet some strict financial requirements. They want to ensure that you have the money needed to open the shop, hire the right people, purchase the equipment and supplies that you need and cover your operating costs. You may need a net worth in the $250,000 range and have a minimum credit score of at least 700. Some also require that you have liquid assets of more than $100,000, which cannot include any loans you take out or money that you borrow before opening the franchise.
You will also need a franchise license, but each franchise can establish its own rules and requirements for getting this license. Some just ask that you attend some classes at the head office of the corporation. Those classes teach you how to operate your business and handle all the daily tasks associated with running an auto shop. Others ask that you attend a series of lectures and classes and that you make some presentations of your own. This ensures that you have an understanding of all the things mentioned and discussed in your classes.
Before buying a franchise, you usually need to submit an application that shows your net worth and any other required information. One of the sections on that application will likely ask you about your auto experience. You need to list all the experience that you have in running or working for an auto repair shop and any other retail or customer service experience that you have as well as the hands on experience that you have working with autos. Auto repair franchise opportunities are available from some top companies, but you'll need to make sure that you have the experience needed to run one and that you meet any other requirements too.