Repairing Guides

how to start a diesel repair shop

by Valentine Rau Published 3 years ago Updated 2 years ago
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How to Start a Diesel Repair Shop

  • Get the Education. You don’t exactly need to be educated to open a diesel mechanic shop. ...
  • Get Your ASE Certification. ...
  • Consider Starting a Service Truck Business vs. ...
  • Choose the Target Market. ...
  • Pick Your Diesel Mechanic Shop Location. ...
  • Form a Legal Entity. ...
  • Get Yourself Funded. ...
  • Get Solid Insurance. ...
  • Get the Equipment. ...
  • Hire a Staff. ...

More items...

Full Answer

How do I start my own diesel repair business?

To get the certification, you’ll need to have two years of work and educational experience. One of those years has to be obtained on the job. The first order of business in setting up your own diesel repair shop is to choose the actual business. Do you want to have a full-service auto shop with a storefront, or do you want to have a service truck?

How long does it take to start a diesel performance shop?

However business owners pursue diesel tech training, their formal education should be paired with real-world experience working in a diesel performance shop. Business owners may want to work in the industry for anywhere from 6 months to several years before starting out on their own. What is the growth potential for a diesel performance shop?

Can you start a truck repair shop of your own?

Lots of diesel technicians and truck mechanics wonder how to start a truck repair shop of their own. Starting a business is a massive undertaking requiring a lot of time and energy – probably more than you realize. With that said, if you can pull it off, it will transform your life for the better.

Do I need to be a diesel technician before opening a shop?

While it’s not necessary to be a diesel technician before opening a diesel performance shop business, being a competent technician is extremely helpful. Business owners who themselves are familiar with diesel engines can check technicians work rather than rely on technicians for advice.

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How do I start a successful truck shop?

1:2422:45TOP 5 TIPS FOR RUNNING A SUCCESSFUL AUTOMOTIVE SHOPYouTubeStart of suggested clipEnd of suggested clipSo having things that are able to be worked on having them able to be serviced. And having a serviceMoreSo having things that are able to be worked on having them able to be serviced. And having a service schedule for your automotive equipment in the shop is.

What is a diesel performance shop?

Diesel performance shop businesses specialize in servicing the diesel engines in these light-duty vehicles and maximizing their performance. (Pickups branded “heavy duty” still fall into the light- or medium-duty range of diesel vehicles.)

Who owns Xtreme Diesel Performance?

Executive TeamName & TitleContact InfoDan Stewart Co Owner and Partner❅❅❅❅@xdp.com (732) ❅❅❅-❅❅❅❅Visit ProfileRobert Craft Partner❅❅❅❅@xdp.com (732) ❅❅❅-❅❅❅❅Visit Profile

How do diesel engines increase horsepower?

How to Improve Diesel Truck PerformanceUse Diesel Fuel Additives. ... Consider Diesel Tuners. ... Install Performance Air Filters & Cold Air Intakes. ... Upgrade the Exhaust System. ... Use DPF, DEF, and EGR Delete Kits. ... Upgrade your Diesel Fuel Injectors. ... Install a Turbocharger. ... Schedule Regular Diesel Engine Tune Ups.

What are the costs involved in opening a diesel performance shop?

The startup costs for a diesel performance shop business are substantial. Shops need a space to perform work in, diagnostic software, shop manageme...

What are the ongoing expenses for a diesel performance shop?

The ongoing costs for a diesel performance shop are labor, parts and overhead. Labor should account for 30 percent of revenue, parts for 25 percent...

Who is the target market?

The target market for a diesel performance shop is anyone who owns a light-duty diesel vehicle. This includes contractors who have a diesel pickup...

How much can you charge customers?

As mentioned, customer charges are broken into labor and parts costs. Labor rates vary, but they’re often a little less than $100 per hour. For exa...

How much profit can a diesel performance shop make?

The profit potential for a diesel performance shop is substantial. The above operating costs leave a 35 percent profit, and the average diesel repa...

How can you make your business more profitable?

Diesel performance shop businesses can increase their revenue and profits by branching into heavy-duty diesel service. Working on larger equipment...

Is this Business Right For You?

Anyone who is mechanically inclined and has a passion for diesel engines may enjoy running a diesel performance shop. Business owners frequently wo...

What happens during a typical day at a diesel performance shop?

A typical day at a diesel performance shop business is full of activity. Business owners: Diagnose and repair existing problems Check and perform r...

What are some skills and experiences that will help you build a successful diesel performance shop?

While it’s not necessary to be a diesel technician before opening a diesel performance shop business, being a competent technician is extremely hel...

What is the growth potential for a diesel performance shop?

A diesel performance shop may have a single location or a number of locations. For example, J&S Diesel has a single location in Las Vegas while D&W...

How to Start a Diesel Repair Shop

There are some important questions to consider before opening a diesel repair shop. From Fullbay.

Training for repair shop owners through new Jasper and Elite partnership

Drivetrain component remanufacturer, Jasper Engines & Transmissions and Elite, a shop management training and coaching company, recently announced a new partnership to provide shop owners with ethics-based sales, marketing, recruiting and shop management training. The goal of the training is to help auto repair businesses become more successful.

What is a service truck?

A service truck works well to service a fleet of trucks, especially if a customer doesn’t care that you’re in their yard. The mobile shop works well if you want to get your name out there but don’t have the finances for a building yet. A good mobile shop will have a place for tools, fluids, and parts along with a compressor, generator, welder, ...

Why are business vehicles more valuable?

Business vehicles tend to be more valuable because they do heavy-duty work as opposed to your basic farm diesel truck. These pieces of equipment make money for the business, so the owner values them more. Business diesel equipment also sustains more wear and tear compared to customer’s light-duty equipment.

Is a diesel truck a repair shop?

Diesel repair trucks have the mobility that a shop may not, and yet they are still a legitimate truck repair shop business, without the foundation. They’re just a shop on wheels. A repair truck will serve customers remotely, giving them the luxury of you going to them. Because you do not have a shop, per se, you do not have to invest ...

Do businesses require heavy duty service?

Businesses will require more heavy-duty service . Consumers, on the other hand, have a light-duty service. Businesses often have a less emotional response to the service you give them as the person you’re working for is just an employee of the business and not the truck owner himself.

How does a diesel performance shop make money?

A diesel performance shop business makes money by charging for the repairs, maintenance and other work done. Invoices include charges for labor and parts.

Where are diesel performance shops located?

A diesel performance shop may have a single location or a number of locations. For example, J&S Diesel has a single location in Las Vegas while D&W Diesel has shops throughout the Northeast.

What is diesel performance?

A diesel performance business is generally run out of a garage or auto shop. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO). A CO confirms that all building codes, zoning laws and government regulations have been met.

Can a diesel shop be a performance shop?

Because diesel passenger vehicles aren’t as common as gasoline-powered ones, a region can’t support as many diesel performance shops as it can traditional petrol-engine mechanics.

Who is the target market for a diesel performance shop?

The target market for a diesel performance shop is anyone who owns a light-duty diesel vehicle. This includes contractors who have a diesel pickup trucks, automotive enthusiasts who have diesel sports cars and everyday drivers who drive fuel-efficient diesel models.

Can a service truck work on a commercial fleet?

A service truck is more suited to working on commercial fleets than personal diesel vehicles, however. Businesses that have fleets usually have a yard where work can be done, but individuals are often hesitant to let mechanics work in their driveway or home’s garage.

Is this Business Right For You?

Anyone who is mechanically inclined and has a passion for diesel engines may enjoy running a diesel performance shop. Business owners frequently work on engines themselves, and having a passion for this kind of engine helps business owners connect with their customers.

How long does it take to get a diesel mechanic license?

You should also pursue higher education. Get either a diesel mechanic certificate (which takes as little as six months to complete) or an associate degree (which takes two years).

What is the second choice in a diesel mechanic business plan?

The second choice you have to make, which should be clearly outlined in your business plan, is whether you’ll primarily be servicing trucks from businesses or individual consumers. The highest-grossing diesel mechanic shops usually slant their business toward dealing with commercial clients, and there’s a very good reason.

How does a mechanic make money?

These include oil and lube services, alignments, diagnostics, brake services, A/C repair, refrigerant recycling/recharging, electronic engine control services, emission control services, spark plug replacement and alternator repair and replacement. Make sure you have the equipment needed to do these specific tasks.

How much does a diagnostic machine cost?

At minimum, you can expect to spend $15,000 on tools. Each lift will run around $4,000, and diagnostics machines can cost between $5,000 and $10,000 each.

How to get an employer identification number for auto shop?

An employer identification number can be obtained for free through the IRS website.

How to get repeat business from towing companies?

Consider offering promotions to customers. A coupon for something small, like an oil change, can lead to repeat business. It’s also a good idea to seek out relationships with towing companies because they can refer you to new customers.

Do you need to be a mechanic to open a diesel shop?

You don’t exactly need to be educated to open a diesel mechanic shop. You can opt to hire a knowledgeable, experienced staff, but most shop owners tend to be mechanics themselves. It’s much easier to have a successful diesel mechanic shop if you know the ins and outs of how diesel vehicles work and what those vehicles need.

What to do if you don't have diesel skills?

Hire a Quality Tech: If you do not have solid diesel skills then hire a quality diesel diagnostics technician. Warning: you may go through a few to get the correct one for your shop.

How much should a heavy duty shop estimate include?

A Heavy-Duty shop estimate should include a 30% to 40% increase on the above startup costs . Please note, this Heavy-Duty estimate does not include purchasing the Heavy-Duty lift equipment or saving for the needed equipment as the business grows.

What to do when you buy electronic scan tools?

When you purchase electronic scan tools always buy from a reputable source. Trust me: it’s a blessing to be able to pick up the phone for quick support. If the tool is laptop-based, they will use an app such as Team Viewer and take over your computer to correct the software problem while you wait. When you are updating a PCM or running a diagnostic and you or the tech does not know which direction to go, the seller will take over the laptop and advise you over the phone. The Technical Rep will tell you and your techs the correct procedures and demonstrate how to use them. What price do you put on that kind of support?

What are the best search engines for business?

Search Engines: Google and Bing are great resources for website traffic and business exposure. Be sure to set up a “Google My Business” profile (business.google.com) and “Bing Places for Business” profile (bingplaces.com). Include your business’s basic information in these profiles so that people can easily find your business when they look you up.

How to improve quality over quantity?

However, pick out a couple of engine brands or fuel systems and invest in the training and tooling required to master them. This will increase your customer base through you becoming recognized as having specialized skills that others do not.

Do parking lots need maintenance?

Asphalt parking lots will require maintenance. Class 8 Trucks, Heavy Equipment and leaking diesel fuel are hard on asphalt. Is the Landlord willing to pay for the required maintenance or will it be a cost that you are responsible for? A cement parking lot is preferred.

Do not allow customers to supply parts?

A word of warning: Do not allow the customer to supply your parts! If you do you will lose control of your shop, lose the needed profit from the parts , and it will disrupt the shop flow!

How much will diesel engine repair business grow in 2021?

According to industry reports, the global diesel engine repair business is expected to grow steadily at a CAGR of 9% within 2016-2021. Note that this market growth is dependent on the growth of the automotive industry. The global diesel engine market size will also grow by over USD 107 billion during 2016-2021.

How much does a diesel mechanic make?

According to industry experts, the pay for diesel mechanics now, and in years to come, averages slightly higher than the median for all installation, maintenance, and repair occupations—$42,320 per year versus $41,020 per year. It is believed that the worst earning diesel service technicians earned significantly less than $26,820, while top earners cleared $63,250.

How does Quantum Repairs make money?

We at Quantum Repairs will generate income by providing diesel engine repair services and situating a fully stocked parts shop. We plan to create eight service bays at each location, and make sure all our workers focus on providing superior customer service. All our stores will carry typically the same basic product line, with variations based on the number and type of cars registered in the different markets. Our automotive product lines will include:

What is quantum repair?

Our mission at Quantum Repairs is to provide high-quality diesel engine repair services and a full range of auto parts. We plan to offer our clients personalized service by offering convenience and rapid service. Also Quantum Repairs as a technologically savvy business with computerized monitoring of all parts inventory, we plan to make sure that parts are always in stock, while keeping a balanced level of inventory to maximize turnover.

Why is there a constant demand for auto repair services?

We believe that by having a high level of commuting traffic, and an equally high level of tourism traffic on local highways , there will always be a constant demand for auto repair services and auto parts.

Why do people pay extra for auto repair?

Report has it that most individuals in this market segment are willing to pay an extra premium within the pricing of auto repair services to avoid the common inconveniences of having a vehicle tied up in a repair shop.

What is exhaust after treatment?

One of such developments is the incorporation of exhaust after-treatment technology with the diesel engine. Experts believe that this technology allows low emissions from diesel engines and increases their efficiency and is expected to see increased market penetration in the coming years.

Why do car repair shops need a CO?

For instance, since car repair shops operate out of garages, a Certificate of Occupancy (CO) is mandatory as it proves that all legal and safety regulations have been met by the garage and it is fit for people to work in/customers to visit.

Why is it important to keep a detailed history of your business?

Whether you run a real estate business or an automotive repair shop, keeping a detailed and organized history of your income, expenses, assets, and liabilities is critical to understanding your business’s financial performance over time. It will also help you file annual taxes faster because your accounts would already be in place!

What to do at a grand opening?

Your big day is here…hold a grand opening where people in the area can stop by and see what differentiates you from the competition. You could advertise promotional discounts for the first week (or month) or give free services (e.g. a 5-point inspection) to get customers into the door.

Do car repair shops have to follow federal regulations?

Car repair shops must follow mandato ry federal and state-level environmental regulations as well. You can find the complete checklist here.

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