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labor charge

Discussion in 'The Lounge' started by hunterguy86, Jun 27, 2006.

  1. hunterguy86

    hunterguy86 1/2 ton status

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    I'm about to start a side business doing minor car repair. I will do oil changes, brake jobs and the like.

    They way I plan to do this is to determine the parts needed and have them buy em, then I do the labor.

    What is a fair price to charge?
    Any unforseen problems here?
     
  2. Bubba Ray Boudreaux

    Bubba Ray Boudreaux 1 ton status

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    What do you think your time is worth? What is the going shop rate around there?
     
  3. hunterguy86

    hunterguy86 1/2 ton status

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    My goal here is to make a little money of course and to treat others fairly. I dont want to rip anyone off.
     
  4. daleearnhardt01

    daleearnhardt01 1/2 ton status

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    60-75 an hour...
     
  5. hunterguy86

    hunterguy86 1/2 ton status

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    How about a flat rate for basic things such as oil changes and tire rotations. Other issues charge by the hour.

    Keep the opinions coming.
     
  6. daleearnhardt01

    daleearnhardt01 1/2 ton status

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    10-15 for oil changes, but that should include checking air in the tires, all fluids, etc etc. Tire rotations should be 20-25 bucks..
     
  7. muddysub

    muddysub 1 ton suburban status Staff Member Moderator GMOTM Winner

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    paperwork, make sure you can cover your ass.... i dont do side work for that reason, but if i do its for family and i charge them $80/hr.
     
  8. theperfectgarage

    theperfectgarage 1/2 ton status

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    I do that sort of thing, I charge 25.00 for a " premium oil change " (not syn.) I use valvoline oil and fram filters. Don't try to compete with the 15.00 oil change guys, thats what just the product costs, your working for free.
    Sell on the quality of your service and add some kind of personal touch.
    On brakes, starters, alts. etc. I go by book time and charge 25.00 per hour.
    Caution, dont bite off more then you can chew. If you screw up, your fixing it. That can be real BAD on say a timing belt replacement. ( ask me how I know.)
    If you know what your doing, there's honest, easy money to be had with what you want to do.
    best of luck EDIT. Just noticed something else. I have the parts delivered to me and I mark 'em up only 10% but it helps and its way less then shop markup.
     
  9. dontoe

    dontoe 3/4 ton status GMOTM Winner

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    Don't do it naked................hire girls to do that! :wink1:
     
  10. ARAMP1

    ARAMP1 Aviator Extraordinaire

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    I do a little bit on the side for friends and co-workers. I usually charge either a fifth or handle (1.75 mL) of booze, depending on what the job is and depending on what I'm low on.
     
  11. CustomChevy

    CustomChevy 1/2 ton status

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    flat rates are great for most things ... but when you set them keep in mind that not all cars are created equal.

    Also remember that you can probably assume that you wont be working on nice RWD trucks and such, but shady FWD small cars. Some of them had engineers who were drunk when they were placing the oil filter.
     
  12. hunterguy86

    hunterguy86 1/2 ton status

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    What kind of paperwork should I be doing?

    How about taxes and stuff. I prolly wont make a lot that I need to report, but I just want to be safe.
     
  13. Bubba Ray Boudreaux

    Bubba Ray Boudreaux 1 ton status

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    Check with the state agency that handles taxes in Texas. You may need a tax permit (also helps with dealing with vendors) and report sales and stuff. You can always file for a FEIN, doesn't cost anything, that can help also. IIRC, there's a $$$ limit on when you have to file and don't have to file. In my mind, it's better to have the permits just in case, although I'm sure there are a lot of people doing just fine without them.
     
  14. 4by4bygod

    4by4bygod 1/2 ton status

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    Don't forget to have an insurance policy in place for damages.. the flipside is, many insurance companies are bailing out of insuring repair garages and car washes, due to the volume of claims, so you'll have to keep digging to find a company willing to take you on..

    DO NOT do this without insurance... not everyone is understanding and nice if you break their stuff, and you'll find some folks out there who will try to get you to pay for things you DIDN'T break. ( ask me how I know).

    No matter how you've set your company up, or what releases you have people sign, a judge can still order you to pay damamges, so it's best to be prepared.

    Also, set up a merchant account so you can accept credit cards.. My Wife uses ECHONET.. the monthly fee is a small percentage of the transactions, and you can process the cards over the internet..PM me if you want their link. They even have their own bank where you can deposit the funds, and access them with a checking account. She just takes down the pertinent info, and processes the card when she gets home.. you can buy a swipe terminal if you want to, but it;s cheaper using your own PC.

    If you make it convenient for people to pay for your services, you'll be competitive in your market. When my wife started accepting credit cards, the high - dollar full detail jobs DOUBLED.

    Tom
     
  15. hunterguy86

    hunterguy86 1/2 ton status

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    I really dont want to go to big yet. I just want to do small jobs here and there for now and kind of see how it goes.

    Thanks for all of the input, I got a lot to think about.
     
  16. BoondocK5

    BoondocK5 1 ton status Author

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    all my tools are paid for, and my shop is my garage at the house, so I basically have no overhead.I get 35.00 per hour, plus parts markup.
    I'm usually so busy , I never get to work on my own crap.
     
  17. 89GMCSuburban

    89GMCSuburban 1/2 ton status

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    The labor rate at our shop....$112 an hour....that's right.....$112 an hour. San Antonio TA is $73 an hour, so I say $65 to $70 an hour is good with flat rate for predictable things. That's how we do it, electrical problems are never flat rate.
     
  18. theperfectgarage

    theperfectgarage 1/2 ton status

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    :eek1: Damn, remind me not to break down in your neck of the woods. Rates around here at independent shops are 65.00 to 80.00 per hour.
     

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