Location!

[brodycorp]

Hey there everyone. I just recently ran across this forum (which is really neat) and decided to post my first thread.

My question is in regards to location. I currently operate my own chip repair business out of a carwash in Salt Lake City. The carwash sees about 300-400 cars per day. On most days I average about 4-6 insurance chips, and 3-4 cash chips (at $20 per chip). The only thing I'm starting to get fed up with is the $1,000 rent check I make out to the owner ever month . It's almost like I pay him half of my earnings and he doesn't do anything but let me approach his customers. And most of his customers are happy to be offered the service. I've been starting to kick around the idea of a E-Z tent after reading some postings, but I'm still not sure. Any suggestions?

Thanks

[Mr Bill]

$20 a chip is too low.
Do you have days off?
Try a different location on your days off.

[GlassStarz]

A fixed location where you are earning $300 a day and you think $1000 per month rent is too much? he should let you come earn a living at the place he has overhead of everything from property tax to insurance and allow you to make money off his customers and not charge accordingly?(letas face it they are there for the wash not you) if your numbers are correct you are doing 78k a year and only paying 12k in overhead? I bet 90% of the guys in the business wish they had it that good

[brodycorp]

$20 a chip isn't considered too low here in Utah. That's the average cash price at any glass shop (alot of people even hesitate to pay that much). The people here are cheap. And GlassStarz, you make sense. I suppose I am saving myself with property tax and whatnot.

[GlassStarz]

Dont let anyone beat you up over what you charge each market is different and some just dont get it

[GlasWeldTech]

$20 may be true for that area BUT my repairs are worth more than that. What is the dealers paying there? It sure seems low but you are there and I am here.

[Bois]

Unless you can find a tent location that will yield 7 paying customers a day, stay put. You're not going to find 300-400 potential customers a day that you can approach at a tent location.

Dale...

[Wago]

Hello folks, you didn't get the math correct. If he does 7-10 repairs per day times $20 per repair, he's only earning $140 to $200 per day (with the average being $170/day). This amount times 22 working days a month equals $3,740 per month and $44,880 per year. Now, subtract the $12,000 annual expense for rent and you have a better picture. $20.00 is too low in any case. Wally

[brodycorp]

Hello Wago. I didn't say I average 7 cash chips a day. I said I average 4-6 insurance chips (which usually rounds to about $200-$250 per day) and another $80-$100 per day in cash chips. Everyone keeps saying that $20 is too low for customers to pay in cash chips, but cash chips are only worth what the market will pay for them. I guarantee that if you came out to Salt Lake City and tried charging more than that per chip, you'd have everyone tell you no (I tried it when I first started). Almost every major glass shop in our valley charges $20 per repair and the largest/most known glass shop in the valley only charges $9.95 for cash repairs.

[Acer]

Hi TechnaGlassExpress, stay with the fixed location, it's working. Price the cash jobs at $25. The extra $5 will bring in $200-$300 without any extra effort on your part. Remember the people who moan at the price are paying to have their cars washed (money is not a problem for them). Sell it to them with an air of authority, be well presented, clean shoes etc.
When you hear "I can get it done for $20" just say "That's nice", smile and walk away from them, happy in the knowledge that you know where they can get it done for $9.95. Don't subsidise other people's life styles.