The question for anyone who wishes to start a business is; what kind of business should one start? Well if you mechanically inclined and love cars, but do not have $100,000 to start with, what kind of a business might you like? Perhaps you have considered a Mobile or On Site Oil Change Business. But then you ask your self is it indeed a viable business? Well having been in the business for a spell my observations are this. The repetition of the customer is not very high. Every 3-5 months at 3000 mile intervals; 6-10 months for 5,000 mile intervals for residential or consumer level. Yet if you do small service fleets and delivery types, transportation companies, then the 4,000 to 5,000 mile intervals are generally observed for preventative maintenance sake. Signing up residential customers and then reminding them 6-months later, they may have already gone to a Wal-Mart Super Center, Jiffy Lube etc. plus they are concerned with oil on their driveway or what the neighbors say? Even if you are in and out in 15 -30 min for 1-2 cars. Now also realize once you do that service they are not buyers again for 6 months. Yet those service vehicles of companies are lined up in a row, total efficiency and 10-12 min each is achievable. And that makes a decent business. If you did oil changes at Corporate Office Complexes, remember the many different types of filters and logistics, inventory and up front costs? Not so good. Travel time between residences? Not so good. Inventory costs for multiple types of cars and walk ups at Office Complexes? Not so good. Perhaps you might consider all this in 2006. |
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