Business advice needed

[guest hs]

I really want to start my own marine repair shop in Havasu. My problem is I don’t really have any liquid assets to get it going. I have started them in the past but always with a financial aided partner. I have several people in Vegas that would jump on the opportunity to do this with me again. My problem is I don’t really know anyone in Havasu that knows me to join in on this venture. A couple ideas running through my head are sell my house use some of equity for the business and either buy a house with a huge garage and do the business out of there like side work. Or rent a shop take plunge run it like a real business and hope for the best. I’m torn and scared. Any ideas or encouragement would be very helpful. P.S. this is not a new career for me I have 30 years in the marine industry. I just can’t see myself working for some shop here in Havasu with my experience I want it to benefit my family for once not someone else’s.

 

[Meaney77]

Home equity line of credit?

 

[79 HUSTLER]

If you have equity sell the house and rent a very basic home while you build up your business. Havasu is easy to be successful if you JUST DO WHAT YOU SAY AS WELL AS ANSWER PHONES!!!

 

[guest hs]

Kind of thought about the rental house thing but I have a very small house payment and can’t seem to find a rental house in Havasu for less the what I pay for this one.

 

[Riverbottom]

Finding and keeping good employees in Havasu will be a constant battle. As long as you don't run your business on "River Time " you will be O.K. Have posted hours and keep them, answer the phone and return calls promptly. I would be courteous to snowbirds many have boats, they carry insurance, and they are here for seven months seven days a week. Winters are tough and they will support good shops.
I survived and did pretty well at the river for 26 yrs. in business, but you have to run it like a business and not a toy shop. Best of luck.

 

[WildHorses24]

I really want to start my own marine repair shop in Havasu. My problem is I don’t really have any liquid assets to get it going. I have started them in the past but always with a financial aided partner. I have several people in Vegas that would jump on the opportunity to do this with me again. My problem is I don’t really know anyone in Havasu that knows me to join in on this venture. A couple ideas running through my head are sell my house use some of equity for the business and either buy a house with a huge garage and do the business out of there like side work. Or rent a shop take plunge run it like a real business and hope for the best. I’m torn and scared. Any ideas or encouragement would be very helpful. P.S. this is not a new career for me I have 30 years in the marine industry. I just can’t see myself working for some shop here in Havasu with my experience I want it to benefit my family for once not someone else’s.

Our boat mechanic works out of his home in Havasu. Has a HUGE pull thru RV garage, picks the boats up and drops them off. He gets to pick his clients, does top notch work and won’t even take buddies I send him anymore. My opinion is start small with word of mouth, no real overhead (shop) and build the reputation to go big. Like @79hustler said he Does what he says, when he’ll be done and he’s never let us down.


Sent from my iPhone using Tapatalk Pro

 

[calkid]

Don't risk what you've worked for all of these years, that's a young man's game. I never advise anyone to gamble a home or nest egg to start a business. You might be able to find an established business owner nearing retirement and work a deal to take the business over while providing him with a retirement income. If you don't meet expectations he gets the business back and you still have your house.

 

[RCDave]

Don't risk what you've worked for all of these years, that's a young man's game. I never advise anyone to gamble a home or nest egg to start a business. You might be able to find an established business owner nearing retirement and work a deal to take the business over while providing him with a retirement income. If you don't meet expectations he gets the business back and you still have your house.

Sound advise...

 

[WhatExit?]

I suggest you talk to RD (in person) as I'm sure he'd be willing to give you some suggestions and advice.

Heck, he's building an empire, perhaps he'll ask you to join his conglomerate

 

[HALLETT BOY]

Don’t know old you are , but auto / boat repair doesn’t get easier with age . Keep that in mind .

 

[79 HUSTLER]

Don't risk what you've worked for all of these years, that's a young man's game. I never advise anyone to gamble a home or nest egg to start a business. You might be able to find an established business owner nearing retirement and work a deal to take the business over while providing him with a retirement income. If you don't meet expectations he gets the business back and you still have your house.

I would absolutely agree with you on that in most situations but he just moved here a year or two ago. Has built up some?? equity and the houses will eventually go down here again. So cash out and keep it simple with a rental while establishing a business here. Be ready to upgrade the home when prices drop and business is established.

 

[rvrrun]

I know a guy that started a business using a HELOC. The business went under and he now rents an apartment working for the company he was at before he went solo.

 

[LHC Kirby]

Sound advise...

Right here

 

[monkeyswrench]

I'd say it's dangerous to risk the home front. It really depends on family dynamics, wife, kids, ages of ones involved. If possible, rent a small shop. If you go with a new house with a big shop, you're stuck with it should things go south. With a shop, you lock the doors. The other advantage to having your place of business elswhere is the chance of having a weekend. If it's at your home, people will bring their broken stuff without asking, and just assume you'll be home, have space and have time...at dinner time
And as posted, repeatedly, answer calls and do what you say...you'll be a hero, and make good money

 

[TCHB]

1. Rent a small shop.
2. Word of mouth advertising
3. Clean Clean shop
4. Answer your phones and do great work.
5. Go the extra mile with customers.

Go to the local boat dealers and let them know you are new good guy in town.
Walk the channel and let people know you are the new guy in town.
Advertise on this site.

 

[HSR]

I really want to start my own marine repair shop in Havasu. My problem is I don’t really have any liquid assets to get it going. I have started them in the past but always with a financial aided partner. I have several people in Vegas that would jump on the opportunity to do this with me again. My problem is I don’t really know anyone in Havasu that knows me to join in on this venture. A couple ideas running through my head are sell my house use some of equity for the business and either buy a house with a huge garage and do the business out of there like side work. Or rent a shop take plunge run it like a real business and hope for the best. I’m torn and scared. Any ideas or encouragement would be very helpful. P.S. this is not a new career for me I have 30 years in the marine industry. I just can’t see myself working for some shop here in Havasu with my experience I want it to benefit my family for once not someone else’s.

Pm me. I have an idea that could work for you.

 

[lbhsbz]

I had an idea while back that I’ll never be able to turn into reality, but maybe someone with deeper pockets can...dunno.

There are a bunch of boat repair shops between Parker and Havasu...and lots of broken boats that people want fixed in a hurry.

I imagine most of these shops stock a fair inventory of parts...

What if there was a marine parts warehouse in town? It could stock volume on the fast moving stuff, and 1 or 2 of the popular drives, complete engines, a bunch of slow moving stuff. Across town, shops could probably cut their collective inventory by $1M or so...in which case they probably wouldn’t mind paying more for parts they could access in 20 minutes that they didn’t have to stock, and the warehouse business could likely negotiate much better pricing due to the volume. It would probably take $1M to start up...but might work.

 

[Havasu blue label]

If you like to work on off hours you could make as a repair shop let me know

 

[CoolCruzin]

Don't risk what you've worked for all of these years, that's a young man's game. I never advise anyone to gamble a home or nest egg to start a business. You might be able to find an established business owner nearing retirement and work a deal to take the business over while providing him with a retirement income. If you don't meet expectations he gets the business back and you still have your house.

Good advise right here

 

[yz450mm]

I've seen a lot of small businesses start with a dream, and end up in eviction hearings. Do not leverage the place you sleep at night to try to make your idea a reality.

If your business fails, they can take your good credit away if you default on a loan. But if you hock your house to do it, you'll be out of a home, good credit, and the business itself.

I've had a quite few tenants tell me that they're taking out second mortgages/HELOC to try to bail out their underwater business. I tell them that it's over, cut their loss and dont make it worse. Businesses can go under for a lot of reasons other than mismanagement, many of which are beyond someone's control.

Find a small shop space, negotiate some free rent to get started and do your build out, establish yourself, and start making money. Then look to expand, with the end game of building or owning a commercial building that you can make profit from after you are tired of turning wrenches.

Sent from my SM-G975U using Tapatalk

 

[Havasu blue label]

I could give you a long list of working fire and retired men that would support good honest work just because they spend don’t overcharge them I could mention a hole lot of shops that my friends call me and say does that sound right 700 hundred dollar difference from one year to the next

 

[adam909]

open a shop across the lake ( Havasu landing). The landing needs a good boat shop.. sucks driving around the lake for basic work..

 

[poncho]

My little Sister and her husband did what you are thinking about. After 14 years they were seriously burned out and sold their boat retail store with 3 service bays in Washington and moved to Queen Creek AZ. My Sis has an Internet business she runs from home and her husband thought he would be happy just working as a master tech service writer for a local boat shop. I knew that he wouldn't be happy after running his own show for so long.
They started thinking of looking for a place to open shop. That's when I intervened and said did you guys forget about all the headaches with having a brick and mortar business.
I convinced my Brother in law to buy a tandem axle enclosed trailer and go mobile. He's pretty happy going this route except for being in the heat. His favorite part is if he doesn't like the vibe when speaking to a new customer he can just pass them up.
When things slow down in the winter they no longer worry about losing their home and shop.

 

[RiverDave]

If I was gonna do it I’d do a jiffy lube for boats.. service only / no repairs what’s so ever.

I’d be the cheapest guy in town buy a long shot and I’d literally pull em in / pull em out..

Batteries dead? Not my problem.. just straight service. I’d kill this town doing just that and let everyone else problem solve.

That’s just me... and I think about it often. Lol

 

[CarolynandBob]

Look into getting a SBA loan. Don't risk your equity.

 

[02HoWaRd26]

The one thing i will NEVER borrow against or sell for any reason but a new house is, my home. Seems so many do and did that just to lose it all.

 

[FishSniper]

If I was gonna do it I’d do a jiffy lube for boats.. service only / no repairs what’s so ever.

I’d be the cheapest guy in town buy a long shot and I’d literally pull em in / pull em out..

Batteries dead? Not my problem.. just straight service. I’d kill this town doing just that and let everyone else problem solve.

That’s just me... and I think about it often. Lol

Think this idea would do really well especially when so many people store their boats up there and don't want to have to make a trip just for service. This way you could get the service done and be on the water quickly. Also for the business side would not have to have much of an inventory on parts which would keep the overhead down and you could turn over a number of boats a day.

 

[ilmormark]

The better boat shops in town turn down your business all day long unless your their buddy. I say go it at any cost and look at the 2 premiere guys in town and copy them. Go big or go home! It takes money to make money get a heloc and go for it nothing better than a new guy in town doing great work!

 

[Havasu blue label]

You have the tools don't cost much for start up rent. Advertisement and labor all the vendors will place there shit in your shop for free till sold. I'm interested in talking

 

[guest hs]

I had an idea while back that I’ll never be able to turn into reality, but maybe someone with deeper pockets can...dunno.

There are a bunch of boat repair shops between Parker and Havasu...and lots of broken boats that people want fixed in a hurry.

I imagine most of these shops stock a fair inventory of parts...

What if there was a marine parts warehouse in town? It could stock volume on the fast moving stuff, and 1 or 2 of the popular drives, complete engines, a bunch of slow moving stuff. Across town, shops could probably cut their collective inventory by $1M or so...in which case they probably wouldn’t mind paying more for parts they could access in 20 minutes that they didn’t have to stock, and the warehouse business could likely negotiate much better pricing due to the volume. It would probably take $1M to start up...but might work.

I had a very similar idea to this. The problem is how to buy Mercury parts at dealer cost if your not a dealer.

 

[ChumpChange]

Look into getting a SBA loan. Don't risk your equity.

SBA will lien your residence if there is equity in there, especially if it’s a startup with no other tangible assets.

 

[Cobalt232]

If I was gonna do it I’d do a jiffy lube for boats.. service only / no repairs what’s so ever.

I’d be the cheapest guy in town buy a long shot and I’d literally pull em in / pull em out..

Batteries dead? Not my problem.. just straight service. I’d kill this town doing just that and let everyone else problem solve.

That’s just me... and I think about it often. Lol

I like the idea of routine service only. I hate the idea of being the cheapest guy in town. That's just a race to the bottom.

 

[Tamalewagon]

^ Chumpchange is spot on but still try not to tie anything to your house if possible.

 

[HOOTER SLED-]

If you get this going and ever have a website for your business......I recommended using full size pics and not thumbnails......good luck man.

 

[Rbcconst]

RD’s idea is good. Not sure what state your from but havasu business is about 10 years behind ca. Open a shop and offer what your good at. Most shops in havasu are good at pumping out service and easy repairs. Most of them get a bad name when they try to offer motor work, specially when they have to rely on other havasu based businesses like a machine shop to do heads or the carb shop to re build a holley. Keep it simple, own what you do and dont try to be captain save a hoe promising you can save someones weekend when it will put regular customers behind. Im a firm believer that there are only 2 things needed for a bizz to survive in havasu, 1: do good work and 2: do what you say your gonna do. All havasu lacks follow through on service.


Sent from my iPhone using Tapatalk Pro

 

[2Driver]

Don’t know old you are , but auto / boat repair doesn’t get easier with age . Keep that in mind .

Neither does dealing with people especially at the river.
To me that would be the challenge. Meeting everyone’s demands and the other end of it, hiring

 

[boatdoc55]

If I was gonna do it I’d do a jiffy lube for boats.. service only / no repairs what’s so ever.

I’d be the cheapest guy in town buy a long shot and I’d literally pull em in / pull em out..

Batteries dead? Not my problem.. just straight service. I’d kill this town doing just that and let everyone else problem solve.

That’s just me... and I think about it often. Lol

This is what I preached and preached to my clients in Oregon!!!!! I want to service your boat not fix it!! Most all of drive problems come from lack of oil or water contamination and a service will show this in an instant. I actually had several of my guys pulling their drain plug for an instant to look for water which I thought was kind of cool for them to do. I really did have some customers that saved themselves a ton of money on a reseal instead of a rebuild or NEW drive. I think Rd's idea has a lot of merit. I'd much rather do something to some one's boat that I know what I'm getting into rather than taking up a lot of time diagnosing a problem that happens every other Thursday and only when I launch at Cat Tail.

 

[RVR SWPR]

Robinson Automotive,If Darrell serviced boats he would be at the same level he at today with rolling stock.Go back and read again the effort and hard work Darrell put in.

 

[petie6464]

You wrote: "You have started them in the past" If they where successful I would assume you would have the capital to fund another?

As far as a boat repair in Havasu, There are many but most are just guys with business with very few businessmen.

Employees will be your biggest challenge here and secondly finding customers that are willing to pay for your services. Many of these Yahoo's with high dollar boats are the cheapest bastsrds you will ever meet.

 

[Riodog]

I had a very similar idea to this. The problem is how to buy Mercury parts at dealer cost if your not a dealer.

It's not hard to obtain a business licence, a tax number, and your DBA. that give you the right to buy your parts at resale, collect taxes, ext. It's actually too easy and that's why you find so many flakes doing so. Should actually take you no more than a couple of months to put all togather, depending upon how many peeps you've burned here on RDP's .(lol)
Advertising, accounting and bunch of the smaller items can be put off for a while until you have some $ coming in. Right now you have a bunch of word of mouth from this website that can be available to you. all you have to do is put togather somewhat of a business plan, start touching bases and I'm sure you'll get the advise that you need, and maybe there will even be a few offers of $ help thrown in.
Rio

 

[shunter2005]

When I was thinking about purchasing and re-establishing a little boat related business that had closed 4 yrs prior, I researched the need and desire for the product. Of course, many people I talked to on various boating forums and elsewhere, said if I restarted the business, they would jump in and buy the product. Since the cost was nominal to buy the rights and inventory, I decided to do it, not really to make a thriving all day, every day business, but more to stay busy in retirement. Something to do to help out my fellow boaters and make a little money (which mostly goes for new inventory). Fast forward, once I got everything lined up and was ready to sell product, all those people who said, "Hell yeah, we will be buy if you start it up again", were no where to be found when it came time to pony up. Well, it's pretty close to breaking even now, three years later, but it's almost impossible to be successful with out a lot of capital investment. Had I not had a lot of inventory to start with, I would never have been able to do anything. Can you make it on a shoestring, yes, but it's a monumental struggle. As said, don't promise what you can't guarantee and remember that CUSTOMER SERVICE is paramount. I have found that keeping customers in the loop about what is going on and updating them on their orders via emails or by phone is really appreciated by the customer.

 

[boatdoc55]

You wrote: "You have started them in the past" If they where successful I would assume you would have the capital to fund another?

As far as a boat repair in Havasu, There are many but most are just guys with business with very few businessmen.

Employees will be your biggest challenge here and secondly finding customers that are willing to pay for your services. Many of these Yahoo's with high dollar boats are the cheapest bastsrds you will ever meet.

Funny you say that. I found dentists and lawyers the hardest to work for and get paid. Finally said no more of the like if I knew what their profession was.

 

[Shlbyntro]

I had a very similar idea to this. The problem is how to buy Mercury parts at dealer cost if your not a dealer.

If you're only doing service, that's not a problem. You can get all the genuine factory service parts for mercs from landnsea/diversified whether you're a dealer or not. Only specific major repair parts are "restricted". Even as a dealer at my shop we still order most of our merc parts from landnsea just for the ease of dealing with 1 vendor.

You may piss off a lot of the repair shops in the area though by only doing the "easy" work. Like it or not, we all rely on eachother in this business

 

[warlock250]

If you do what you say your going to do and work hard every day you dont have a thing to worry about.

Sent from my SM-N960U using Tapatalk

 

[HSR]

I had a very similar idea to this. The problem is how to buy Mercury parts at dealer cost if your not a dealer.

Not a problem. I sell merc, Volvo, omc, etc parts to a number of competing boat shops almost every day of the week. I sell them at a small mark up, to where they can charge normal prices and still make a few bucks, and so do I. I’m sure other shops in the area do the same. They also bring me some of their work when they can’t figure it out, I give them a small discount and they pass it off as their own work.

 

[Uncle Dave]

You could try renting a space in an existing shop or business - many have extra room or space.
or if you have a truck or van you could go mobile and repair onsite.

UD

 

[CarolynandBob]

SBA will lien your residence if there is equity in there, especially if it’s a startup with no other tangible assets.

Thank you. Did not know that.

 

[Waterjunky]

Stay out of your home equity......

Little good comes from messing with that and the risk is too great.

 

[jones performance]

open a shop across the lake ( Havasu landing). The landing needs a good boat shop.. sucks driving around the lake for basic work..

that brings ca problems and ca enviro fees and taxes with it.

 

[poncho]

You could try renting a space in an existing shop or business - many have extra room or space.
or if you have a truck or van you could go mobile and repair onsite.

UD

This is what my Brother in Law is doing, has a deal with a guy with a large building down the street for like $350.00 a month when he has a bigger job that needs to be inside for a few days.