IGA garage achieves perfect score with AA Certified

Published:  18 July, 2018

Independent Garage Association (IGA) member  Car Services Ltd in Grimsby is one of three garages that recently received a 100% score by the AA Garage guide, the provider of online bookings, Patrol referrals and the ‘Certified Garage Programme’.

Having been re-inspected last month, the AA’s assessment team could find no fault with either the Car Services Ltd site or the practices put in place by the business since the last inspection.

Car Services Ltd Jeff Perrin commented: “It is essential to us that our customers know that they are at the heart of our business: providing them with the best service possible is what motivates us. This 100% score really helps to underline that.”

Also achieving a full 100% was GSF Motor Works, whose annual re-inspection also took place last month. Owner Yannis Papalexopoulos commented: “After receiving recommendations on how to improve the business as a result of our first inspection, I made it my mission to make sure that we were achieving our full potential in time for the next one,” said Yannis.

AA Garage Guide’s Head of Certified Network, Mima Rybanska, added:  “Car Services and GSF Motor Works collaboration with the AA is key to making the most of the Certified programme. They’re both reaping the rewards of their efforts now, and they’ll also have a voucher to spend in our e-shop as a ‘thank-you’ from us.”

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  • How’s the health of your business? 

    In my line of work I meet a lot of great garage owners. Dedicated men and women,  all committed to repairing their clients’ vehicles to a high standard. They’re intelligent, hard working and persistent people many of which have been in business a good few years.
        
    With all of this in their favour you would imagine that they would be spending their free time pondering the length of their next yacht, or whether they should winter in the Alps or Rockies? Unfortunately this is often not the case, and it’s not uncommon to be asked “How can I increase the financial success of my business?”
        
    We all know that an unfeasibly large income doesn’t buy you happiness, far from it. But I do know this. A healthy business is a profitable business, and a profitable business not only buys you less stress, it buys you choices and options on how you spend your days.  Would you like more options? If so read on.
        
    Back to that question. “How can my business be more financially successful?”
        
    ‘More’ is a dangerous word and it’s often not attained. A better question would be “What is the maximum revenue, profit and personal income that my business can generate in its current form?”
        
    It is something that a lot of business owners haven’t contemplated. But you really should. Only when you know this, can you decide if your current business is performing at it’s best, and is the vehicle to get you to where you need be financially.
        
    The good news is you don’t need to be an accountant to calculate your maximum net labour revenue. Just using the available hours to sell your labour rate and the number of technicians your employ will get you a long way in the right direction. Take an average hourly rate of £55. It could probably be higher but we’ll come to that in due course. This will yield a maximum net income of £422,000 a year from labour sales with four technicians. If your garage is reaching that level of income (£105,000 per tech) at that labour rate, then you should give yourself a rather large pat on the back. Nice one! Not reaching that? That’s incredibly common. In fact if your garage has a net labour revenue of around 54% of your maximum, then you’ll not be alone as that’s the average for a business when we start to work with them on our business development programme.
        
    Why so low? Why are business owners leaving £50,000 per technician on the table? There are a plethora of reasons but I find the most common answer is one of focus. They’re just focusing on the wrong things.
        
    It’s natural. In fact it’s perfectly understandable why a garage owner focuses on the technical aspect of their business. You know that if you don’t fix the cars in a timely manner to a high standard that your income will suffer and your customers won’t return. So of course you’re interested in technical tools and the latest workshop wizardry that’ll enable you to complete a job that you couldn’t without it, or the same job in less time. But let’s be honest (we’re friends after all) is this laser-like focus healthy? Are you too focused on the next tool, the next gadget, the next BIG THING to the cost of your business? All too often I find that a garage owner is and it’s costing you.

    If you’re not measuring it…
    All that is required is a change of focus. The success of your business is in the data, and if you would like to claw back that £50k per technician (or at least a large chunk of it) then learning how to measure the right data and use it to your advantage is essential. After all: If you’re not measuring it, you can’t improve it.
     
    So, you want to increase your income and profit, what should you be measuring? Here are a couple of metrics to get you started.

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