A)
Set up the business :To set up your own auto repair business with a complete garage management system in place, the first step to be taken is to decide on the structure of your business.
There are quite a few options to choose from but the following 3 are the most popular ones.
Sole Proprietor: If you aim to start small and have full control over all the decisions of your business, then a Sole Proprietorship is the best option for you.
Limited Liability Corporation: Establishing an LLC creates a corporate veil and separates your personal assets from those of your business, thus creating security both ways. Yes, a Limited Liability Corporation takes a little more maintenance like annual fee, registration cost etc but if you are aiming to launch slightly bigger then this is the best option for you.
Partnership: If you have people you want to include in your business from the get-go, if you wish to give your business the expertise of more than just one person and if you feel that you believe in a team, then a partnership is a great option.
S Corporation: Also known as the One Person Company, is a structure of the business that allows a single person to establish their business on a proportionately smaller scale as that of bigger corporations. This means that you will have the advantage of being a company but without as many costs.
B)Get License and Permits:
As the owner of an auto-repair shop, there are a few licensing requirements that must be met before the company can commence its operations.
A business License is one of the primary requirements for commencing an auto-repair business
An occupancy Permit is issued when a business aims to occupy a brick-and-mortar store for its operations.
Identification Number in the form of CIN, DIN or EIN must be owned to ensure that the business is functioning legally and is not evading tax.
Environmental Certification is also a must since auto-repair shops are specifically assumed to be following non-eco-friendly practices.
C) Insurance:
Like any other business, even an auto-repair shop needs insurance to avoid any liability in case of unforeseen and unfortunate damages.
General Liability Insurance, Commercial Property Insurance, Commercial Auto Insurance and Garagekeepers Liability Insurance are a few types of coverage policies which will help keep your business secure.
Not only does insurance protect your store and business, but also helps build credibility with potential customers and investors.
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