Starting a motorcycle repair shop requires more than telling people about your new venture. Many people forget the essential steps when starting a business, which could lead to failure.
Our simple guide will help you remember the steps you need to take for your business. Below are six steps for starting a motorcycle repair shop.
- 1 1. Create a Business for Your Motorcycle Repair Shop
- 2 2. Registers Your Business in Your State and for a Legal Entity
- 3 3. Get Insurance for Your Business Before You Open
- 4 4. Get the Necessary Permits and Licenses
- 5 5. Create a Business Account For Your Shop
- 6 6. Develop Your Motorcycle Repair Brand and Start Marketing
- 7 These Six Steps Will Help You Succeed in the Adventures of Your New Business
1. Create a Business for Your Motorcycle Repair Shop
Regardless of the business you’re starting, every owner should create a plan to guide them. Consider your business plan as a GPS, as it will help guide you through each stage of your business. Below are some of the essentials to include in your business plan:
- Starting and ongoing costs
- Your target market
- What you’re going to charge your customers for repairs
- Your business name
The plan will help you make solid decisions and ensure you’re reaching every milestone. Also, if you’re looking for a business partner, they’re more likely to agree if you have a plan.
2. Registers Your Business in Your State and for a Legal Entity
Once you develop your business plan, you need to form a legal entity for your company. You have four options: Limited liability company (LLC), partnership, corporation, and sole proprietorship. Many small business owners choose to form an LLC, as this helps protects them from being sued for an accident within their shop.
After that, you must register your business within your state for tax purposes. To register your motorcycle repair shop, you need an EIN number. The process is quick and easy to do, and you can find the directions to do it here.
3. Get Insurance for Your Business Before You Open
Before you even think about opening your shop, you need to get your required insurance coverage. A business insurance policy protects your company against covered losses.
Different types of insurance policies are available to address various risks of businesses. General Liability Insurance is an excellent place to start if you are unsure of the perils your business may face.
A workers’ compensation policy is also essential to small businesses. Most states require employers to carry Workers’ Compensation Coverage if they have employees. So, if your employees accidentally hurt themselves, you can cover the cost of their medical expenses with insurance.
4. Get the Necessary Permits and Licenses
Your business will suffer heavy fines and even closure if you do not obtain permits and licenses. The operation of a motorcycle shop will require specific state licenses and permits. Visit the SBA’s license and permit reference for more information about license requirements in your state.
You should also check to see if you’re required to have permits or licenses within your city. Find out if you need a local permit for your business by looking on your city or county clerk’s website.
Lastly, you want to register for your business’s Certificate of Occupancy (CO). Because a motorcycle repair shop operates out of a physical location, it’s a standalone building. Therefore, CO permits are required.
5. Create a Business Account For Your Shop
Using a business account for your shop is essential to protecting your assets such as cars, homes, and land. Combining your personal and business accounts puts you at risk of losing everything if you are sued.
Also, it may be a good idea to open a business credit card to keep everything separated better. By centralizing business expenses, you can better separate personal and business costs.
Once you build your business credit, you can access better interest rates and higher lines of credit for your company. This can be helpful when having to spend ongoing costs to manage your shop in the future.
6. Develop Your Motorcycle Repair Brand and Start Marketing
The fun part of starting your motorcycle repair shop is building your brand. Your brand helps others know your values and why customers should come to you, not other shops.
Building a strong brand will help you stand out among your competitors. You may want to hire a graphic designer to create your brand logo if you’re not creative.
Once you develop your brand, it’s time to start marketing your business. Create a business website and social media accounts, so customers can find you online. If you want to take things a step further, consider building a blog and using SEO to help people find you within Google search results.
The process of handling social media, marketing, and building a blog can be a lot to take on. If you become overwhelmed with the process, consider hiring a freelance writer.
These Six Steps Will Help You Succeed in the Adventures of Your New Business
Building a business is no easy task, but when you have a plan set, you’ll have a guide to help you through. Also, don’t forget to look into all the permits and licenses you need for your shop; not having them will cost you in the long run.
One last thing to remember is to get insurance for your shop. You don’t want to work hard to build everything, only to lose everything in a case. Remember to save this guide for reference in the future, so you can protect your business.