Starting a Mechanic Shop? Four Things to Consider
If youโre a skilled and experienced mechanic but have grown tired of working for someone else, starting your own mechanic shop could be a great move.
Youโll have the freedom and flexibility to manage your shop the way you want, and youโll retain 100% of workshop profit-but if youโre thinking about going out on your own and starting a mechanic shop, there are a few things you need to consider firstโฆ
1.ย Administration involved with starting a mechanic shop
There are a few administrative tasks youโll need to take care of to be able to operate a business in Australia
While requirements vary based on your location, this generally includes:
- Deciding on a business structure
- Registering for an Australian Business Number (ABN) and register for Goods & Services Tax (GST)
- Setting up accounting and record keeping systems
- Obtaining required licenses or permits, and ensuring youโre complying with any legal and tax obligations
- Organising any insurance you might need

2.ย Setting up your workshop
Once youโve found a suitable location for your mechanic shop, youโll need to think about the fit out and what equipment youโll need.
To build a fully functional workshop, you may need to purchase:
- vehicle lifts
- an air compressor
- jacks
- a battery charger and jumper kit
- oil and transmission fluid caddies
- an engine hoist
- a brake lathe
- a strut compressor
- a press
- an air conditioning machine
- a workbench and vice
Itโs also important to think about how youโll set up your customer service waiting area to ensure its well-presented and comfortable.
3.ย Planning how youโll build the business
Establishing a business and marketing plan prior to opening your mechanic shop will act as a guide to help you build a strong customer base and make your shop a profitable venture.
Donโt forget to consider factors such as your service model, sales and marketing strategies, growth plan and financial targets.
4.ย Know how youโll manage day-to-day operations
Every mechanic shop needs a reliable software system to simplify operations. Once business picks up, your reliance on your systems will increase exponentially, so itโs crucial to invest in a quality system that includes everything you need in one place-like Workshop Software.
An all-in-one workshop management system incorporates your point of sale, invoicing, customer database, inventory, stock ordering, marketing and staff job tracking. Workshop Software ensures everything in your shop runs smoothly and efficiently.
Find out more about our mechanic shop software or get started with a free trial of Workshop Software.