How to Start a Mobile Mechanic Business (6 Step Guide)

Benjamin Johnson

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October 31, 2024

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Read time: 3 min

What is a mobile mechanic?

Unlike traditional auto shops, mobile mechanics travel to their customers to provide automotive repairs and services at the clients home. This service is attractive to older clients who may not want to travel as much or for young professionals who are to busy to wait for their car at a shop. Another major perk is that mobile mechanics can often perform services at a cheaper price because of having lower overhead costs.

Mobile mechanics are not able to perform every repair that a brick-and-mortar shop can as they have to transport all of their tools and supplies with them. However, they can still provide these common repair services:

  • Oil changes
  • Diagnostics
  • Tire rotations/replacements
  • Filter replacements
  • Batteries
  • Spark plugs
  • Alternators
  • Brake service and more.

How profitable is a mobile mechanic business?

Mechanics can charge whatever they would like but most repairs fall in the $20 - $125 per hour range. Like any business, you have to consider your startup costs, advertising expenses, number of expected clients, and how much your services are worth before determining if your business will be profitable. Overwhelmed yet? Dont worry, we will explain everything in detail below.

6 Steps to become a mobile mechanic

While you may not need a college degree to be a quality mechanic, you will still have to invest in tools, licensing, marketing and other business needs. We have outlined everything you need to start your business below.

Six steps to become a mobile mechanic.

Develop a Business plan

Starting with a quality business plan for your business is the first step in making sure you start off on the right foot. Outlining who your competitors are, setting goals and solidifying your financials may seem outdated but they are the foundations of your business. Here are nine steps to creating your business plan:

  1. Write an executive summary
  2. Describe your shop
  3. State your business goals
  4. Describe your products and services
  5. Do your market research
  6. Outline your marketing and sales plan
  7. Perform a business financial analysis
  8. Make financial projections
  9. Create a plan for growth and expansion

Tek-Tip: If you want to jump start your business, consider joining a mobile mechanic business like Wrench.

Gather necessary licenses and certifications

Once you have created your business plan, it is time to start working on your business license. Not every state requires you to acquire a license but some do. Do your research for the state you plan to work in and make sure you are legally ready to open your auto repair shop.

The most common certifications include:

  • ASE certification: Also known as the National Institute for Automotive Service Excellence. Being one of the largest accreditation organizations, ASE is commonly recognized throughout the auto industry.
  • Manufacturer certification: Mechanics may elect to gain additional certifications from specific manufacturers (Honda, Toyota, etc.) to add to their credibility. These certifications are also recommended if you only work on certain types of cars.
  • Refrigerant certification: If you plan to work on MVAC (motor vehicle air conditioners), the EPA requires you to obtain certification in proper refrigerant handling according to Section 609 regulations from the Clean Air Act.

Also, don’t forget to register your business and form the appropriate legal entity (partnership, sole proprietorship, limited liability, or corporation). Each entity has pros and cons, so consult with a legal professional to make sure you are ready to file taxes with the IRS and open your own business.

Set your pricing structure

Your cost per hour or per repair should be reflective of your years of experience, geographical location, types of services performed and competition. Doing some competitor research will help you determine how much clients are willing to pay in your area.

Some mobile mechanics can charge more if they offer premium services or more complicated repairs. If you are new to the area, it may be beneficial to keep your costs low until you have a solid client base. Don’t forget that you can also make money off of part markups.

Lastly, remember to account for inflation, sales tax, parts, and gas for your vehicle. Depending on your payment options, you will also need to account for credit card processing fees. Auto repair can be a seasonal industry (especially in certain states), so make sure to stow away some revenue for slower months.

Insurance coverage

If you are going make an investment in your mobile auto repair business, you need to protect it with the proper insurance coverage. Some of the common insurance plans you should consider include:

  • Liability insurance
  • Comprehensive coverage
  • Fire and theft insurance
  • Road risks insurance

Lastly, decide if you will be offering any warranties on your services/parts and how that will impact your bottom line.

Invest in quality equipment

  • Tools: A reliable power source, jack or portable car lift, drain pans, safety equipment, scanners, cleaning sprays, diagnostic equipment and gloves are all important to have on hand. Also, don’t forget a proper lighting source.
  • Parts: Having commonly needed auto parts in your inventory will save you time rather than waiting for parts to be delivered to you. However, you should also determine how much inventory space you have and how to maximize it.
  • Software: A cheat code for mobile mechanics is adding cloud-based auto repair software that can help you keep track of inventory, invoices, billing, inspections, marketing, and more all in one place.
  • Vehicle: Reliable transportation is critical for mobile mechanics. Select a vehicle that has enough storage to accommodate large parts and good fuel economy for longer trips. Lastly, don’t forget to bring shelter in case of inclement weather so you can continue to work in the elements.

Tek-Tip: If you need help coming up with a mobile mechanic business name, we have developed a guide to the best auto repair business names. In addition, we developed an AI-powered name generator tool that can also help with logo creation.

Marketing and advertising

You can offer the best mobile mechanic service in your state but without a proper marketing strategy, customers may struggle to find you. Here are some common marketing efforts that will help you build a strong customer base.

  • Website: A strong website is the glue that holds all of your marketing efforts together by providing a central location to find prices, services, phone number, and more. Make sure your website reflects what makes you better than your competition. SEO (search engine optimization) is another important factor to include in your website to ensure you are visible to those searching online for your services.

Tek-Tip: Not tech savvy? Tekmetric Marketing can help by offering website building, online scheduling, review management, and more.

  • Paid advertising: Strategize where your target audience is located and how you can leverage paid advertisements to attract more customers. Possible opportunities include Google ads, social media ads, local event sponsorship and more.
  • Social media: Social media is a great place to highlight customer testimonials and engage with your audience. Experiment with varying content types until you find what resonates with your customers.
  • Traditional marketing: Mailers, business cards, flyers, billboards and direct mail can all be impactful marketing tactics for local businesses. Considering adding a QR code pointing users to your website or adding coupons to incentivize customers.
  • Referral program: Testimonials go a long way for word-of-mouth marketing. Consider offering a discount on future services for each new customer they refer to your business.
  • Email: Email marketing is a great way to retain existing customers by offering incentives or coupons to ensure your car repair business stays top of mind. Another impactful email marketing tactic is to send oil change reminders to existing clients.

Closing Thoughts

Starting a mobile mechanic business can be intimidating but the flexible working hours, independence and profitability make it worthwhile. Being a small business owner is not for everyone, consider starting out as part time and move into full time as your profitability grows. Don’t forget to utilize your network to learn industry trends and new tactics to grow your business.

👉 Ready to grow your automotive business? [Book a personalized Tekmetric Demo Here]

FAQ

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Many shop owners believe that their Effective Labor Rate (ELR) is the ultimate way to measure shop performance. If you want to boost your ELR, you have two choices:

  • Pay your employees less
  • Improve your shop efficiency

Since your employees are the lifeblood of your company, team efficiency is the way to go. The more efficient your business is, the better your month-over-month performance will be, positively impacting not only your bottom line but also your peace of mind.

Here are 6 strategies that you can use to boost team efficiency and enhance your ELR.

Tekmetric, a Houston-based leading auto repair technology company, was named the winner of a silver Stevie® Award in the Achievement in Growth category in The 20th Annual American Business Awards®.

Tekmetric was nominated in the Achievement in Growth category for the company’s tremendous growth and expansion in the last year.

The American Business Awards are the U.S.A.’s premier business awards program. All organizations operating in the U.S.A. are eligible to submit nominations – public and private, for-profit and non-profit, large and small. 

Co-founded in 2016, Tekmetric offers an all-in-one SaaS business management system for auto repair shops. As the auto repair industry’s leading cloud-based solution, Tekmetric has grown from just a few customers to more than 3,000 shops across the U.S.

In the last year alone, Tekmetric’s revenue has increased by more than 115%, a reflection of its role as a trusted industry solution for increasing shop efficiency.

“Tekmetric strives to deliver premier service and value to auto repair shop owners who partner with us, and this unmatched level of care wouldn’t be possible without the outstanding team we have built,” said Prasanth Chilukuri, Co-CEO and Co-Founder of Tekmetric.

“To experience an expansion that more than tripled to more than 95 talented professionals from across the U.S. and Europe has been an incredible journey. We are honored to have been recognized in the Stevie for our continued growth and leadership in the auto repair industry.”

More than 230 professionals worldwide participated in the judging process to select this year’s Stevie Award winners.

Nicknamed the Stevies®® for the Greek word meaning “crowned,” the awards will be presented to winners at a gala ceremony at the Marriott Marquis Hotel in New York on Monday, June 13. Tickets are now on sale.

“We are so pleased that we will be able to stage our first ABA awards banquet since 2019 and to celebrate, in person, the achievements of such a diverse group of organizations and individuals,” said Maggie Miller, president of the Stevie Awards.

As a shop owner, you have the ability to tune into your shop’s performance metrics, employees’ bandwidth, and overall profit margins with a few clicks.

Lucas Underwood and David Roman, hosts of the ASOG podcast, recently sat down with Tekmetric CEO Sunil Patel at the Vision Hi-Tech Training and Expo in Kansas City, Kansas.

Sunil shared some key insights into facing challenges, embracing change, streamlining processes, prioritizing customers, and the power of “always starting with why.”

Note: the following answers have been condensed for clarity.

On Facing Challenges and Handling Stress

ASOG: We spoke with PJ Leslie (Tekmetric’s Business Development Director) recently, and he was talking to us about your ability to take anything that comes your way and overcome it.

PJ shared with us that no matter the circumstance, you’re always able to say, “We’re going to get through this, and we’re going to make something from it.”

You created an amazing thing despite the adversity that you’ve faced. How were you able to do that?

Patel: My wife and I went through some hard times with our daughter, Brianna, about a year ago.

And what I told my wife during that time was, “You know what? I’m ready to face this challenge.

We’re going to find the best doctor we can find and the best solution for her. And Brianna will live life one day at a time.

We’re not going to think about the future, we’re going to live life today.”

Since that day it’s been almost ten months and everything has been great. She’s doing beautifully.

A key component to handling stress is delegation.

You’ve got to let go of some of your responsibilities no matter how unnerving it is. Remind yourself that you can continue to keep your momentum on your shop, business, and goals by delegating.

That’s why you have a team—so you can tackle and conquer each task that comes your way.

On Embracing Change and Switching Gears

ASOG: You’ve gone from being a physician to a police officer to an auto repair shop owner, and now you’re the co-founder and CEO of Tekmetric. What made you want to go from physician to shop owner?

Was there a rock bottom for you? Was there a point where you decided, “I don’t want to be a physician any longer?”

Patel: I was fortunate that I never hit rock bottom. I’ve always tried to live in the moment. And I’m always intrigued by learning new things. With that being said, it took me going from industry to industry to learn the skills that helped form Tekmetric.

Let’s say you set a goal for yourself to go to the gym more often.

Now, if you don’t want to go to the gym, then you will keep training your mind to make sure that gym is just not your thing. It’s not until you have a breakthrough that you are able to change your mindset.

You have to train your reticular activating system (RAS), a network of nerve pathways located in the brain stem that mediates overall behavior, so that going to the gym becomes a positive activity.

Along with reminding yourself that you want to go to the gym, write down when you want to make the change and why.

Let’s say this is your goal, 'In March 2023, I will feel great, I will look great, my clothes will fit me better, and I can hear my family and friends saying ‘You’ve done a fantastic job.'

You have to recognize and reframe each limiting belief that is preventing you from achieving your end goal. An example of a limiting belief would be something along the lines of, "Ah, I’ve had a long day, I can just go to the gym tomorrow.' You have to reframe it to, 'I’ve had a long day, time to finish strong with a trip to the gym.'

You have to be very intentional. You truly have to want to reach the finish line.

This concept goes for shop owners, too. If you’re wanting to expand your shop, you’ll need to change the way you’re running your business. You can do that with shop management software.

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