Servicesure garage named ‘Best Newcomer’ with Car Leasing Bargains

Published:  19 March, 2018

Braidwood Auto Services, a South Lanarkshire-based Servicesure Autocentre, has been awarded Car Leasing Bargain’s ‘Best Newcomer Award’, just five months after joining the network.

The award recognises Braidwood’s success selling CLB finance products after becoming a member of its nationwide network of independents in November 2017.

According to owner Ian Thomson, “The CLB award is absolutely brilliant; it makes the hard work all worthwhile.”

Paul Dineen, head of garage programmes at The Parts Alliance, said: “The award from CLB shows that the relationship with Braidwood Auto Services is already off to a fantastic start.

“I’d like to offer Ian and the team my congratulations, and I’m sure that this will be the first of many CLB awards for them.”

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    Malvern-based Daniels Vehicle Services has become the 100th garage to join the Servicesure garage network in 2018.

  • Do you have a business or a profitable job? 

    It’s a favourite of mine, and one we ask of all garage owners that join the Auto iQ business development programme...
      
    “Do you have a business or a profitable job?” Not sure which one you’ve got? Carry on reading.
        
    That question is a doozie and is often met with a few seconds of silence followed by a mixed range of answers whilst the questionee arranges their thoughts. The question is designed to be thought-provoking and entice the garage owner to work through the differences between the options.

    Different sides of the coin
    What’s the difference between a profitable job and a business? It’s a fine line with a BIG difference.
        
    Quite simply if you have a profitable job the income from your work (where you spend your hours in the day) reduces when you’re not doing that work. You might be able to get away from the business for a week or two but longer than that will have you sweating, you’ll wonder if your techs are efficient without you in the building, concerned that your numbers are going south.
        
    A business on the other hand will run without you being there for a significant length of time. Which one do you have?
        
    I can feel the tension elevating as some of you may be rising from you chair ready to give me a good talking-to. Hang fire though and hear me out. In no way am I saying that having a profitable job is wrong. Quite to the contrary. If that’s what you set out to achieve then who am I to say any different? Here’s the deal though. Most garage owners don’t embark on this amazing journey to be ‘self employed,’ they do it to build a bigger and better future for their families. They did it to have more time with their loved ones, the funds to allow this and probably have early retirement thrown in with the business providing the income. Can a profitable job do this or do you need a business that’ll run without you? I think you know the answer.

    What’s the difference?
    So you’ve decided that a business is preferable to a profitable job. But is there really that much of a difference? Let’s take a look. It often comes down to nothing more than a state of mind that separates these different sides of the same coin.
        
    Let’s compare the owner with a profitable job and the business owner. At first glance I’d challenge you to notice the difference. They’ll both have a business that they’re proud of and rightly so, they’ve worked hard to build it. More often than not they’re both skilled technicians, have the respect of their team as well as their customers. Then how can it be that one earns significantly more than the next. One word, focus.
        
    Our owner with the profitable job will be very focused. He’s focused on his own ability to fix the vehicles in his workshop often working shoulder to shoulder with the technicians. The technicians respect him because of his technical ability and work hard alongside him. All admirable qualities.
        
    Our business owner also has a laser-like focus, his target is a little different though. His gaze is firmly fixed on a vision of the business he’s building and knows that long term success requires not only focus but patience. He’s acutely aware of the one thing that will bring freedom and the time with his family (the reason he started this venture) is the team he builds and trains.
        
    This isn’t to say that he doesn’t roll up his sleeves and lead from the front when required, it’s just that his daily focus is on the strategic functions of the business that drive success, rather than the day-to-day tasks that so many owners get caught up in. There’s a huge benefit to this as well. You get to keep the skin on your knuckles.

    Dominant thoughts
    It’s a proven fact that we all move through our day in the direction of most dominant thoughts. What does your typical business owner ponder?. Now I can’t read minds (how cool would that be?) but I do know that these are the questions that need to be answered:

  • Bigger is better – right? 

    I was asked whether expanding a garage business to become multi-site was practical or, indeed, even feasible, which got me thinking.
        
    Fundamentally, a business exists to create wealth, both as cash and as an asset. This then benefits the owner(s) and employees, or any shareholders.
        
    The basic principles of the business are to provide goods and services to meet the needs of their customers, who pay accordingly. The turnover/cash flow generated then pays for the costs of providing those goods and services (employees, suppliers etc), leaving any surplus as profit, on which tax may be due. Therefore, in a logical process, the greater the turnover and the lower the costs, the greater the profit – simple!
        
    So, if a business is working well, surely if you just keep replicating what it does in other locations to other customers then you would just keep generating greater profits? Here comes the ‘but’. This concept applies but only in certain circumstances.

    Personal touch
    If we look at a successful independent garage, it is often the enthusiasm, commitment and business acumen of the owner which creates the success, frequently based on good customer service at a personal level. The ‘brand value’ of the business is quite literally in the hands of the owner. It is therefore challenging to successfully replicate this if another branch is opened as this ‘personal touch’ is then split between two locations. If three locations exist, this becomes even more thinly spread and increasingly reliant on the quality and commitment of other staff to deliver the original brand values.
        
    Therefore, a self-imposed ‘glass ceiling’ is created. It is felt that the maximum number of locations that can be successfully emulated is three. However, if you do plan to expand, how do you know when this should happen and what are the key issues to consider to enable you to create successful clones of your business?
        
    The most important point is to identify the key benefit of your business that has created the foundation of your success – your Unique Selling Point (USP). Once you have identified this, it is then imperative that you understand how this can be replicated. It will be important that you can ‘stand out from the crowd’ as any new site will have to establish itself quickly from a standing start. Remember that marketing is not about winning the war to be the best product or service but about winning the hearts and minds of your customers. Additionally, do not be too cautious about setting your prices higher as most customers do not buy on price and carefully selecting your target audience should support your pricing level. Aim to be the leader rather than just another player in the marketplace.
        
    So having identified what your new location will emulate, the next critical step is to understand the automated and integrated systems that need to be in place to allow your businesses to be effectively monitored and managed. This becomes increasingly important as any new site is created as your management time will become increasingly shared. You will not be able to rely on manual systems and the various elements of data will need to become ever more integrated. For example, wages, invoicing, workshop revenue, parts purchases and so on, need to be coordinated, otherwise, quite literally, your numbers will not add up.         Any system that you do implement must also be scalable and have multi-user access, otherwise you will lose the support of your managers and staff at this critical time of an expanding business.
        
    It will not be possible to retain your original ‘hands on’ management style and this will mean that you will lose visibility of the business as well as having to implement new legislative and policy requirements for new staff and premises.
      
    From the purely financial perspective, new businesses rarely fail because of a lack of profitability but fail due to a lack of cash. Any new location will be a cash consumer until it becomes established, so this will require adequate funding and a clear visibility of cash flow from both your existing business as well as the new location as this starts to grow. The key financial elements should include:

    •    Direct visibility of the daily results
    •    Key Performance Indicators (KPIs) and management information
    •    Actual results versus budgets or forecasts
    •    Profitability
    •    Customer debts
    •    Supplier payments (due dates and values)

    The better you can demonstrate the financial visibility, control of the business and achievement of your business plan, the easier it will be, both for yourself and when working with your bank.

    A strong team
    This then leads onto perhaps the most difficult element of growing any business – good quality managers and staff. This creates two immediate problems – firstly, who to delegate your existing business to and secondly, who to appoint to run your new business. In both cases, not only must this individual, or individuals (it could be that you appoint a single deputy and share the tasks) be professionally competent but they must also share your company ethos to ensure that what made your company successful in the first place can continue to be delivered.
        
    Finally, if what you have is truly transferrable then ask yourself if it could be franchised.
        
    My personal opinion is that this is unlikely unless your USP is based on a specialist niche part of the market. If this is the case, although this may create an opportunity, by definition, niche market sectors offer limited potential. You will also have to ask yourself if a potential franchisee couldn’t just do this for themselves without (quite literally) buying in to your franchise offer?
        
    So, if you are considering expansion into other sites, ensure you have the right systems in place, that your existing business USP can be successfully emulated, have competent managers who share you ethos and then it is just a case of finding the right location(s) – which is another different challenge altogether!

  • Issues of rotation 

    I received a phone call from another garage: 'We've seen you in the Top Technician magazine and are wondering if you would be interested in looking at an ABS fault for us?' The call went along the usual lines, can the symptoms be recreated? What is the repair history? The vehicle was booked in for me to take a look.

    The car in question was a 2011 Honda
    CR-V, which had been taken as a trade in at a local garage, the fault only occurred after around 50-70 miles of driving, at which point the dash lights up with various warning lights. The vehicle had been prepped and sold to its new owner unaware a fault was present.

    Fault-finding
    After only a few days the fault occurred and the vehicle returned to the garage. They had scan checked the vehicle and the fault code ‘14-1- Left Front Wheel Speed Sensor Failure’ was retrieved. On their visual inspection, it was obvious a new ABS sensor had already been fitted to the N/S/F and clearly not fixed the fault. Was this the reason the vehicle had been traded in? They fitted another ABS sensor to the N/S/F and an extended road test was carried out. The fault reoccurred. This is when I received the phone call; the garage was now suspecting a control unit fault.
        
    My first job was to carry out a visual inspection for anything that was obviously wrong and had possibly been over looked: correct tyre sizes, tyre pressures, tyre tread and excessive wheel bearing play. All appeared ok. The ABS sensors fitted to this vehicle are termed 'Active' meaning they have integrated electronic and are supplied with a voltage from the ABS control unit to operate. The pulse wheel is integrated into the wheel bearing, which on this vehicle makes it not possible to carry out a visual inspection without stripping the hub.

    Endurance testing
    With the vehicle scan checked, all codes recorded and cleared, it was time for the road test. Viewing the live data from all the sensors, they were showing the correct wheel speed readings with no error visible on the N/S/F. The road test was always going to be a long one, fortunately at around 30 miles, the dash lit up with the ABS light and lights for other associated systems; the fault had occurred. On returning to the workshop, the vehicle was rescanned, fault code '14-4 - Left Front Wheel Speed Sensor Failure’ was again present. Again using the live data the sensor was still showing the wheel speed the same as the other three, so whatever was causing the fault was either occurring intermittently or there was not enough detail in the scan tool live data graph display to see the fault. It was time to test the wiring and the sensor output signal for any clues.
        
    Using the oscilloscope, the voltage supply and the ground wire were tested and were good at the time of test. I connected the test lead to the power supply wire and using the AC voltage set to 1V revealed the sensors square wave signal. Then rotating the wheel by hand and comparing the sensors output to one of the other ABS Sensors, again all appeared to be fine. A closer look at the signal was required, zooming in on the signal capture to reveal more detail; it became easier to see something was not quite right with the signal generated by the sensor when the wheel was rotated. With the voltage of the signal remaining constant, a good earth wire and the wheel rotated at a constant speed the signal width became smaller, effectively reporting a faster speed at that instant, not consistent with the actual rotational speed of the wheel. It was difficult to see the error, zooming out of the capture to show more time across the screen it could be seen that this appeared in the signal at regular intervals, although not visible all the time because it was such a slight difference. Using the cursors to measure between the irregular output and counting the oscillations, it was clear that it occurred at exactly the same interval every time. It had to be a physical fault on the pulse wheel.
        
    This meant a new wheel bearing was required. The vehicle was returned to the garage as they wanted to complete the repair, a new wheel bearing was fitted and extended road testing confirmed the vehicle was now fixed.


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