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RETIREMENT QUESTION  

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Posted

xrac,

 

I have tried many exit strategies, some where wonderfully successful, others a total nightmare and horrible crash. Due to privacy and estate planning I cannot share with you anything in this open forum but if you want to read some ideas, shoot me a PM.

 

-Harry

  • 3 months later...
Posted

Retirement planning is important, but what many shop owners fail to do is plan for the sale of their business. If selling the biz is a big part of the retirement plan, as is mine, then you need to make sure the biz is making maximum net profit without YOU. This means growing and structuring the business so it functions with minimal input from you.

Currently, I'm the shuttle driver and coach for the guy I just put in as GM. Soon to be just shuttle driver. Replaceable with zero impact on the business = a sellable business.

  • Like 1
Posted

Many years ago I created the goal that when I am 62 years of age I can lock the front door and auction off the whole thing. Now keep in mind if I can afford to do that anything above and beyond is gravy.

 

I do agree with Anderson above, take yourself out of the equation and you will have a saleable business. To count on what you think your business is worth or will be worth when you want to retire is....um.....risky.

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  • Have you checked out Joe's Latest Blog?

         0 comments
      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
      One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.
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