Cost to get into the HEV / EV repair business

greenGP_paintingIf you are already a good shop with reasonable equipment the cost to get into the HEV business is a lot less than you may think. The ROI is quite good. Here is how I see the numbers.  Remember I was a shop owner for 25 years and a management trainer since 1995.

  • Average HEV owner makes over 107K per year.
  • Work on Toyota, Honda, Ford, Nissan and GM hybrid and EVs
  • ACDC also supports; Hyundia, Kia, BMW, and many others
  • The Owners of those cars have other cars as well. If you do a good job you will get all their business.

Cost to get into the Toyota HEV business.  Read this Prius.

  1. TechStream Lite factory scan tool, level 2.  $1,500.00 plus laptop and $1,000 per year.
  2. Bosch CAT III Meter or simlilar $220.00
  3. Proper rubber Safety Glove Kit $140.00
  4. Banner with your name, great website so Prius owners know you can fix their cars  $50 – $200.00
  5. Press Release to local Media  No Fee
  6. Complete training package with ACDC $4,700.00 for our 6 day class.
  7. More equipment, Milli-ohn meter ($400), Insulation tester ($400).
  8. One year ACDC tech support, manual, promotional materials $360.00
  9. Listing on www.FIXHYBRID.com and www.hybridshoplocator.com  (included with above)
  10. Add Ford, Honda and GM as you buy the factory scan tools.

Total cash outlay and time equals $ 10K Plus the first year spread out over 12 months. $850.00 per month. This number may be high.

If you pick up 20 Prius customers, 5 Camry HEV and few Lexus and and other Toyota HEV owners over the first year you have a total of 35 new customers that drive a HEV.

35 people spend $500 per year average. That is $17,500 extra gross. If you work at a 20% margin, you have $3,500 profit the first year on a $10,200 investment. 

The second year you are better at what you do.  You are faster and better at estimating. Those 35 people turn into 100 customers, still at a $500 average per year. Now you have  $50,000 extra gross and a new customer base. Some will buy a LEAF or VOLT. The average EV owner makes  $177,000 per year. They also drive HEVs. So now the next logical thing to do is offer service to EV owners but they won’t need much. But they will need a place to charge up.  It is simple and affordable to a offer this to your customers.  Cost to buy a low end 220v Level 2 charger, $500- $900.00 plus installation. Plug-In Prii (plural for Prius) are selling pretty well.

Last update 12/26/16

Charging Station at every Ford Dealership. What about you?