What does it take to start a Hotrod Shop?

[arue333]

I know this is a really broad question, but I thought with all of the custom shops on this form you guys would be the best place to find the answers. I Live up in Vancouver Wa, where it rains 90% of the time so there's not a lot of Rod shops. I am trying to figure out what is the best way to go about starting up a business. I have a the basic home shop tools and a 6 axis mill, and a lathe. How did you guys start out? Did you start in a garage? Rented two bay shop, or lease a space? What are the do's and don'ts or pitfalls of starting a shop like this. What are the essential equipment, ie, welders, benders, ect.. besides skilled employees. What type of jobs did you start out with? Did you do side work for other shops?

The big plus is my day job will be supporting most of this venture so I don't need to make a ton of money,

Fishing for good advice,

Thomas

[rjsjea]

There's several quality shops in the NW. From big name shops to small three car garage shops........it doesn't make it easy to start up a shop around here.

[lhkustoms]

Originally Posted by rjsjea

There's several quality shops in the NW. From big name shops to small three car garage shops........it doesn't make it easy to start up a shop around here.

This is very true there are so many hot rod shops in the Portland/Vancouver area. myself L & H Kustoms, hot rod engineering, bruning auto design, Steves auto restorations, don lowe hot rods, www hot rods, restorations & rods, A&M street rods, custom auto restorations, RPM racing, and about a dozen others. Plus there are a lot of little guys who only charge $30/hr I have redone so many jobs from these "cheap" shops its unbelievable. this area is quite flooded. I would do a little research and see if you thinks its feasible. #1 thing you need is raw talent and #2 tools. producing a part to sell is the best way to try and earn a living then build a few select cars a year. Also be willing to give up your free time as you will no longer have any. I work about 60-70 hrs a week and it is hard. I have the best wife she doesnt like me working so much but is behind 100% me to support me. I am proud to say I have been running my own shop for just over 2 years now but it hasnt got any easier yet. I love being self employed and building cars but I do miss working on my own projects. Your either making money or losing money so when I go out to the shop to work on my car I almost always end up working on a customer car. If you want to just get by and hopefully pay the bills every month go ahead and do it. If you think it will be easy to make alot of money go do something else. Good luck in whatever you decide

[796spdbu]

All I can add to this is to tell you about my experience.

In high school I lowered my first truck. It was a luv truck. It was my shop project. I lowered it by cranking torsion bars and removing a leave and adding blocks,then I made a removeable hard top and tilt bed. Then I bought my second truck in highschool,which was also my first loan at the local bank,which I will talk about later. I lowered the 83' c-10 by flipping the axles and cutting springs(I know it wasnt the right way but its what I had). After that it all kinda snow balled for a while. I started installing drop springs and lowering kits in every thing from hondas to mini vans for everyone in my high school. I actually got in trouble by the princepal because I would ask the Vol ag teacher to use the shop to do more jobs so I could better my chances at winning the Ag Mechanics Award at the end of the year. He said that was fine, but I was also charging for doing these jobs. I was good till a teacher over heard me talking price to another "client". I wasnt aloud to do any more work unless it was an approved job that they were for sure I wasnt making money on. I used to read magizines in school every chance I got,because I knew I wanted to build cars at an early age. the school adviser used to tell me if I applied my self to school work like I did those magizines I would be on the honors society. I wasnt interested in all that..

While in high school I worked for an ex super stock drag racer building full tube chassis race cars and pro street muscle cars.I remember working at his shop well into the night and some times I would sleep there and grab a shower at his place before rushing off to school. I convinced the same Ag teacher to let me get into welding class a yr early so I could make even more money. It was at this time that I got hit in my C-10 and took it to a guy who painted on the side to have it redone. Well he ruined my truck..thats another story for some other time. After I realized I was screwed over I went to a freind of the family who owned a body shop to see if I could help around the shop to learn paint and body work. I worked both places while still trying to lead a normal teenage life..I had to break many dates because we had cars that needed to be completed.

Fast forward a few years,
I was 19 and built a flamed 91' sonoma. That one truck brought me alot of work lowering S-10' and other mini trucks. This is also the time when things got a litte hairy for me. I lowered a kids new S-10 that his parents gave him for graduation. I used every thing Bell Tech. But at the time there was another guy hacking trucks and they rode on bumpstops. This kids parents thought I did there sons S-10 the same way. They threatened with a Lawyer. I called the family Lawyer and talked to him about my issues. He told me since I charged over a certain amount that I needed a buisiness license and insurance on the work I was doing. So I did just that. I have had my license and buisiness name since 1998. This is were the local bank cames into play as I got in good with the branch manager and he gave me several small buisiness loans over the years.

Fast forward again. and the small 30x40 shop I was working in became a little small and I added on another 18x40. I had always built trucks and muscle cars on the side. We live in a really rural area so there isnt much of a market here.I got in good with the local speed shop and did a few roll cages for them really cheap so that people from the city could see my work. I started helping a local guy when I was slow in my shop. I learned how to set up rear ends. I learned a lot from that guy and went on my way.

There was a truck at SEMA a few years ago that was owned by Dale Ison,It was called the Hero's Truck. It had 2 complete stainless steel chassis' The body sperated from the lower frame. Helping on that built team showed me even more about finish fabrication work and attention to deatail like none other. Over the last several years I have had a roller coaster ride of jobs. I would work at a place then they would go out of buisiness and I would start over.

At one point in time I tried to run my own shop completly as my main source of income. It went well for 2 years then I ran out of work because of several reasons others have said. You take on a big resto job that needed big space and time then you try to get in a smaller job you feel you can knock out quickly. I guess being "wet behind the ears",I wasnt any good at time management. I tried to hire friends to help out after they got off work but not to many were into the hobby as I was. So after a good run I decided to try the 9-5 again. I slowed down working on hot rods and trucks and went to college to presue a buisiness mgmt and accounting degree thinking it may help out if I ever try again.

So that brings me to the last 2 years. I have spent alot of time working on others projects. One big one comes to mind as a life lesson learned.
A 68 SS 396, 4spd,12 bolt chevelle.The guy wanted it completly redone in hugger orange with white stripes over the hood and trunk lid. I went to look at the car, and give the guy a quote. The car was in primer which I wasnt sure about. I told the guy I couldnt quote a price until I stripped the car to see what I had as a foundation. I picked the car up and started by sanding a few spot that I knew where problem areas. I found the typical hack and pack primer job. I called the guy and told him I had a shop I worked with that would blast the car completely for $750,He bulked at the idea even after I tried to tell him the labor would be alot more paying me to hand strip the car.
Then to add salt to the fresh wound, It needed quarters. Again I told him itd be cheaper to install full quarters but he wanted partials. At the end of the job I handed him the bill which I had gone over every thing several times before and he was floored by the amount on the bill. I told him that we went over the bill several times before and before any work was done or before any part was ordered. He paid the bill but wasnt happy even though I had lost sleep and money over the job.

As with others, It has cost me several really good realtionships because I had to work through holidays and weekends. Its a passion of mine to build cool rides. I also take the time to go the extra mile to make sure things are right even if it wasnt on the original build sheet. Im not one to cut corners or half a$$ something. Thats my name associated with that car/truck. I used to go to my day job on very little sleep some times I wouldnt even go home and the girlfriend would be sleeping by her self. It got to the point where I wouldnt even try to date anyone because these cars consumed me. I just didnt have time for it.I dont mind it but it is nice to have someone to go out with every so often.

I to have several unfinished projects. The name in my avatar 796spdbu. Thats my 79 malibu that I installed a 6 speed and a tune port engine in. I started that car in highschool in 96'. I did a complete frame off. It had all the trick hotchkis suspension and eibach springs. I hope to some day finish it.Even though the B body spindle swap isnt the best idea now..LOL
The truck I bought just for hauling projects with,a 97' crewcab dually, was taken off the road 2 years ago for a simple reapint and air ride job. I worked on christmas night this year from 9 p.m. till 3 a.m. priming the cab and bed,missing out on the last family event that day. I had an open spot in the shop for it and had to do it that night as I had another project coming to the shop the next day. Im not complaining,I chose this life.

I know I wrote a novel here but im trying to give you some insight to some of the things I have ran into over my years of building custom rides. Its a big commitment. Its fun but it will take a lot from you also. Its rewarding to see a project go from nothing to a nice ride. Some times you will want to throw in the towel,but if you really love it you will find the drive to stick it out.
Good luck with your new venture!

Greg

[ironworks]

Alot of work, alot of money, and a long time to make it profitable.

You will never make a living in a small shop like you could if you just worked for someone else. Unless you have the work and the drive to manage more then 4 guys you might as well stay small. But unless your John Buterra talented, people will never wait the million years it would take to finish a noteworthy car. You have to make periodic splashes in the publicity game to keep peoples interest. Which takes manpower that is very difficult to find unless you just want to hack up cars. If you want to hack up cars your business will last long enough to burn every possible bridge in a 360 degree circle around your shop. But hacker employees are easy to come by. But if you do quality work don't be enticed to think you have to price yourself to compete with the hacksters.

OH and The worst customers are the ones I gave the biggest discounts too.

Most of these lessons took me years to learn, I will let you know on the profitability thing.

Oh and the best way to ruin a great hobby is to try and make a living at it.


But I would not trade building cars for any other career. Well maybe a few careers........

[arue333]

Iron Works> How did you start out?

[z4me69]

if you look at all the successful shops they have 1 thing in common it's not equipment .that helps speed things up .but you will find raw talent that is the most important thing

[RECOVERY ROOM]

Originally Posted by z4me69

if you look at all the successful shops they have 1 thing in common it's not equipment .that helps speed things up .but you will find raw talent that is the most important thing

Some of the best builders I work with don't have alot of big equipment,Talent will get you farther than anything else.

[Sandbagger]

I have been in the collision industry most of my life . Id like to know how they bill out some of these zillion hour creations .

[mexMan]

I want to say tools, a garage and a lot of passion. If you have that, you can start building things for yourself, tell some people about what you do, and, well, profit. But I bet it takes a lot of time to grow and have a shop big enough to keep in the business.