Despite turbulent economic conditions and inflation, the auto industry continues to show robust growth. In 2023, it’s expected to grow by another 4%, adding to an already multi-trillion dollar market share. Demand for auto repair and care services is unlikely to diminish anytime soon.
The challenge for many companies in the auto repair and care industry isn’t identifying demand for their products and services, but finding the time and personnel needed to expand their business. Read on to learn how to expand your auto care franchise by outsourcing your accounting.
Save then Reallocate Funds to Expand Your Business
By outsourcing your accounting, you can significantly reduce your overhead, particularly if you have multiple locations. You can then take the money you save and invest it in acquiring the physical assets you need to grow your operation.
For example, suppose you have to pay for the following to expand your business:
- The costs of initiating a new lease on a commercial property
- Increasing the limits on your insurance coverage
- Marketing collateral promoting the new location and its repair or customization services
- Signage, uniforms, or other front-facing assets
- Equipment and inventory purchases
While, like many organizations, you can strategically leverage debt to fund much of this, you can reduce your overall obligations by investing the money you save by outsourcing your accounting. Depending on how your company is set up, this could equate to a few hundred thousand dollars in salary expenses alone, not to mention overtime you may have to pay during tax season.
Reallocate Personnel to Grow Your Organization
Reallocating personnel allows you to capitalize on their devotion to your organization, as well as their knowledge of how you operate and your vision for the future of the company. In many cases, this is preferable to hiring someone from the outside and then investing countless hours getting them up to speed. This is particularly true in the automotive sector, which requires a wealth of industry-specific knowledge and experience on the part of your team members.
By outsourcing your accounting, you can free up internal employees to play key roles in a new location. Some important positions may include:
- Operations manager, who oversees those performing repairs, maintenance, and customizations
- Sales manager
- Marketing manager
Accountants, who often have deep insights into the inner workings of a successful company, can fill these and other roles, solving the personnel challenges that tend to come with expanding your franchise.
Reinvest Funds to Train Existing and New Employees
A new location will need more people, and you can fund the training of internal employees—or new hires—using the funds you save by outsourcing your accounting. Whether you contract external trainers to teach employees about the techniques and technology they need to provide auto care services, or you pay internal staff to share their knowledge, you can fund the education with the money outsourcing your accounting saves you.
In this way, you significantly shrink the overhead associated with expanding your franchise. These kinds of savings can be music to the ears of investors, executives, and other stakeholders.
If you’re ready to expand your auto care franchise by outsourcing your accounting, you can rely on PABS to handle all your needs. Not only can you reallocate funds to pay for your physical assets, but you can move money and staff to drive your organization towards a more profitable future. Learn how PABS can help by reaching out today.