From Health Care to Auto Care
Just as the automotive aftermarket continues to experience dramatic change, so does the health care industry. John Schmus had a career of over 25 years as a sales and marketing executive with a national health care association management, marketing, communications and publishing firm headquartered in New Jersey, providing a broad spectrum of services to associations and corporate accounts within the health care industry. As changes within that industry impacted the firm and John, he began thinking outside the box and exploring other areas of opportunity.
One of my on-line ad postings for an auto service shop for sale prompted him to contact me to find out more. John remembered, “I was cruising the Internet looking for businesses for sale in my area and saw Art’s ad for an auto service facility for sale. Wanting some more details, I reached out to him and, after signing the appropriate non-disclosure agreement and reviewing the Confidential Business Report prepared by Art, discovered it was actually a ‘package deal’ for two shops in Cherry Hill being sold together. After crunching some numbers and doing some soul searching, and because I’ve always had a passion for automobiles, although only as an amateur tinkerer, I decided that this was an opportunity very close to home that I just couldn’t pass up. The closing took place in April, 2014.”
When John was asked about the transition of two shops to a new owner, he replied, “The previous owner did a great job of maintaining confidentiality of the change in ownership until it was finalized, as he should have. He also spent a lot of time with me before and after the closing educating me on the processes involved and providing me with some great insight on the employees and culture of each shop.”
Sales revenues have been impressive since John became owner over a year ago. John said, “We had an 8% increase for both shops for the balance of 2014. At about mid-year in 2015, we are still on target for increased sales.”
When asked to what he attributes those increases, John replied, “I haven’t made significant changes, but I think a couple of things are responsible. For one, I am highly visible as the owner. I’m consistently present at both shops and available to do what needs to be done, whether it be sales with customers or management of the operation. I have also instilled a team spirit among my employees to reach our financial goals. That kind of team spirit, which I’ve had ever since I played sports in school and which was an integral component of the 25-plus years I spent in my previous career, can do a great deal to prevent individual employees working as isolated ‘silos’ rather than working together to enhance each other’s skills. There are five employees at each shop and I’ve retained most of the original employees. Recently, I hired the first female technician in the shop and we are glad to have her as the newest team member.”
He continued, “There are challenges, of course. Those days when, for whatever reason, only a handful of customers show up, are tough. But on most days, when we are working on 25 or 30 vehicles, the team is up to the task. In conclusion, it’s a whole different world from my past, but my only regret is that I didn’t do this sooner.”
