Mobile Oil Change Businesses Are Very Hard to Succeed In

There have been many people who have come and gone in the mobile oil change business. It always looks easy from the surface and is relatively inexpensive to start with minimum investment compared to most other businesses. But most mobile oil change operators rarely make it past the first year. In fact most do not make it past the first several months. One has to wonder why such a good idea ultimately ends in failure. Lets take a closer look.

First the profit generated from oil changes is not enough to sustain a healthy business. After you calculate the cost of goods from the total bill there is rarely is more than twenty five dollars net profit made from your typical oil change. And that figure does not include the gas used driving to the actual location. You have to be doing a lot of oil changes per day for you to make a decent profit to support your business and your personal expenses. Most quick lubes make even less due to their substantially higher overhead yet make up for it in large volume. Most successful fixed locations are doing 60 oil changes on a bad day. A mobile oil change company, with most of the time one or perhaps two people working it, does not have that luxury. The most your typical mobile oil change van can do is ten oil changes per day and after that the operator is exhausted. And even if a person could consistently do ten oil changes per day he still has to generate those oil changes from somewhere. They do not magically appear. Do you have a plan how to do that? Most start out thinking corporate campuses will provide tons of business especially if its marketed by the companies there. In reality that rarely works as advertised and you will be lucky if you get 10 customers in one year from a huge corporate campus. The end conclusion is that the net per oil change is just too low to make a viable business from it without a massive amount of volume.

Second, many mobile oil change operators are not very good salesmen. They are usually very honest people and ones who are very passionate about what they do and you gotta love that but I have found that most owners of mobile oil changes are terrible at the sales end. They are usually the type who try to charge way less than the going market rate and think they can tell a few people about their “awesome service” and wait by the phone. That never works. You have to go out and get them. You have to do a copious amount of cold calling. You have to talk to a lot of fleet managers and sale yourself first and then your service. Most in the mobile oil change business do not fully understand this or never really apply themselves to this side of business. Its probably the most important part not just in the mobile oil change business but any business for that matter. I will go out on a limb and say that if you are a great salesmen you will do well running a mobile oil change business or franchise. If you know about cars but not sales then I recommend working for a new or used car dealer for 2-3 months and get the experience. It will be tough and gruesome but that is the quickest way to get good a pure hard core sales without a lot of the “fluff.” Then open your mobile oil change company.

Third, the weather cannot be understated in limiting what mobile oil change operators can do. There are few states that have decent weather throughout the year. Half the states get really cold several months out of the years and the other half get really hot throughout 3/4 of the year. Both are equally discouraging. A fixed location can turn on the air or turn on the heat. Their operators work in a controlled environment. You do not have that luxury. You may have several fleets planned for one day and it can be pouring down rain that day. Have you thought about changing oil in 0 degrees. Your hands will not be able to grip that oil filter or wretch its as hard as a rock or you cannot feel them. Or changing hot 150 degree motor oil in 100 degree humid weather on a vehicle where it’s oil filter is in the middle of a hot engine manifold and you have to burn yourself to get to it? Do you clean it off and skip it or burn yourself to get to it? That will happen.

Having mentioned these three major hurdles, and there are more, I will say that it is not impossible. I have made a success of it. But I wish that someone would have been straightforward with me before me and my partner spent over $80,000 getting into the mobile oil change business. We were sold on a lot of unreal hopes and dreams from Jet Set Life Technologies about great wealth using a flawed model involving oil extreme. They set us up with a nice van and their product is good but their whole system is flawed from the bottom to the top. We found a way to make it work but sadly 90% of the mobile oil change business operators do not. The success rate is very small. Understand whats really involved and if you think you can grind it out and not make any money for 2-3 years, go for it.

7 Top Tips From the Business Woman of the Bible, Lydia, for Today’s Woman of God

Lydia was one of the most successful business women in the Bible. You will find her story in the Bible in Acts 16:14-15. According to Biblical records, Lydia was a business woman who dyed and sold purple cloth, a material used by the wealthy and elite of the day. This meant Lydia worked in a high-priced market with a high-end target market.

But Lydia was more than just a woman who sold luxury goods to the elite and the powerful. From all accounts it appears she was also the head of her household, an employer of others, and a woman of great Christian faith. She was the first European convert to Christianity and the first to establish a church in her home for other Christians. Fellowship times included examples of how to do business and worship as a part of a business woman’s day.

As a powerful woman of God, Lydia has much to offer today’s Christian business women. Here are seven valuable lessons for women of God from the Bible woman, Lydia.

1. Keep prayer in your daily activities. The bible story of Lydia says she met the Apostle Paul at a place of prayer. She also opened her home to have worship services for others. Keep your priorities in order as a woman of God. Remember to pray unceasingly about everything including your business activities by making prayer a priority activity on your daily schedule.

2. Work to please the Lord. Lydia took her responsibility as a Christian business woman to work “as unto the Lord” very seriously. You can show Christian beliefs through your nature and personality without being pushy or unprofessional. Show Biblical principles through your actions and decisions in your business.

3. Design a powerful company. Lydia was a no-nonsense business woman who built a major company in a wealthy market. Nothing says a woman of God has to play small in the business world. Christian business women should be open to working in all types of industries and not shy away from the potential of going big. If you are pursuing big dreams use Lydia as your role model for growth.

4. Try non-traditional opportunities. By being a successful and wealthy merchant of purple cloth Lydia was in a non-traditional business category during her times. Don’t shy away from embracing non-traditional business opportunities. Consider working in fields where few if any woman are already excelling and create new paths to success.

5. Find your balance between work and home. Lydia maintained her household even while running a powerful business. Each woman has to find the way to balance, keeping her home in order while running a business. It might mean downsizing or hiring help. Use your business skills to figure out what works for you to get it all done.

6. Learn to grow your business. Lydia’s business was so successful that she had to hire employees. Growing a business means eventually needing to hire help. That help might come in the form of a part time assistants, independent contractors, freelancers or full-time employees. Start in the initial business planning stages to consider how and when you will start to hire help so you can expand your business operations. This creates jobs for others, increases the economy of your area and increases your status and influence as a business professional.

7. Know you can be prosperous. Lydia shows that successful Christian women can be highly prosperous. There’s no reason to fear money or to shy away from earning large amounts of money in business. The important key is to keep a check on your heart so money does not become your focus instead of God. Lydia was a business woman in the Bible who prospered while giving all glory to God.

5 Types of Business Insurance and Why You Need Them

No matter the size or nature of your business, one thing that remains the same is the need for business insurance. There are many different aspects of your business that you’ll want to take into consideration when looking for new business insurance – or reviewing your current insurance coverage. Since every business is different, each one will have different insurance requirements. For example, a company that produces physical goods may need different insurance than a company which offers services. In either scenario, there are some similarities, and listed here are a few types of insurance that all businesses should consider.

Workers’ Compensation Insurance – for your employees

Workers’ Comp insurance is required by law in almost every state. It can provide coverage for medical costs and a portion of lost wages for an employee who becomes injured or ill on the job. Typically, this type of insurance only covers injuries or illness that occur on the job site – for example, if an employee slips and falls on a wet floor.

Since the laws regarding Workers’ Comp can be different depending on where your company is located, it’s important to work with an insurance professional to make sure you’re getting the coverage that’s required, as well as what you need for your particular business.

General Liability Insurance

General Liability Insurance is designed to protect you and your business from a variety of claims, including accidents, injuries, or claims of negligence. This type of insurance can help pay for things like property damage, medical expenses, libel, slander, legal costs, and faulty products. No one expects to get sued, but the reality is that it’s always a possibility. You don’t want to leave your business open to these types of situations, and the broader the protection, the better.

Professional Liability Insurance – “Errors and Omissions” coverage

Professional Liability Insurance can also be known as “Errors and Omissions Insurance,” or “Malpractice Insurance.” It protects you from lawsuits that allege negligence in providing professional services, providing shoddy work, or making mistakes or omissions. This type of insurance is particularly important if you have a service-based business, but can also be necessary for other types of businesses as well. Mistakes happen – so adequate Professional Liability Insurance can be helpful, even if you don’t think you’ll need it.

Property Insurance

The definition of “property” is broad, and can mean different things to different types of businesses. That’s why it’s important to make sure you carry adequate Commercial Property Insurance. Without this type of insurance, most small businesses wouldn’t be able to replace their equipment should something happen to cause damage or destruction. Property covered by this type of insurance can include buildings, computers, inventory, supplies and equipment. There are two types of Property Insurance: “all-risk” policies cover just about everything, and is a good way to avoid duplication or overlap of coverage, as well as gaps in trying to cover your liabilities. “Peril-specific” policies, or “named-peril” coverage applies only to particular perils that are specifically named in the policy. They’re usually needed when there is a high risk in a very particular area.

Life Insurance / Key Executive Insurance – protection and benefit

Offering life insurance for employees can be a valuable benefit when trying to attract high-quality employees. A business can even offer additional coverage for executives. These employees are deemed to be crucial to the running and success of the business, and may sometimes require additional insurance, above and beyond what the normal employee benefits provide. This can be another benefit in attracting top talent.

A business can also offer special “Key Person” policies for employees without whom the business could not function. Key Person Insurance protects against a key employee’s unexpected death – often times the benefit amount equals the expected revenue loss and costs required to find and train a suitable replacement. The business pays the premiums, and the insurance is considered a business asset.

It’s possible to combine some of these basic coverages as a package policy, often referred to as a Business Owner’s Policy, or BOP. Many insurance companies bundle certain coverages, and this can save you money, as long as you make sure you get the proper type of coverage.

Even if you feel you have adequate business insurance coverage that meets all your current needs, it’s still advisable to review all your coverage on an annual basis, to make sure that your coverage continues to provide everything that you need. This is particularly important if you or your business have experienced any major changes, such as change in family status, or a significant increase or decrease in business activity. Additionally, be sure to work with a reputable, licensed insurance agent or broker, who has knowledge regarding business like yours.