Future-proof your business now – so you can sell it, scale it or step back when you’re ready.
Retirement might seem light years away if you’re in your 30s and running a shop. But what if succession planning isn’t just about leaving the business – it’s about leveling it up?
Whether you want to build a multi-shop operation, step back for more family time or eventually sell for top dollar, the way you run your shop today determines your options tomorrow.
Here are five smart moves to make now so you’re ready for whatever “then” looks like whether that’s in five years or 25.
These proven keys to planning a successful succession can help protect your people, your profits and your future.
1. START EARLY: BUILD WITH THE END IN MIND
You don’t need to know your exit date — you need a direction. Succession planning done early means fewer emergencies, stronger systems and more freedom. Run your shop like you might sell it someday — even if you don’t plan to.
When you begin with the end in mind, you create a business that doesn’t rely solely on your presence. That means documenting your processes, refining your customer experience and implementing operational systems that others can follow. It means understanding what makes your shop valuable to someone else: profitability, predictability and professionalism.
Think about it this way: if someone offered to buy your shop tomorrow, how ready would you be to hand over the keys? If that question makes you nervous, it’s a sign that it’s time to start building a business, not just a job.
2. IDENTIFY AND GROW FUTURE LEADERS
Even if you’re not ready to hand over the keys, start developing people who could run the day-to-day. Think of it as leadership insurance. Train a general manager, mentor your service advisor and make sure the shop doesn’t depend on your every decision.
One of the biggest mistakes young owners make is staying in the weeds too long. The earlier you start shifting into a leadership role and training others to handle operations, the sooner your shop becomes scalable. This is about trust, delegation and development.
Look for team members who show initiative, loyalty and alignment with your values. Then invest in their growth. Send them to training, involve them in decision-making and gradually increase their responsibilities. When your people grow, your business grows — and you gain the flexibility to pursue bigger goals.
3. KNOW YOUR NUMBERS (AND IMPROVE THEM)
Strong financials give you leverage. Whether you’re applying for a loan, buying your second location or prepping to sell 10 years from now,
the foundation is clean books, solid margins and a business that’s profitable without you turning every wrench.
Start by reviewing your income statements, balance sheet and cash flow statements regularly. Understand your key performance indicators (KPIs) like ARO, GP%, technician efficiency and net profit. If those terms don’t feel comfortable, now’s the time to get coaching or take a class — because owners who understand their numbers make better decisions.
Clean financials also help if life throws you a curveball. Whether it’s an unexpected move, family need or health issue, you want to be in a position where the business can keep running or be sold without a fire drill.
One key item is that if you are pulling cash out and have unreported income, you should stop today. Owners who withdraw cash to evade the taxman do themselves a disservice, as conservative estimates show a devaluation of the business by three to seven times each unreported dollar when it comes time to sell. This results in a short-term gain but a long-term penalty.
4. BUILD A REPUTATION BIGGER THAN YOU
If your name is the brand, you could be limiting your future freedom. It’s important to build loyalty to your shop — not just you, the owner. I know many successful shop owners who operate a shop named after their parents. Their success comes from the systems, culture and customer experiences that work the same, no matter who’s in the front office.
Some shops, like my former one, bear the current owner’s name. Extra effort is required if you don’t want to be limited; this means tightening up your branding, training your team to deliver a consistent customer experience and ensuring customers know and trust your business name, not just your face. It also means being willing to step back from being the only one talking to clients or solving problems.
Consider what would happen if you took a month off. Would customers feel the difference? Would your team struggle to deliver the same quality? If the answer is yes, that’s your cue to start building systems and empowering your people.
A strong brand and team create consistency, which creates trust. This keeps customers loyal and makes buyers interested if you ever decide to sell.
Your future legacy is more than numbers. It’s your people, your brand and your role in the community. The closer you get to exiting the shop, say three years, communicate your plan early and often — to your team, your customers and your vendors.
Make the transition feel like a natural evolution, not a sudden exit.
5. ENVISION LIFE BEYOND THE SHOP
You might love life inside the shop or leading your crew today – but what do you want in 10, 20 or 30 years? More time off? Ownership without operations? A second business? When you define success beyond the shop, your planning becomes sharper today.
Start asking yourself what your ideal life looks like. Do you want to travel? Coach other shop owners? Spend more time with your kids as they grow up? Whatever it is, the sooner you get clarity, the better decisions you’ll make now.
When you know where you’re going, it’s easier to map out the path. Maybe that means buying your building. Maybe it means building up recurring revenue streams or developing a manager who could take over someday. Whatever your vision, tie it to practical steps you can take today.
The ultimate goal is to build for options, not just an exit. This isn’t about retiring early (unless that’s your goal). It’s about creating a business that runs on systems, not stress – so you can grow, sell or step back when the time is right.
If you’re a young shop owner, now is the perfect time to take these steps. You’ve got time, energy and a long runway. Use it wisely. Don’t wait until the ink dries on the sale agreement to figure out what you want next.
Whether it’s more time with family, travel, mentoring young shop owners, or starting a second act, knowing what excites you about the future will help guide your decisions today.
If you’re in the young (or even the not-so-young) category and are keen to dial in tomorrow and want a starting point, send me an email. Ask for our 20-point list called Dial It In Now – 20 Moves You Can Make Today for a Better Tomorrow. Build something that gives you freedom, flexibility and a future you’re excited about.
Vic Tarasik has been an independent auto repair professional for more than three decades and is the former owner of Vic’s Precision Automotive in The Woodlands, Texas. He is the founder of Shop Owner Coach, a coaching and training organization that is committed to helping independent repair shop owners achieve their dreams through the intentional application of best business practices. Vic can be reached at Vic@ShopOwnerCoach.