Business By The Numbers

Thanks to our partner Promotive

Expanding your auto repair business is an exciting venture, but it brings forth critical decisions, especially regarding entity formation. In this episode of Business by the Numbers, Hunt Demarest, CPA at Paar Melis and Associates, delves into the complexities of creating a new entity for your business expansion.

Key Topics Covered:

• Ownership Implications: Understanding how different ownership structures affect your decision to form a new entity.
• Legal Considerations: Evaluating the legal protections and liabilities associated with separate entities.
• Tax Implications: Analyzing the tax benefits or drawbacks of establishing a new entity.
• Operational Costs: Assessing the administrative and financial costs involved in managing multiple entities.
• Strategic Decision Making: Guidance on making informed choices tailored to your business's unique circumstances.

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

In this episode of Business by the Numbers, Hunt Demarest answers three key listener questions that auto repair shop owners face all too often. From handling warranty job accounting to navigating the financial fallout of divorce, Hunt gives practical, no-nonsense advice.

​In this episode, you'll learn: 

• The right way to book internal and partial warranty work in QuickBooks
• Whether adding your spouse to the business makes sense financially
• Why 8(a) certifications usually don’t help auto repair shops
• How divorce and child support can affect your business valuation and cash flow
• Real-life examples and actionable advice from 15+ years of experience

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

Are you charging enough for labor at your shop? In this week’s Business by the Numbers, Hunt Demarest of Paar Melis and Associates tackles one of the most misunderstood metrics in autorepair profitability—your labor rate. Spoiler alert: it’s not always about charging more.

​This week, you'll learn:

• Why labor rate isn't the ultimate driver of shop profit
• The difference between your door rate and effective labor rate
• What real benchmarking data says about high vs. low labor rates
• The one metric that actually correlates with profitability
• How technician productivity impacts your labor cost and bottom line
• The market analysis trap shop owners fall into (and how to avoid it)
• Effective Labor Rate Episode [E128]: https://huntdemarest.captivate.fm/episode/128

Thanks to our partner, Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thank You To Our Partners The Institute, AutoFlow, AutoLeap, Shop Dog Marketing, In-Bound

Watch Full Video Episode

In our Episode Today:

Our host Craig O’Neill welcomes friend and newly minted Certified Speaking Professional - Jimmy Lea to talk about his journey!

The NSA Certified Speaking Professional (CSP) designation is a notable achievement that involves many phases of approval.  This is a hard earned achievement, which to our knowledge, has never been attained by an individual within the aftermarket before now!

You can check out the details of the process here:  https://nsaspeaker.org/wp-content/uploads/2024/09/Guide_How-to-Earn-the-CSP_Class-of-2025.Final_.pdf

Jimmy is a well known and respected speaker in our industry and he has been a lifelong communication enthusiast.  Since Craig and Jimmy have been friends for many years, and you’ll hear in this episode some reflection of the impressions Craig has had of Jimmy in his early days and many thoughtful questions regarding the process of earning and value of a speaking credential.

While our topic focuses a great deal on the CSP process - you’ll begin to see how a focus on a skill looks for a true professional and learn some valuable insights into the ‘why’ behind any certification.

Topics include:

• Documenting your journey
• Gaining endorsements
• The value of capturing recordings
• Video submissions Do’s/Dont’s
• Mentoring
• Accepting Failure and Feedback
• How those with a designate safeguard the integrity of the designation
• Re-application and success!

The conclusion of this episode will give our listeners some food-for-thought on the value of credentialing in our industry, which has a tenuous relationship with the topic.  Do you need a certification to be a speaker?  Not at all.  However, certifications DO tell an audience (as they do with a visitor of a repair facility) something about the people they are meeting with.  

The Word of the Day:

Effusive

adjective 

Expressing feelings of gratitude, pleasure, or approval in an unrestrained or heartfelt manner.

Thank You To Our Partners The Institute, AutoFlow, AutoLeap, Shop Dog Marketing, In-Bound:

The Institute at WeAreTheInstitute.com.  "Stop stressing over your business, you deserve a good night's sleep. The Institute’s coaching helps you achieve success and financial peace.

AutoFlow at AutoFlow.com. Your partner in technology, Autoflow consolidates your client interactions - before, during and after the visit to a single thread. Learn more at Autoflow.com

AutoLeap at AutoLeap.com. Are you tired of juggling multiple tools to manage your auto repair shop? Say hello to the streamlined efficiency of AutoLeap, the #1 all-in-one Auto Repair Shop Management Software!

Shop Dog Marketing at Shop Dog Marketing.com. "Want to see your auto repair shop thrive? Let Shop Dog Marketing be your guide. Our customer-first approach, combined with AI-driven creative content, ensures top rankings.

In-Bound at CallInBound.com. Cover your communication needs and revolutionize your auto repair business with AI-driven call analytics from InBound.

Contact Information

• Email Craig O'Neill: [email protected]
• Join Our Virtual Toastmasters Club: https://remarkableresults.biz/toastmasters

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto: Advancing the Aftermarket by Facilitating Wisdom Through Story Telling and Open Discussion. https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow: From Diagnostics to Metallica and Mental Health, Matt Fanslow is Lifting the Hood on Life. https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest. https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker: Marketing Experts Brian & Kim Walker Work with Shop Owners to Take it to the Next Level. https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach

Thanks to our partner Promotive

In this episode of Business by the Numbers, Hunt Demarest, CPA of Paar Melis and Associates, explores the details behind what former President Trump is calling the "largest tax cut in U.S. history." What’s actually in the proposed bill? Will any of it pass Congress? And most importantly, what could it mean for auto repair shop owners and other small business operators?

Hunt unpacks what we know so far, what’s still uncertain, and how business owners can start thinking strategically. From potential expansions of the Child Tax Credit and QBI deduction to the controversial proposals of eliminating taxes on tips, overtime, and Social Security, this episode covers the key elements that matter most.

Whether you’re looking to stay informed or proactively plan for future changes, this episode offers a grounded look at what’s on the table—and what’s likely to be left off.

Key Takeaways:

• What’s included in the proposed 2025 tax cut and what’s still up for debate
• The current status of the Child Tax Credit, QBI deduction, bonus depreciation, and SALT deduction cap
• Potential elimination of taxes on Social Security income—and whether that’s realistic
• A breakdown of the proposed “Millionaire Tax” and its implications for high earners
• Why the talk of tax-free tips and overtime could create major planning opportunities for business owners

What shop owners need to watch for and how to prepare as legislative discussions continue

Thanks to our partner, Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

Credit card fees are eating into shop owners' profits — but should you be passing those costs onto customers? In this episode of Business By The Numbers, Hunt revisits the hot-button topic and shares what’s changed since 2021.

Key Points:

• Why more shops are experimenting with credit card surcharges today
• Real-world results from shops that do charge fees — and those that don’t
• The hidden dangers of incentivizing cash payments
• How pricing strategy impacts customer loyalty and shop profitability
• Hunt’s no-BS recommendation for handling credit card costs in 2025

Thanks to our partner, Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thank You To Our Partners The Institute, AutoFlow, AutoLeap, Shop Dog Marketing, In-Bound

Watch Full Video Episode

In our episode today, we welcome guest Hunt Demarest, CPA ABV.

Hunt is the host of Business by the Numbers and, as our host Craig O’Neill will tell you… Hunt uses words really well for a numbers man!

This episode came to be after Craig found himself on a walk and listening to one of Hunts recent episodes, Episode 163 - Where are my customers?  It’s a great episode on getting to the root of what the numbers are actually telling you - and guess what - it involves actually picking up the phone and talking to people!

Hunt’s episode played right after Craig had listened to an episode on a health/wellness program which spoke on a similar topic… going straight to the source of information!

Often times we can get caught up in the minutia of details and analysis.

If we are not careful - it can lead to assumptions and wrong conclusions.

As Hunt says, “Numbers do not lie, but they do not tell the whole story.”

Getting the whole story inevitably involves communication - and it isn’t always comfortable for people to pick up a phone to get it.

While the takeaway for today’s episode is in the title, it expands as you listen to Hunt and Craig explore a range of topics from talking to clients, employees, and even family.

Today’s WOTD is Gumption

noun

• the ability to make intelligent decisions especially in everyday matters

Learn more about Hunt Demarest here: 

https://paarmelis.com/business-by-the-numbers/

Look for his book here:  https://a.co/d/hAf0cDF

Thank You To Our Partners The Institute, AutoFlow, AutoLeap, Shop Dog Marketing, In-Bound:

The Institute at WeAreTheInstitute.com.  "Stop stressing over your business, you deserve a good night's sleep. The Institute’s coaching helps you achieve success and financial peace.

AutoFlow at AutoFlow.com. Your partner in technology, Autoflow consolidates your client interactions - before, during and after the visit to a single thread. Learn more at Autoflow.com

AutoLeap at AutoLeap.com. Are you tired of juggling multiple tools to manage your auto repair shop? Say hello to the streamlined efficiency of AutoLeap, the #1 all-in-one Auto Repair Shop Management Software!

Shop Dog Marketing at Shop Dog Marketing.com. "Want to see your auto repair shop thrive? Let Shop Dog Marketing be your guide. Our customer-first approach, combined with AI-driven creative content, ensures top rankings.

In-Bound at CallInBound.com. Cover your communication needs and revolutionize your auto repair business with AI-driven call analytics from InBound.

Contact Information

• Email Craig O'Neill: [email protected]
• Join Our Virtual Toastmasters Club: https://remarkableresults.biz/toastmasters

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto: Advancing the Aftermarket by Facilitating Wisdom Through Story Telling and Open Discussion. https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow: From Diagnostics to Metallica and Mental Health, Matt Fanslow is Lifting the Hood on Life. https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest. https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker: Marketing Experts Brian & Kim Walker Work with Shop Owners to Take it to the Next Level. https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach

Thanks to our partners, NAPA TRACS and Promotive

In this week's episode of Business by the Numbers, Hunt Demarest, CPA at Paar Melis & Associates, tells a jaw-dropping real-world story: how one automotive repair shop owner — and his wife — ended up spending days in jail over mishandled sales tax payments.

If you're an auto repair shop owner, this episode is a must-listen. Sales tax isn’t income tax — it’s trust money you're collecting on behalf of the government, and states take it very personally when they don’t get paid.

In this episode, you’ll learn:

• Why sales tax is treated more seriously than income tax by state and local governments
• How a small sales tax problem snowballed into jail time, a locked shop, and frozen bank accounts
• What mistakes automotive shop owners make that trigger sales tax audits
• The one mistake you can’t afford to make after you get behind
• Simple steps to protect your business, your reputation — and your freedom

Did you know that NAPA TRACS has onsite training plus six days a week support?

It all starts when a local representative meets with you to learn about your business and how you run it.  After all, it's your shop, so it's your choice.

Let us prove to you that Tracs is the single best shop management system in the business.  Find NAPA TRACS on the Web at NAPATRACS.com

Thanks to our partner, Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partners, NAPA TRACS and Promotive

April 15th is behind us — but your tax strategy shouldn’t stop there. In this episode, Hunt Demarest, CPA at Paar Melis, shares exactly what auto repair shop owners need to be doing based on how their tax season wrapped up. Whether you filed early, waited until the last minute, or punted with an extension, Hunt helps you take the right steps now to avoid penalties, reduce next year’s bill, and keep your shop’s finances dialed in.

 In this episode, you’ll learn:

• Why filing an extension isn’t always a problem — but failing to plan ahead is
• The costly myth about tax extensions that trips up even seasoned shop owners
• What to do now if you owed a big tax bill or got a refund
• The IRS’s rules on estimated taxes and why ignoring them leads to penalties
• Smart financial habits every shop owner should adopt after tax season ends

Did you know that NAPA TRACS has onsite training plus six days a week support?

It all starts when a local representative meets with you to learn about your business and how you run it.  After all, it's your shop, so it's your choice.

Let us prove to you that Tracs is the single best shop management system in the business.  Find NAPA TRACS on the Web at NAPATRACS.com

Thanks to our partner, Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partners, NAPA TRACS and Promotive

Tariffs might sound like a foreign concept—until they hit home. In this episode of Business by the Numbers, Hunt breaks down the real-world impact tariffs can have on your auto repair shop, using a powerful shop-vs-shop analogy to explain rising costs, disappearing jobs, and economic ripple effects. Whether you're in the weeds of part pricing or just trying to make sense of the news, this episode gives you the context you need.

Here’s what you’ll learn in this episode:

• Why tariffs are making headlines—and how they could impact part costs in your shop
• What the “free market” really looks like when safety and environmental regulations aren’t equal
• The economic chain reaction that can crush local businesses and communities
• How tariffs influence pricing, profits, and technician availability in the long term
• A breakdown of how the U.S. tax system evolved from tariffs to income taxes—and why that matters now

Thanks to our partner, NAPA TRACS

Did you know that NAPA TRACS has onsite training plus six days a week support?

It all starts when a local representative meets with you to learn about your business and how you run it.  After all, it's your shop, so it's your choice.

Let us prove to you that Tracs is the single best shop management system in the business.  Find NAPA TRACS on the Web at NAPATRACS.com

Thanks to our partner, Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/