Business By The Numbers

The Hidden Volatility Killing Auto Repair Shop Profits: The 3 Category Framework That Fixes It [E218]


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Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve

Every auto repair shop owner knows the feeling: a monster month followed by a stretch that barely covers the bills. But most owners assume they're doing something wrong. The truth? Even the best-run shops in the country don't make money every month of the year. In this episode, Hunt Demarest, CPA with Paar Melis & Associates, pulls back the curtain on the real financial volatility hiding inside your shop's numbers and why understanding it is the first step toward building a business that doesn't run you.

Fresh off a financial strategy session with shop owners in Tucson, Arizona, Hunt breaks down the three controllable levers that separate proactive operators from reactive ones: labor, advertising, and inventory. Whether you're planning to scale, stabilize, or just stop getting blindsided by slow months, this episode gives you a practical, numbers-driven framework to get ahead of the curve, not just catch up to it.

What You'll Learn...

(3:15) Volatility is built in — even the best shops don't profit every month

(4:00) The flat-budget trap: why dividing last year's profit by 12 backfires

(5:10) Top shops profit 10 of 12 months — struggling shops maybe 4 to 6

(8:54) How weather, school calendars, and local economies drive your slow seasons

(10:30) Three questions that reveal if you're ahead of the curve or behind it

(16:13) Why a growth projection means you should already be hiring

(18:34) The 90-day ad rule: give your agency a goal, not just a budget

(21:28) Bloated shelves, surprise tax bills, and how to fix both

If you're ready to stop reacting to slow months, start planning ahead on labor and advertising, and finally understand why your shop's volatility isn't a problem you caused — this episode is essential listening.

Thanks to our partner, Promotive

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 https://gopromotive.com/

Thanks to our partner, WickedFile

Turn chaos into clarity with WickedFile, the AI for auto repair shops. Transform invoices into insights, protect cash flow, and stop losing parts, cores, or credits to maximize your bottom line. visit https://info.wickedfile.com/

Thanks to our partner, Maverick Shop Owners

You're working on growing a more profitable shop - that's critical. That's exactly what the 24-video Blueprint course by Maverick Shop Owners addresses - customers, sales, profit, people, systems, and freedom. Get free access for our listeners only at https://maverickshopowners.com/blueprint

Thanks to our partner, Overdryve

Overdryve is your AI-powered marketing operating system. It predicts slow weeks before they happen, automatically launches revenue-driving campaigns, tracks ROI down to the dollar, and optimizes performance in real time. Visit https://overdryvemarketing.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:

  • Beyond the Bays: A Financial Playbook for Auto Repair Shop Owners
  • Wrenches to Write-Offs
  • Your Perfect Shop

The Automotive Repair Podcast Network: https://automotiverepairpodcastnetwork.com/

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

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

The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach Chris Cotton from AutoFix - Auto Shop Coaching.

Speak Up! Effective Communication with Craig O'Neill: Develop Interpersonal and Professional Communication Skills when Speaking to Audiences of Any Size.

Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest.

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.

...more
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