Parts management is a critical function of any auto repair shop business. The only way to guarantee that you’re making a profit on the parts you sell on repair orders is by having an air-tight system for managing and tracking those parts from purchase to sale to reconciliation. The final step of making sure that each and every parts transaction is accounted for is probably the most important step—and the most misunderstood.
Some of the issues your auto repair shop will run into if you don’t carefully manage parts include:
Un-billed parts (forgetting to collect payment on parts)
Inconsistencies between your cost of goods sold and accounts payable
Inability to track and receive return credits
Inability to detect theft before it gets out of hand
Many of these issues can be avoided by using purchase orders to reconcile the parts you sell on repair orders.
But many auto repair shop business owners still wonder what some of the best practices are when it comes to parts management. How often should you be reconciling parts payments? Who should take on this task: you, your service advisors, or a dedicated parts manager? How do you make sure you’re getting the best value for the parts you buy and sell? How do you ensure that each and every part is being billed?
Let’s answer some of these questions, and unpack the best practices for parts management.
1. Should You Have a Dedicated Parts Manager?
Many smaller auto repair shops do not necessarily need a parts manager, especially if the service advisors and business owner have a solid process for shopping for parts, placing orders, applying markups, and reconciling parts bills with purchase orders.
But as your shop grows to service more than a dozen vehicles a day, you should definitely consider hiring a dedicated parts manager.
Having a specific person in charge of ordering parts, keeping track of inventory, receiving parts, and reconciling purchase orders will not only free up time for your service advisors to focus on providing excellent customer service, but also ensure that your part’s process stays consistent as your business grows.
A dedicated parts manager can focus solely on all things parts, building out a process that is efficient and replicable, giving your shop more room to scale.
2. How Often Should Your Shop Reconcile Parts Orders?
Taking the time to fill out a purchase order whenever you order a part for repairs should become a daily habit.
It’s true that filling out a purchase order adds a little bit of time to the process when you’re trying to get a customer’s vehicle repaired, but it’s better to take the time then and there, or at least at the end of each day, then letting it pile up for the end of the month.
If you wait until the end of the month to make sure each parts order and payment is accounted for, you could easily miss orders from weeks prior and find yourself stuck with an all-day task, which can really take a toll on your workflow for that day.
Additionally, if you wait too long to focus on managing your finances when it comes to parts, you could find yourself losing money on credits for parts that should have been returned.
3. How Can You Identify if a Part Did Not Have a Purchase Order?
Sometimes when you’re going through your accounting software at the end of the day, week, or month, you may notice a discrepancy between what you think you're making on parts, and what you’re actually making.
This is usually because there is a missing purchase order, or several missing purchase orders, in your accounting system.
By using a shop management system with a parts report, such as Tekmetric’s Parts Purchase Report, you can compare what’s reported in there with what’s reported in your financial software.
If you try to verify by vendor on each system, you’ll most likely find the discrepancy, and then you can work backwards, looking at the parts report for that vendor within your shop management system to find out what purchase orders may be missing in your accounting system.
4. How Do You Ensure that You're Getting the Best Value for the Parts You Buy?
Like anything you buy, it’s wise to shop around.
At the same time, your shop has to order parts in a timely manner so that you can get the car back to the customer as soon as possible.
With the Tekmetric Shop Management System, parts managers and service advisors can quickly look up and compare parts from multiple suppliers directly within the Tekmetric dashboard, without having to open up multiple tabs.
By using a shop management system like Tekmetric, your shop can save both time and money while finding the best deals for you and your customers.
5. How Do You Ensure That Each and Every Part is Being Billed?
The best way to ensure that no parts go un-billed is by having solid processes for both inventory management and adding parts to repair orders.
Doing a full inventory check at least once a week will help your shop identify any parts that are missing and have gone unbilled.
Of course, you want to be proactive and make sure those parts are getting billed before you notice they’re missing.
For this, it helps to train your service advisors to all be on the same page when it comes to how parts are included on repair orders, and that they have clear communication with the customers, the parts vendors, and the parts manager.
Tekmetric: Designed With Best Practices in Mind
Using a shop management system like Tekmetric that has a job dashboard with built-in reminders can go a long way towards ensuring that customers are being billed for parts before they leave with their vehicles.
Because the Tekmetric system integrates with leading parts suppliers, it’s easier than ever to find the best deals on parts for your customers.
Tekmetric’s Parts Purchase Reports are another safeguard for auto repair shops to have visibility into the parts moving through their shop.
This article was written with the guidance of automotive repair industry CPA Hunt Demarest of Paar, Melis, & Associates, P.C.
FAQ
similar articles
Introduction
Starting a tire shop is an exciting and profitable venture, but success isn’t just about getting customers through the door—you need the right tools and equipment to provide top-quality service. Whether you're performing tire repair, wheel balancing, or alignments, investing in high-quality automotive equipment ensures efficiency, safety, and customer satisfaction.
Many new shop owners make the mistake of cutting corners when purchasing tools, only to realize later that low-quality equipment leads to slower turnaround times, safety hazards, and costly mistakes.
By the end of this guide, you’ll know exactly what’s needed to run a successful, efficient, and profitable tire shop.
Tire shop equipment list
Beyond hand tools, your tire shop needs specialized equipment to handle tire mounting, balancing, and alignment efficiently. Here are the nine must-have machines every professional shop needs:
1. Tire changer
A tire changer is the core machine of any tire shop, allowing fast and damage-free tire mounting and removal. A high-quality automatic tire changer saves time, protects expensive alloy wheels, and enables your shop to handle a higher volume of customers efficiently.
Tire changers come in a few variations to accommodate for different tire sizes and needs. When you are ready to make a purchase, consider the price, time to train your technicians, energy usage and return on investment. Here are some of the popular choices:
Swing Arm: Affordable and easy to use, the swing arm tire changer is a popular choice. They are appropriate for tires up to 50 inches in diameter. The only drawback is you have to reset the head position every time you change tire sizes.
Tilt-Back: If you are looking for a faster option, the tilt-back may be the right choice for you. They can adjust to varying tire sizes much easier that a swing arm but they typically cost more.
Leverless: Leverless tire changers provide the most automated experience but also come at a premium price point. This tool can be exceptionally helpful if your technicians deal with larger truck tires or if you want to reduce the risk of employee injuries.
Heavy-Duty: Handling up to 90in diameter tires, this tool will be your best friend if you work on construction or heavy duty vehicles regularly. They have a high price point but it will be justifiable if you service enough large tires.
2. Wheel balancer
A wheel balancer ensures perfectly balanced tires, preventing vibrations and uneven tread wear. Investing in a wheel balancer for your auto repair shop helps you achieve precise results, improving customer satisfaction, and reducing comeback work. Wheel balancers come in a few variations:
Dynamic balancers: Using more advanced technology, dynamic balancers spin the tire to assess any variations in the tire. Once the tire is assessed, the technician can make any necessary adjustments to ensure a smooth and comfortable ride. These machines tend to be more precise but also come with a bigger price tag.
Static balancers: Static machines use a more basic measurement technology to balance tires. The basic idea is that gravity will pull the heaviest part of the tire downwards as the tire is suspended on the machine. They tend to be cheaper and take up less space but because they are stationary, the readings can be less accurate than dynamic balancers.
Bubble balancers: Bubble balancers are ideal for shops looking to save money or smaller operations that don’t service tires as often. They work by using a bubble level to check for imbalances in the tire. These machines are less reliable but they are also cheaper and take up less space.
3. Alignment machine
Alignment machines are critical to any tire repair shop because misaligned wheels can cause uneven tire wear and poor handling. A high-tech alignment machine allows your shop to offer wheel alignment services, a high-profit service that improves customer retention. Alignment machines are expensive, ranging from $10,000 to $40,000 but can provide years of service that often justify the upfront cost.
Proper tire alignment leads to improved handling, fuel efficiency, tire life, and safety. All of these benefits help your customers get the most out of their new tires which leads to better customer loyalty.
4. Inflation equipment
Many of your shop’s tools, including impact wrenches and bead seaters, rely on compressed air. A large-capacity air compressor ensures consistent air supply, keeping your operations running smoothly.
Air compressor: Air compressors provide the necessary air for many of your power tools and machines. They are also the key to proper tire inflation to make sure your tires leave the shop with the right PSI. Remember to have the right adapters needed to connect to the tire valve stem.
Tire inflators: If you are servicing enough tire volume, you may want to invest in dedicated tire inflators. They often include pressure gauges and make it a little easier than using a regular air compressor.
5. Tire inventory and storage
Finding the right balance between having enough tires in stock and crowding your shop layout can be challenging. To maximize efficiency, keep track of which tires you sell the most of and reduce inventory of seasonal tires that you only need once a year.
Heavy-duty tire storage racks allow you to store new and used tires efficiently. If your customers can see your inventory, make sure it is organized and professional looking. Lastly, ask your technicians for feedback and how you can help them be more efficient by adjusting your layout or inventory.
6. Vehicle lifts
A car lift makes tire rotations, inspections, and alignments easier and faster for your technicians. While they are expensive, they can be used for tire repairs as well as general automotive repairs. There are multiple types of lifts on the market so make sure to find the lift that works best for your shop. Consider price, size, lift speed, lift height, and load capacity.
Jack stands may be a cheaper alternative if you have a smaller budget to work with and don’t service a large volume of tires. However, they ares slower to use and may reduce effieiciencies in your shop workflow.
7. Tire repair tools
Some customers will just be looking for a quick patch or repair on their tire. Make sure you have patch and plug kits readily available so you can win easy business.
8. Tire shop software
Your tire shop isn’t just about changing tires—you need to track inventory, invoices, and customer records. A modern workstation with tire shop management software (like Tekmetric) keeps operations organized, efficient, and profitable.
9. Miscellaneous items
Waiting area: Make a good first impression by offering a comfortable waiting area with chairs, TV, and basic refreshments. Keep the climate at a comfortable temperature to make sure your customers feel at ease.
Marketing: Tekmetric makes it easy to market your business with modern marketing and CRM capabilities. Let us build your website and provide an online booking software to make it easy for customers to find you and book with you.
Point of sale (POS) software: Tekmetric has you covered with payment options and solutions for your customers. Provide customers with multiple ways to pay plus financing options.
Essential tools for your tire shop
Even with high-tech machinery, manual tools are essential for precise tire work. These tools allow your technicians to handle tire mounting, balancing, and repairs efficiently and safely. Here are the nine tools every tire shop needs:
1. Tire irons & pry bars
These are critical for manually mounting and demounting tires. Even with a tire changer, stubborn tires (such as off-road or low-profile tires) often require extra force. Pry bars and tire irons allow your techs to work efficiently and prevent rim damage.
2. Air impact wrench & torque wrench
Lug nut installation and removal is a daily task in any tire shop. An air impact wrench speeds up this process, while a torque wrench ensures that lug nuts are tightened to manufacturer specifications, preventing over-tightening (which can damage wheel studs) or under-tightening (which can lead to wheel detachment).
3. Bead seater tool
A bead seater blasts a strong burst of air to seat the tire bead onto the wheel, ensuring a secure and leak-free fit. This tool is especially valuable for handling low-profile, oversized, and performance tires, reducing manual effort and increasing efficiency.
4. Valve stem tools
Valve stems regulate tire pressure, and a valve stem tool kit allows for quick replacements and repairs. Properly maintaining valve stems prevents slow leaks and customer complaints, improving the overall quality of service.
5. TPMS tools
A tire pressure monitoring systems (TPMS) is an electronic system designed to monitor the air pressure inside pneumatic tires on various types of vehicles. Having the right tool can help you make sure a customers TPMS light doesn’t come on after they leave your shop. These tools can do light resets and reprogram tire positions when necessary.
6. Tire pressure gauge & inflator
Proper tire pressure improves fuel efficiency, tire lifespan, and vehicle safety. A high-quality tire pressure gauge ensures accurate readings, while an inflator allows quick and precise air adjustments, reducing customer wait times.
7. Tire repair kit
Not all punctured tires need to be replaced—some can be repaired! A tire repair kit with patches, plugs, and rubber cement lets you fix minor punctures, offering customers a cost-effective alternative to tire replacement while increasing your shop’s revenue.
8. Breaker bar
Sometimes, lug nuts are too tight for an impact wrench due to rust or excessive torque. A breaker bar provides extra leverage, making it easier to remove stuck lug nuts without damaging wheel components.
9. Wheel weight hammer & adhesive weights
Proper wheel balancing ensures a smooth ride and even tire wear. A wheel weight hammer allows your techs to install or remove clip-on weights, while adhesive weights are ideal for balancing modern alloy wheels.
Conclusion
Setting up a successful tire shop requires more than just skills—you need the right tools and equipment. If the startup cost is daunting, consider leveraging vendor/supplier relationships to help with the cost. Or, leverage a line of credit from Tekmetric Payments. By investing in high-quality tire changers, wheel balancers, and shop management software, you’ll improve efficiency, customer satisfaction, and long-term profitability. You can learn more about Tekmetric's tire shop software here.
Tires
Thought Leadership
Essential Tools & Equipment to Start a Tire Shop (Complete List)
Selecting the right business name for your auto repair shop can be a challenging task. Your business name will be the first impression your potential customers have of your shop and will determine how memorable your shop will be. Use the ideas below to brainstorm the perfect name for your auto repair business.
Creative auto repair shop names
On The Road Again Repairs
NextGear Auto Service
Check Engine Repairs
Torque of the Town
The Engine Room
Chrome & Steel Auto Care
Axle & Alloy Repair Co.
Peak Performance Garage
Smooth Ride Mechanics
Driven Dynamics
Velocity Auto Shop
ClearPath Automotive
Funny automotive repair shop names
The Brake-Up Shop
Motor Mouth Mechanics
Hit & Run Body Shop
Exhausted Mechanics
Hot Wife Automotive A/C Repair
Don’t Tread On Me Auto
The Laughing Lugnuts Auto Repair
Wheel Be Alright Auto Repairs
Motor Mouth LLC
Rust in Peace Repairs
Tek-Tip: Have you thought about how you will market your new business? We reccomend Shopgenie for all automotive marketing needs including websites, CRM, reviews, and more.
Cool mechanic shop names
The Car Whisperers LLC
RoadReady Mechanics
StreetSmart Garage
GearShift Garage
Velocity Motors
Gearhead Garage
The Repair Authority
PitStop Pros
Full Throttle Repair
Trackside Garage
Unique and catchy names
Car Medic Garage
Nuts & Bolts Car Mechanics
Unleaded Car Repair
Honest Engine Repair
Auto Barn Car Care
Iron Horse Garage
Blue Ridge Auto Works
RevSync Mechanics
The Auto Vault
Summit Auto Haven
Rust & Revive Repair
Simple auto shop name ideas
Car Surgeons
The Car Guys
Engine Experts
Quick Fix Automotive Repairs
The Brake Brothers
One Stop Auto Shop
Auto Solutions Inc.
Pit Stop Garage
Turbo Tires & More
Wrench Wizards
Service-Specific shop names
Brake Check Repairs
Oil Be Back Automotive Repairs
Vivid Vehicle Body Shop
1 Hour Heat and A/C Auto Repairs
Battery Solutions LLC
Actually Discounted Tires
Renew Collision Center
30min Oil Change Shop
Restored Right Auto Body Shop
Mobile mechanic business names
Repair on Wheels
Roaming Automotive Repairs
One Stop Repair Shop
One Call Repairs
Wheels On The Way
(Insert last name) Mobile Mechanic
The Leaky Gasket Mobile Repair
1 Hour Mobile Mechanic
24/7 Mobile Mechanic
How to select the right auto repair shop name
Once you have your list of potential shop names narrowed down, it is time to do a final round of research to make sure your name is legal, optimized and ready to launch. Check out our final 6 tips and tricks below.
1. Legal checks
Before you can launch your new automotive shop name, you should check for Trademarks by visiting the US Patent and Trademark Website. Simply search your pending business name to see if it is taken or if you can proceed.
Search engine optimization for auto repair shops is an important avenue for driving brand awareness and new customers. To maximize your new business name, aim to include common keywords like “automotive”, “repair”, and “shop”. Also, try to use local terms like “Houston” to help search engines know where your services are located. Lastly, check to see if any competitors are using a similar name and determine if your name will be unique enough.
GoDaddy can check if your new automotive repair shop name is available to use. You will also be able to see how much the domain name will cost and whether it would be cheaper to use a variation of your business name.
4. KISS
Keeping your new shop name simple will help you in the long run. Potential customers will find it easier to remember (and share via word of mouth) if you keep it short and simple. Plus, shorter business names are easier to fit on business cards, advertisements, and social media.
5. Marketing
Looking down the road, your new business name should fit within your overall automotive marketing strategy. Are you planning to use a certain logo or color scheme? Make sure your name fits the theme you are aiming for and attracts your target audience. If you plan to use social media marketing, check to see if your business name is available as a social handle.
6. Set the tone
Your name is likely your first impression with your customers. Once you are ready to launch, give it one more review to make sure it conveys the right brand identity and message. Lastly, have a friend or colleague offer feedback on your business name and see how it resonates with them.
7. Automotive business name generator
Tekmetric has developed a free AI-powered mechanic shop name generator tool to help you brainstorm new business name ideas. Our tool can also help you check for domain availability and provide logo design concepts.
Closing Thoughts
Finding the right name for your business is a daunting task and we hope this guide has helped you brainstorm new business name ideas and narrow down your list. We recommend taking the extra time to make the right choice up front so you don’t have to rebrand down the road. As always, there is wisdom to asking for feedback from your community. Select your top 5 names and ask for help picking the best shop name for your business.
Building a startup takes time, effort, and a lot of determination. You and your team have invested in a great idea, and everyone works diligently to bring new team members, investors, and customers on board. However, the process doesn’t end once the product or service has taken off and gained popularity.
A startup can operate on a lean team, with people wearing multiple hats and taking on extra responsibilities. But as the company grows, it will be time to hire more employees and scale the company to meet demand.
How to scale the business is an enormous question that causes hesitation for many leaders. How do you expand your business offerings and your team without losing the heart and inspiration that helped the startup succeed in the first place?
In my own business, Tekmetric, which offers shop management software for auto repair businesses, I have relied on a few tactics that enabled me—and our whole team—to scale sustainably. Here are four of the most vital.
Thought Leadership
Shop Management
You’ve Built a Successful Auto Repair Shop Startup. Now What?
.svg)
.svg)
.svg)
.svg)
.svg)
.svg)
.svg)
.svg)