strng rack

[Alexander van Gerbig]

    Well I must admit I don't get a huge salary when I compare it to the
labor rate at the shop.  Though I bet if I added up all the costs incurred
during that work in an hour it wouldn't be a huge profit for my boss.  I
think he told me he spends around $45 per hour for every $75 he pulls in,
but don't quote me on that.  I work 8 hours, so does one other fellow, so my
boss would stand to make $500 in a good day, even if that's right.  I would
think in costs he would include electrical, utilities, rent, and that like.
I bet the rent on his place is pretty high, plus the landlord complains
about loud vehicles sometimes, the Pantera for instance.
    Then he's got to have all the shop manuals, pay his secretary (who pulls
in no money), have the ability to order parts and cover the cost right away,
cover tons of supplies (bolts, nuts, washers, liquids, lots of tools, very
expensive machines, maintenance on those machines, and so on), and more.  I
guess I sympathize now, but not sure of the full details.  About two weeks
ago someone came in and complained about a $10 charge for towing.  His car
came in and my boss had to cover the tow up front, so he charged $10 on top
of that, $70 total.  This guy went bananas complaining about the $10, 15%
markup.
    If I ever own a shop, which I hope I don't, then I could give a
definitive answer on the inner workings and need for a parts markup.  I do
know that in the shop I work at the markup on parts is very little, but he
gets them for wholesale, way below prices I got from Rod at TPC, which was
very surprising.  When the dealerships are involved the prices do go up, in
a big way, but we all know that.  The prices we get from the wholesale
warehouse is probably what Rod pays to bring parts in, then we charge around
what he does, so it's not that scary, again depending on the price of the
part coming in and the source.

Cheers,

Alexander van Gerbig -- '88 80t (Gone, but never forgotten)

The Audi  80 Pages-----------------
http://surf.to/the80pages.com

North Ferrisburg, VT 05473