Complete Estimates = Bigger Bucks Palmer AK

Writing more accurate estimates doesn't require extra man power or costly equipment. Just a little extra time on the part of your estimator will increase shop sales, improve efficiency and boost profits.

By Mike Pellett
9/1/2002

It's not that shops write bad estimates. But by including common operations performed by technicians but often forgotten on the estimate, you can improve your shop's performance and profits - no matter what region of the country you're located in.

Consider these examples from students who've attended my estimating class:

• A shop owner in South Carolina reported improving his average repair order from about $2,000 to $2,400 after applying several of the techniques I taught. Based on his shop's volume, the additional sales generated enough extra profit to pay the salary of an additional office person.
• Another shop I worked with had failed to charge for flexible additive. The shop owner thought his computerized estimating system automatically added it. Based on an average of 75 cars repaired per month - 70 percent of which required at least one bumper refinishing and a charge of $10 for flexible additive - that shop was giving away $6,300 per year. (That changed after the shop owner and I talked.) As these examples illustrate, writing a more accurate estimate makes it possible for you to get paid for everything you do to return a car to pre-accident condition - without the adding extra techs or costly equipment.

Complete Estimates = Cu...