Small collision repair shop

Insurance companies paying on claims, private owners paying out of pocket or their deductible, and fleet or dealer accounts.

A price per job covering labor, parts and paint materials. Insurers usually pay on an approved estimate, and supplements can be added when hidden damage is found.

• Collision repair and refinishing experience
• Estimating repairs accurately
• Managing technicians and the job schedule
• Dealing with insurance adjusters

• Check state rules on auto body repair registration or licensing, which vary a lot
• Spray booths and paint need air quality permits, EPA compliance and proper hazardous waste disposal, so check with your local authorities
• Garage liability, garage keepers and property insurance, plus workers' compensation once you hire
• Insurers can be slow to pay and may push back on estimates, so keep enough cash to cover parts and wages
• Modern cars may need specific repair procedures, scanning and calibration, so check what training and equipment you need

Startup costs are typically estimated at around $60,000 to $250,000, depending on the lease, paint booth, repair equipment, insurance and how much cash you keep for parts and wages. Insurers can be slow to pay, so budget a cash buffer.

Monthly revenue is typically estimated at around $15,000 to $70,000, depending on job volume, your mix of insurance and private work, and staffing. Plan on at least about 40 hours a week. Insurer estimate pushback can affect income.

Check your state's auto body repair registration or licensing rules, which vary a lot. Check air quality permits, EPA compliance and hazardous waste disposal for spray booths with local authorities. Also review garage liability, garage keepers, property and workers' compensation insurance, plus training for modern vehicles.