Ask the Experts (Part 1): Shop Owners’ Retirement Outlooks & Plans

When do auto repair shop owners plan to retire? Do they have succession plans in place for when that day comes?

We answered these questions and more in the respondent demographic survey section of AutoLeap’s 2022 State of the Auto Repair Industry Report!

» Want to grow your auto repair business? Click here to schedule a demo.

AutoLeap spoke with nearly 300 shop owners and managers across North America for a major independent survey. The end result, an inaugural benchmark report, compiles survey data on the industry’s most relevant topics.

Let’s reveal what the survey data says on shop owners’ retirement and succession plans.

When shop owners expect to retire

Survey respondent data reveals a shift in shop ownership on the horizon: 64% of repair shop owners expect to retire over the next 10 years.

When you examine the survey data closer, this finding is not too surprising. After all, 44% of respondents have worked in the industry for over 20 years.

But the potential ramifications of this looming retirement surge are significant.

What shop owners have planned after retirement

We have covered the retirement angle itself. Now our focus turns to shop owners’ succession plans.

Survey data makes the consensus clear: 85% of respondents either plan to sell their business or pass it down to family, friends, or a close colleague upon retirement.

Here is that data broken down further:

What the experts say

Let’s hear what three industry experts thought about these findings.

  • On what this data means for the next generation of shop owners: “There is such a high percentage of shop owners that are ready for retirement or close to it. This is not surprising, but we need to work hard as an industry to train up the next generation.” – Cecil Bullard, CEO at The Institute for Business Excellence
  • On the need for established retirement plans: “A common thing I’ve seen is older shop owners wanting to get out and not knowing how to. I’m surprised more people don’t have well-defined retirement plans.” – Murray Voth, President at RPM Training
  • On the importance of succession planning: “Understanding and planning for succession is important, even if retirement is still far, far away.” – Tricia Sauls, Executive Director at Automotive Service & Tire Alliance (ASTA)

» Want to grow your auto repair business? Click here to schedule a demo.

Discover more survey insights

Want to explore more key takeaways from our industry-leading benchmark report? Download the full report here.

Contact us to discuss the survey findings you found the most surprising or helpful!

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