As businessman we are forced  to make decisions everyday. Some we like. Some we don’t. Nevertheless, we must make them. I like to purchase new equipment but I hate to let an employee go.
    Our employees rely on us to make good business decisions. They must trust our judgment as decision makers whether they want to or not. We control their future.
    We must make some decisions in a hurry without any research, and other times we are allowed the luxury of time and research. We need to be capable of making the majority of our decisions instantly. You should never make any big decisions without taking the time to research everything you possibly can.
Research pays off
    I took two years before I purchased my new management system. After purchasing two previously that didn’t work for us, I was quite skeptical this time around. I took the time to contact other companies that used this system and ask them how they liked it. My research paid off and I now use what I believe is the best management system to date. I wish I had taken the time to do the research before deciding to purchase my previous two systems.
    There are three things you should try to consider before you make any important business decisions. First, ask yourself how this decision will affect your company’s finances, (will it make you money? will it pay for itself?). Next, ask yourself how this decision will affect those that work for you. The third and most important thing you must do is count the cost. Remember, the wise man always checks his destination before purchasing his ticket. Ask yourself if this decision is wrong, and if the worst happens, will your company survive the outcome? Then create a contingency plan just in case things start to go wrong.
Take chances but set boundaries
    Never put yourself so far out on a limb that you risk everything. Always create a way out. Have a plan that you can implement immediately if things go wrong. We all have heard the success stories of someone that put everything on the line and got lucky and succeeded. But for every success story there are one hundred failures.
    As businessmen we have everything on the line everyday. If we don’t make money we don’t get paid. This doesn’t mean we throw caution to the wind and hope for the best. Before I make any significant business decisions that could possibly have an adverse affect on my company, I always have a contingency plan. I never put it all on the line.
    This doesn’t mean I haven’t come close many times and pushed the limits. If you want to be successful you need to be comfortable taking chances but have enough wisdom to set some realistic boundaries.
Prepare for the unexpected
    One thing I’ve learned over the last 28 years in business is that as soon as I think things are going good, they start getting bad. How many of us have hired that extra tech only to watch things instantly slow down as soon as his toolbox arrives.
    Collision repair is full of so many variables that can cause a repair to go wrong, that it is the exception, not the rule for everything to go right. As a body shop owner you should always be prepared for the unexpected and try to imagine what can go wrong before it happens. This is proactive decision-making, fixing the problem before it happens. The value of being proactive is something that took me years and years in business to learn.
    Most of the decisions we make as shop owners are reactive and usually have something to do with damage control. Proactive decision making usually eliminates a much larger problem before it arrives and will ultimately be more cost-effective.
    Example: It’s easier to borrow money when you don’t need it. You will find that if you wait until you need a loan you will pay more for the money - if you get it at all. Banks are willing to give you an umbrella while the sun is shining but when the rain starts falling they want their umbrella back. I’ve learned this the hard way. Now I borrow money when I don’t need it, and I get my credit lines in place beforehand.
    This should be part of every contingency plan because you know that cash flow is the most important part of any business. If cash flow is so important to your business shouldn’t you be proactive and not wait until you are desperate to borrow money? Knowing that this type of decision is so important to the future of your company, it should be taken care of way ahead of time.