Features

Auto repair firm readies new home

[DEC. 26, 2002]  Erv Guyett, owner of Collision Concepts, takes a professional, analytical approach to running his business. It appears to be paying off. In four years his auto repair firm has almost tripled its gross sales and now is building more space.

The new home for Collision Concepts, located two lots east of Lee’s Home Furnishings, at the intersection of Woodlawn Road and Macon Street, is expected to open by the end of March 2003. With 13,500 square feet, it is more than three times as large as the current space, behind Graue Chevrolet-Buick-Oldsmobile-Pontiac-Cadillac at 1907 N. Kickapoo. That location has 4,200 square feet, including office space.

[Photos by Lynn Spellman]
[New site for Collision Concepts]

The business was formerly Graue’s body shop. Since January 1998, when Guyett and Dick Taylor of Dick Taylor Automotive Service in Springfield bought it, annual gross sales have grown from $400,000 to just under $1.1 million. And they have grown without adding personnel, because there is just no room for more workers.

Guyett said his firm produces $7 per square foot per month over the national average but pays for that in number of times vehicles must be moved. The ideal is no more than four moves during the repair process, but he averages at least five. He observed that 18 vehicles were once parked in the limited space "like a can of sardines."

In 1998-9 Guy Taylor, Dick Taylor’s former production manager, served as general manager in Lincoln, reporting to Guyett in Springfield. In January 2000 Guyett bought out his partner and personally took over the local operation, changing to the current name. By early 2001 the business grew out of both production area and office space. Construction on the new facility started in fall 2002.

Guyett said he chose the west-side site because his business is location-driven. He is seeking a high-traffic area and curb appeal, something the location behind Graue’s lacks since it has no curb view at all. Guyett wants visiting his office to be like driving to the doctor. By that he means a professional-looking business where customers are comfortable and which they feel they can trust with their second-most-expensive possession.

Work areas will all have metal halide lighting, the form of artificial light closest to natural sunlight. This will improve quality control by letting workers see the vehicle as it will be seen on the street. At the Kickapoo Street location Guyett has it in the spray booth only.

He ran a comparison study of production results with and without metal halide lighting. This is typical of Guyett’s analytical approach to his business. "We can’t expect to grow unless we know how, why, when," he noted.

[Inside the 1907 N. Kickapoo business]

The new facility offers a climate-controlled estimating bay, also with metal halide lighting. Guyett said the extremes of Illinois weather mean that customers sometimes swelter and sometimes freeze if estimating is done outside.

The auto repair business carries a large administrative load, requiring one administrative position for every two production technicians, according to Guyett. "It is 95 percent insurance-driven," he said, and much of the paperwork depends on requirements of the various insurance companies. In addition, parts distribution and daily communication take their share of administrative time.

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In the current arrangement, Guyett, repair process manager Matt Heubner and a receptionist share the small office space. Right now the receptionist post is vacant, but Guyett expects to fill it and a detail technician’s before moving to the new facility. Two more hires are possible by the end of 2003. One would be a person with parts and production responsibilities to act as liaison between the office and shop.

Current employees include body repair technicians Bill Baughman and Bobby Quisenberry, refinish technicians Michael Armitage and Jason Williams and detail technician Chris Schnorr. All hold ICAR (Inter-Industry Commission on Automotive Collision Repairs) gold class status, as does the business. To achieve this rating each person must have taken 80 percent of the total ICAR instruction offerings for that position and the business must have 80 percent of its employees meeting this standard.

Collision Concepts is also an Automotive Service Excellence blue ribbon holder, which means that 95 percent of technicians have passed a four-year renewable exam for their position. Baughman is an ASE master technician, holding certification in all six possible areas.

Collision Concepts is a concessionaire for Enterprise Rent-a-Car. In Illinois, unlike some states, the driver at fault in an accident must provide transportation while the other person’s vehicle is being repaired. Therefore, Guyett encourages auto insurance rental car coverage. He said rental expense is the third largest component of insurance cost, after vehicle repair and bodily injury. So insurance companies are interested in speed of repairs.

To schedule work Collision Concepts uses the CR Auto Scheduler Plus from Collision Resources and in fact was a test firm for the program. It looks at the last 15 similar repairs to determine how long the job will take, then generates three possible beginning dates and corresponding finish times. Guyett said the program allows his business to bring in no more than it can handle. Still, he is wary of over-promising on delivery and does not guarantee delivery time. Hidden damage is a big unknown, he explained.

[Erv Guyett, owner of Collision Concepts]

"This is a funny business," commented Guyett. "We can’t create sales." Collision Concepts gets business through word of mouth, insurance agents and even police referrals. About 40 percent of the 85 repair orders per month are General Motors vehicles. This figure reflects growth from the original connection with Graue, and Guyett is looking for further expansion including more high-end foreign cars.

The Collision Concepts mission statement emphasizes customer service: "The primary standard of quality will be measured through the eyes of our customer and their satisfaction level." The firm employs a third-party company to survey all customers after the repair is complete. Guyett is proud of his 99.2 percent customer satisfaction rating.

Collision Concepts makes all ICAR-approved repairs. Services include free estimates, lifetime written warranty on all work, paintless dent repair, glass installation, courtesy cars and ride service, rental cars on site, available financing and computerized damage estimating. Business hours are 8-5 Monday-Friday. The new address will be 1005 Macon; the phone is (217) 735-2100; and the website is collisionconceptsinc.com.

[Lynn Spellman]

[DEC. 4, 2002]  Main Street Lincoln has received a $20,000 Illinois FIRST grant that will be used to put new businesses on the courthouse square, Cindy McLaughlin, Main Street director, told the Lincoln City Council this week.

Grant money will be given either to new businesses or to existing ones that want to relocate in the Logan County Courthouse Historic District. The historic district includes the square and areas up to two blocks from the square, McLaughlin said.

Grants may be awarded up to a maximum of $10,000. They will not fund the complete startup of a new business but could fund as much as one-third of the cost, according to McLaughlin. The money can be used for almost anything except inventory, including remodeling, facade renovation or historic signs.

Businesses must invest in a Main Street Lincoln Partnership to be eligible and must provide a business plan based on or similar to the Small Business Administration model.

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The Main Street Lincoln Economic Restructuring Committee had expected to receive the grant a year ago, but it didn't come through until Nov. 7 of this year, McLaughlin said. The Main Street group held a meeting with local bankers and other lenders immediately so these institutions could tell prospective business owners about the possibility of getting the extra funds.

A recommendation from a lending institution, as well as the approval of the Economic Restructuring Committee, is required for the award of the grant. Grant recipients should also consult with the Main Street Lincoln Design Committee to comply with historic district guidelines for signs and facade improvements.

McLaughlin said one potential new business owner has already come in to discuss applying for the grant. She hopes to see the grant money used by the end of March 2003.

[Joan Crabb]

[Click here for eligibility criteria and details on the grant process.]

Announcements

The Chamber Report

["Shop at ho-ho-home with Chamber Bucks"]

Lincoln/Logan County Chamber of Commerce

Bobbi Abbott, Executive Director

303 S. Kickapoo St.

Lincoln, IL 62656

(217) 735-2385

chamber@lincolnillinois.com
www.lincolnillinois.com

Honors & Awards

Main Street Corner News

[DEC. 4, 2002]  Purpose: To provide partial funding to facilitate new businesses in the downtown area.

Eligibility criteria

1.  Grant recipients must invest in a Main Street Lincoln Partnership in order to be eligible for this grant.

2.  Business location must be within the Logan County Courthouse Historic District.

3.  Business should consult with the Main Street Lincoln Design Committee concerning signage and potential facade improvements in order to comply with historic district standards and guidelines.

4.  As part of the grant application, business must provide a business plan based on or similar to the Small Business Administration model.

5.  Grant is available to potential business owners upon recommendation from the Economic Restructuring Committee and with Main Street Lincoln board approval.

Process

1.  Application for the grant is made as part of the business loan application process at participating local lending institutions. Contacts made to Main Street Lincoln will be referred to lending institutions.

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2.  Grant will provide no more than one-third of the equity or down payment for a bank loan of a maximum of $10,000.

3.  Approval of the grant will be considered at a regular monthly meeting of the Main Street Lincoln Economic Restructuring Committee. A lending institution recommendation is required for the award of this grant. The committee reserves the right to reject any and all grant applications.

4.  Payment of approved grants will be made at the time of the business loan closing.

Reporting requirements

In order to meet Main Street reporting requirements, the business agrees to provide Main Street Lincoln with the following information within three months: listing of capital improvements to the building, dollar amount spent on improvements, number of full-time and part-time employees of the business.

[Main Street Lincoln]

Main Street Lincoln

Cindy McLaughlin, Program Manager

303 S. Kickapoo

Lincoln, IL 62656

Phone: (217) 732-2929

Fax: (217) 735-9205

E-mail: manager@mainstreetlincoln.com