by Fixed Ops Mgr » Wed Dec 04, 2024 10:31 pm
There are alot of "warranty uplift" companies in the game now but you must be careful when choosing one. Some will take an analysis of your current situation upfront and charge you an upfront fee (one time) to submit to the manufacturer to get the higher markup. Some will take a percentage of the additional warranty markup dollars they gain from you on an ongoing monthly basis and set their contract out for X number of months commitment that you work with them, most likely a minimum of twelve months. Just make sure that you interview the "warranty uplift" company that you choose in great detail before signing up with one so you understand all of the fine print and you will be able to choose wisely that will work best for your store(s).
I would highly recommend going ahead with the process as I have been through it with four different stores that I have worked at. I have been through it with three of the four big players in the "warranty uplift" game and they all have their pros and cons so you much choose which one works best for your situation. The last store that I was at that I went through the uplift with gained us an additional $28.00 per hour in labor and we went up to cost plus 98% on parts markup. Have your prior accounting / books in order and prepare to go through an accounting audit but it has always been worth it in my opinion.
I am in Minnesota.