Co-owners/Operators: Dan Michaelis and Jared Lennox
Location: Plano, Texas
Staff Size: 27
Shop Size: 30,000 square feet
Average Monthly Car Count: 216
Average Repair Order: $3,800
Annual Revenue: $9.9 Million
Texas Collision Centers has been on a roll since it started in 2019. If you’re a longtime reader, you might think you’re having déjà vu, but don’t worry, you’re not.
We last featured the black-and gold-colored shop in Plano when it was just a single location, but now it’s part of a growing MSO with 14 locations in the Dallas-Fort Worth (DFW) area, with plans to hit 18 by the middle of this year.
The growth is even represented in the original shop, which has pushed out an additional 6,000 square feet.
"Initially, when we took over that location, it consisted of three separate buildings,” says Shyllo Michaelis, chief strategy officer of TCC. “We only opened the two buildings required for our operations: the front office and the paint shop. The back building housed the body shop, mechanical services, and detailing. As we grew, we outgrew our offices. The executive and ownership teams all worked out of there, but with growth, we had to vacate our offices to make room for more production services.
“As the business scaled, we left the third building vacant, initially, using it as storage. With our expansion, we used to sublet some mechanical alignments, wheel mounting, and balancing services. The growth allowed us to move and remodel that third building, which now houses those particular departments."
Tools and Techs
One of the big reasons for the company's success is its commitment to using the best tools out there, says Regional Manager Jason Peel. This includes using Car-O-Liner for structural repairs and welders and Hunter alignment machines for mechanical work.
"When technicians come into the shop and see that you've got the best equipment possible, it makes it easier to recruit and retain skilled workers," Peel said.
The company takes the growth of its technicians seriously. Many of the technicians who worked at the first location when we last did a Snap Shop on the company are now workers at its other shops.
Smart Use of Direct Repair Programs (DRPs)
The company has also grown thanks to its smart use of direct repair programs (DRPs). "We perform very well, and so therefore we rank higher from a referral standpoint with many of those insurance carriers," Michaelis says.
DRPs make up about 90% of the company's business. "We don't do a lot of external advertising," Michaelis says. "Our focus on customer service and high performance in DRP metrics means we get the best of both worlds."
"Could you imagine if you opened up a new location and didn't spend any advertising dollars to get customers to come see you?" Peel asked. "Being able to open up a new business and having customers on Day 1 is huge."
"We thrive in that performance-based referral model because of our high performance to the DRPs' KPI standards," Michaelis says. This strategy has helped build strong relationships with insurance partners, which has been key to their rapid growth.
Looking Ahead
In the future, the young MSO looks to possibly grow beyond the DFW metro area.
"We are so blessed and thankful for the good fortune and the growth that's been possible because of those things," she says.
###