Although the Kortes don't deny economic times are trying, there's still room for creativity in keeping the business above water. "Lisa has done a great job thinking of ways to get us recognized with minimal costs, such as sponsoring car washes for the local soccer teams and high schools," Matt Korte says.
He adds that thriving in a tough economy largely depends on attitude. He says it's common in Michigan and elsewhere to find shop owners on the defensive. "Everybody here seems to be real uptight and nervous. They're not sure where their next job is coming from, and they're tired of being beat up by some insurance companies," he says.
Certainly, it's no easy task in an economically hard-hit area like Dearborn Heights, where Korte has spent his entire life. But by the same token, having spent a lifetime there, the Kortes are connected to the community. They advertise in local church papers and are well represented at the Dearborn Heights Chamber of Commerce. They also belong to the Auto Service Association of Michigan as well as a local business network group. All of this has eliminated the need for significant cashflow being poured into television, newspaper and other types of ads. "It's all about referrals and word-of-mouth. That is how we chose to build our business," Korte says.
The Kortes have four sons, the oldest of whom is 16. Although none are old enough to be in the business, they all take turns coming in on Saturdays to help clean the shop.
In branching out from the current collision business, Korte has hired a new technician for the purpose of repairing cars to sell them. The business has grown its own wings as Matt is already getting referrals on car sales. The average car ranges from $3,000 to $6,000 and comes with a lifetime warranty on the repairs performed. Interested buyers can go to Korte's Collision's Web site (www.kortescollision.com) to see photos of the vehicles for sale.
With a staff of eight people, five serving as repair technicians, the shop buzzes with activity. "My staff knows I'm committed to keeping them busy and in return they reward us with their hard work and commitment," Korte says.
Shop employees, including Korte, have received I-CAR training; two technicians are certified in PPG painting; three have Shoplink certification.
Related to staffing, Korte is also considering some plans if the business stays on its steady growth pattern. "I'd like to add a second and third shift to enable us to pay down overhead and get everything paid off. After that, I'd like to add a used car lot."
At the end of the day, Korte says what keeps him coming back to the shop is pretty simple. "I continually get satisfaction out of seeing a car wrecked and then seeing it all put back together. That's self-gratifying." And customer comments of appreciation keep them positive.
But Korte confesses half-jokingly that if he had to do it all over again, he likely would have done something else. "Owning a collision shop can offer success. But you have to be willing to work hard – all the time. It really doesn't get easier." n