thinking about taking a chance at full time locksmithing

[blackfoot]

need some feedback from locksmith about just how much knowledge is needed to breakout on my own.local locksmith is going to sell out he's helped me over the three years ive been practicing.i have foley and locksmith video school certificates and own scopes and a code machine.

[zeke79]

What do you do right now? Are you trapped in a certain income that is not feasible to make in your first year even at an established business? Best way to calculate is take what you make and what your spouse makes if you have one and calculate the bills. If she can handle the bills on her income I would say go for it.

[blackfoot]

im single but i have my daughter to take care off.i currently work full time but am not happy at this job no more.the locksmith want to sell me a third generation lock shop that has alot of bank work that goes with it........i currently know nothing about deposit boxes but he ashures me it not as hard as i think it is.safes i can do,i refurbish old safes right now.master keying i can do and icore work.

[zeke79]

Ask for financial records such a w2 statements and st2 forms for a few years to get an idea of what you are really getting into. The w2 he may not have, depending on how he paid himself. The ST2 or sales tax forms (depending on state) will give an idea of what the shop sells and makes bottom line per year.

Get a lawyer and an accountant. They will be your two best friends through this.

Just my $0.02

[zeke79]

ALSO, really assess how bad your current job really is. We all get fed up and get the thought that "the grass is greener on the other side".

Take a week off and work as a ditch digger, work with the handicapped, or before you take the week off have a temp service get you some factory work on the lines. Work that week and adjust your budget accordingly to the pay you get. Then go back to your current job and see if you really do still hate it or have just gotten used to the "perks" of your current job?

Keep in mind, as lockie you may be leaving your daughter at home alone at night to do lockout calls.

[Raccoon]

As well, any business that's going out of business may be doing so for a very good reason. Consider whether the market has dried up, or if the locksmith made a bad reputation for himself. Are there a steady flow of customers, or just 2 or 3 a week?

Are these mostly lockout calls with no established contracts or business ties, or will he be handing over steady clients such as hotels/motels, apartments and institutes that need frequent rekeying, master-keying and key control? Honestly, that is where the money is, and not with lockout calls. You can't trust your financial security with hoping someone somewhere locks their keys in their car or home. I'm discovering that the HARD way. A single contract to master-key 125 locks w/ 225 keys earns more than 100 lockout calls (your results may vary).

Does this business come with a lockshop, store front in a visible and trafficked area?

Why don't you have him hire you on staff for 6 months so you can make an educated judgment call. If he's unwilling to let you watch him work, introduce you to his customers, and establish a solid footing... I'd tread lightly.

Remember: You can't work a full-time job and be a full-time locksmith at the same time. You ease into it part-time.

[blackfoot]

the locksmith is retiring...............but he has all the local bank work within 50 radius and he,s the last locksmith in my area.everyone knows where the lock shop is located.alot of big buisiness is moving to the area i would love to get a peice of that action.

[Shrub]

Go for it, theres enough knowledge on this site to give you a good chance as long as you read it and the bits that arent on here can be answered by some of the members,

As said the thing that is critical is to get an accountant to look through the stuff and tell you if the books are right and above board and that its a succesful buisness,

If he has all the local bank workj then i suggest its gogin to be quite high level work which in that case you wont get from this site and could end up in a mess with and thuis loose your contracts and good business name,

[RodVT]

If you can step in and provide the exact same level of service, or better, you ought to be able to keep his accounts, which would mean his books are good for calculating what level of debt they will support. But, if your skills are not up to his standard, you should figure that you will loose some clients. If you put more energy into the business than he is, you may be able to grow it though.

The accountants are done with tax season, so unless he is going to sell it to you for just the value of the inventory, you should spend a few hours with one to determine value and what amount of debt it will support.

No competiton, all the banks for 50 miles, new businesses in the area, sounds pretty sweet in some ways. Does he have counter help or does he close the shop when he goes out on a call? Shop leased or owned? Is he willing to finance the purchase? How strong has your relationship been over the last 3 years, are you the "last apprentice"?

So many questions, but it sure is a fun exercise, even if you decide against it in the end.

[zeke79]

the locksmith is retiring...............but he has all the local bank work within 50 radius and he,s the last locksmith in my area.everyone knows where the lock shop is located.alot of big buisiness is moving to the area i would love to get a peice of that action.

Big business moving in does not necessarily mean work. The refinery i work for uses a firm out of ohio to do the lenel stuff. The local lockie handles the master system but i am sure it was only becuase the ohio firm was not around yet. The ohio firm is used because it is located in the same city as the refining headquarters. They send them from ohio to IL, Texas, ohio, Louisiana, etc to do locksmith work and the lenel system work. They would have taken over the master system here if they could have accessed the blanks and system I am sure.