Automotive Equipment

Automotive equipment is a very large market that includes an infinite amount of tools and machines. If you have ever walked into an automotive shop you will quickly see the amount of tools and shop equipment that is in use. From lifts to air compressors, a shop is slammed full of machinery that is used every day. This means an automotive shop needs to make sure they buy all of their equipment from reputable dealers so that their products have a full warranty and are built to last.

The center point to any auto shop is usually the types of lifts that it has. There are many different types of lifts that serve different purposes. Some can be driven onto and others simply lift the car up by the frame. Another large aspect of car lifts is how many tons they are made to handle. If you work with mainly small cars you can buy a smaller lift that will not break the bank. If you are often lifting extremely heavy vehicles you will have to get the right lift that can handle the tonnage.

Some of the smaller equipment needed in automotive shops include air guns, grease machines, air compressors, air lines, tool boxes, and the list goes on. If you run a specialty shop, you will often need machinery that custom make parts. Machines that can perform this type of work include CNC machines, drill presses, and lathes. All of these pieces of equipment are large, expensive, and need to only be bought from a trusted company.

Some of the more simple equipment for automotive shops include tools. There are many tools that are made especially for auto repair. It mainly depends on what type of shop you run as to what type of equipment you will need. If you run a simple quick lube shop, there are products for you to use that all revolve around changing the oil on a car as fast as possible.

Automotive shop equipment is a huge market. Considering most new cars are mainly ran by their electrical systems, there are many machines sold that diagnose cars and read their ecu. Diagnostic machines are becoming the most important aspect in any repair shops because of how technological and sophisticated new cars are made today. The main thing to make sure of though is that you are buying products that are sold from trusted companies that sell only new products that come with a full manufactured warranty so that your investments are protected.

Machine Shops For Sale

Machine shops are manufacturing units that produce specific machinery. They can be either small scale or big companies. A person or a company already involved in this field is sometimes interested in taking over another machine shop that is for sale. The shop on sale could be so because of its non-performance, lack of productivity, or labor problem. It could also be due to a personal problem of the owner.

There are certain machine shops for sale that are high gross profit businesses. They generally have no competition, since they serve a sector of the high tech industry such as medical, scientific instrumentation or high-end electronic requirements. They have a varied customer base with no single client contributing for more than 15%. Many of these companies for sale have ISO certification as a mark of quality control. They also boast of a good employee base with tried and tested procedures and tremendous growth potential.

It is important for the person buying the shop to prepare himself for each stage of the buying process. The buyers should be absolutely certain about the type of business that is right for them and then search for these shops. It is important to negotiate all the details to ensure a deal that is worthwhile for both the buyer and the seller. The maintenance and after sale service aspect of the company is also important and the prospective buyer should seek detailed information about it. The buyer should ascertain whether the previous owner has any intention to stay on till the buyer settles in.

It is imperative on part of the buyer to investigate every aspect of the business for sale such as the industry, customers, suppliers, finance and competition, to understand everything about the business before signing on the dotted line.

Machine Tools Industry Faces Bleak Prospects

The Indian machine tool industry’s hope of achieving phenomenal growth between 2008 and 2010 seems to have gone awry.

The slowdown in the industrial sector and the ongoing recession has adversely affected the annual growth of the segment. The machine tool industry has already witnessed around 20% to 30% decline in its business volumes this year.

With the sector’s sales growth estimated to be 15% less than the previous year, small and medium enterprises (SMEs)-forming the core of the industry-are feeling the heat.

Machine tools industry is largely linked to the auto sector as more than 45% of the production from this sector goes to the auto part industries, ancillary units and auto majors.

Thus, the demand for machine tools depends on the orders placed by commercial vehicle manufacturers, original equipment manufacturers (OEMs) and auto component units.

As a result, the slump in the auto industry has resulted in a severe blow to the business of small scale machine tools manufacturing units. The steep fall in demand for auto parts in the global and domestic market have triggered reduced sales growth for these small manufacturing units.

Some of them have reported around 50% fall in their revenue growth during the last three months.

The future of the Indian machine tool industry, which had been growing at an average of 30% over the last five years, is further looking gloomy. It is anticipated that it will remain flat during the current financial year.

Moreover, with the global auto market showing no signs of recovery yet, the machine tools sector is unlikely to see any major improvement.

In conclusion, to stay afloat during these difficult times, small units should implement new strategies and expand into new areas. Diversifying into segments like aerospace, power, construction, alternative energy, plastics and medical implants manufacturing would help small industries to reduce their dependence on the automotive industry.

Machine tools sector should also adopt new technology to help upgrade its manufacturing process and cater to the rising demand in high-tech areas like aerospace, defense and earth moving equipment sector.