Bunch: Why So Few Shops Break $3 Million: Part 4

Shifting your mindset from managing a $2 million operation to building a scalable $30 million enterprise by focusing on leadership, systems, and strategic planning.
Nov. 13, 2025
10 min read

Last month, we explored tactical tweaks that can propel a shop from $2 million to $3 million. This month, we’re zooming out. What if the secret to crossing $3 million is to stop aiming for it and start building as if you’re shooting for $30 million?

Most shop owners are stuck under a $3 million ceiling and stuck is exactly how it feels. You’re doing good work, you’ve hired a few people, but you’re still the one holding it all together. It’s a grind many eventually decide is “good enough,” not because they lost the dream, but because they’re unsure how to scale without losing their mind.

The only way past that chaos is to radically change how you operate and how you think. You have to stop being the hero of a $2 million shop and start acting like the architect of a $5 million, $10 million, or even $30 million business.

To shed more light on this, I called my business coach, Scott Hallman, who is also author of Hypergrowth and a two-time Inc. 500 entrepreneur who’s taken businesses well beyond $30 million. I asked him how he would build a $30-million auto repair business from scratch, and why that kind of big-picture approach matters even if your goal is getting from $2 million to $3 million. What follows is a condensed version of our conversation.

Greg: Scott, if you were tasked with building a $30 million auto repair shop operation, where would you start?

Scott: Whether it’s a $3 million shop or a $30 million company, the first thing I’d focus on is the owner’s mindset and role. In my experience, most businesses hit an invisible ceiling because the founder becomes the bottleneck.  

You have to let go of the notion that you have to personally handle everything. At $2 million, a lot of shop owners are still wearing five hats—owner, manager, top sales advisor, sometimes even technician. That won’t fly if you’re aiming for $30 million. From day one, I’d design the business to run without me being the hero of every story.

Practically, that means sketching out what a $30 million operation looks like, how many locations or how many teams, what leadership roles are needed, and what systems each department needs to function. I’d be thinking about scalability with every decision. If I was to start with one shop doing $3 million, I’d already be planning the playbook to replicate it to 10 shops. Even if you never get to 10, thinking that way forces you to put systems and people in place that can handle growth.

Greg: A lot of shop owners nod when you talk about letting go and acting like a CEO, but when it comes down to it, it’s hard to step back. What leadership shifts does an owner need to make to lead at that next level?

Scott: You’re absolutely right, it’s extremely hard. Stepping back triggers a sort of identity crisis. But here’s the brutal truth: if your shop falls apart when you’re not there, that’s a failure of leadership design. A truly great leader builds a team and systems that can thrive without constant handholding.

So tactically, start delegating not just the tasks you hate, but even the tasks you’re best at. At $5 million, $10 million, $30 million scale, you’ll have people who are better than you in each area, if you’re willing to find and trust them. You have to kill the “hero syndrome”—the idea that “I’m the only one who can do it right.”  

So the new habit is to pause and ask, “Who else can solve this problem?” and “What system could prevent this problem entirely?” That’s a 180-degree change from the small-shop mindset. It’s not easy, but it’s necessary if you want to break through that ceiling.

Greg: Let’s talk about systems. We all hear “you need systems” but in concrete terms, what kind of systems and processes does a $30 million operation need that a $2 million shop likely doesn’t have? 

Scott: Great question. Consistency and repeatability are the name of the game. A smaller shop can survive on tribal knowledge—everybody just knows what to do, and the owner is the quality control. In a $30 million enterprise, nothing can be just in someone’s head. So, the first system I’d implement is an organizational structure with clear processes for every core function. Think of it this way: if you have to do something more than once, it needs a written process or checklist.

For example, how cars are checked in, how estimates are written and presented, how parts are ordered, how customer follow-ups happen—all of it should be documented and standardized. You need to ensure a customer gets the same high-caliber experience every time. That only happens with defined processes.

And don’t overlook technology. Invest in a management software stack that integrates point-of-sale, CRM, phone systems, digital vehicle inspections, all of it. Even at one location, act like you’re managing 10. Use a phone system with call queues and call recording, for instance, to monitor how your service advisors handle calls. Use automated follow-up systems for customer retention. Systematize and automate wherever possible. That does two things: it makes your current shop more efficient, which helps you reach $3 million, and it lays the groundwork to clone that success later on.

Greg: Let’s dig into metrics and accountability. What should shop owners be measuring and managing as they scale?

Scott: This is a key piece. The larger your business, the less you can personally eyeball everything—so you have to run it by the numbers. Instead of micromanaging what everyone is doing, set clear numeric targets and let your team manage their work to hit those targets. For an auto shop, some core metrics are pretty obvious: total sales, gross profit, car count, average repair order, labor hours billed, effective labor rate, customer satisfaction scores, and so on. But it’s not enough to track them. You need to make them visible and hold people accountable for them.

Create a scoreboard that the whole team can see. It could be as simple as a whiteboard in the break room or a live dashboard on a monitor that updates daily/weekly metrics. Show things like month-to-date sales vs. goal, ARO today, number of cars through, current CSI or Google review count, whatever drives your business. When a number is off, don’t use it to shame anyone—use it to ask questions. “Why are we down on car count this week? Was there a marketing issue or an ops issue?” “Our average ticket is up—great, what did we change that worked?” Numbers take the emotion out and let you focus on the process.

Then meet with your team on a regular cadence to talk about these metrics—a quick daily huddle to catch urgent issues, and a weekly meeting to dive into one or two key numbers and the story behind them. If labor gross profit took a dip, you dig in: was it overtime, inefficiency, too many comebacks? Then you decide on one action for the week to address it. This is how you instill accountability—by consistently using metrics as a guide for decision-making and improvement. 

Financial visibility is huge. Many shop owners only look at the P&L at the end of the month, if that. At $30 million scale, you or a GM needs to be looking at financial indicators much more frequently, even daily sales, weekly profit estimates to avoid surprises. And if something’s out of line, you address it now, not next quarter.  

Greg: Let’s discuss hiring and team building for hypergrowth. Any advice on the kind of people to recruit or how to develop them?

Scott: I love this topic because it’s absolutely pivotal. Often, the team that comfortably runs a $1 million shop isn’t the exact team you need for a $5 million shop, unless they grow with the business. To scale up, you need to hire for where you’re going, not just where you are today. That might mean bringing in a higher caliber manager or a second-in-command earlier than you think you can afford.  

It may involve recruiting a top-tier service advisor who can handle high volumes and training them to eventually lead others. The key is to be proactive and intentional in hiring. Don’t wait until you’re drowning to add leadership capacity.

Start identifying future leaders at the $2 million to $3 million stage. Who could be a location manager down the road? Who could oversee training or be a fixed ops director type? Even if you only have one shop now, think in terms of departments: someone heading up operations, someone focusing on marketing/growth, someone owning finance/administration.  

Early on, one person might wear multiple hats, but if you identify those functions and assign clear responsibility, you set the stage to plug new people in as you grow. 
Also, raise the bar on talent whenever possible. Never shy away from hiring people smarter or more experienced in key areas. If you find an A-player—say an accomplished service manager or an experienced diagnostic tech—bring them in, even if it stretches your budget.

Culture is also huge. From the hiring stage, look for folks who are problem-solvers, who take initiative, and who are open to continuous improvement. You want team members who get satisfaction not just from doing their job, but from making the business better. 
Finally, don’t forget to invest in training and development. If you want your $2 million people to become $5 million people, you have to train them. That could mean sending your advisors to sales training, getting your foreman leadership coaching, or simply dedicating time each week to one-on-one mentoring. As the owner, you become a teacher as much as a doer. This not only improves performance, it also boosts retention. People stick around in a growing company when they see a future for themselves in it.

Greg: Before we wrap up, speak directly to that owner who’s sitting at, say, $2.2 million and feeling maxed out. Why does thinking like a $30 million builder matter for them?

Scott: It’s a fair question. Not everyone has the goal to build a $30 million empire, right? Some just want a thriving single shop that isn’t driving them into the ground. Thinking bigger forces you to operate better, even at a smaller scale. If you aim for $3 million, you might do okay; but if you aim for $30 million, even if you never get there, you’re going to put the structure in place that makes $3 million almost inevitable. It’s about mindset and standards.

Also, consider this: a business that could scale to $30 million is inherently more stable and valuable than one that can barely manage $2 million. Even if you only reach $4 million or $5 million, you’ll do it with much less blood pressure if you’ve embraced the principles we talked about. You’ll also have options: maybe you open a second shop, or maybe you don’t, but it’s nice to have the choice because you’ve built a model that isn’t dependent on one location or one person. And if someday you decide to sell or step away, a business built to scale will be worth a whole lot more and carry on a whole lot smoother.

You don’t have to desire a $30 million company, but if you act as if you’re building one, you’ll make better moves. You’ll put systems in place, develop your team, and reclaim the freedom that probably inspired you to open a shop in the first place.  

Let me know your thoughts: Greg Bunch, [email protected] 

About the Author

Greg Bunch

Greg Bunch

Greg Bunch is the founder/CEO of Aspen Auto Clinic, a six-shop operation in Colorado, and the founder/CEO of Transformers Institute, a training, coaching, and consulting company for the auto repair industry.
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