Delaware Auto Repair Shop Transitions to Employee-Owned Business

July 8, 2024
With the help of a company specializing in transitioning to employee ownership, Rehoboth Auto Repair has implemented a unique succession plan.

One repair shop in Rehoboth Beach, Delaware, has implemented a unique to finding a shop successor by becoming an employee-owned business, reports the Cape Gazette.

Rehoboth Auto Repair was first opened in 1991 by Richard and Stephanie Marsch. It operates eight service bays and has a team of 16 staff members, including eight technicians and several longtime employees.

Around six months ago, the shop collaborated with Teamshares: a company that specializes in helping small businesses transition from single ownership to being employee-owned.

The shop’s president, Katerina Cai, is new to the repair industry, but this is her second time working with Teamshares.

She described the transition process as straightforward, though employees can sometimes be intimidated by the responsibility an ownership role entails. Once they have an understanding of the business’ finances, it often makes them feel more confident about taking it on.

The transition has been completed, and Rehoboth Auto Repair is now operating as an employee-owned shop. Things are going well, and Cai is confident that trend will continue.

“It takes a lot to run a small business,” said Cai. “This puts the fate of the business back in the hands of the employees.”

About the Author

Ratchet+Wrench Staff Reporters

The Ratchet+Wrench staff reporters have a combined two-plus decades of journalism and mechanical repair experience.

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