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PDR – Business setup
Setting up a business involves a lot of resources and extensive planning. But before we get to this stage, we need to consider the life as a PDR technician or being in business in PDR. You need to have good reason why you want to do PDR.
An Overview of the typical PDR environment
Being mobile, it means there will be periods of time when you will necessarily be away from home. You really need to ensure that family commitments are fully clear of the requirements of PDR. To cash in on the big time, it is essential that you set up in the region where there is work. There is uncertainty as you could invest ample resources into the storm and find relatively little work. Even if you work as a PDR Technician, often you could be in the corner on your own. Consider yourself in a Panel Beating workshop where the panel beaters given you the cold shoulder because they are earning much less than you whilst they work overtime and you work for a few hours and go back to your hotel. If you are amongst other Technicians, lets face it – they are not always disciplined individuals and may get annoying. But these are your work mates and getting along is essential to avoiding conflict. The work environments can go through extremes from the cold of winter to the extreme summer heat under corrugated iron. And then the uncertainties when will the payments come through. But this is the life as a PDR Technician.
So much to consider. On the bright side, at least you don’t know what will happen next so each day is different. And most of all, you are part of an elite crew – a unique and growing industry with a lot of potential. In some cases, people will envy you and hence you feel important. In the business world with so much world wide economic woes, financial stability offers at least some support for your future.
Business setup
There are two phases in the setup process of a PDR business – the initial formation of the business and setting up in each specific storm event.
Several important factors should be taken into account in considering the viability of setting up the business. In its initial stages, the main focus should be:
b) the licensing and other government regulations
c) climate history
d) the ability to become mobile
f) agreements and contracts amongst the partners and participants within the company itself
Further analysis of these factors will be discussed in greater detail later.
Once the business is operational, a plan should be developed, tested and then fine-tuned in response to storm events. The least favourable outcome is to have a major storm event to be the testing ground as financially, this could be disastrous particularly if investments are not rewarded with a good return. This industry relies on good relationship and trust amongst the insurance industry, the staff itself and customer.
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Each storm event will provide some insight as to how well the plan and fine tuning have worked. Considerations of locality, mobility (flexibility in relocating), the transport of equipment (type of vehicle required), what equipment including tools are required, the workshop layout, OH & S, government regulations, and business insurance policies all influence how the business can operate effectively.
Regulatory Requirements
Businesses or companies are two different types of entities – companies offer one further step away from liability or litigation. However, there are costs and regular reporting requirements as well as quarterly BAS statements. In setting up a company, insurance is a requirement as part of the setup cost hence adding to the overall fees payable. Also included are costs of superannuation and workcover requirements known as Workers Compensation Insurance. Anyone opening up a business or company should check the relevant requirements in their specific states.
Another requirement in NSW is the Motor Vehicle Repairers License. This is a requirement to operate in NSW and PDR companies have been known to be closed down and/or fined for having workers without the license. All repairers not only the enterprise must have the repairers license.Those coming from interstate to operate a mobile operation in any part of NSW should be aware of this.
http://www.fairtrading.nsw.gov.au/ftw/Consumers/Motor_vehicles/Repairs_and_maintenance.page
Each state is different at the time of this writing but if it becomes national, then this makes it more consistent for all. NSW seems to be the more regulated state with licensing required even for PDR work! Canberra accepts the PDR license but also requires a separate license to set up a shop in their territory. As suggested, please be aware of this before spending the money and find out you are not allowed to push dents without the required license.
