ON THE COVER Electric vehicles (EVs) and autonomous vehicles are increasingly appearing in repair shops, signaling a shift in the automotive industry. One year after MDA’s spotlight on MeinekEV in 2023’s third issue of Dealers’ Digest, turn to page 12 for an update on how the Meineke brand continues to evolve to service new vehicles. If you’re wondering how autonomous or self-driving vehicles stand to reshape the industry even further, turn to page 14.
MDA BOARD OF DIRECTORS:
Janet Cummings
President
Dave Repass
Vice President
Marc Arnold
Treasurer
Joe LaManna
Secretary
Joe LaManna
Region 1 Chairman
Marc Arnold
Region 2 Chairman
Dave Repass
Region 3 Chairman
Pete Robinson
Region 4 Chairman
John Coffield
Region 5 Chairman
Chris Johnson
Region 6 Chairman
Janet Cummings Region 7 Chairman
Chris Dalen
Region 8 Chairman
Greg Fry Executive Director
MDA EDITORIAL BOARD:
Rachel Jackson
Editor-in-Chief rachelj@elevanta.com
Tyler Ryan
Communications Editor tylerr@elevanta.com
ADVERTISING SALES
Jeff Reynolds
Sales & Development
jeffr@elevanta.com
678-797-5163
MeinekEV: Electrifying the Future by Tyler Ryan, MDA communications editor
Autonomous Vehicles – Are Shops Ready To Repair? by Jared Johnsen
The Direction Correction Badge by David Allen, Getting Things Done
How Little Wows Add Up To a Big Sale by Danny Snow, Snow & Associates Inc.
DOL Ruling on Salary Thresholds Explained contributed by Mize CPAs
Form 1-9: A Ticking Time Bomb by Douglas H. Duerr, Elarbee, Thompson, Sapp & Wilson LLP
Elements of the Entrepreneurial Mindset Series: Element No. 6: You Are in a Relationship Business by Dan Coughlin, The Coughlin Co.
FROM THE PRESIDENT
I hope this edition of Meineke Dealers Association’s (MDA) Dealers’ Digest finds you well and, hopefully, looking to finish this year in the plus column. I know many of us are trying to beef up our car count since that is the one area where the chain has been down. We have lots of tools to aid us in our business, but I sometimes long for the simpler days when we were just “Meineke Discount Mufflers.”
I just spent a few days with the MDPCI Board and some other dealers listening to vendor presentations, and I realized how complex our business has become. I have gone from the days of looking up parts in a gigantic catalog that sat on our desk to pressing a button and, not just finding the part and getting a price, but putting it into the estimate with a click of the mouse. And it isn’t just the administrative end of our business that has evolved, it is the repairs themselves that are bringing us challenges that we never thought we would see.
We have talked about our movement into the EV world, but that is just a part of where the automotive repair industry is going. We need to be able to handle Advanced Driver Assistance Systems (ADAS) calibrations and diagnose complex computer issues. Down the road, there will be autonomous vehicles that will need repairs. The question is whether you will evolve with this new technology or be left behind.
Once upon a time, we only replaced exhaust systems, shocks and springs. We could hire anyone to do that. It was a very simple way to make money. When we added brakes, you would’ve thought the world had ended. We all (my family included) moaned about the fact that if there was a mistake on our end, there could be dangerous repercussions. Then there were oil changes. Again, we didn’t want to do that kind of dirty work for little to no profit. Eventually, we begrudgingly came around, but some dealers decided they wanted out and sold their centers. Then came Undercar Care and, finally, Complete Car Care. It was a hard transition to make, and it required a different mindset. It was no longer about taking anyone off the street and training them. We needed skilled technicians, and our equipment wasn’t enough to do the job anymore. The business model had changed, and some dealers just couldn’t make that change.
However, those changes saved our chain. We would’ve been left in the dust if we had not evolved with the times. When the automotive industry began using stainless steel exhaust systems, Meineke made significant changes to that business model that
kept us relevant. It was painful at first. New dealers had an advantage over us old-timers because they only knew the new way of doing business.
MDA is tasked with advocating with Meineke Corp. on your behalf and we do spend a lot of time doing that. But in this area, I am glad to see Meineke’s leadership looking to a future that will be different than today. As far as I know, we are leading the way on these issues. We aren’t the only EV repair facility, and we only have a few, but Jeremy and his team are trying to stay out front on these issues. Besides Mike Baden, and now Kevin Leger, operating MeinekEV Centers, Dave Repass is now working on an ADAS center. These guys are the leaders and, someday, we are going to follow them.
Currently, the equipment and the training for some of these repairs are costly and many of us are going to wait a while before making the investment. That’s okay – the pioneers are, hopefully, paving the way for a great financial future for all of us. My new mantra as a dealer is: “If they can do it, we can do it.” We never could’ve imagined this future when we all started, but seeing the numbers that some centers are running, I just repeat that mantra and ask what they are doing to achieve those numbers. Many (most) of the leaders are embracing new technologies and trying not to say “no” so quickly to new things. For me, I am not saying “no,” but I might be saying, “later” or “soon.” I hope all of you are willing to be open-minded about the future of our industry because things are rapidly changing and I, for one, don’t want to be left behind.
Our goal for this issue is that it will give you some food for thought about that future. I hope to see you at the convention where I am sure we will have plenty of vendors to help you make any transition you need to make. So, save the date for June 8-11, 2025, in Amelia Island, Florida.
Sincerely,
Janet Cummings
JANET CUMMINGS
Meineke Dealer Mike Borruso Upholds a Family Legacy
F or the Borruso family, the Meineke brand is at the center of a long legacy that spans three generations of dedicated automotive industry professionals. It all began in 1977 when Nicholas Borruso and his wife Marie opened their first of several Meineke franchises they’d come to own across north-central New Jersey. The couple had three sons, who were then raised around the shops and other franchise owners’ families. The Borruso’s created treasured memories and worked together, building industry-related skills and cementing the foundation for a legacy they couldn’t have predicted would then
LaVon Jackson Maccanico of Right Way Automotive Accepts Small Business of the Year Award
On June 14, owner and president of Right Way Automotive, LaVon Jackson Maccanico, accepted a Small Business of the Year Award alongside her sons Mike and Bryan and the rest of their Meineke crew at the Mesa Has Heart event in Mesa, Arizona.
Mesa Has Heart is an annual celebration hosted by the Mesa Chamber of Commerce, where members of the community can come together to celebrate businesses and individuals who are making a difference and have had a positive impact on other locals, as well as raise funds for worthy local causes. The festivities included live music, dancing, a culinary tour of Chamber member restaurants and caterers and the presentation of several awards to different figures in the community.
LaVon Jackson and her Meineke crew accept the Small Business of the Year Award from the Mesa Chamber of Commerce.
Among the award recipients at the 2024 Mesa Has Heart was Right Way Automotive, which was nominated by a member of the community for the Small Business of the Year Award. Maccanico owns Meineke shops No. 2829 and 2830 and is consistently involved in events geared toward community-building, including those organized by the Chamber. Jackson, her two sons, members of the Meineke crew and leaders within the Chamber were pictured on stage at Mesa Has Heart, celebrating the company’s recognition and achievement.
span two more generations.
Mike Borruso Sr., son of Nicholas and Marie, worked in his parents’ shops from a young age and developed his skills over the years. After meeting and working alongside his wife Lisa, the couple decided to buy a franchise in South Plainfield, New Jersey. The opportunity to go from employee to owner of their own Meineke shop was too good to pass up. Their son, Mike Borruso Jr., then followed in the footsteps of the generations behind him and grew up working in his parents’ shop, whether it was to sweep floors or do oil changes.
After graduating from college in 2012, Mike Jr. took over the first franchise location that Nicholas and Marie Borruso opened decades ago and spent years building a new crew. With dedication to the family business and the potential to thrive in the automotive industry, Mike Jr. has managed to grow the shop into one of the top franchises in sales in the northeast region. In an article published by Driven Brands, Mike Jr. expressed his feelings about what it takes to find success as a Meineke dealer: “What you put into the business is what you’ll get out of it. Meineke will give you the tools to build a house, but you have to physically put it together.”
With the hard work of the two previous generations behind him, as well as the help of his mother Lisa and brother Nick on his current team, Mike Jr. continues to put his all into the business that has woven together the story of their family. The Meineke brand itself has its own history of generational change, as Meineke initially focused on exhaust services and then quickly expanded its offerings to include even more automotive maintenance and repair services. The growth of new franchises transformed Meineke into a nationally recognized brand for reliable car care, exemplary customer service and innovation.
The Borruso family has remained within the Meineke dealer community for three generations. Pictured, from left to right, are Nicholas Borruso, Mike Borruso Sr. and Mike Borruso Jr.
Mike Borruso Sr. and his son, Mike Jr., together in a Meineke shop.
Mike Jackson of Right Way Automotive Teams Up With Local Organizations To Gift Veterans a Vehicle
This August in Mesa, Arizona, Mike Jackson, a.k.a. Meineke Mike, teamed up with local organizations Veteran 5-9 and Republic Services to gift a vehicle to Air Force veteran Steve Mason. Mason was the victim of a car theft on July 4 of this year, making it difficult to commute from Tucson, Arizona, to Phoenix for nursing school at Arizona State University.
Members of the community gathered at a Meineke shop owned by LaVon Jackson Maccanico, president of Right Way Automotive Inc. dba Meineke Car Care Centers, where brothers Mike and Bryan Jackson help oversee operations. Marcus Brown, founder and president of Veterans 5-9, a local group that helps veterans with services 24/7, along with Emma Reyes of environmental services company Republic Services, teamed up with Right Way Automotive to provide Mason with a reliable vehicle. A local family donated a 2004 Chevy Malibu
Max that was given a full tune-up from Jackson and his Meineke team, with Republic Services covering some of the repair costs.
KPNX 12 News, which is local to Phoenix, was at the Meineke shop to cover the hand-off of the car to Mason. "We couldn't have done it without our amazing team of technicians who spent their own time working on this car for Mason," Jackson said to reporters about the effort his team and the community at large put into the gesture.
With their own experiences serving their country, Jackson and Brown of Veterans 5-9 understood the importance of coming together to help Mason in any way they could. "This is one of those situations where our services can help assist a Veteran without all the red tape," Brown explained to 12 News. "Essentially, we’re able to connect them quickly with the resources they need."
PARC Auto Grows Into the Largest Meineke Car Care Center Franchise
Meineke Car Care Center franchisee PARC Auto announced this August that in just over a year since its establishment in July 2023, it is now the largest Meineke franchise with growth from 15 to 37 locations through new shop openings and strategic acquisitions. Due to its expansion, the franchise was awarded the Growth Award at the 2024 Meineke Convention which took place April 11-13, in Puerto Rico. Don Hill, CEO of PARC Auto, expressed his thoughts about the company’s growth in a press release by Kian Capital: “What a year it has been — I am excited about the progress we have made in a short period of time. We could not have achieved these milestones without Kian’s strategic guidance and the strong relationship we have established with Driven Brands. […] Planting new flags in target markets across the nation has created significant momentum for the platform, and we look forward to further growth and change over the next year and beyond.”
Growing further throughout the country is a main focus for the company’s future, on top of maintaining its reputation of strong operations and delivering high-quality service to its customers. “We’re excited to have added stores in Florida and
PARC Auto has grown considerably since its debut in 2023. Pictured is the company’s 23rd location overall in Ocala, Florida, which opened this July
Texas, two of the top four automotive markets in the U.S., and opened locations in Oregon, where we plan to soon pilot Meineke’s electric vehicle concept,” said Hill. Overall, PARC Auto has established itself as a growing and formidable force in the Meineke community and continues to exemplify the ambitious spirit of Meineke dealers across the country.
The Mesa, Arizona, community donates a 2004 Chevy Malibu Max to Air Force Veteran Steve Mason.
What inspired you to become a Meineke dealer? Have you been a franchisee before with other brands?
After a successful 30-year career with a Fortune 500 company, I made the decision to become an entrepreneur. I was attracted to Meineke for several reasons: (1) the focus on data and systems; (2) the nationwide brand recognition; and (3) there was a package deal to buy seven centers!
In your opinion, what stands out about the Meineke brand?
• First and foremost, my fellow dealers who have guided me, supported me and treated me like family.
• As mentioned above, the data and reporting capabilities that help me analyze and improve my business.
• The commitment to be on the leading edge of technology — digital inspections, cloud-based point of sale and now EV.
What are some goals you have for your business in the short and long-term?
Short-term: In 2024, we will exceed $9.75M in revenue with at least six shops above $1M. Long-term: Grow these eight centers to produce over $12M in revenue, with at least two $2M centers.
Kevin Leger
COMPANY NAME:
Leger Investments Inc.
NUMBER OF STORES: Eight
STATES YOUR STORES OPERATE IN: Arizona
Describe your best recent business decision. Making the investment in people, equipment and training to get Shop No. 4134 certified as a MeinekEV center. We “officially” launched on July 26, 2024! This is the SECOND center to become a MeinekEV center in the entire nation. Many thanks to Mike Baden for blazing this trail for the rest of us.
What do you feel is the biggest challenge currently facing franchisees?
In a word: technicians. Our trade schools are not delivering a curriculum that adequately prepares people for a career in this industry. Wage pressures are requiring us to pay more for less capable individuals, which is also causing “wage compression” with our experienced workforce. Vendor training leaves much to be desired. We are trying to meet this challenge by providing competitive pay and industry-leading benefits, and by focusing on a family-first company culture. We are also designing and delivering more “in-house” training.
What is the biggest industry change that you have seen since you started?
“Aging out” of the previous generation of auto mechanics, with a new generation that is expected to be capable of diagnosing mechanical, electrical and computer systems. ADAS and EV’s are much more prevalent.
Tell us a little bit about your family.
My wife, LeNetta, and I have been married for 26 years. We have a 37-year-old special needs son who lives with us, and we are raising our 7-year-old grandson.
What is your favorite make and model of car?
My first car was a 1965 Ford Mustang, so that will always hold a special place in my heart.
My dream car is a 1960’s Cobra with the 427! I’d even settle for a Factory Five kit car with a Coyote motor.
Support the Vendors That Support Your Association
Spotlight on the 118th Congress: Rep. Chuck Edwards, (R-NC-11)
Q What skills or perspectives from your background do you apply as a public official?
AI got my start in small business from behind the counter of McDonald’s when I was 16 years old. After climbing the ranks, I enjoyed a career working for our franchisor in middle management. I now own McDonald’s restaurants where I personally experience the difficulty of operating a business. I’ve also served on the board of directors for a community bank, and I’ve started two real estate investment companies and a self-storage company. All these real-life experiences and recognizing the struggles and the rewards give me a perspective in Congress that is clearly missing on Capitol Hill.
Q What do you see as the current biggest threat to small-business owners?
AThe most pressing tax issue is to extend the Tax Cuts and Jobs Act that is set to expire next year. This critical tax policy, among other things, allows a 20% deduction for small-business entities and allows accelerated depreciation. Regulation can best be kept in check with bills like the REINS Act and the Ensuring Accountability in Agency Rulemaking Act, as well as the Show Me the Science Act that I wrote. Of course, there is a constant stream of agency rules that need to be quashed.
Q What challenges have you helped small businesses in your district overcome?
A From fighting against government overregulation to helping small-businesses owners address issues with federal agencies through casework – such as with the IRS for employer retention credit and refunds – it has been rewarding to use my life experience and business acumen to make a difference in the lives of the common people of western North Carolina and nationwide.
Q
In what ways are you seeking feedback from small businesses in your state/district and using that information in Washington, D.C.?
AI block one day a month where anyone living in my district can come “Chat with Chuck” to discuss anything on their mind. Also, quarterly, I host a “Chamber Chat” where any member of a Chamber of Commerce in my district can join me on a Zoom call to hear an update on matters of interest to business people and to ask questions and give input. Please call my office at (202) 225-6401 to schedule or listen to a chat. I also hear from small-business owners throughout our district, whether it be in person or concerns they raise at my telephone town halls. One issue I’ve heard over and over again from small-business owners is not being able to find the workforce to fill open positions. Congress must incentivize our citizens to work, not to avoid work. We need more work requirements and solid unemployment reforms. For example, I’m the author of the Unemployment Integrity Act that would require unemployment claimants to show up for job interviews.
Q What seat do you believe franchisees have at the table and what do you do to support them?
AMy district’s economy – and economies across our nation – is driven primarily by small businesses, and the franchise model offers opportunities that many of us would not realize otherwise. To keep the American Dream attainable and for the U.S. to stay in the forefront of the global economy, Congress must produce policies that allow small businesses to thrive and create jobs.
Q What message do you have for small-business owners struggling with supply chain issues, inflation, staffing and other prevalent issues of today’s day and age?
A Stay engaged with your elected leaders so we fully understand the issues affecting small businesses and the pain they are experiencing. Small businesses are the backbone of America, and our risk-takers and job creators have long been under attack by Washington. Like I did while serving in the North Carolina state Senate, I will continue to strive to reduce regulations, create a better tax climate and help develop a workforce that provides opportunity and fuels our economy.
Charging Into the Future of EVs
1
In the past decade, EVs have become increasingly popular for a range of reasons. By the end of 2020, around 11 million electric vehicles were registered with governments around the world.
2 This may not seem like much, given that the planet surpassed 1 billion cars alone back in 2010, but the numbers can be surprising when looking at individual states in the U.S.
3 With over 1.1 million EVs registered and 3,026 EVs per 100,000 people, California is currently leading the country in EV adoption rates.
4
In fact, California also has a network of over 15,000 EV charging stations, accounting for nearly 29% of all charging stations in the country.
5
In Mississippi, there are just 110 EVs for every 100,000 people. North Dakota sees only a little bit more EV adoption, with 112 EVs per 100,000 people.
6
EVs are generally more energy-efficient than conventional vehicles, converting over 77% of the electrical energy from the grid to power at the wheels, compared to only 12-30% efficiency for internal combustion engines.
7 While becoming more energy-efficient, some EVs are also becoming capable of taking passengers further per battery charge. The driving range of an EV, or the distance it can travel on a fully charged battery, has been increasing with advancements in battery technology. Some EVs now have ranges over 400 miles on a single charge.
8 Due to the potential positive environmental impacts, many governments worldwide are implementing policies to encourage the adoption of EVs, such as offering financial incentives. In the U.S., the EPA announced that some EVs would be eligible for tax incentives, such as a partial $3,750 credit or a full $7,500 credit depending on the circumstances.
9 Electric vehicles have also become resources for making public events more eco-friendly. It was proposed for the 2010 Winter Olympics in Vancouver, British Colombia, that ice resurfacing be accomplished with a greener, cleaner and electric-powered alternative to the Zamboni that could complete up to 30 groomings of an ice rink on a single charge.
10 S&P Global Mobility forecasts electric vehicle sales in the United States could reach 40% of total passenger car sales by 2030, and more optimistic projections foresee electric vehicle sales surpassing 50% by 2030.
Sources: Car and Driver, Electric Vehicle Hub, Evenergi, Benzinga, The New York Times, World Economic Forum, S&P Global Mobility
LOOK LISTEN READ
Look, Listen, Read is a quarterly compilation of some of the most highly rated and reviewed apps, podcasts, books, websites and other resources. MDA does not support or endorse the use of these tools, which merely serve as a guide to exploring a new level of knowledge and productivity for your business.
1
”10 Minute MBA — Daily Actionable Business Lessons With Scott D. Clary” is a daily podcast hosted by Scott D. Clary himself, an investor and CEO. Although the title may be long, we were impressed that each installment of this podcast is incredibly short, averaging just 10 minutes or less. These bite-sized episodes provide actionable insights, tools and strategies you can use to start or grow your business today.
2
”Eye On Franchising” is a top 50 podcast that is all about franchising. It assists first-time or fifth-time entrepreneurs with every aspect of the search process. Lance Graulich is the founder and CEO of ION Franchising, an industry-leading franchise consulting and development company representing over 700 franchise brands & business opportunities in every imaginable category. Whether you were born an entrepreneur or are willing to learn to become one, you are in the right place.
3
If you’ve ever wondered why some businesses thrive more than others, ”Start With Why: How Great Leaders Inspire Everyone To Take Action” reveals an essential quality within influential leaders: purpose. “Start With Why” encourages business owners and managers to stay true to their goals as leaders to keep their enterprises on track and reminds readers to focus on what’s most important to them and why they started businesses in the first place.
4
”Transform Your Workplace,” renowned as a top-rated HR and leadership podcast, covers into all aspects necessary for creating an outstanding workplace. It features a diverse lineup of industry experts, authors, speakers, HR professionals and entrepreneurs worldwide who share their insights and big ideas for organizational transformation. Every week, the podcast explores a fresh topic, encompassing various subjects such as human resources, effective communication, cultural development, personal and business growth, leadership and the latest workplace trends, such as A.I.
5
This is not a book about business strategy — strategies change like the seasons. This is a book about something much more permanent. ”The Diary of a CEO: Discover the 33 Laws of Business & Life” is a runaway No.1 bestseller by Steven Bartlett: entrepreneur, podcaster and Dragon’s Den star. Building on the success of the eponymous No. 1 podcast, where Bartlett engages with some of the world’s most influential people, experts and thinkers, the book embarks on a curiosity-driven journey to uncover untold truths, unlearned lessons and important insights designed to make life more enjoyable, successful and fulfilling.
6
Whether a franchisee, part of a large franchise operation with multiple locations or managing a single location, Ron Pagliarulo shares valuable insights in ”Best of the Best: Secrets To Becoming a Top Revenue Producing Franchise Operations Manager” that can help elevate performance in the field. Each franchise system comes with its own complexities and challenges. While it’s not an easy business, it can become simpler with an understanding of the keys and secrets that make a great franchise operations manager.
8
7
Notion is a single space for thinking, writing and planning. It allows for capturing thoughts, managing projects or even running an entire company, all in a highly customizable way.
Mark Cuban, one of the world’s wealthiest and most influential businessmen, collects his greatest lessons on what it takes to become a thriving entrepreneur and compiles them into ”How To Win at the Sport of Business: If I Can Do It, You Can Do It.” Drawing upon his profound insider knowledge, Cuban offers unconventional business tips and tells his stunning rags-to-riches tale from selling powdered milk and sleeping on friends’ couches to owning his own company and becoming a multibillion-dollar success story. Mark shows how he puts his own advice into practice and how entrepreneurs at any stage of their careers can outmaneuver their competitors.
9
Clockify is a time tracker that allows users to track the time spent on projects and analyze productivity. It can be used on the web, desktop and mobile, with all tracked data synced in real time, enabling seamless switching between devices.
MeinekEV:
In September of 2023, Meineke dealer Mike Baden transformed his Meineke Car Care Center into the first shop in the U.S. that was certified to service electric vehicles in ways more complex than the typical Meineke location. After receiving formal training in EV maintenance at Weber State University in Utah and going through the proper channels with Meineke Corp. to transform Meineke shop No. 2197, Baden has spent the past year observing the slow yet tangible changes in the automotive repair industry as a result of the emergence of EVs.
“In the first two weeks, I would say one to two EVs a week would come in. People didn’t quite have a grasp yet of what MeinekEV really stood for, but then some articles and a news interview made their way to the internet,” Baden said about EV appearances trickling into everyday operations. “Then, we started seeing about five or six cars a week. Now, a year later, we’re seeing one to two EVs a day on average.”
Baden explained that the EVs appearing at the shop have not always been the models people would typically expect to see, like Teslas. Owners of electric vehicles made throughout the 2000s that have since been discontinued have come to MeinekEV looking for needed repairs, though many simply cannot receive the parts their vehicles require. As the automotive industry moves into a new era of mainstream EVs, repair shops like Baden’s are prepared to service the emerging models that the general public is likely to recognize the most as the face of electric vehicles. “Out of all the EVs that we work on, about 80% of them are Teslas,” Baden said, “and the rest are typically Rivian’s and Kia’s.”
When he first set out to transition his shop to a MeinekEV center, Baden expressed that it seemed like most mechanics who have been in the industry for decades were unwilling to make the shift to servicing EVs. A year later, his observations have remained mostly the same.
“I still believe it’s the young, bright minds of these kids that grew up with computers in the classrooms and a completely different style of learning that are most interested in this transition,” he said, “and seasoned mechanics know that there’s enough work left for them with gas and diesels to get them to their retirement. In my experience, they’re not interested in this stuff. I’m a seasoned guy, but I like to learn and read and I’m into technology, so you could say I’m an exception to that.”
In 2023, MeinekEV was just taking off as a concept; in 2024, however, shop No. 2197 is no longer the only certified MeinekEV location in the country. Shop no. 4234 in Phoenix, Arizona, owned by Meineke dealer Kevin Leger, held an open house in July to showcase the newly EV-certified store with cook-outs and
informational workshops.
“This shop is in a suburb of Phoenix called Ahwatukee, so it’s a very tight-knit community and word-of-mouth is huge. There’s a weekly local paper and it gets dropped off at our lobby, and it’s very widely read here. We advertise in it, and they ran a full-page story for our grand opening,” Leger said about the newfound visibility of the shop in the community. “There was a very good turnout for the grand opening, and we had several EV owners come in after that.”
EV attendance is still in the early stages for Leger’s shop, just as Baden’s shop needed time to build an EV-related clientele. Leger’s regional manager and two of his technicians went through
Electrifying the Future
approximately 30 hours of online training and the EV training bootcamp at Weber State University in preparation for shop No. 4234’s EV certification.
“Like a lot of things, I think there are early adopters and people that are going to be on the leading edge of a shift,” Leger said about the interest in EV certification within the Meineke location. “I think the interest is picking up slowly, and it is a pretty significant commitment in terms of time and money.”
Baden and Leger, having known each other for several years like many Meineke dealers who stay connected with the nation’s dealer community, have shared ideas and expertise on their journeys as two of the first MeinekEV owners in the U.S. As for
now, it appears that MeinekEV only has the potential to grow and spearhead an inevitable evolution within the Meineke brand. Meineke’s reputation is no stranger to change, as the brand was once known primarily for brake and muffler repairs. After years of steadily proving to customers that Meineke can be trusted with more complex repairs and services, the spread of MeinekEV is yet another venture for the brand to grow within the industry and take on new challenges.
As time goes on, one can only imagine how EVs will continue to change the landscape of the automotive industry in general, as well as the daily operations of Meineke shops everywhere. Here’s to another year of MeinekEV!
The exterior of Leger’s shop No. 4234 during its grand opening as an EV-certified Meineke Car Care Center.
Autonomous Vehicles
Are Shops Ready To Repair?
The automotive industry stands on the brink of a revolution as autonomous vehicles (AVs) are set to reshape the transportation landscape. This emerging technology presents a unique opportunity for automotive shops to capitalize on the shift. By understanding the implications of AVs and strategically positioning their services, shop owners can not only adapt but thrive in this evolving market.
Autonomous vehicles, equipped with advanced sensors, machine learning algorithms and AI-powered systems, navigate and operate without human intervention. According to a report by McKinsey, the global market for AVs is projected to reach $556 billion by 2026, with an estimated 8 million autonomous or semi-autonomous vehicles on the road by 2030. This rapid growth is driven by significant technological advancements, increased
investments from automotive giants and favorable regulatory environments.
The AV market is expected to grow at a compound annual growth rate of 36.2% from 2021 to 2026. Over $80 billion has been invested in autonomous vehicle technology globally by automotive companies, tech leaders and venture capitalists. To stay ahead, shop owners should invest in training their technicians to become experts in AV technology. Offering services such as sensor calibration, software updates and diagnostics will attract AV owners seeking knowledgeable and reliable service providers.
Operators can explore partnerships with autonomous by
JARED JOHNSEN
technology companies like Waymo, Tesla and Uber's Advanced Technologies Group. These partnerships can provide new revenue streams, access to proprietary repair tools, diagnostic equipment and training resources. Additionally, becoming authorized service centers for specific AV brands can secure a steady flow of customers and benefit from the manufacturers' marketing efforts.
Collaboration with local governments and regulatory bodies is essential to ensure compliance with safety and maintenance standards for AVs. The vast amount of data generated by autonomous vehicles can be harnessed to predict maintenance needs and identify potential issues before they become critical. Investing in advanced diagnostic tools and software for predictive maintenance services is crucial.
Educating customers about the unique maintenance needs and potential issues of AVs is vital. Shop owners can host workshops, webinars and create informative content to engage and inform their customers, building strong relationships and brand loyalty. With many autonomous vehicles being electric or hybrid, shops should offer specialized services for these vehicles, such as battery maintenance, charging station installation and eco-friendly repair options.
Collaboration with local governments and regulatory bodies is essential to ensure compliance with safety and maintenance standards for AVs.
While the opportunities are significant, the transition to servicing autonomous vehicles presents challenges. Upgrading equipment and training staff can be costly, and the complexity of AV systems means repairs can be more time-consuming and expensive. Cybersecurity is another concern, as AVs are essentially computers on wheels, making them vulnerable to hacking and software malfunctions.
Shop owners can expand their service offerings to meet the diverse needs of AV owners. This could include offering mobile maintenance services, where technicians visit customers' locations to perform repairs and maintenance, providing added convenience. Additionally, shops could explore the possibility of offering remote diagnostics and over-the-air software updates, leveraging the connectivity of AVs to provide timely and efficient service. Expanding services can also involve offering customized maintenance plans for different types of AVs, such as commercial fleets, personal vehicles and shared mobility services.
The integration of AVs into the urban mobility ecosystem has the potential to transform city transportation. Urban planners, policymakers and city officials must prepare for and harness the benefits of autonomous mobility while addressing associated challenges. Proactive urban planning is necessary to accommodate the unique requirements of AVs, including dedicated AV lanes, smart infrastructure and seamless connectivity.
The interaction between AVs and traditional transportation modes, such as public transit, cycling and pedestrian infrastructure, must be considered. The deployment of AVs also has implications for land use and urban development, potentially shifting real estate dynamics, parking requirements and urban design principles.
By embracing proactive urban planning strategies, leveraging
AV technology to enhance transportation efficiency and accessibility and fostering multi-stakeholder collaboration, cities can position themselves at the forefront of the autonomous mobility revolution. This will ultimately create more sustainable, resilient and livable urban environments in the era of autonomous vehicles.
Furthermore, the adoption of AVs aligns with the growing trend toward sustainable transportation. Electric and hybrid AVs contribute to reduced greenhouse gas emissions and decreased reliance on fossil fuels. Automotive shops can support this shift by offering specialized services for electric and hybrid AVs, such as battery maintenance, charging station installation and eco-friendly repair options.
However, the transition to an autonomous future is not without its challenges. The cost of developing and deploying AV technology is substantial, and the regulatory landscape is still evolving. Governments and industry stakeholders must work together to establish clear standards and regulations that ensure the safety and reliability of AVs.
Additionally, the public's perception of AV safety and trust in the technology will play a critical role in its widespread adoption. Continuous efforts in public education, transparent communication about the benefits and risks of AVs and demonstration of their safety and reliability through rigorous testing and real-world deployments are essential.
The rise of autonomous vehicles presents both opportunities and challenges for the automotive industry. By proactively embracing this technological revolution, investing in necessary training and infrastructure, and fostering collaborative efforts across various sectors, stakeholders can harness the potential of AVs to create safer, more efficient and sustainable transportation systems for the future.
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The Direction Correction Badge
I’ve noticed that one of the hardest things for people to do is to change what they’re doing to something better to be doing, when there’s nothing externally forcing them to. But to unhook from whatever groove we’re in, in the moment, and shift the focus of awareness and physical energies into something that may not be as immediately easy or comfortable … I think that takes real strength. It seems crazy that getting involved in a more constructive thing to do ever seemed so difficult, once I’ve jumped in. If I can just start to exercise, write in my journal, brainstorm a project, draft an article, review my work, do spiritual practices or go for a walk, it’s all relatively a breeze from there. But just changing the direction of my mental and physical focus when I don’t particularly feel like it … that’s worthy of a Medal of Honor! Until then, I’m like the hero in the movie Top Gun, about to do battle, but frozen (“Engage, Maverick… Engage!”), and I’m hung up in my own psychic knots.
Of course, it’s never that dramatic (or romantic). It might be easier to deal with if it were. Things I’ve done like hitchhike from Istanbul to Karachi, drop out of graduate school, get a black belt and sail solo in heavy weather required some level of guts (and perhaps youthful stupidity!). But as risky as those events seemed at the time, I think they were easier than what I deal with in getting myself to shift my attention and energies into something that I know will be better for me than what I’m doing.
by DAVID ALLEN
Maybe this is maudlin self-absorption (like, David, is this the biggest problem you’ve GOT?). But how many people let multiple aspects of their life get to crisis mode before they have the
motivation to do something about it? Seems it’s easier to let the drama of a problem be our driver than the intuitive sense that we should change the direction of our attention when it would still be early enough to be the ounce of prevention. In other words, dealing with things when you HAVE to is easier than when they are most productively dealt with.
I’m not interested in being a martyr, however, so I try to stack the deck in my favor. I look for every trick in the book to make it easier to simply get engaged with healthy good stuff. There’s nothing like having great tools in the right places. I got the best yoga costume and props I could find, and I keep them handy at home and in hotel rooms. I bought a great fountain pen that I love to find any excuse to use (like reflecting and writing in my journal). I’ve put nutritional supplements I ought to take regularly right by the water dispenser. I follow my inclination for the coolest organizing gear I can find that attracts me to use it.
“We must all suffer from one of two pains: the pain of discipline or the pain of regret. The difference is discipline weighs ounces while regret weighs tons.”
— Jim Rohn
“The mind of an adult is like an unbroken horse. It will go in any direction except the one in which you want it to go.”
— St. Teresa of Avila
But no matter how crafty I get at setting up the tricks to tip myself into good-for-me productive activity, I still have to stretch my psychic muscles to break out of a pattern and start the new one. I’m working on developing the habit of immediately jumping into anything I recognize I’m resisting, and out of anything I’m not feeling so good about doing. Doing the different thing is not hard. GETTING myself to do it deserves a medal.
After decades of in-the-field research and practice of his productivity methods, DAVID ALLEN wrote the international best-seller “Getting Things Done” (GTD). Published in over 28 languages, TIME magazine heralded it as “the defining self-help business book of its time.” In 2015, he released a new edition of the book, with new insights, updates, and discoveries about the GTD methodology and its many personal and professional applications.
Wows Big Sale How Little Add Up To a
For as long as I can remember, my father has preached the importance of the little wows in business. His 20-year Disney career ingrained that service principle into his brain and it has become one of the main areas of focus in his presentations on the customer experience that he delivers around the world. The big wows are what get the headlines and make for fun stories, like the Nordstrom employee who refunded someone’s purchase of snow tires, even though Nordstrom doesn’t sell tires. But the little wows are key to differentiating your organization in today’s crowded marketplace.
A few years ago, I was at the Millenia Mall in Orlando and had some time to spare as I waited for a friend to finish shopping. My wife had recently given me a watch for our anniversary, and soon after I found myself on the lookout for new watches to wear for different occasions. As I was walking through the mall that day, I came across the Breitling store. Now I had never heard of this company, but the watches in the window looked nice so I decided to go in and kill some time looking around.
What are the areas in your organization where you can build little wows into the culture?
Matt, the assistant manager, greeted me as I walked in and immediately engaged with me. Considering I was wearing an old pair of jeans, an old Florida State University t-shirt and a beat-up pair of K-Swiss tennis shoes, I’m assuming Matt was pretty sure I wouldn’t be making a purchase. I think in most high-end stores, a “hi” from an associate is about the most I would have received.
Nevertheless, he continued talking with me and after a couple of minutes I asked Matt what these watches cost. I quickly learned that I had no business being in that store. He started to go into his spiel when I cut him off and said, “Let me stop you right there. I can’t come close to affording one of these watches and I don’t want to waste anyone’s time.” Instead of walking off and attending to something else in the store, he kept talking with me. He went into detail about their different watches, the brand and how it compares to other luxury watch companies like Rolex, even though he knew he wasn’t getting a sale that day, or in all likelihood, ever. But, he treated me as if I was a potential buyer. Matt walked me through the $5,000 watches, the $10,000 options and even the $50,000 watches. He even asked me if I would like to try one on. I must admit that seeing that $50,000 watch on my wrist was a pretty big wow!
The little moments leading up to me trying on that watch, along with the way he treated me and interacted with me truly created a lasting impact. It would have been easy for him to move on to another customer or another task that needed to be completed and I wouldn’t have blamed him at all. Honestly, I felt bad that I was wasting his time. But he stayed in the moment with
me and I knew right then and there that if I ever had an opportunity to purchase a luxury timepiece, I wanted to come back to Breitling and buy it from Matt.
by DANNY SNOW
As I got ready to leave, he gave me his card and a catalog featuring their new collections. For two years I kept them both on my nightstand with the thought that one day I’d be able to buy one. Fast forward to January 2019. I had just earned a big commission from a large sale at work. On top of that, my employer told me they wanted to give me a watch to celebrate my 10-year anniversary with the company. Combined together, I would finally have enough to purchase the watch I really wanted.
When my employer asked me what kind of watch I wanted, my mind immediately went to the experience I had at the Breitling store. I’m sure that most people would have gone to Rolex considering they’re usually the first name people think of when it comes to luxury watches, and had I not wandered into Breitling years ago, I likely would have done the same. For me, it was never a consideration. I emailed Matt that day to make sure he still worked there. Two weeks later, I went back to the Millenia Mall to purchase a new watch from him. The in-store experience, this time as an actual customer, was exceptional. I left the store that day with an amazing new watch and as a raving fan of the Breitling organization.
In case you are wondering, I did not purchase the $50,000 watch. But in the event I have the opportunity to buy another luxury watch in the future, you can bet I’m going back to Matt to get it.
Here are some things to think about: What are the areas in your organization where you can build little wows into the culture? Are you only focusing on who you believe can buy from you now instead of nurturing future possibilities?
DANNY SNOW is a sales and marketing director and professional speaker with over 10 years of experience in customer service, leadership and training. With a proven track record in driving business success and fostering strong teams, he specializes in helping organizations achieve excellence through employee development and exceptional customer service. Danny can be reached at www.snowassociates.com or at (407) 294-1855.
DOL Ruling on Salary Thresholds Explained
Overview of the DOL Ruling
The federal DOL ruling focuses on salary thresholds for employees to achieve exempt status. There are two key timelines to be aware of:
1. July 1, 2024: The salary threshold increased from $35,000 to $43,888.
2. January 1, 2025: The threshold will jump to $58,656, a significant 34% increase. Furthermore, starting January 2027, the DOL plans to increase this threshold every three years.
Importance of Job Duties
While the focus is often on salary numbers, it’s crucial to revisit job duties. To truly be exempt, it’s not just about salary but also about the roles and responsibilities defined by the executive, administrative, professional and IT job descriptions. The DOL will scrutinize job duties to ensure compliance, not just salary levels.
Documentation Requirements
Employers should document job duties for each role, not just the salary. Job descriptions are vital for proving the type of work performed. The DOL can also interview employees to verify that their duties match the exempt status criteria.
Implications for Employers
This ruling affects both employers and employees. Exempt status means employees are not eligible for overtime pay.
Employers must decide whether to raise salaries to meet the new thresholds or switch employees to hourly pay with overtime. This decision should consider financial impacts and employee morale. Changing an employee’s status from exempt to non-exempt could be perceived as a demotion.
State Laws and Further Challenges
Employers must also consider state laws, which may have higher thresholds than the federal ones. The ruling is subject to legal challenges, and while the 7/1 threshold is likely to stand, future increases might be contested.
Next Steps for Employers
Employers should conduct a financial review to assess the impact of these changes and ensure job duties align with the new thresholds. Engaging with an employment lawyer for roles that are borderline can help ensure compliance and avoid costly mistakes.
Conclusion
The new DOL ruling on salary thresholds for exempt status requires careful consideration by employers. Financial reviews, job duty assessments and understanding employee perspectives are crucial steps.
For detailed advice and tailored solutions, contact Mize CPAs or consult an employment lawyer. Stay informed and prepared to navigate these significant changes.
A Ticking Time IBomIb Form I-9:
During the onboarding of a new employee, there are a lot of forms that need to be completed, from government tax and new hire reporting to company forms such as payroll, benefits applications and the like. Among those many forms is the Form I-9, which is the Employment Eligibility Verification form from the United States Citizenship and Immigration Services (USCIS) agency of the Department of Homeland Security. This form must be completed and maintained for each current employee and retained for a period of time after separation of employment. It is a ticking time bomb because even the smallest errors can result in fines or other potential consequences. Recently, I have come across a number of employers, including large, sophisticated companies, that have gotten into trouble by not paying enough attention to this single form.
Background: The form I-9 is required by the Immigration Reform and Control Act of 1986 (IRCA). This law, signed into
existence by President Ronald Reagan, created a pathway to legalization for many illegal immigrants in the United States at the time. In addition, there was an effort to stop what was perceived as a large incentive for illegal immigration: jobs. Thus, IRCA made illegal the knowing hiring or retention of an alien (including retention if the employer should have known the individual was not authorized to work), the hiring of any individual without verifying identity and work authorization and any requirement that an employee post a bond against IRCA violations. Because there was a concern that those prohibitions would result in discrimination against individuals who might be authorized to work and might pose a risk because they appeared
by DOUGLAS H. DUERR
“foreign,” IRCA also prohibited employers from requiring in the completion of the Form I-9, any specific documentation or combination of documents or more documents than are required and also prohibited refusing to accept documents that reasonably appear to be genuine on their face.
The bottom line here: Do not require more than the minimum, but do not accept less.
By this point, you may be asking: What is the ticking time bomb here and why should I continue reading this article? The time bomb is that each copy of this form, which you will have to retain for a minimum of three years or longer depending upon how long the employee works, can result in a fine if it is not completed correctly. In 2024, the penalties for each incorrect form (i.e., per employee) range from $281 to $2,789. In addition to likely receiving the highest penalty for this paperwork violation if the person is not authorized to work, the penalty per unauthorized worker ranges from $698 to $5,579 the first time you are found to have employed unauthorized workers. If subsequent investigations result in similar violations, the maximum penalties go up to $13,946 and $27,894 for the third time. [NOTE: Criminal penalties for unauthorized employment are also possible, and there are also penalties for violating the employee protection requirements mentioned previously.]
So, what does this mean for you? The onboarding process can often be a rushed affair, conducted by supervisors or managers who are pressed for time and used to a “close enough is good enough” requirement in many other instances. The Form I-9, unfortunately, is a very technical requirement with strict rules on the process for completion and a requirement for attention to details. Here, it is either completed correctly or incorrectly, with “close enough” being the equivalent of “violation for incorrectly completed.” Thus, it is important that whoever is administrating this process be trained on the requirements (and prohibitions) of the Form I-9 as well as attentive to all the details.
It is beyond the scope of this article to provide a detailed description of all that is required, but the USCIS does publish a lot of accessible information on its website at https://www.uscis.gov/i-9-central. In the “Form I-9 Resources” drop-down menu, there is a Handbook for Employers M-274.
Here are some common mistakes in completing the Form I-9:
1 Failure to complete it when required. Section 1 of the form must be completed at the start of employment, which is the first task requiring compensation. Assuming that employment will last more than three days, Section 2 must be completed by the third day of employment.
2 Accepting more documentation than is required. More is definitely not better here. As set forth on the form, accept just one List A document (establishes identification and work authorization OR one List B (identification) and 1 List C (work authorization).
3 Make sure the person who reviews the employee’s documents fully completes, signs and dates the attestation.
4
Make sure the date employment began is filled in.
purposes, make sure that this requirement is clearly stated as being just for payroll purposes.
6
If an employee presents multiple documents, require the employee to select the ones s/he is presenting. Do not suggest, for example, the drivers license and social security card.
7
DO NOT accept as a List C document, a social security card that has on it something similar to “only with INS approval” or “only with DHS approval” or the like.
8
Do not accept expired documents, except for those that have been automatically extended. (Information regarding automatic extension of Employment Authorization Documents can be found under the Form I-9 Resources menu mentioned above.)
Completion of the Form I-9 process is just one of the many tasks in the onboarding process, and, as such, the potential risks of not paying close attention to it can result in unanticipated liability. Thus, make sure that sufficient resources are dedicated to keeping the responsible personnel (e.g., managers, human resources, etc.) trained on the requirements and consider periodically auditing the I-9 records to correct errors before your business is audited or you are required to turn over to the government, forms that are incorrect and could result in the imposition of penalties.
DOUGLAS H. DUERR is a partner at Elarbee Thompson, a national labor and employment law firm with an industry practice area focused on franchisees. Learn more at www.elarbeethompson.com.
5 Do not require employees to present a social security card as part of the I-9 process. If you require the actual card for payroll
YOU ARE IN A BUSINESS RELATIONSHIP
Abusiness is a relationship between a value provider and a value receiver.
It really is that simple.
High-tech companies, grocery stores, hospitals, schools, professional sports teams, management consultants, musicians, landscaping companies, medical device companies, film companies, TV shows, trucking companies and on and on and on.
Every business is a relationship between a value provider and a value receiver. Value is anything that increases the chances that the other person will achieve what he or she wants. Yes, there are technical differences between businesses and the value they create and deliver. However, in the end, every business is a relationship between a value provider and a value-receiver.
No matter what value your business creates and delivers, you are still in a relationship with a value receiver, otherwise known as a customer. You are a human being, and the person who is receiving value from you is a human being. You’re both human beings. Therefore, the essence of the business is a human relationship.
Now that we have that established, think about how you want to be treated as a human being. My hunch is you want to be talked with in a respectful way that enhances your personal dignity as a human being. You don’t want to be yelled at or treated rudely.
Please slow down as you run your business and think about the human being who will be receiving value from your company. It’s not just creating and delivering value in a transaction for money. A business, every business, is a relationship experience between you and the people who work for you and a human being paying for that value. The product or service has to be great and of high quality. That’s a given. What’s not a given is the way human beings are being treated. That is just as important as the product or
service that you are selling.
The hidden key to long-term business success is to realize and remember that you are in a relationship business. That relationship is just as important as the revenues and profits you generate. Relationships are intangible and are not based on money. They are based on the million little subtle things that make up good human relationships: kindness, caring, compassion, forgiveness, forgetfulness, patience, respect, empathy, gentleness, hospitality, sense of humor, smiles and on and on.
by
Don’t go to work to just build a better widget. Go there with the intention of strengthening relationships every single day.
Since 1998, DAN COUGHLIN has worked with serious-minded leaders and executives to consistently deliver excellence. He provides Executive Coaching, Leadership and Executive Development Group Coaching Programs, and seminars to improve leadership and management performance. His topics are personal effectiveness, interpersonal effectiveness, leadership, teamwork and management. He also guides strategic decision-making meetings. And now he is also focused on helping people to develop their entrepreneurial mindset. Visit his free Business Performance Idea Center at www.thecoughlincompany.com.
DAN COUGHLIN
BEHIND THE
History Industry
History Behind the Industry is a spotlight of events and/or figures that have shaped or significantly impacted the current state of the automotive industry, and how Meineke dealers can utilize such information for the betterment of their businesses.
The Age of Autonomy Begins…
In the 1920s, society was introduced to the American Wonder, what is believed to be the first radio-operated automobile. Former U.S. Army electrical engineer Francis P. Houdina, founder of radio equipment firm The Houdina Radio Control Co., fashioned a 1926 Chandler sedan with a transmitting antenna which allowed the vehicle’s speed and direction to be controlled by received radio signals. A second vehicle followed closely behind with an operator inside, and the display of the American Wonder moving driverless along Broadway in New York City sparked a new fascination in the public; this invention caused everyday people to ponder the possibilities of a completely driverless society, as well as the moral implications involved. Though the American Wonder didn’t function completely independently from a human’s direction, the
CALENDAR OF EVENTS
A section of the New York Times describing the journey of Houdina’s radio-operated vehicle traveling the streets.
sight of a car speeding up, slowing down, turning corners and honking its horn without a person physically in the driver’s seat was a catalyst for a new age of automotive innovation.
The Industry Today…
While EVs have taken center stage as an integral part of the automotive industry that the world at large has spent several decades acclimating to, autonomous vehicles should arguably be at the forefront of industry professionals’ minds as well. More and more cities are being introduced to self-driving vehicles, whether they’re the cars everyday citizens own or the property of taxi companies looking to thrive well into the future. For Meineke dealers and mechanics, preparing for the rise of self-driving vehicles can entail gaining expertise in the advanced diagnostics, software updates and electronic systems involved in the making of these vehicles. Embracing continuous education in autonomous technology, collaborating with manufacturers and investing in specialized tools may ensure that dealers can stay relevant and proficient in maintaining and repairing these machines.
We want to highlight any news or events associated with Meineke Dealers Association members. If you have ideas for potential stories, please email tylerr@elevanta.com or call 678-797-5160. Our editorial staff can assist in writing the story for you.
