Business By The Numbers
Hunt Demarest, CPA has consistently provided his financial business acumen to help move the industry toward greater heights of success and profitability. Hunt was recently referred to as a "terrific advocate of the aftermarket." He is the author of the book, Your Perfect Shop: How to Start, Run & Sell a Profitable Shop. In this book, he compiled some of the best practices for auto repair shop owners, whether they are just starting or have been in the business for years. Hunt's podcast will provide a core understanding of the financial aspects of running an auto repair shop.
What the Top 10% of Auto Repair Shops Are Doing Differently — And What the Bottom 10% Refuse to Fix [E227]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
Is your shop growing in revenue but shrinking in profit? Are you convinced that raising your labor rate is the fastest path to the bottom line — only to discover that your highest-charging competitors are losing money? And what if the real difference between a shop that keeps 35 cents of every dollar and one that loses money has nothing to do with location, specialty, or size?
In this solo deep-dive, Hunt Demarest, CPA at Paar Melis & Associates, walks through the 2026 Auto Shop Benchmark Report — specifically, what...
Auto Shop Benchmarks: Biggest Changes, Key KPI's and Trends [E226]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
Your technicians got more productive in 2025. Your labor rate went up. Your parts margins improved. So why is the average shop owner keeping almost exactly the same percentage of every dollar as they did the year before?
The answer is hiding in your effective labor rate — and most shop owners haven't looked at it once.
In this episode, Hunt Demarest breaks down the headline findings from Paar Melis & Associates' 2026 Auto Shop Benchmark Report — the largest study of its kind, built from more than...
529, Roth, or Trump Account? What Shop Owners Actually Need to Know [E225]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
What if the government — and a few well-known billionaires — were offering to deposit cash directly into an account for your child or grandchild, no strings attached, starting July 4th? Would you sign up?
In this solo episode, Hunt Demarest, CPA at Paar Melis & Associates, breaks down everything currently known about the newly announced Trump Accounts — officially called 530A plans — before they go live. Hunt cuts through the political noise to answer the only question that matters for shop owners and their families: is this worth yo...
The Parts Reconciliation Gap Costing Auto Repair Shops Six Figures [E224]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
Is your shop management system telling you one number while QuickBooks says something else entirely? Are parts credits going unclaimed? And if someone were quietly skimming off the top, would your current process ever actually catch it?
In this episode, Hunt Demarest, CPA at Paar Melis & Associates, sits down with Alex Saladna from Wicked File — the AI-powered back office reconciliation platform built for auto repair shops. From the employee who snuck through ceiling tiles to steal cash, to the eight-location shop that cut back of...
The Big Four: Why Your Overhead Isn't the Problem — Until It Is [E223]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
Is your advertising budget working for you, or quietly draining you? Are you paying a credit card processing premium you didn't even know existed? When did insurance stop being a routine expense and start becoming one of your biggest threats? And is that rent number on your P&L actually telling you the truth?
In this solo episode, Hunt Demarest, CPA at Paar Melis & Associates, breaks down the four overhead categories that show up most often in his firm's annual benchmark report — and the on...
The Hiring Playbook Auto Shops Are Missing: PTO, Tool Allowances, and the 3-Day Interview Rule [E222]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
Are your PTO policies scaring off the technicians you actually want? Could a $100-a-week tool allowance or a reimbursed truck payment beat a $10,000 raise — and cost you less? In today's tight labor market, the shops winning top talent aren't always paying the most. They're being the smartest.
Recorded live at the Vision Hi-Tech Training & Expo in Kansas City, Hunt Demarest sits down with Lisa Coyle and Sam Freeman from Promotive — the auto industry's leading recruiting firm — to break down the real reasons shops are losing...
How Cutting Costs Doesn't Always Mean Keeping More Profit [E221]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
You bought a slower machine to save money. You kept the cheap tech to avoid risk. You sent the customer home with the cheaper repair to do right by them. What if every one of those decisions quietly cost you more than the thing you were trying to avoid?
In this solo episode, Hunt Demarest, CPA at Paar Melis & Associates, breaks down three real conversations with auto repair shop owners — each one a different version of the same costly mistake: confusing what something costs wi...
Parts Matrix Problems: How Inflation Is Quietly Eroding Your Gross Profit [E220]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
Are you leaving money on the table every time a parts price goes up — without ever realizing it? Most shop owners focus relentlessly on labor rates and rightfully so. But the slow, silent erosion happening inside your parts matrix may be quietly bleeding your gross profit month after month, even while your top-line sales are climbing. Hunt Demarest, CPA at Paar Melis & Associates, breaks down exactly how inflation has shifted your parts pricing into lower-margin brackets — and how one shop owner's savvy negotiating deal actually cost him...
No Cash, No Car: The Rule That Could Save Your Shop From Fraud [E219]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
What if the biggest fraud threat to your shop isn't a dishonest employee or a shady vendor, but your own customers? What if the payment you accepted last week could be reversed today, and there's nothing the police will do about it? And what if four shops across the country just got hit with the same scam, and yours could be next?
In this solo episode, Hunt Demarest, CPA at Paar Melis & Associates, breaks down a wave of customer scams that hit shops from...
The Hidden Volatility Killing Auto Repair Shop Profits: The 3 Category Framework That Fixes It [E218]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
Every auto repair shop owner knows the feeling: a monster month followed by a stretch that barely covers the bills. But most owners assume they're doing something wrong. The truth? Even the best-run shops in the country don't make money every month of the year. In this episode, Hunt Demarest, CPA with Paar Melis & Associates, pulls back the curtain on the real financial volatility hiding inside your shop's numbers and why understanding it is the first step toward building a business that doesn't run you.
<...AI, Agents and the Death of Mundane Work: Tekmetric's COO on the Future of Shop Software [E217]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
What does the COO of the most widely adopted shop management software in the industry actually see when she looks at your data? In this episode, Hunt Demarest sits down with Lauren Langston, Chief Operating Officer of Tekmetric, for a candid, numbers-driven conversation about where the auto repair industry stands today — and where it's heading fast.
Lauren brings a rare combination of investment banking, venture capital, and operating experience to one of the most trusted names in shop management software. She breaks down the fo...
Stop Spray and Pray: The Marketing System Helping Auto Shops Fill Bays in 2026 [E216]
Thanks to our partners Promotive, WickedFile, Maverick Shop Owners, and Overdryve
What if the reason your car count is down has nothing to do with your marketing — and everything to do with your people? And if you don't know who your ideal customer actually is before you spend a single dollar on advertising, are you really marketing, or just hoping?
Hunt Demarest sits down with Mike DelaCruz, founder of Overdryve Marketing and a 15-year veteran of the automotive aftermarket. Mike's path through DemandForce, Kukui, and Vehlo gave him a front-row seat to what works across th...
Discover the Shocking Hidden Price Tag on Every Comeback Job (It's Not What You Think) [E215]
Thanks to our partners Promotive and Wicked File
You know comeback work costs money, but do you know how much?
Most shop owners look at what they paid their technician and stop there. Hunt Demarest shows why that number is almost always the smallest part of the loss.
In this episode, Hunt breaks down the real math on a client's comeback situation — where a perceived $500 problem was actually closer to $5,000. He explains why labor inventory evaporates every single day, how parts inventory works differently, and why non-paying work that never hits your shop ma...
Number One Thing Your Team Needs to Hit Your Goals, And It Has Nothing to Do With Skill [E214]
Thanks to our partners Promotive and Wicked File
What if the reason your team isn't hitting your numbers is simply that they don't know what the numbers are?
How do you go from being the guy fixing the cars to the guy running the business — and what does it cost you if you never make that mental switch?
Hunt Demarest sits down with Brian Rooney, a client, shop owner in Iowa, and author of Protecting Outcomes. Brian's story is one that will resonate with many listeners: a technician who took over the shop he...
That Empty Bay Is Costing You $175,000 a Year: The Real Math Behind Recruiting (Or Not Recruiting) [E213]
Thanks to our partners Promotive and Wicked File
What if that empty bay in your shop is costing you $175,000 a year?
What happens when your best technician walks in on Friday afternoon and says they're not coming back Monday?
In this episode, Hunt Demarest welcomes back Chris Lawson from Technician Find — the first returning guest on Business by the Numbers. Chris tackles the question shop owners struggle with most: Can you really afford to invest in recruiting when money is tight? Drawing on real shop data, Hunt and Chris break down the hidden co...
Why Profit on a $40 Cabin Air Filter Can Beat a $600 Water Pump Job: Discover the Metric Your Shop Isn't Tracking [E212]
Thanks to our partners Promotive and Wicked File
Would you swap out wiper blades for $500? Probably yes. Would you replace an entire engine for $500? Absolutely not.
But here’s the real question: what if the math behind why you said yes to one and no to the other is the same math that’s silently costing your shop thousands of dollars every month? I
In this episode, Hunt Demarest breaks down one of the most powerful and most overlooked metrics in the auto repair business: gross profit dollars per hour sold.
Most...
How to Build a Commission Plan for Your Advisor or Manager Without Getting Burned [E211]
Thanks to our partners Promotive and Wicked File
You already know how to pay your technicians, but what about everyone else? Your service advisors, your counter staff, your shop manager... how do you build a pay plan that actually motivates them to perform?
In this follow-up to last week's technician pay plan episode, Hunt Demarest walks through the three most common commission structures for front-office and management staff: paying off total sales, paying off gross profit, and paying off net income. Using a real client example, a shop owner who wants to reward his son...
What Your Technician Pay Plan Is Really Telling You [E210]
Thanks to our partners Promotive and Wicked File
What if the pay plan you've been debating isn't actually the problem?
In this solo episode, Hunt Demarest tackles one of the most argued topics in the auto repair industry: how to pay your technicians. After seeing it debated online once too often, Hunt pulls from hundreds of real shop benchmarks to cut through the noise — and his answer might surprise you.
Hunt breaks down the three main structures — flat rate, hourly/salary, and hybrid — explaining what each one actually incentivizes, where each one breaks down...
From MBA to the Bays: Why the Next Generation Isn't Taking Over Family Shops (And What One Second-Gen Owner Did Differently) [E209]
Thanks to our partners Promotive and Wicked File
What if you left college with an engineering degree and an MBA, only to realize your best opportunity was back home in the family auto shop?
In this episode, Hunt Demarest sits down with Brad Templin of Scott's U-Save, a fourth-generation automotive professional and second-generation owner running multiple locations across the Midwest. Brad shares the real story of what it's like to return to a family business after pursuing a corporate career, work alongside your mom, and navigate the challenges of succession planning in an era when...
Everything You Need to Know About Life Insurance for Your Shop (Without the Sales Pitch) [E208]
Thanks to our partners Promotive and Wicked File
Should your shop carry life insurance on a key employee? What if one employee's unexpected death could cost you hundreds of thousands of dollars?
In this episode, Hunt Demarest tackles everything you need to know about life insurance for auto repair shop owners and their teams — covering key person insurance, term vs. whole life policies, tax implications, and how much coverage actually makes sense for your situation.
Unlike most conversations about life insurance, this one comes with zero sales agenda. Hunt breaks down the real ec...
The Tax Mistakes That Get Auto Shops in Trouble (and How to Avoid Them) [E207]
Thanks to our partners Promotive and Wicked File
Are you unknowingly doing things that make the IRS take a closer look at your shop?
What if one “small” filing mistake dramatically increases your audit risk this tax season?
In this episode, Hunt Demarest walks through the most common tax mistakes that raise red flags with the IRS — and why many well-intentioned shop owners accidentally put themselves in the audit spotlight every year.
Drawing on real audit cases from auto repair shops, Hunt explains how filing late, amending returns, underreporting income, and mismat...
The New Tax Rules That Could Save (or Cost) Your Shop Thousands in 2026 [E206]
Thanks to our partners Promotive and Wicked File
Are you sure you’re capturing every tax deduction your shop — and your employees — are entitled to this year?
What if missing one small detail hands more money to the IRS than necessary?
In this episode, Hunt Demarest kicks off the new tax season by breaking down the most important tax rule changes shop owners need to understand for 2026, and just as importantly, who actually qualifies for them.
From overtime deductions and tip taxation to the surprisingly nuanced rules around car loan interest and a...
Why Your Sales Goal Might Be Leading You Toward Disaster [E205]
Thanks to our partners Promotive and Wicked File
Are you setting sales goals that actually make you more money — or just more tired?
What if your biggest growth goal is quietly setting your shop up for failure?
In this episode, Hunt Demarest breaks down one of the most common (and dangerous) mistakes shop owners make when planning for growth: setting sales targets without understanding the real constraints behind them.
Building on the ideas introduced in Episode 200, Hunt walks through how to set profit-driven goals instead of vanity sales numbers — and how to p...
2025 Wrap-Up: Interest Rates, ERTC, Overtime, and What Shop Owners Need to Know for 2026 [E204]
Thanks to our partners Promotive and Wicked File
Are you making end-of-year tax decisions that truly save you money, or just creating future headaches?
What if the moves you think are smart tax strategies are quietly costing you more than they save?
In this episode of Business by the Numbers, Hunt Demarest, CPA with Paar Melis & Associates, walks shop owners through the most important end-of-year financial and tax considerations — and the costly misconceptions that show up every December.
Hunt breaks down which deductions actually move the needle, why retirement contributions can ge...
Health Insurance Shakeup for 2026: ACA Subsidies, Association Plans, and the HRA Strategy Shop Owners Need to Know [E203]
Thanks to our partners Promotive and Wicked File
Health insurance premiums keep climbing — but 2026 could bring the biggest shakeup in years.
In this episode of Business by the Numbers, Hunt Demarest, CPA with Paar Melis & Associates, breaks down what’s happening in the small-business health insurance landscape after recent ACA subsidy changes — and why a new Republican-backed House bill could change how shop owners buy coverage and support their teams.
Hunt explains the economics behind rising premiums, who’s actually affected by the loss of ACA subsidies, and why shop owners may see new oppo...
Does Training Actually Pay Off? What Shop Owners Get Wrong About Technician Development [E202]
Thanks to our partners Promotive and Wicked File
Training might be the most misunderstood investment in the auto-repair industry — and one of the most expensive when done wrong.
In this week’s episode of Business by the Numbers, Hunt Demarest, CPA with Paar Melis & Associates, sits down with David Boyes, President of Today’s Class, to unpack why so many training programs fail, how to actually measure technician growth, and what modern training looks like in the era of mobile learning, data tracking, and personalized development paths.
From eliminating wasted classroom hours to using...
End-of-Year Tax Traps: The Deductions, Deadlines & Mistakes That Cost Shop Owners Thousands [E201]
Thanks to our partners Promotive and Wicked File
Are you leaving money on the table before the tax year closes?
In this end-of-year episode of Business by the Numbers, Hunt Demarest, CPA with Paar Melis & Associates, walks through the essential tax moves shop owners must make before December 31st and the costly assumptions that lead many to overpay the IRS.
From retirement contributions and HSA hacks to equipment purchases, inventory write-downs, and why your accounts receivable might be lying to you, Hunt explains how small oversights can snowball into massive tax bills. More...
The Road to 200: How to Double Your Sales, Profit, and Net Income [E200]
Thanks to our partners Promotive and Wicked File
What would it take to double your shop’s success? I.e., 200% of your current sales, gross profit, and net profit?
In this special 200th episode of Business by the Numbers, Hunt Demarest, CPA at Paar Melis & Associates, breaks down the math, mindset, and milestones behind scaling your shop’s numbers without burning out your team or outgrowing your facility too soon.
From practical examples to real-world projections, Hunt shows you how to build a realistic roadmap for growth. Whether it’s raising your labor rate...
Stop Paying Taxes You Don’t Owe: The Tax-Free Way to Reward Your Team [E199]
Thanks to our partners Promotive and Wicked File
Are you rewarding your team, or paying extra taxes to do it? Could a few words on your payroll save you thousands a year?
In this episode, Hunt Demarest, CPA with Paar, Melis & Associates, explains why the difference between an allowance and a reimbursement could save both you and your employees thousands of dollars a year.
From cars and cell phones to tool truck payments, Hunt breaks down how changing just a few words on your payroll setup can turn a taxable perk into a...
Stop Letting the Dealer Decide Your Finances — Leasing vs Buying Explained [E198]
Thanks to our partners Promotive and Wicked File
Should you lease or buy your next vehicle or piece of shop equipment?
In this episode, Hunt Demarest, CPA with Paar Melis and Associates, walks through the real-world math behind leases and loans, from tax deductions to depreciation traps, so you can make decisions based on dollars and sense, not dealer pressure.
Using simple examples (from a $25K Corolla loaner car to a five-year alignment machine lease), Hunt explains why some “deals” only look good on paper and when a lease actually protects your shop from...
Why 2026 Will Redefine Auto Repair: Inside the Industry’s Biggest Shifts, Struggles, and Opportunities [E197]
Thanks to our partners Promotive and Wicked File
What if the biggest problems facing auto repair shops today aren’t what you think they are?
And what if the future of the industry is being shaped right now, quietly, behind the scenes, by the conversations shop owners aren’t having?
In this episode, Hunt Demarest sits down with Chris Jones, the editorial force behind Ratchet+Wrench and several of the industry’s most influential publications. From talent shortages to tech adoption, from mental health to multi-shop growth, Jones offers a clear-eyed look at where...
Customer Acquisition Cost vs. Lifetime Value: The Math That Decides If Your Shop's Advertising is Working [E196] [E196]
Thanks to our partners Promotive and Wicked File
How much does it really cost your shop to win a new customer, and is it worth it?
Most shop owners don’t realize they’re spending hundreds, sometimes thousands of dollars just to bring in a single new face, and in some cases, they’re losing money on every “win.”
In this episode, Hunt Demarest, CPA with Paar Melis and Associates, breaks down the real cost of customer acquisition and why understanding Customer Acquisition Cost (CAC) and Lifetime Customer Value (LTV) can make or break your...
Stop Guessing Your Ad Budget! Why Most Auto Shops Overspend and Undergrow [E195]
Thanks to our partners Promotive and Wicked File
“How much should I actually spend on advertising?”
In this week’s episode of Business by the Numbers, Hunt Demarest, CPA with Paar Melis & Associates, tackles one of the most misunderstood questions in the auto repair world.
You’ve probably heard the “3–6% rule” a hundred times, but Hunt pulls back the curtain on why that simple percentage can mislead shop owners. Whether you’re a small shop trying to grow or an established business struggling to see ROI from your marketing spend, this episode helps you rethink the...
Your $200 Labor Rate Means Nothing: What Really Matters in Auto Shop Profitability [E194]
Thanks to our partners Promotive and Wicked File
In this episode of Business by the Numbers, Hunt Demarest of Paarmelis & Associates breaks down one of the most misunderstood metrics in the automotive repair world: effective labor rate.
Many shop owners chase “higher door rates,” but as Hunt reveals, that number often has little to do with your actual profit. From oil changes to state inspections, he explains how small pricing decisions can quietly eat away at your margins—and how to fix them.
If you’ve ever asked, “What percentage should my effective labor rate...
ERTC Audits Are Here: What Every Shop Owner Needs to Know in 2025 [E193]
Thanks to our partners Promotive and Wicked File
After years of waiting, many shop owners are discovering that their long-anticipated Employee Retention Tax Credit (ERTC) checks may never come — and worse, some are facing IRS audits they didn’t see coming. In this week’s episode of Business by the Numbers, Hunt Demarest, CPA at Paar Melis & Associates, breaks down the chaos behind the ERTC delays, what triggers an audit, and what every business owner should be doing right now to protect themselves.
This Week, Hunt takes listeners inside the IRS’s renewed crackdown on ERTC cla...
Profit or Time? The Tradeoff Every Shop Owner Gets Wrong [E192]
Thanks to our partners Promotive and Wicked File
Every shop owner knows the feeling — the harder you work, the less time you seem to have. But what if you could have both? In this week’s Business by the Numbers, Hunt Demerast, CPA, explores the hidden link between profit and time — and why the goal isn’t working harder, but working smarter. From understanding your “hourly rate” as an owner to identifying the difference between working in versus on your business, Hunt breaks down the real math behind sustainable success.
This week, Hunt Demerast dives into one of...
The $5,000 Parts Problem: Why Every Auto Shop Loses Money Without Knowing It [E191]
Thanks to our partners Promotive and Wicked File
Ever been charged for someone else’s part? Or failed to get a credit on a return you were sure you’d handled? You’re not alone—and those small leaks could be costing your auto shop thousands each month. This week, Hunt Demerast breaks down how to uncover where your money is really going, how to reconcile your parts purchases with your accounting, and the systems that will save your sanity (and your margins).
Hunt tackles one of the most overlooked financial drains in auto repair: parts re...
The Gray Area of Write-Offs: How to Save on Taxes Without Sinking Your Business [E190]
Thanks to our partners Promotive and Wicked File
Every fall, tax season brings the same loaded question: “Can I write that off?” From flat-screen TVs to four-wheelers, the temptation to blur the line between personal and business expenses is real. But where’s the line between smart tax strategy and a dangerous gray area?
This week, Hunt Demarest, CPA at Paar Melis & Associates, breaks down the myths and realities of tax write-offs. With humor, clarity, and two decades of experience, he explains what the IRS actually looks for, why “ordinary and necessary” matters more than anything...
Flat Rate vs. Hourly: The Hidden Productivity Trap Killing Auto Shop Margins [E189]
Thanks to our partners Promotive and Wicked File
Auto shops aren’t going broke because they charge too little—they’re going broke because they’re measuring wrong. In this episode, CPA and host Hunt Demerest unpacks the gap between what your shop management system tells you and what your financials know to be true. From the hidden drag of switching techs from flat rate to hourly to the simple tweak that makes your software reflect real costs, Hunt shows you how to surface the problem (productivity vs. pricing) and correct course—before your margins get cut in half.<...
Profit vs. Cashflow: Why Shops Go Broke While Making Money [E188]
Thanks to our partners Promotive and Wicked File
What happens when a shop owner calls to say they’re going broke—only to discover they’re actually profitable on paper? The truth is, profit doesn’t always equal cash flow. And without cash, even the healthiest shops can collapse.
In this episode of Business by the Numbers, Hunt Demarest, CPA of Paar Melis & Associates, tackles one of the most dangerous misconceptions in business: why shops fail even when they’re making money. From bootstrapping vs. borrowing to the hidden dangers of credit card advance loans, Hunt unpac...