Posts
1793
Joined
8/25/2015
Location
Mansfield, OH, USA
Acidreamer
Ive been working on my buddies bikes and friend of friends bikes in my garage. Its getting to the point where its almost a full blown business. My main concern is liability if a chain fails for example. The goal is to not get sued if something happens. Right now pictures, paperwork, and being attentive to how things are assembled have saved me so far. Do you guys have some kind of waiver the customer signs after the work is completed?
Might also think about non payment and how to handle, and what to do if the damage/repairs exceed the original estimate or expectations.
Lots of waivers you could use as a guide. Might draft one yourself and pay a lawyer a couple hundo to validate it.
https://www.rocketlawyer.com/document/repair-release.rl#/
https://beelinebikes.com/release-waiver
You're welcome.
The Shop
Luxon 4-Post Bar Mounts
$189.95 - $239.95
DeCal Works Huge Plastic Inventory of UFO and Polisport kits.
The real liability, and the real reason you dont charge a fry cooks wages, is because you will make a mistake, and no matter what, its gonna be on you, to either pay for the parts, or free labor, or both. There has to be some overhead. How could you even afford to keep the lights on for $15 per hour.
There also mostly right about insurance. Insurance isnt going to save you. Especially being self employed. There is no one to back you up. Your background and education are the only means to prove your expertise. You have to be considered an expert by your peers To remove your own liabilty and place it on the manufacturer of the part, the manufacturer of the vehicle, or the operator.
A waiver isnt going to save you either. All the person has to say is "your the expert, not me". Its so easy to play dumb as a consumer in matters like this.
The most important thing is to be able to prove that you are an expert. Until then, your neglegent. Thats why ASE is so important for techs. Especially when dealing with safety systems.
Yeah, you don't wanna miss the torque on the sprocket bolts. "There will be carnage, and it will be bad."
Paw Paw
He just needs to keep it a cash based hobby. All cash, no tax, no tracks. Turning it into a business will end up taking everything to a whole other level.
This isnt my main job. Its on the side. And the $15/hour is enough to buy dumb stuff like loctite or replace tools that break or even buy specialty tools. I also dont feel like ass raping people with outrageous hourly rates. So far this project has been friends, family, and friends of friends, and ive been turning down people beyond that. If it were a full blown business with random people, sure maybe $30/hr.
Fixing bikes is different. A mechanic literally provides a service that if not done properly can lead to serious injury or death. The only person responsible for a repair is the mechanic that spun the wrenches. If a mechanic works on someone's brake system, fails to do the work properly and the customers bike's brakes fail leading to injury or death its the mechanic's fault, not the rider's or the road's.
If you want to be a pro mechanic that's all fine and good but you need to step up and act like a responsible adult. Talk to a lawyer, an insurance agent and an accountant. The lawyer will make sure your ass is covered for liability and legality including setting up an llc or other form of business. The lawyer will also draft a liability waver they are familiar with so they are prepared to defend you in court. The insurance agent will make sure you get coverage for what can be covered. The accountant can advise you on what the best business structure will be for you and be sure your money and assets are structured to stay financially straight and protect assets.
Obviously this is a big step from where you are right now. But that is what it will take to make things right to protect yourself. The alternative if you don't do this and something goes wrong you will be on the hook and could get sued big time flimsy liability waver be dammed. Don't think just because the bikes you work on are your friend's that everything will be ok if shit hits the fan. Lawsuits can and do happen between friends and even family every day.
Pit Row
Breaking your leg on the track in the ordinary course of motocross does not constitute negligence.
Now how about this scenario:
You break your leg on the track because you crashed into a water truck that was crossing the track. The track had no flaggers warning you of a vehicle crossing the track.
That's negligence and no piece of paper you sign at the track will ever absolve the track owner of negligence.
Also:
- A liability waiver signed only by a minor is not a valid contract.
- Most courts have ruled that a parent cannot sign away their child's right to sue for negligence.
- Only six states have upheld a waiver signed by a minor and a parent.
1. Form an LLC with your state and start a legitimate business where you charge enough to cover expenses and your time along with parts etc. Of course, with this example you will have to determine if the demand is enough for the hassle.
2. Go to a "Free" shop where you work on bikes for free with the "customer" supplying their own parts. Then let them know that tips are appreciated and suggest 10-30 per hour based on the value they feel they received.
$15 an hour is laughable whether you're working out of your garage or not. I thought that had to be a typo or something.... And then the fact that you come back and say $30 an hour if you started a "full blown business" tells me you should not do it as you clearly don't have the necessary knowledge/education and haven't bothered to do even a single minutes worth of research on your own about what's involved with starting and running a business.
Also learned that i need basic liabilty insurance that will cover me if something drastic should happen to a person or their bike.
I appreciate the info guys. Its hard to make soemthing happen with no direction.
Now what happens if you don't form an LLC or some other form to shelter your personal assets and money from the bike repair assets and money?
Ive only got maybe 15 bikes i deal with right now where its mostly oil changes and pads and the likelyhood of something going wrong is very very low. Might be a risk i have to take for a while.
Post a reply to: Bike shop advice