“Everyone’s going to say this over and over again. You got to fail. We’re all going to fail at some point. But you can’t just give up because you had a minor blip in the road. Learn from it and move on.”
James Kellas, T&L Elite Automotive
Don’t let setbacks set you back
James Kellas
Quick Facts
Location
Business Type
Independent
In Business Since
2020
Customer Since
2020
Employees
6
What if your next big opportunity didn’t come with a pitch deck or a polished storefront – but instead lived in a dusty Craigslist ad? That’s exactly where James Kellas found his future.
After leaving a career in tech and weathering a string of business ventures that didn’t quite take off, James could’ve walked away. But instead, he chose to treat those setbacks like stepping stones. With data in one hand and determination in the other, he began his search again – more focused, more strategic – until he came across an overlooked auto shop that most would’ve passed by without a second glance.
Where others saw risk, James saw a framework he could rebuild. He applied his background in marketing, operations, and systems to reimagine the business from the ground up – and in just four years, grew it 2.5 times over.
In his interview on the Create the Life You Want podcast, “How a Tech Professional Turned Auto Shop Entrepreneur,” James shares the mindset that fueled his comeback and the transferable skills that helped him turn a forgotten listing into a thriving business. For any aspiring entrepreneur feeling stuck, his story is a reminder that success doesn’t always start with perfection – it starts with perspective.
Starting in Startups
James Kellas didn’t always imagine himself as a business owner. He began his journey at the University of Illinois, Chicago, with plans to become an English teacher. But partway through, something didn’t sit right. He left school, uncertain of what came next – until he heard a high school friend had started a company called PayPal. James joined him, diving headfirst into the tech world. There, he taught himself to code, learned the ins and outs of fast-growing startups, and ended up spending nearly two decades in the industry.
The startup world left its mark. James loved the energy, the creativity, the possibility of building something from scratch. “I love the idea of running a business and making your own hours and all that,” he says. Over time, that spark turned into action. He launched a few tech startups of his own – but as he candidly admits, “I just wasn’t good at selling it. I could build it, but I didn’t know how to sell it.”
Eventually, James landed at LinkedIn and was there during its acquisition by Microsoft. The exit gave him a bit of breathing room – and the freedom to try again. This time, he went in a different direction: a barbershop and salon concept that served both men and women. “The model was Bishops Cuts and Color,” he explains. “It was a weird concept – someone getting a shave right next to someone getting a balayage – and I loved it.”
But then the pandemic hit. California shut down, and with it, James’s newly launched shops. “People who were working from home didn’t need to look good,” he says, half-laughing. Though the businesses had just about broken even, the loss of customers forced him to sell. “If it wasn’t for the pandemic, I would still own them,” he adds.
After that chapter closed, James took a step back – and a trip abroad. A vacation to London rekindled his interest in coding, but returning home meant facing a cold hiring market and widespread tech freezes. So instead of chasing another job, he shifted focus. James dove into Small Business Administration (SBA) data, building a spreadsheet to track which types of businesses were surviving the pandemic. “I wanted something brick and mortar,” he says, “because I had experience dealing with customers.”
Auto repair quickly rose to the top of his list. It was in high demand, and many shops were run by older owners ready to retire – people who hadn’t adapted to digital marketing or online reviews. James saw opportunity where others might see complexity. He studied Google reviews, searched for low-default-rate industries, and used a CRM to send emails to hundreds of business owners, filtering by geography to ensure the area would suit both him and his wife.
“I got over a thousand companies that reached out,” he says – about a 5% response rate. And as he sifted through the replies, patterns emerged. Businesses earning less than $1 million in revenue often didn’t yield strong enough returns. But those generating $2 to $5 million offered solid income and the growth potential he was looking for. He knew he’d need financing to buy at that level, but with about 10% down through an SBA loan, it felt possible.
James had learned about SBA loans during a previous startup attempt. When he explored buying salons, he realized how capital-intensive starting from scratch could be. In contrast, acquiring an existing business was far more accessible. His plan was to invest around $100,000 of his own money and borrow the rest – while keeping enough cash on hand to support his family for at least a year or two. After taking a financial hit from the salon venture, he didn’t want to leave anything to chance.
That’s when he turned to ROBS – Rollovers as Business Startups – a funding strategy that let him use his 401(k) to invest in his business by forming a C Corporation owned by his retirement account. It was a big decision, but a calculated one.
“I wanted to make sure I had cash to make my mortgage payments, food on the table, and everything else – like my kids finishing college and fun stuff,” he says. “I wanted to make sure that was secured.”
Using ROBS for debt-free funding
Though James initially planned to use a 401(k) rollover as a down payment for an SBA loan, the right opportunity called for a different move entirely. While browsing listings across platforms like BizBuySell and Craigslist, he came across two promising auto shops. One was overpriced and carried red flags – sketchy financials, lots of unrecorded cash deals. But the other, just 20 minutes from his home in Union City, CA, stood out for different reasons.
The shop was run-down, its physical condition leaving a lot to be desired. But beneath the peeling paint and cluttered bays, James saw strong bones: a large, enclosed lot, low rent, and very little competition in the area. It wasn’t pretty – but it had potential.
And the deal got even better. At $150,000, the business was affordable enough to buy outright. “The kicker for my wife was I could pay cash for it, and I didn’t have to take a loan,” James says. That mattered. Without debt hanging over his head, he could reinvest profits from day one – and it worked. The shop had pulled in $864,000 in revenue back in 2020. By 2024, James had more than doubled it, growing the business past the $2 million mark.
Still, the transition was far from effortless. The original owner had been the face of the shop, and when he stepped away, so did many of the long-time customers. But James didn’t panic. Instead, he saw an opportunity – to rebuild the client base with the kind of customers he actually wanted to serve.
He leaned into marketing immediately, something the previous owners had ignored. Google Ads, Yelp, direct mail, Facebook – James explored every channel he could. At the same time, he tackled long-overdue repairs and upgrades, from safety compliance issues to basic electrical work. With the shop operating legally and visibly, he also adjusted pricing and refined the brand, all of which helped lift profitability sharply.
But growth hit a wall. “My bag of tricks was empty,” James admits. That’s when he discovered ShopFix Academy, a coaching group focused on auto repair shops. The impact was immediate. With their guidance, he hired a second service advisor – someone commission-based who didn’t just process work, but actively sold services. The result: stronger sales conversions and a healthier bottom line.
ShopFix also helped him address a bigger operational challenge: the lack of a loaner car program. James had avoided it for liability reasons, but the coaches helped him set up a separate LLC and obtain rental insurance to protect the business. “That solved that problem,” he says.
That’s been James’s approach all along – face the challenge, find a way through it. His commitment didn’t just improve the business; it transformed it into a place people want to work. He’s doubled the income of several technicians by investing in training and equipment, and he’s proud of the culture he’s building. “It’s not just about the numbers,” James says. “It’s about creating a workplace people believe in.”
Don’t let setbacks set you back
Looking back on the path that led him from failed startups and shuttered salons to a thriving auto repair business, James credits one thing above all: resilience. “You gotta fail,” he says. “Learn from it and move on.”
For aspiring entrepreneurs, his advice is clear. Don’t go it alone. Ask questions, seek out guidance, and talk about your business – often and with intention. For James, passion was never about turning wrenches; it was about solving problems, building systems, and creating a place where people could grow. These days, he only works one day a week at the shop and is already setting his sights on expansion, with plans to open additional locations.
James’s story is proof that setbacks don’t have to be stop signs. With strategy, perseverance, and a willingness to learn, he didn’t just build a business – he built a better future. And if you’re ready to do the same, there’s never been a better time to start.
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