How To Open A Car Dealership

Table of contents:

How To Open A Car Dealership
How To Open A Car Dealership

Video: How To Open A Car Dealership

Video: How To Open A Car Dealership
Video: How I started a car dealership at 23 with no money! 2024, July
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Opening a car dealership requires a lot of money, and this business pays off for a long time. Therefore, when investing in car dealership through a showroom, remember that this work is largely for the future.

How to open a car dealership
How to open a car dealership

Instructions

Step 1

First of all, do a good research on the car market of the region where you are going to open a car dealership, and find out which cars are already represented there. Then decide on the brand of car that you will sell in your dealership. Choose one that is not yet represented in the region. Then unnecessary competition can be avoided.

Step 2

Draw up a detailed business plan with a forecast of the expected profit, development prospects, calculation of possible risks and proposals for overcoming them.

Step 3

Next, contact the representative office or distributor of the company (whose cars you want to sell) with an offer of cooperation. To do this, write them an email or letter and attach a business plan. The company's employees will conduct a study on the prospects of the region. After that, the dealer network development manager will contact you.

Step 4

If a decision on cooperation is made, you will be offered to sign an agreement, and you can start building a car dealership.

Step 5

The success of your business will largely depend on the location chosen for the salon. It may not be located in the city center, but should be close to the highway, with a convenient access and shop windows overlooking the carriageway. Having found a suitable place and signed an agreement with the municipality, you can begin construction or renovation of an already finished building.

Step 6

Please note that the room for a full-fledged car dealership must be at least 700 sq. m. This is due to the recommendations of distributors: allocate 27-30 sq. m. for one car. m, so that buyers can freely approach the car from all sides, freely open the doors, look under the hood, etc. In addition, despite the large cash costs, it is more profitable to open a full-scale dealership with a sales area, a spare parts store and a car service center. Then it will pay off faster.

Step 7

The design of the car dealership is always coordinated with the distributors. It must meet the requirements of manufacturers: certain symbols and colors must be used. Some very large premium brand companies even regulate upholstered furniture suppliers.

Step 8

Pay special attention to the selection of personnel, try to hire only professionals and easily trained people. The training of the personnel you select is usually the responsibility of the distribution center.

Step 9

After equipping the salon with all the necessary equipment, start advertising. Be sure to include the costs of it in your business plan. Manufacturers, as a rule, supply dealers with only the necessary materials: booklets, TV spots. When conducting an advertising campaign, advertise in popular newspapers such as Iz Ruk v Ruki, Extra-M and others.

Step 10

To attract potential buyers, think over and use various promotions, which you announce in advance. For example, promise a free car wash to all salon visitors on Sunday. But be sure to make sure your customers have quality service.

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