What is the most profitable car business

About the automotive business in Russia

Due to the fact that cars are in great demand every year, the decision to do business in this industry is the right decision. Today the automotive industry is recognized as one of the most stable and includes a large number of business areas.

Every year there is an increase in the number of proposals, often very exotic, which are designed to increase the level of consumer comfort. And subject to a competent approach to such activities, you will quickly recoup your investment.

For many people in our country, cars are no longer a luxury item. It has become an integral part of life, and therefore motorists are ready to spend quite impressive funds on various services, often denying themselves basic benefits. Therefore, if you are looking for a source of stable income and are good at cars, then this business is just for you.

Choosing a direction of activity and developing a business plan

So you've decided to build a business in the automotive industry, but you still don't know where to start. In this case, you should adhere to the following algorithm of actions:

Idea. After considering a lot of options for the automotive business, identify several priority areas for yourself. Take into account your knowledge and skills in the chosen industry - do not go into the unknown jungle. For example, if you understand the tire fitting process, then it is better to focus on this particular service sector.
Create a business plan. The success of your entrepreneurial activity largely depends on this stage. This document should reflect all aspects of your endeavor. It contains market analysis, an overview of possible risks and the search for ways to solve them, steps towards achieving the final goal, plans, an assessment of business profitability, etc. In addition, if you plan to attract investors' money to your activities, then no serious market player will pay attention to you without a well-designed business plan.
The embodiment of the idea. At this stage, you must register an individual entrepreneur or LLC, find suppliers and take care of the advertising promotion of your auto business.

Key areas of focus

At the moment, the auto business includes dozens of areas in the field of sales and services. By choosing one of them, with the proper approach, you can get a stable profit with the possibility of further expansion of activities.

Auto repair shop

A car maintenance and repair business is a great solution. Many people today use the car as a means of transportation. With daily use, even the most reliable and expensive car will fail over time. To prevent this, most motorists become regular customers of service centers who regularly diagnose their cars, preventing serious breakdowns.

The automotive business can be considered a purely male occupation. If you have a car, then you can open your own business even with little or no investment. For example, by organizing a private taxi. But if you want to create a full-fledged company that offers various services, we recommend that you explore the following interesting options.

Parts Sales

There are more and more cars in our country from year to year. And each of them breaks down sooner or later. In the end, there is natural wear and tear, or simply there is a need to replace consumables. In general, the auto parts business is considered one of the most widespread, where there is no place for seasonality or decline in sales. However, the number of competitors is huge and you need to try to attract buyers.

For more details about this business, we wrote in the article Business idea for the sale of auto parts: how to open your own store?

The demand for spare parts will never fall

A service station is like a paramedic station for cars. The service involves the performance of work on the repair of the car, tire change, painting, tuning and much more.

Many workshops provide only a few types of services, which significantly narrows the range of consumers. If you open a full-fledged car service where you can eliminate any malfunction and at the same time use a number of additional services, then the popularity of your company will be quite large.

Related article - How to open a car service from scratch?

Every car sooner or later ends up at the service station

Car wash

Another common service that almost every car owner uses. The simplest business would be to open a manual car wash. A more interesting option is a mobile car wash.

The simplest option will cost you 600,000 rubles. This amount will be enough to buy equipment and rent premises.

Plans

Instructions

Franchises

In Russia as of 01.1.015. 39.3 million passenger cars were registered (data of Avtostat Info LLC). Vehicles need to be refueled, washed, repaired regardless of the current situation in the country, therefore, the automotive business is a promising area of activity, especially for small businesses.

Some statistics: In 2021, 2.5 million new cars were sold in Russia, the leadership was retained by Lada (387.07 units). Although the number of deals decreased by 10% compared to 2021, the auto business remains promising and promising. In 2021, the trend intensified: the drop in sales from the level of 2021 for the first 4 months was 37.7%, 516,000 domestic cars and foreign cars were sold from showrooms.

Sales statistics are not encouraging, but a 40% decline in sales of new cars in January-April 2021 is not a reason not to consider the auto business as an option to create your own business. Let's try to find out what ideas for the automotive business will be relevant to the opening in the current economic conditions.

Several key areas of activity

Auto repair shop

The idea is as old as the world, but it works! Look how many garages and tire shops are open in garages, but don't they have little work? By no means, if the master is good, then there is a queue for him a few days in advance, so opening your own repair shop is a relevant business idea.

Tip: If you see that another car service / tire fitting is not visible in your city, then take a closer look at non-standard forms: mobile tire fitting or a service for preparing for off-road (off-road trips).

Want to start your own auto business? You won't be able to limit yourself to one good idea, you will have to work a lot here. You need to create a business plan, look for premises, work out all kinds of promotion options. We suggest that you familiarize yourself with the recommendations that will help to start your business.

Choosing a niche

It is important to know what is most in demand not only in the city, but even in a particular area. Market research is the first place to start. For example, if you find that there is no shop nearby that sells spare parts for Mitsubishi cars, think about setting up one.

Research your competitors. It is quite difficult to be a successful tire specialist if there is an appropriate service center across the street. Be unique. It will be important to create a service center for trucks near highways and petrol stations. The room can be anything - even if it's a simple garage. The main thing is demand.

Let's list some options that have been confirmed by good practice:

Creation of a spare parts store for a specific brand or group of brands (for example, everything for Japanese cars);
Opening a general store for specific purposes (for example, everything for maintenance );
Sale of spare parts for old foreign cars;
Franchise of a transport company (if they are not in the city).

Competitiveness should be maximized. If you know that you are not the only ones, you need to think about all kinds of benefits for customers (mainly discounts and speed of work).

Minimum investment options: the most popular solutions

One of the striking examples is tire fitting. You can do it right in the garage cooperative. This is a good option for a start: get ready for work closer to the tire change season - and you will quickly join the workflow. It will cost no more than 100-150 thousand rubles. It will pay off in a short time. And then you can think about expanding the list of services provided.

Exit car service. Ideally, if you already have a truck. You only need a small room where everything you need will be stored. The niche is usually practically empty. It will be necessary to focus on promotion. Requires investment: 100-350 thousand rubles. The complexity is minimal. To recoup, it will take 6-12 months.

Collection of ideas for auto business in Russia with minimal investment

Total in the category: 38 types, investment sizes: from 12,000 to 4,570,000 rubles.

The section presents ideas for the automotive business, step-by-step instructions for beginners, examples of business plans on auto topics.

In Russia as of 01.1.015. 39.3 million passenger cars were registered (data of Avtostat Info LLC). Vehicles need to be refueled, washed, repaired regardless of the current situation in the country, therefore, the automobile business is a promising area of activity, especially for small businesses.

Several key areas of activity

The idea of a car business is also new, but again the demand for car wash services is significant. Despite the significant demand, you must first consider ideas that are poorly represented in your area, for example: self-service car wash, tunnel car wash, dry car wash.

The main thing: the right location

For several years (since 2021), since the transfer of the technical inspection function to the hands of private business, this direction can be considered one of the most promising and quickly recouped. Currently, the competition in this segment is already significant, but still there is still room for new players, so it is quite an interesting niche for those who want to try their hand at the auto business.

The main thing: Obtaining a certificate of accreditation of the TO operator

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