Tire fitting from scratch - business plan with calculations
One of the lucrative options for your business can be the opening of a tire service station. Considering that the number of vehicles is only increasing every year, even in spite of serious competition, you are unlikely to remain at a loss.
I must say that this type of activity is not equally profitable all year round. After all, the peak time falls precisely on the off-season, when there is a need to change tires. However, tire fitting as a business reviews of entrepreneurs who have long been engaged in such a business, leaves mostly positive about themselves. After all, mechanical damage to the wheels can occur at any time of the year. In addition, tires may need to be replaced even in summer. Moreover, in the warm season and in winter, competition is significantly reduced, since many workshops suspend work for this period.
In addition to seasonality, such a business has some nuances that it would be useful to learn about those who are starting their own business in this area. Firstly, your profit directly depends on the place of organization of the enterprise. Often these services are used only by residents of the area where the workshop is located. Secondly, the opening will not require significant savings. To open a small service center, you can keep within 600,000 rubles. Of course, in order to develop the enterprise, part of the proceeds will have to be invested in the business. Finally, entrepreneurs who have settled on this particular type of activity can choose one of the options for the taxation system when registering.
You can work on the STS, UTII or patent. Each of the options has some advantages and disadvantages.
So, working on a simplified system, you are required to use a cash register, but at the same time you will pay a fixed percentage of income or proceeds. Working on an imputed system provides for the accrual of tax from a certain amount, which in theory can be your income.
Remember that in this case, the number of employees is taken into account. At the same time, in some regions of the country, work with the cashier is optional. When it comes to patent-based activities, this is perhaps the most attractive combination of starting tax conditions, but there are clear limits on the number of people you can hire.
If we talk about the form of doing business, opening a tire fitting from scratch implies either a stationary site where you will provide services to clients, or work related to departure. It is advisable for novice entrepreneurs to focus on the first option, gradually expanding the field of activity at the expense of the second of them. In addition, you can choose a wide or narrow specialization of activities, for example, cars, trucks and agricultural transport.
Registration and execution of the necessary papers
Of course, people who have no experience in this area will find it useful to find out what it takes to open a tire service. The first step is to register an individual entrepreneur or LLC with the tax authorities. Experts advise to register as an individual - so you can hire the required number of people to get started, and reporting in this case is much easier than for legal entities.
Where to start
Tire fitting is a profitable business that requires a small initial investment and is capable of growing. You can start with a small container with minimal equipment or a large workshop. It all depends on the capabilities and desires. The main difficulties that you will have to face are high competition and seasonality. The first confirms that it is profitable to open a tire service. Workshops with such services are growing by leaps and bounds. A lot of documents are not required, they are drawn up quite quickly. The income per season is 15-20 thousand rubles a day, so there are enough people who want to work in this field.
Seasonality has discouraged many from doing this business. Those who did not take it into account burn out.
An urgent demand for tire fitting services is observed only in autumn and spring, when it is necessary to "change shoes" the car, changing winter or summer tires. In summer and winter, such services are practically not required, so the first thing to do when deciding to open a tire service is to think about additional services and works that will support the business in the off-season.
These include disk balancing, battery charging. Not a bad idea to provide field tire fitting services. Women willingly order them when they find themselves in a difficult situation on the road. Installation of armored wheels on a VIP class car can bring about 10,000 rubles per client. If there is a lot of space, you can provide wheel storage services. This will give another 3,000 rubles from the set to the company's piggy bank. Only after deciding the issue of additional services can you take up the paperwork.
The costs of opening a tire shop are quite low. It is not necessary to immediately open a large car service, for a start a small room and several types of equipment and tools are enough. If the premises are rented, the costs of opening a tire fitting will be as follows:
- Premises rental - 20,000 rubles.
- Equipment - 250,000 rubles.
- Tools - 40,000 rubles.
- Furniture - 11,000 rubles.
- Advertising - 25,000 rubles.
- Cash register - 10,000 rubles.
- Consumables - 10,000 rubles.
- Payment for an employee's work before opening - 20,000 rubles.
- Uniform for mechanics - 4,000 rubles.
How to save money
This list contains items on which you can reduce costs, and those where savings are completely inappropriate. You can save on the salaries of assistants before the opening, if you prepare the premises, arrange equipment and furniture yourself, resorting to the help of friends or relatives, and hire an employee to the staff when everything is ready and the tire fitting starts work. In this case, his salary will be included in the expense item for the month and will be paid from the funds already earned during this period.
It is most profitable for the owner of a tire fitting to assign employees not a salary, but a piecework wage. Due to seasonality, some months may not be very profitable. However, with such an approach there is a risk of staff turnover, and in such a business as tire fitting it is necessary to have trusted, reliable people in the workers. Renting a room may not be necessary if a tire service opens in your own garage or in the courtyard of your private house. Thus, under certain conditions, you can save 40 thousand rubles.
What you can't save on
Financial model of tire fitting
Brief Investment Memorandum
A tire workshop is a workshop located in a non-residential building near a road with a lot of car traffic. The workshop provides services for tire replacement, hot and cold tire repair, as well as wheel balancing.
This type of business is attractive because when opening during a period of sharp increase in demand, the payback period will be about 4 months. And the break-even point will be reached in the second month of work.
The maximum flow of customers to the workshop is formed in the autumn period (during the mass transition to winter tires) and in the spring (during the mass transition to summer tires).
You can start a business by servicing cars, and then expand the services to owners of trucks.
The main audience is men from 20 to 45 years old who own one or more cars.
To attract customers, common advertising methods are used - printing leaflets, advertising on billboards, contextual advertising on the Internet. In addition, to form a stream of regular customers, it is necessary to show an individual approach. For this, a customer base is created, and the manager reminds everyone of the need to change tires on time, or notifies about new promotions and profitable offers.
Before starting activities, you must register as an individual entrepreneur. Taxation system - UTII.
When choosing a room, you need to focus on the location of the target audience, as well as the proximity of transport interchanges and high-traffic roads. The decoration of the premises must comply with the requirements of the SES and the Fire Service.
Investments: 700,000 - 3,000,000 rubles.
Payback: 6-24 months
More than 5 billion tons of cargo are transported by road every year on the roads of Russia. This is on average 4 times more than by rail and 36 times more than by water. Therefore, a business based on servicing trucks is a stable source of profit if it is properly organized.
The format of opening a tire workshop for trucks depends on the financial capabilities of the entrepreneur and is often a small and medium-sized business in small premises. The source of income is the provision of services for replacing damaged tires, fixing patches for a cut or punctured rubber, balancing wheels, restoring discs.
There is no seasonal tire change for trucks, unlike cars. In this segment, the most profitable direction is tread deepening and tire repair using hot vulcanization.
The main clients are drivers who work in freight forwarding companies or wholesalers of various types of goods. Among the serviced vehicles, there are general purpose trucks (with an open side or flatbed platform) and specialized (dump trucks, vans, refrigerators, tanks, concrete and mortar trucks, timber and container trucks, etc.). The scope of activity usually does not include special purpose vehicles (emergency, utilities) and for passenger transportation, since such vehicles are comprehensively serviced in their own repair shops.
Depending on the industrial specialization of the region, the principles for choosing the location, workshop area, and the list of equipment used are different. For example, in border regions, tire fitting is oriented towards heavy vans as part of convoys, and in agricultural regions - to dump trucks and refrigerators.
Niche features of the service sector of freight vehicles:
- high average check;
- long working time with one client;
- need for more staff;
- large expensive equipment;
- low rental costs and consumables.
What is required for implementation?
At the initial stage of organizing a company, you will need to find a place with the maximum traffic of freight transport. Truck tire fitting is a service that drivers enter on the road without deviating from the main route. Heavy vehicles are low-maneuverable, movement within cities is prohibited or restricted for them. Therefore, workshops are located along federal and regional highways, at the entrances / exits to settlements, near unloading and transshipment points.
The popularity of the car repair and maintenance business is beyond doubt. Due to the annual increase in the number of vehicles on the roads of Russia, the demand for these services is constantly growing. Opening a full-fledged service station requires large investments, and aspiring entrepreneurs often do not have a large start-up capital.
For those who have little money, but who really want to open a business in the automotive field, there is an affordable direction with a fairly small investment. What is this direction? Of course, the opening of our own tire fitting point, followed by expansion to a network structure.
Advantages and disadvantages of tire fitting business
Like any other type of business, the tire business has both a number of significant advantages and some specific disadvantages that can be leveled by hard work with a certain amount of imagination. Among all the advantages of opening your own workshop for the installation of car tires, the following main nuances can be distinguished:
- a small level of initial investment;
- simplicity of the procedure for issuing permits;
- the absence of any overstated requirements for the premises where it will be located paragraph;
- business scalability.
In this area, it is quite easy to gradually expand the list of services provided, as well as to open additional tire fitting points, thereby creating a small network of its own.
The disadvantages of this kind of activity are obvious:
- high level of competition;
- seasonality of active work.
The main profit is brought by tire points during the period of mass change of tires in autumn and spring. The high competition in this area is due to the ease of starting a business. These factors increase the risks of doing business in this area, but if done correctly, they can be avoided. How to open a profitable tire service will be described below.
Where to start?
The first step in opening a tire fitting business will cost about 5 thousand rubles, taking into account the registration of individual entrepreneurs, standard duties and other payments. If you do not want to run around the authorities, then you can contact the registration specialists, however, then the amount of investment will double. This completes the registration of a tire service business, since this area of business is not licensed.