To get a guarantee of profit from a new business, you should not only choose the right idea, there is another option to open your own franchise business. You can open a franchise auto parts store on the Internet or as a regular outlet. Each type of activity has its pros and cons, and if you wish, you can open both of them on the basis of one warehouse. A franchise business is not just profitable, all the money invested is protected, and specifically this franchise - auto parts - guarantees a constant flow of customers, because almost every citizen today has his own car, or even not one.
Option with less investment
Of course, this is an online store. To open it, you only need to purchase goods and rent a small room for a warehouse. Costs are kept to a minimum, and it takes a little time to open. Over time, this type of activity, with sufficient profit, can already expand to stationary retail outlets in large cities and result in a small chain of stores.
Higher Profit Option
The auto parts franchise brings big profits - reviews confirm this - based on the basis of ordinary stores. This is due to the ability of each client to first look at the product, and then purchase it. Even a detailed description of the part in the online store can not always guarantee that it will fit the car, and the return process will take too much time.
Preparatory Activities
Since an individual is not legally entitled to become a franchisee, in order to open a franchise business, you must first register as an individual entrepreneur or LLC. The easiest way is to choose the first option and, if necessary, to further expand and re-register the business as an LLC. IP registration takes about one working week and costs a little more than a couple thousand rubles.
As a result, a novice businessman gets in his arms:
- OGRIP;
- confirmation of registration with the FIU;
- extract from the USRIP;
- confirmation of registration with the tax service;
- records in the USRIP;
- confirmation of the assignment of statistical codes.
Then it remains only to open a bank account in the bank, which is done very quickly, and order a print. Bank for work, you can choose at your discretion. Today there are a huge number of them, so everyone can choose the most suitable for themselves.
How to issue an IP
For those who can’t imagine what it takes to register an individual business, you should know that everything can be done both with a personal visit to the tax office and through the Internet. The official forms of all the necessary documents are on the website of the Federal Tax Service, where you can print them, fill out and take them to the tax office at the place of permanent residence.
It is important to know that the franchise for the sale of auto parts can carry out its activities not only in a certain region, but later on throughout the country, but entrepreneurship can only be registered at the place of registration. If you are actually located in another region, it will be more convenient to submit documents online through the official tax website. You can also pay state fees via the Internet. After a successful registration stage, the applicant will receive an email with the date and time of receipt of documents for further activities. In this case, you must already visit the tax office in person.
What is a franchise
This type of business represents the opening of a point on the basis of a large influential partner, whose name will be used in the future for the store. The point is that a large partner - the franchisor - makes profit from the use of their own name by other entrepreneurs and their sale of “elder brother” goods. Newly made businessmen - franchisees - thanks to the well-known name and form of doing business receive guaranteed profits. The agreement between the parties clearly regulates their obligations, which must not be violated until its termination. Usually, a subsidiary undertakes to conduct activities only in a certain place and in the declared form, and a major patron is to provide assistance with goods and technologies, provide staff training and other support.
Positive sides
Since the franchise (auto parts) provides for the patronage of a well-known brand, the benefit for a novice entrepreneur consists of several options. First of all, this is a well-known name on the sign of the store, which guarantees stable profit from sales from the moment of opening.
The profit of a large company from a franchisee includes monthly contributions, so the success of its activities is in the interests of the owner, and the latter always provides assistance and support. The issuance of loans to franchisees is almost always approved.
Those who open a similar business are immediately provided with a detailed calculation of the business payback and regular profits.
The flip side of the business is the franchisee’s obligation to conduct business only according to an established scheme. On the one hand, this guarantees a stable income, and on the other hand, it simply does not allow you to make your own adjustments to the work.
Negative moments
The Auto Parts franchise commits itself to working under the strict requirements of a large company, which are described in detail in the contract. Also, since the profits of the main business owner depend on the performance of all the duties of the franchisee, the latter will constantly monitor all activities, and regular communication with him will make the new business part of a large system. New ideas can only be introduced with the permission of the patron, which is very difficult to obtain. But such rules are dictated by the franchise.
Auto parts are always in demand goods. And entering this business is not so simple. It involves full funding of all stages of the opening, as well as payment of a lump-sum payment and further monthly payments. Thus, a guarantee of profit comes at a good price.
In the event of a collapse of the patron’s business, the franchise will cease to act immediately after the expiration of the contract.
Patron Search
The franchise of an auto parts store for foreign cars, domestic or freight models develops successfully only with the right choice of franchisor. Inexperienced entrepreneurs begin their search on the World Wide Web on their own. Of course, such a search will yield results, but it will take a lot of time and effort, so it is best to entrust this moment to professionals. Paid inspection services ask for about five thousand rubles for their reports. Mostly they include private brokers, but it is easiest to check a future partner through the SPARK platform for business. Its reports are provided only upon provision of the TIN of the audited company and within a few hours.
Clients are offered several options for reporting:
- sheet;
- profile;
- finance.
To even choose the ideal option for yourself from the list of verified companies, you will need to spend a lot of time studying the data of each of the possible franchisors. For example, reviews on the AGIRA franchise (auto parts for Korean cars) are positive, and some, even with all their primary attractiveness, according to reviews of real partners, are "not perfect."
Opening point
The franchise "Auto parts for foreign cars" opens much more often than others due to the great demand for these products. When choosing this area of activity and in addition to selecting a franchisor, you need to decide on the premises and staff. Any car shop involves starting capital for opening. For a franchise business, money should also be allocated for a lump-sum payment, so the minimum amount will be a million rubles. It is necessary to rent a room and make redecorating in it in strict accordance with the requirements of the franchisor, but usually this is an area of at least 70 m2where a third occupies the warehouse. The equipment of the sales area also depends on the requirements of the contract.
As a rule, further monthly expenses amount to about 10% of the profit and go to pay:
- salaries to employees;
- utility bills;
- Royalty (Contributions).
According to average estimates, the franchise for the sale of auto parts for foreign cars fully pays off during the first few years of operation for any region.
Equal to foreign manufacturers
According to statistics, foreign cars in our country are much more than domestic. You can even determine this yourself by looking at passing cars. To ensure a regular and decent profit, you should pay attention to this particular type of activity, because there will definitely not be a lack of customers, especially if the store starts operating under the sign of a well-known brand.
So, it is necessary to identify a larger number of cars in a city that does not have a specialized parts store in the same village or nearby.
For example, Korean cars have recently begun to gain popularity, and if the city does not yet have a specialized store, then the franchise of Korean auto parts will be an ideal choice. You will only need to find a suitable patron for the business and arrange a deal with him.
Domestic auto industry
Despite the popularity of foreign cars, domestic cars do not give up their positions and have personal fans. Given the fact that our AvtoVAZ creations break down much more often, and spare parts are much cheaper, the turnover in the spare parts store for such cars will be much larger.
Not very popular franchise
Auto parts for foreign cars are always perceived as a business focused on owners of foreign cars, but you can also direct your skills to large-sized vehicles. Of course, such an idea is not the best option for starting a new business, since there are much fewer trucks, and the profit from such a store will be low. Stable income is provided only by the conclusion of large contracts for the supply of parts, but retail sales will be minimal. If you want to still pay attention to this transport, it is better to sell spare parts for trucks in parallel with the main focus on passenger cars.
Correct analysis
To make the right choice of ideas for business for a particular city, you should study the existing market in detail. To do this, you can perform all the actions yourself or use the services of a specialized service that for a fee will provide a detailed report on the optimal type of business. For this, YouDo service fully studies the demand and offers of a specific city for specific services with a description of the advantages and disadvantages of competitors. Saving time and evaluating the results provided is worth the money spent on this, because on your own, without experience, you can skip many nuances.
Starting a franchise business is easy, the most important thing is to be able to raise it to a certain level in order to make good profit.
