Auto repair business plan

Market condition and structure

[caption id = "attachment_4786" align = "alignleft" width = "300"] car service [/ caption]

The liquidity of the car service market directly depends on the state of the domestic car fleet, and over the past ten years it has increased by 1.5 times, and today 50.5 million cars run on Russian roads. For reference, in 2005 their number was 30 million. According to experts, the number of cars will continue to grow by at least 2.5-5% per year, depending on the macroeconomic situation in the country.

For such a rapid development of motorization in the country, the market for car services does not keep pace. A serious shortage of service stations is still being recorded, especially in the regions. therefore market conditions car service can still be regarded as very favorable, since many motorists face a serious problem of poor quality maintenance of their "iron horses". And the opportunity to open a car service from scratch and in the near future to profit is still very great.

When building a business plan for a car service, you should understand that market structure Car service centers are already clearly formed:

1. Authorized Services. They work under the strict control of official dealers, which, in turn, are controlled by automakers. Control is carried out both according to the criteria of work quality, and according to the proposed service. Even car service advertising will be carried out as part of large-scale marketing programs of the car dealer or car manufacturer. Note that this is the most expensive start for an investor, but the profit here is also high.
2. Network auto services of own brands. This type of car service can be considered as one of the types of franchising. You invest only funds, and the brand owner provides you with proven working methods, provides equipment, and sometimes can even provide specialists. And in this case, the question “What should I call a car service?” Will disappear by itself, its name will be the trademark on behalf of which you will provide car repair and maintenance services
3. Single service points are still the most widespread type of car service. Relatively higher than the listed types of car services, the bar for entering a business is much lower, but, on the other hand, you yourself must be “in the know”, otherwise you will have two ways - or burn out due to the fact that you cannot establish effective control over your business, or become knowledgeable in business and promote a car service.
4. Garage car service. Disappearing type of car service, found in single copies. Everyone who started in the 90s and early 2000s in a garage car service or dropped out of business, or has already moved into one of the three above categories.

Location

If you take into account large cities, in the latter car service should be organized in a newly-built microdistrict, you can even from scratch, if only there was a busy highway nearby. In this case, you do not have to compete with the "old-timers" and wage dumping and not only wars with them. In the case of "bare land" you can even build a car service with your own hands. And a similar option for a single car service may even be the best, because you can always finish building new facilities at the station while expanding your business.

If we are talking about small cities, the principle of choosing a place to organize a car service is the same - a car service should be organized near a busy highway and preferably away from "competing organizations."

When choosing a place, you should also remember that a room for a car service, which is closer than 50 meters from residential buildings or near a reservoir, will automatically fall under the ban on SES.

Premises and land

If you want to enter the segment of authorized or network car services, then immediately expect that the list of car service services will be as wide as possible, and therefore it will consist of several workshops in which different types of work will be carried out. In some cases, the area of ​​the car service will reach 600-700 square meters. m. And be sure to make sure that your car service inside and outside looks presentable. For such car services, the external gloss is as important as the quality of the repair work.

If you decide to open a single car service station, then you can initially limit yourself to one box with an area of ​​up to 100 sq.m. However, this does not mean at all that it can be opened even without minimal cosmetic repairs. Still, customers evaluate the quality of repairs by the appearance of the service station.

In order to rent a room indicated by area, you must prepare the following set of documents.

1. Project documentation that must be submitted for approval to the local administration. Pricing for design documentation will vary greatly from region to region. The project must necessarily describe the heating of a car service, water supply connection, electrical connection and lighting for a car dealership, etc.
2. Then it is necessary to coordinate the project documentation in the relevant commissions. Often this procedure turns into a real bureaucratic hell.
3. Buy back the right to rent a land plot for your car service.
4. Regularly pay rent for land, the size of which varies greatly not only from a particular region, but also from the specific location of the site.
5. After a certain time, you get the right to buy the rented land, which must be done, because this step will greatly commercialize your business, in other words, it will significantly increase its sale value.

Business structure

The standard structure of a car service can be described as follows:

1. Electric shop.
2. Paint shop.
3. Body shop.
4. Locksmith shop.
5. Tire fitting site.

The following types of repair work will be carried out in these workshops:

• car painting;
• battery charging and repair;
• engine repair;
• steering system repair;
• steering repair;
• tin welding;
• balancing and tire fitting;
• electrical engineering;
• control and diagnostic work;
• locksmith work in a car service;
• lubricating and filling work.

This structure will be mandatory for an authorized or network car service, while for a single service station it is better not to spray it, but focus first on one thing and then add additional services to the base. This will be all the more true if you yourself are a dock in some narrow sphere.

Legal requirements for starting a business

Car services today are not subject to licensing. To open a car service it will be enough to get only a certificate of conformity from a specialized company, the number of which is now more than enough. Moreover, the certificate can be obtained without any queues and bribes.

To do this, you will be required to submit title documents to your company, of course, they must be in perfect order.

The staff of your car service should be attended by a person with a technical education, preferably specialized in automobile transport, who would supervise the work.

Staff

[caption id = "attachment_4787" align = "alignleft" width = "300"] Car service staff [/ caption]

Since it is extremely difficult to find qualified specialists at the place of car service organization, then most likely you will have to hire workers from the nearest abroad.True, their qualifications may be, to put it mildly, insufficient, not to mention the fact that they may have language barriers to communication with customers, and the work culture will be extremely low.

Therefore, when hiring specialists from neighboring countries, you will have to maintain iron discipline at the service center and regularly conduct advanced training courses. Otherwise, you will have to regularly “resolve” conflict situations with customers.

And for you, especially at first, you’ll have to work hard for your reputation and even take a penny to get customers to the car service.

Equipment selection

The choice of equipment, and, consequently, the lion's share of expenses at the start of a business, will be associated with the acquisition of equipment for car service. When you enter the niche of an authorized and networked car service, you will be required to purchase branded imported equipment, and, often, what equipment should be purchased, you will be indicated either by the official dealer of a particular car manufacturer or the owner of the brand under which you will open a car service.

If you decide to open a single service station, then you can purchase equipment for car service of a cheaper price segment, since your main trump card is the quality of the repair, and it, first of all, is in your hands.

6. Costly articles

The main costs of your car service will be as follows:

1. Salaries to employees.
2. Depreciation of equipment.
3. Lease and utility payments.
4. Taxes.

Regarding the last point, it is best to register your car service as an LLC and transfer it to a simplified taxation system - 6% of revenue, excluding VAT.

But even with such tax relief, be prepared for the fact that 70% of the proceeds will be consumed by these expenditure items. Although, with proper business organization, the level of expenses can be reduced up to 50%, and even up to 30%. But such a cost-effective car service is achieved only after accumulating certain practical experience in running your business and creating a group of loyal customers who will be ready to order expensive types of repairs.

Then how much can your car service earn? Its maximum revenue level is 15 million rubles. The legal form of organizing your car service, LLC with a simplified tax system, will no longer allow.

In practice, the amount is much more modest. Your revenue, in addition to competition, will also depend on the weather and a bunch of other, sometimes difficult to predict circumstances. In May and August, count on a decline in clientele, and from mid-December to February, the dead season generally begins for car services. In total, you have about 300 working days per year. For Moscow, with this schedule, the annual turnover of a car service will be 250-320 thousand dollars, and in the bottom line you will have about 75-100 thousand dollars. With the cost of car service equipment in the region of 400-500 thousand dollars, the full payback of your business will occur in 5-7 years.

Here we want to emphasize that when citing such a calculation, we only wanted to indicate the payback periods. Even if a smaller amount is required to start your car service, but still its payback will remain in the region of 5 years.