Many people have their own car. Moreover, some families may have several vehicles at once, so various types of businesses that are directly related to cars are profitable and promising. This includes service stations, retail outlets selling automobile spare parts, car dealerships and other organizations. Entrepreneurs often think about how to open an auto parts store from scratch, which, if properly organized, promises to be very profitable.
Preparing for the opening
To run a business competently, an entrepreneur must have certain knowledge of the design of various machines, as well as the main types of their components. In this case, the auto parts business will be understandable and interesting for the businessman, and can become a source of significant profit.
Preliminary stages of work
Before directly opening the selected case, you should perform the following actions:
- Conduct a market analysis. Opening an auto parts store from scratch is not difficult, but it is important to know what competitors there are in a particular region, where these outlets are located, what is the demand for auto parts, etc.
- Decide on the specifics of the chosen business.
- Choose the organizational and legal form of activity, and also decide which taxation regime will be applied.
Trade in spare parts as a business will be successful if all of the above problems and issues are resolved.
Choosing store specifics
How to open an auto parts store that will be profitable and interesting for the entrepreneur himself? To do this, it is important to decide what type of activity will be chosen. It is simply impossible to open a retail outlet that will offer automotive spare parts for all types and brands of cars, so the following store format is chosen:
- sale of spare parts for certain brands of vehicles;
- sale of parts either for foreign cars or for domestic cars;
- sale of spare parts for special equipment or trucks;
- sale of used spare parts;
- trading using an online store.
Opening an auto parts store from scratch in any format is a rather complicated process. In addition, do not forget about numerous competitors. That is why an entrepreneur must choose the option that will be interesting to him.
Choosing a place to trade
It is important to decide where exactly the retail outlet will be located. It is best to choose a separate room, which can be located either in the city center or in a residential area. The premises must have sufficient area to accommodate not only a fairly large retail space, but also a good storage area.
The requirements for the premises will be as follows:
- the area should not be less than 100 square meters. m.;
- all necessary utilities must be connected to the premises, which include sewerage, water supply, heating and electricity;
- there should be no competitors in the immediate vicinity of the retail outlet;
- there should be convenient car parking next to the building where the store will be located;
- the store should be divided into several separate rooms, each of which will have its own purpose (there should be a sales area and a warehouse, as well as a utility room for employees).
Purchase of commercial equipment
To open an auto parts store and start working, you need to install the entire set of necessary equipment in the sales area. This includes:
- showcases and racks;
- shelves and drawers in which you can store small auto parts;
- tables and chairs for workers;
- high-quality office equipment;
- cash machine.
Note! Additionally, in the process of work you will have to purchase a lot of other equipment and elements that simplify the process of doing business.
Formation of assortment depending on the shape of the store
The assortment is completely selected depending on the chosen specifics of the work.
If we talk about how to open a store of auto parts for foreign cars to order, then it is enough to choose a small room in which one manager will work. He will have catalogs that potential buyers will study. After which an application will be filled out and the selected spare part of the foreign car will be supplied. Stores that sell spare parts for domestic cars on order operate in the same way.
Another format will be a store offering a wide range of auto parts and spare parts. How to open a spare parts store in this case? Here it is necessary to carefully consider the assortment, since each customer must find the right item in the store.
Selection of suppliers
Auto parts must be purchased from trusted and reliable suppliers. Therefore, each company with which cooperation is planned must be checked. It should not have any debts or negative reviews, and the organization should not be included in the list of debtors or insolvent companies.
The best solution is to work with official dealers of various brands of auto parts. In this case, you can be sure that all products are of high quality, and if a defect is detected, you can return the product to the supplier.
When concluding a contract, it is important to consider the following terms of cooperation:
- the possibility of obtaining a deferred payment;
- payment must be provided both by bank transfer and in cash;
- the document must provide for the return of defective goods.
You can open a spare parts store even by collaborating with suppliers located at a considerable distance from the store. In this case, all spare parts for cars can be sent by a transport company.
Recruitment
Opening a spare parts store from scratch is actually not difficult. However, for optimal operation of a retail outlet, it is necessary to pay enough attention to personnel selection. It is believed that qualified sellers who are able to advise the buyer are half the success of the business.
Personnel must have the following qualities:
- professionalism, since sellers must inform potential buyers about all the products in the store, and at the same time must interest and captivate them;
- experience that ensures the effective work of each employee who knows how to behave correctly in a given situation;
- communication skills, which ensures the establishment of communication between the store and customers, since silent and gloomy managers do not evoke positive emotions among customers.
Advertising and store promotion
Since the outlet will initially be unknown, it is necessary to conduct a high-quality advertising campaign.
Effective methods for promoting an auto parts store include:
- create your own official website;
- create groups on social networks;
- hand out leaflets on the street;
- Post advertisements on billboards near the entrances of houses nearby the store;
- advertise the store on radio or local television.
Counting expenses and income
The business of selling auto parts is quite profitable if you know where to start and how to develop the activity. However, to open it you will have to initially spend quite a lot of money. While working, you will also have to deal with constant high expenses.
Table. Initial costs (average)
Table. Monthly costs (average)
The markup on automobile spare parts can vary from 20 to 100%. The average revenue of a promoted store is approximately 900 thousand rubles, so the net profit can be equal to 200 thousand rubles. Accordingly, the initial investment pays off within a year.
Summary
Thus, if you have a well-developed business plan in your hands, you can form a profitable and promising business that will be a source of constant income.
The business of selling auto parts has a high profitability of up to 25% and a payback period for the initial investment within 1 year. Every year there is an increase in the number of cars in Russia and the CIS by 10-15%, and the auto parts market is growing accordingly. First of all, the number of foreign cars is increasing. The number of sales of parts through online stores is also growing. In this article we will analyze how to open an auto parts store from scratch with minimal investment and give an example of a business plan with calculations.
Analysis of the auto parts market in the Russian Federation and the CIS
The secondary and primary markets for auto parts are divided. The primary market is the sale of parts for the direct production of the car, the secondary market is the sale of parts through services and stores.
In Russia, according to the analytical agency AUTOSTAT, the share of the primary market is 24%, the secondary market is 76%. Auto parts for domestic cars lead the secondary market. Thus, spare parts for domestic cars account for 58%, and for foreign cars 42%.
One of the factors increasing competition in this market is the unification of parts, when the same elements are used for different brands. There are mergers and acquisitions of small companies by larger ones. One of the negative market trends is the increase in the number of counterfeit parts (from 30 to 50%). In addition, there is a large share of gray imports of original parts.
According to the marketing agency DISCOVERY Research Group, the share of buyers (aged 20-50 years) of auto parts through online stores is 15%, while in the UK it is 70%. The annual growth rate of auto parts sales via the Internet is ~25%. This makes the development of Internet commerce promising for the Russian Federation and the CIS. The figure below shows the top 10 global manufacturers of auto components.
According to PwC analysis
Advantages and disadvantages of an auto parts business
Let's look at the main advantages and disadvantages of a store selling auto parts.
| Advantages | Flaws |
| A large number of potential customers, stable growth of cars (foreign cars) in big cities: Moscow, St. Petersburg, Yekaterinburg, Kazan, Novosibirsk | Complex warehouse and commodity accounting of a large number of small parts. Additional costs for storage facilities |
| High profit margins on auto parts ensure high profitability | A high percentage of defective parts can lead to high costs and a decrease in the store’s reputation |
| Minimum initial investment | A large number of large stores |
How to open an auto parts store: business plan
Form of doing business
Taxation of an auto parts store
When an entrepreneur switches to special taxation regimes, all other types of taxes are not paid. To switch to preferential tax regimes, the annual income of an individual entrepreneur must not exceed 60 million rubles.
Retail sale of auto parts is one of the types of activities that are subject to UTII (unified tax on imputed income). It should be noted that an individual entrepreneur is required to switch to UTII if a law on the use of UTII has been adopted in the region. The tax period is a quarter. The declaration is submitted by the owner quarterly before the 20th day after the end of the quarter, and is paid by the 25th. Tax rate - 15%. If there are more than 50 employees, then it is necessary to report via the Internet. It should also be noted that if the activity of an entrepreneur also involves a type of activity using the simplified tax system, then he must keep separate records! In case of further expansion of activities and increase in sales volume, you will need to become a VAT payer. The reporting form will be - 3 personal income tax.
Stages of opening a store
First of all, you need:
- search for contacts of suppliers of the required brand;
- purchase or rent premises;
- register as a private entrepreneur;
- hire workers.
Before opening an auto parts store, it is important to familiarize yourself with some legal issues. It is not necessary to register as a legal entity.
Choosing a location and premises for a store
Choosing a location is a key aspect of success in this business.. Let's consider the main aspects of choosing a location and premises:
Selection of suppliers
Typically, auto stores enter into contracts with two or three large suppliers, mainly with official representatives. The necessary information for finding dealers is available on the Internet. You should read all reviews regarding a specific supplier. In case of frequent complaints about defects or low-quality products from a particular supplier, it is better to look for another. Poor quality products will ruin the reputation of your store.
After selecting your main suppliers, you should decide on specific products that will allow you to differentiate yourself from your competitors. These can be original high quality accessories or rare oil. Usually the highest markup is on accessories, so this item is worthy of attention. It is important to expand the range of auto parts as much as possible to attract more customers.
Some suppliers deliver goods free of charge when ordering over a certain amount. This is an important additional bonus for you at first, because transportation costs add 2-5% to the cost of the goods. Agree on the possibility of returning defective products, because defects occur even from trusted manufacturers.
Recruitment
You need to prepare to be in the store every day for the first time, playing the roles of purchasing manager and salesperson. Supervision and training of new personnel to the standards of your business is necessary. Often, a buyer coming to a store with a spare part does not know its purpose or name. The seller must learn to quickly navigate and select either an analogue or the same spare part. Therefore, the staff must be experienced and have a great desire to work.
With the acquisition of experience, sales personnel are able to resort to various tricks on how to sell bypassing the cash register using the “left” product. You need to prevent this immediately and decisively. A surveillance camera to monitor trading areas can help here, as well as encouraging workers with decent wages, depending on the revenue received by the store. Create comfortable working conditions to make it more profitable to work honestly. In case of repeated theft, it is better to fire one or two guilty employees.
Calculation of costs for a store with an area of 50 m²
Before, how to open an auto parts store area of 50 m², you need to consider the following costs:
- Documents when applying for legal assistance - 4,000-10,000 rubles. There is no need to save on this, take care of your health and time.
- Retail equipment - per 1 m² of total area, including warehouse - 1000 rubles. In our case, no less than 50,000 rubles. Savings of 20-30% are possible when using used furniture (for example, for a warehouse that is inaccessible to the visitor's eye).
- The initial purchase of goods is no less than 2,000,000 rubles.
- Repair of the premises - about 50,000 rubles.
- Advertising upon opening (flyers, billboards) - 50,000 rubles.
- Signboard - 50,000 rubles.
Total 2210000 rubles. This is the required starting amount to open a store.
We will calculate the required amount of expenses to support the operation of the business, regardless of profit:
- Salary of employees (4 people) - 80,000 rubles. The amount depends on the region and is taken conditionally.
- Rent of premises - no less than 50,000 rubles. If the premises are in Moscow or in the center of a metropolis, then the amount will increase significantly.
- Taxes - 10,000 rubles.
- Utility costs - 20,000 rubles.
Total - 160,000 rubles per month.
Income calculation
The markup on accessories is up to 100%, and on expensive spare parts - from 30%, the average markup is 50%. Having goods worth 2,000,000 rubles in a store with an area of 50 m² in a busy place, you can earn more than 1,000,000 rubles.
Let's calculate the income of an auto parts store:
- Revenue - 1,000,000 rubles;
- Cost - 660,000 rubles;
- Monthly expenses - 160,000 rubles;
- Net profit - 180,000 rubles/month.
So, business profitability is 18% ( net profit/revenue).
We calculate the payback period for long-term investments: divide 2,210,000 rubles by 180,000 rubles, we get a little more than 12 months.
Due to the low barrier to entry into the business and its high profitability, the auto parts market is characterized by very tough competition. Therefore, it is important to choose your own specialized niche, in which you will need to distinguish yourself with high quality service. Examples of such niches:
- right-hand drive Japanese cars (rare parts, can be brought to order);
- foreign and domestic trucks (heavy wear and tear due to commercial use);
- domestic passenger cars (often break down).
The most popular products, regardless of niche:
- engines;
- bumpers;
- side doors;
- brake lights;
- headlights;
- side mirrors;
- hubs;
- racks;
- pendants.
To simplify the work of a sales manager, you can use special programs. The manager will have access to information from a single source. The saving of his working time will be 30-50 hours per month. The payback period for such a program is 1-2 months. One of the good options for such a program is “Auto Business Assistant”.
For a motorist, the most valuable qualities in a salesperson are the competence and ability to help in selecting the necessary part and to adequately assess its quality. The customer will become more loyal if it is possible to return a defective part. When selling, it is important to give it a guarantee, which is provided by law. It is important to create in the client the feeling that he has purchased the best at the best price, and if something happens, the money will be returned to him.
Not the best option is to lure people with penny discounts or low prices. This will alienate those customers who believe that good things don’t come cheap. In addition, your credibility, which accumulates over the years, may suffer.
So, after assessing all the risks and expenses, you can start your own interesting, but difficult business of trading auto parts. Income will gradually increase over the years if everything is done correctly.
Cars have ceased to be a luxury for many people, since they are an indispensable element for free and easy movement. Therefore, all types of business related to vehicles are considered profitable, profitable and promising. This leads to many aspiring entrepreneurs thinking about how to open an auto parts store from scratch. It is important to understand the proper composition of the assortment, methods of attracting customers, as well as other nuances. A competent business plan for an auto parts store will allow you to determine all the sequential steps for organizing a business.
General description of the project
Goals and objectives
The purpose of opening a store is to make a profit and provide the optimal assortment to potential customers. To achieve this, numerous tasks are performed:
- the optimal place to start trading is located;
- current and in-demand auto parts are purchased from different manufacturers for various types of vehicles;
- Buyers are attracted in all possible ways.
Important! Consistent implementation of all stages of a competent business plan ensures the achievement of all business objectives.
Possible store formats
Retail outlets selling spare parts for cars can be presented in several formats:
| Store form | Its features |
|---|---|
| Ordinary | It consists of creating a standard retail outlet in a high traffic area. It creates an optimal assortment of products intended for different brands of cars. It is recommended to offer both original and non-original spare parts. |
| With service | Opening such an establishment will require significant initial investment. A store opens next to which a car repair service is organized. In this case, each visitor can repair the vehicle by purchasing spare parts for these purposes in the store. |
| Online store | Online trading is becoming increasingly popular and relevant, as online stores offer their customers a wide and rich range of products at affordable prices. You don’t have to spend a lot of money to open such an establishment, and you also don’t need to pay salaries to sellers, caretakers, drivers and many other employees. |
The choice of work format depends on the financial capabilities and wishes of the entrepreneur himself. Most often, a standard store is chosen.
Possible franchises
If an entrepreneur does not have the necessary knowledge to open a business on his own, then he can take advantage of the offers of other large and well-known companies that sell franchises. In this case, all information on the phased opening of a business will be received.
The most interesting franchises in the field of auto parts trade are:
- Avtozum – specializes in the sale of curtains for cars;
- Khorda – sale of new spare parts for cars via the Internet;
- AutoDukan – sale of new spare parts, as well as parts from car dismantling.
Important! There are many other franchises, each of which has its own characteristics, so before purchasing it is important to evaluate the profitability of the purchase.
Industry Analysis
Competitor analysis
Every city has many stores specializing in the sale of auto parts, so it is important to evaluate all competitors to determine their pros and cons. This encourages the opening of a store that takes into account the shortcomings of similar outlets.
An important aspect of successful trading is not only the quality of the goods offered, but also pleasant and competent service.
Opening any business involves various risks. When creating a store selling auto parts, the following risks are taken into account:
- complexity of commodity accounting due to a significant assortment;
- frequent deception on the part of employees;
- a large number of defective parts returned by dissatisfied customers;
- selection of unreliable suppliers;
- high competition and difficulty entering the market;
- the need to create a significant assortment from the first days of work, which leads to the need to invest a significant amount of money in the business.
Important! If you take these risks into account, and also act in the interests of potential buyers, then there is a high probability of firmly occupying a certain niche in the market.
Marketing plan
For the effective operation of any retail outlet, constant sales are necessary, for which the store is obliged to carry out various measures to stimulate it and attract customers. The most effective for an auto parts store is:
Equipment
To trade auto parts you will need:
Important! Some suppliers offer free commercial equipment that only carries their products, which will allow you to significantly save on the initial investment in starting a business.
Suppliers
Large auto parts stores always cooperate with several suppliers at once, but it is advisable to establish contacts directly with manufacturers, and not with intermediaries, since in this case the minimum purchase price will be obtained.
Finding suppliers is quite easy using the Internet, and some companies may offer to become their representatives, which will allow you to get the minimum purchase price for their goods throughout the region.
Organizational plan
It is important to choose professional and experienced workers wisely. For official work, a business is registered, after which a schedule for opening the store is determined.
Required Personnel
The results of the organization's activities directly depend on the store employees. At the first stages of work, an entrepreneur can independently act as a seller, but over time he will have to hire workers. They should be:
- qualified;
- experienced;
- polite and friendly;
- neat and attractive.
In this case, numerous customers will be happy to return to the store for repeat purchases.
Business registration
Most often, to open a store selling automobile parts, the organizational form chosen is individual entrepreneur. Registration of an individual entrepreneur does not take much time and requires minimal documents.
Opening schedule
You can open an auto parts store in a short period of time, during which the main stages of the process are implemented:
- market analysis – 1 week;
- business registration – 2 weeks;
- selection of premises – 1 week;
- carrying out repair work – 2 weeks;
- selection of suppliers – 1 week;
- purchase of equipment for trade – 1 week;
- assortment formation – 2 weeks;
- selection of employees – 1 week;
- store advertising – 2 weeks.
In three months, you will have a full-fledged store with a staff, a wide and deep assortment and an effective marketing program.
To open an auto parts store you will need 2 million 247 thousand rubles:
- business registration – 2,000;
- renovation of the premises - 45,000;
- advertising expenses – 80,000;
- purchase of commercial equipment – 120,000;
- compilation of assortment – 2 million rubles.
Monthly expenses amount to 913 thousand rubles:
- premises rental – 30,000;
- employee wages – 55,000;
- taxes – 15,000;
- utility costs - 8,000;
- advertising – 5,000;
- renewal of assortment – 800,000.
Most often, monthly revenue is 1 million 100 thousand rubles. Net profit is approximately 180 thousand rubles. The investment pays off within one year of operation.
Thus, any business related to cars is considered profitable and promising. A properly opened auto parts store will bring its owner a high and constant income. As it develops, additional services may be offered.
Doing business these days is very prestigious, and it is important to find a business that you like. For example, if you are interested in cars, you can dedicate your business to them. How to open an auto parts store from scratch? Trade business plan, advice from knowledgeable people and assessment of the profitability of activities.
First stage
It all starts with studying the market of such stores and the production of auto parts. In addition, it is worth studying the popularity of each store in the city in order to understand what exactly is important to people and what interests them.
Directly for this, you need to independently conduct demand analysis for various types and types of automotive components and spare parts. You cannot open a business in a certain field if you are illiterate in it. Among other things, pay attention to the concept of stores in your area. Surely it is quite diverse, and it is at this point that it is worth dwelling in more detail.
Types of Concepts
Undoubtedly, the organizational structure is extremely important, but it is simply impossible to cover everything, so you need to carefully concentrate on specific specifics. There are several different sales formats to choose from:
- used parts;
- spare parts for specific car brands and companies;
- auto parts for a certain type of car (for example, special equipment);
- spare parts exclusively for foreign or domestic cars;
- sale of goods via the Internet.
To successfully confront financial problems and competition, you need to love what you do, so you should choose a concept that is interesting to you personally. Of course, there is also the concept of a franchise system, but we will talk about that much later.
What is important to pay attention to and what you should prepare for in advance:
- To begin with, it is worth drawing up a specific and clear business plan, which will take into account rental, purchasing, registration and other monetary costs not only for opening, but also for further maintenance specifically in your area.
- Try to enter into agreements with taxi services and supply them with your goods. Try to make connections with different people in the automotive industry.
- At first, stick to purchasing spare parts from a small number of different auto companies.
- Be sure to organize the sale of universal products, such as motor oils, windshield washers, scrapers, and other things.
- If possible, have extremely close communication with all suppliers of goods for the store.
- If, within a certain time frame, you do not have time to get the client the goods he needs a couple of times, he will move to a competing salon, probably capturing a couple more potential buyers.
- Be truly savvy when it comes to automotive parts so you can figure out what the buyer needs at a glance.
- It is very important, especially during a crisis, to know that domestic spare parts are sold faster and more often, since they have a lower cost compared to foreign analogues, and foreign cars break down much less often than the CIS automobile industry.
- Keep a close eye on changes in the automotive parts market to gain new experiences and understand the latest trends. This will help you become a market leader in your region in offering the most modern and high-quality products.
- The name should be sonorous and memorable. The banal “Auto shop” and “Spare parts showroom” are not recommended, but you shouldn’t get too sophisticated either. You need a capacious, memorable word or phrase that will appeal to the main male audience, but will not become a faded spot among other options on the market.
- To seriously reduce your business plan in terms of money, you should start organizing an online auto parts store. This concept is also suitable for those who have some problems with large supplies of goods, because they can be purchased by order. It is important to understand how to open an online auto parts store. It will take longer to develop this version of the store, because the difficulty lies in huge competition and not too many advertising opportunities.
Your advantages may include lower prices, extremely fast delivery, concluding deals with real official suppliers, and correspondingly increased quality of goods. Of course, you can entice with promotions or discounts, especially in the first months.
For example, you can download with calculations.
Registration
There are two legal forms to choose from: individual entrepreneur and LLC. An individual entrepreneur provides the opportunity to freely sell auto parts, parts and various related equipment, but exclusively to individuals. Actually, the individual entrepreneur is an ordinary store.
LLC allows you to work directly with enterprises, supplying, for example, equipment for the production of new cars, products for road transportation and other similar opportunities. In addition, it is the LLC that gives the right to create an entire network of showrooms from one auto shop. It is worth noting that this option is more suitable for already established entrepreneurs, but for beginners it is better to start their own career ascent with an individual entrepreneur.
Choosing a suitable place
Opening an auto parts store from scratch involves a preliminary search for a suitable location for the store, be it a separate building or a room on the ground floor of a residential building. Shops in residential areas are more popular. If you want a large number of visitors and buyers, then you should open a store near the road, gas stations and car service stations.
It is imperative to arrange special parking spaces for visitors by car with at least five spaces. It is also important to ensure that there are no competitive sites nearby.
Find a comfortable and truly suitable room of at least 60 square meters. The more brands of spare parts you try to illuminate, the larger the area should be.
In addition, it is extremely important to review the terms of the agreement with the landlord in order to avoid problems. Remember that your premises must have all the main communications, as well as separate rooms for storage and utility rooms. If you decide to go through a franchise, you won’t have to look for a location.
We purchase the required product
You need to choose the specifics of the products offered to customers. An option that will not let you down would be the purchase of parts and spare parts for domestic GAZ and VAZ vehicles.
They constitute the largest community of cars and trucks in our country, and besides, it is domestic cars that break down more often than others. For other CIS countries, be it Belarus or Kazakhstan, the same is true. In addition, you can organize additional sales of spare parts at reduced prices by purchasing them at auto repair shops.
The idea of pre-organizing mass deliveries of several specific brands is also correct from the point of view of work organization. An agreement with the supplier allows you to quickly receive individual specific parts if necessary, or simply receive the goods faster.
You don’t have to pay close attention to the spare parts that are purchased, because they will be supplied of high quality. Also, communication with official representatives adds trust among buyers. Another plus is the ability to display logos of famous brands on a store sign.
You will definitely need several different suppliers so that the auto parts store, like the business itself, does not depend on certain circumstances. Don’t be afraid to check the formality and honesty of the supplier, because you risk losing money and the trust of customers.
Here's a sample of the parts that will bring in the most money:
- headlights of several of the most common types;
- brake lights;
- side mirrors for rear view;
- bumpers of different lengths;
- doors of various formats;
- engines and related spare parts;
- Automatic transmission and so on.
For entrepreneurs working as a franchise, almost all of the above will be irrelevant.
We recruit suitable personnel
Personal knowledge in the matter will not be enough to properly operate the salon, but it will help to find worthy individuals who are ready to gain experience. Don’t be afraid to hire young employees, they have a lot of ideas and learn quickly, and besides, a young employee will be more friendly and patient, sociable and courteous. The main thing is to remember that you need to select those people who can become the face of the salon.
The main point where to start an interview is the person’s knowledge of auto parts and brands. Look at their ability to speak clearly and distinctly, not be shy and offer their own options.
By the way, you should also meet your employees halfway, motivating them with pleasant additions to their salary. If your store has just opened and you have hired a young employee, assign him a salary tied to revenue, setting, of course, a minimum level.
Remember to be present and involved in the salon at all times. Often, for projects developing from scratch, it is important to save even on small things, so for the first time you should deal with goods accounting, bookkeeping and control over employees yourself. In the future, your business idea will need an experienced accountant, manager and senior salesperson. By the way, it is worth hiring an accountant on a part-time basis.
Financial side of the issue
Let's say we open a medium-sized store of a hundred square meters with a fairly convenient but long work schedule from 9 am to 9 pm, four employees in total, with plans for domestic and some foreign cars and an extremely small markup on goods. The cost table looks something like this:
| Expense line | Amount in thousand rubles | |
| 1 | Rent of premises for two months | 120 |
| 2 | Repair | 130 |
| 3 | Marketing campaign | 110 |
| 4 | Purchase of necessary equipment | 300 |
| 5 | Salesperson salary | 30 x 4 + % of revenue = (about 400) |
| 6 | Public utilities | 20 |
| 7 | Purchase of goods | 800 |
| 8 | Registration and documentation | 40 |
| 9 | Contingency reserve | 20 |
| Total: | 1 920 | |
In total, opening an auto parts store for foreign and domestic cars costs about two million rubles. You need to remember that monthly expenses will include rent, utilities, employee salaries and additional purchases of goods, which means you will have to spend about another 700 thousand rubles.
What is the revenue?
Revenue usually depends on how to start, how well the purchase of goods is thought out, how high-quality the advertising is and how good the location of the store is. It is important that the amount of money received for the sold product restores the amount spent per month and adds an even larger amount.
In the example above, this salon will bring the entrepreneur about 200 thousand per month. They come out of a store income of 1,200 thousand rubles, payment of monthly expenses of 700 thousand and payment of tax of 300 thousand. Roughly speaking, the recovery of 200 thousand rubles every month will cover the costs of opening the project in 10 months. But our analysis is not completely objective; in reality, the profitability will be only 11% and a year and a half of work.
Video: how to open an auto parts store from scratch?
Working with a franchise
In fact, you get a ready-made business, and therefore you do not have to risk the money invested in a zero-cost project.
Franchising is the purchase of the opportunity to join an already well-known network of salons, opening your own on its basis. It is reliable, profitable and quite inexpensive compared to opening your own establishment.
The disadvantages of working in franchising are that you cannot escape from the general concept of the chain. You must exclusively supervise and administer one of the stores, subject to the rules of senior management. For many, this limitation becomes unacceptable.
Instructions
The first thing you must do when organizing your own business is to register as an individual entrepreneur or legal entity.
Start looking for premises for your business. When choosing it, take into account the size of the initial capital and the range of auto parts - maybe it will be a pavilion or a large store. It is good to locate an auto parts store near a car wash or service station, or even in the area of a large transport hub.
Start purchasing the necessary commercial equipment. The smallest list of equipment for an auto parts store includes display cases, cash counters, shelving and a couple of computers with Internet access. Choose a reliable supplier of auto parts, as your profit greatly depends on this. Work with those suppliers who will offer more favorable delivery conditions, bonuses and discounts for their partners. When concluding a contract with suppliers, try to minimize the price of the product and its delivery time, since a shortage of spare parts will be a risk for your store.
An increase in the number of cars leads to an increase in demand for spare parts for them. Therefore, the business of selling spare parts is becoming more and more profitable. To successfully trade in auto parts, you need to know the specifics of this market.
You will need
- - business plan;
- - documents on registration of a legal entity;
- - premises;
- - retail store equipment;
- - goods;
- - salesman;
- - advertising.
Instructions
To start selling spare parts, you need to draw up a business plan. It calculates all the financial indicators of the future company. A business plan can also be useful for applying for a loan from a bank to open or develop a business.
The company must be registered with the tax authority (individual entrepreneur or LLC will do). It is imperative to choose a convenient taxation system. For trade, the ideal option is non-imputed income tax, when monthly contributions are made in equal payments, depending on the square footage of the retail premises. In addition, such a taxation system will help save on cash and accounting services.
Next you need to find a room. It doesn't have to be big. Ten square meters will be enough. The main thing is to choose the right location. It is optimal to trade spare parts on the federal highway, as well as near car services, gas stations, car washes and other places where motorists congregate.
When the premises are ready for use, you need to install commercial equipment there. When buying counters, racks and display cases, do not forget that there are very small parts that require small boxes and hooks.
It is better to purchase spare parts for opening a little. Consumables must always be available: filters, oils, windshield washers, fuses. And you can order everything else by. To receive dealer discounts, you must enter into agreements with their suppliers.
Hire a salesperson. He must have a good understanding of the structure of the car. You can save money when you first start by standing behind the counter yourself.
note
Sometimes it happens that a client, having ordered a product, does not come to pick it up. And some spare parts are very voluminous and expensive. Be sure to protect yourself. An excellent solution is prepayment.
Helpful advice
Offer to become a supplier of spare parts to various car services. To lure them, offer discounts based on sales volumes.
Every car owner sooner or later is faced with the need to purchase car parts. You can go to the store and buy the part you need, or you can visit the market and select the necessary goods there. What should you pay attention to when visiting a car market, and how to behave correctly so as not to become the owner of a cheap, but not very high-quality thing?
You will need
- money
Instructions
Be careful - counterfeits and refurbished parts are often sold in markets. Many spare parts (such as ball joints or steering links) that do not comply with the standards can directly affect driving safety.
If you don't know much about cars, ask someone who does know to go with you. It is very good if this is an employee of the car service center where you are going to have your car repaired. If you can’t find a professional repairman, look for an experienced car owner who can insure you.
When visiting a car market on your own, be sure to pay attention to how the goods are stored. For example, chemical products should not be kept outside during the cold season. You should not purchase parts if they are piled on the ground or scattered around in a large box. Such parts can be purchased from “leftist” manufacturers who are not too concerned about the quality of the product, or purchased at a reduced price from large production facilities due to defects. Look for the parts that are in the package. This is not a prerequisite, but can guarantee acceptable quality of the spare part.
Check parts for traces of fresh paint. Find out in advance what a particular detail should ideally look like and don’t hesitate to look at it. Ask the seller for a receipt. This will help you exchange defective goods without any problems. Be sure to remember who exactly you are buying spare parts from.
Don't be afraid to buy accessories and parts on the market that do not affect your driving safety. In this case, you do not lose anything, but, on the contrary, you save - the price in the store will obviously be higher. Don’t let your guard down and don’t get distracted by the seller’s stories about the unsurpassed quality of his product. Rely only on yourself, on your experience and knowledge.
Video on the topic
Instructions
Before choosing parts, familiarize yourself with the main groups of spare parts manufacturers. There are parts that are made by the auto company. Such parts are ideal for a specific model. They are distributed mainly by large dealers, therefore they are sold in large showrooms and have a fairly high price. The other group is non-original parts. They are manufactured by fairly well-known companies that have special licenses. These parts are somewhat lower in cost, but are of good quality. And there is a group of products that are produced by small, narrowly specialized companies. They are significantly lower in cost, and their quality also fluctuates in one direction or another.
The markets mainly offer non-original products. Therefore, if you want to save on price but buy a quality product, take a closer look at the spare parts. Original parts will be packaged in special factory boxes and will bear the company's mark. Cheap counterfeits can simply be wrapped in wrapping paper; they are made rather crudely and of poor quality.
For the most important components and parts, buy only original ones or duplicates produced by Japanese and European manufacturers. But small parts, for example, candles, filters, belts, can be purchased at a lower price, but always from manufacturers with a good reputation. To do this, preview reviews of the best fuel-efficient brands on various car forums.
When going to the market, take the old part with you. When selecting the necessary new spare part, compare it with the old one. This way they won’t sell you a product of a completely different model.
Video on the topic
Helpful advice
If you have the opportunity to check the part in operation, never refuse this opportunity. This way you will be convinced of its quality, and you will not have any suspicion of the seller’s integrity.
Certain spare parts for specific car models.
If you want to save a little money, look for car parts in the second group of price segments, which are sold not from the automaker itself, but directly from the parts manufacturer. When checking such spare parts for your car, look at the brand and markings. And in this case, the part should not indicate the name of the car brand or car manufacturer, but the name of the enterprise specializing specifically in the production of such auto parts.
If you want to buy spare parts on the market at the lowest possible prices, think about the reliability and safety of such parts. As a rule, the third group of the price segment includes auto parts from third-party manufacturers that are in no way connected with official dealers of the automaker and factories cooperating with car manufacturers under existing contracts. Find out who makes the parts and whether the seller provides any warranty on them, and when you go to the market, take the old part with you so you can compare it with the new replacement part.
When buying spare parts for a car from third-party manufacturers, be extremely careful, since even after testing, new parts may slightly differ in size from the original factory parts. If you decide to purchase such spare parts because of the attractive price, be sure to check the quality certificate from the seller and check the manufacturer’s name indicated on it with the marking on the item being purchased. If you observe the slightest discrepancy, refuse to make a purchase that is obviously unsafe for you. But even purchasing spare parts with the logo of a well-known supplier at the market does not guarantee their proper quality, since counterfeit products are often found in the markets.