Here are 10 Steps to Start Tire Shop Business
- Do Market Research. The first thing before starting a tire shop is to understand the demand for the local market. ...
- Choose the Products. The inventory to be kept in your shop largely depends on the type of vehicles on the run in your vicinity.
- Business Plan. On the information received on researching the market, it is extremely important to craft a business plan for your tire shop.
- Selecting the Type of Tire Shop. There are many ways of starting a tire shop. ...
- Make the Tire Store Legally Compliant. Talk to the local appropriate authority and get the required licenses and permits to start and run a tire shop.
- Choose a Retail Space. Selecting the proper location for your tire shop is perhaps the single most critical decision to be taken while running a profitable tire shop.
- Hiring Manpower. While running a tire shop, you will need good efficient manpower both for administrative and technical purposes.
- Procuring Inventory. If you have planned to sell tires or a single brand or buying a franchise, selecting and procuring inventory will be much easier.
- Selecting Business Software for a Tire Shop. If you want to run your business professionally, you must equip your tire store with relevant software.
- Advertising a Tire Shop. As with any other retail business, it is all about traffic to make a tire shop profitable. ...
Is it safe to open a tire repair shop?
If you want to open a tire repair shop, you’re thinking the right way. Business is always risky, but if you want to run your own business, there are fewer industries that are as “safe” as the tire repair business. The safety and surety of the investment into a tire repair shop is due, largely, to its massive customer base.
How to start a tire shop?
The first thing before starting a tire shop is to understand the demand for the local market. Essentially, tire stores are seen doing good business in cities and small towns. Also, strategically located spaces beside highways also are much-sought-after locations for tire stores.
How do used tire businesses make money?
A used tire business makes money by selling used tires to customers. Most tires are sold individually, in pairs of two or in sets of four. Tire Business reports that the average sale at one business, Drakes Tire’s, is a pair.
Should your business add tire installation and repair as a service?
As the number vehicles on America’s roads increases each year, opportunities to serve this customer base grow as well. Automotive repair shops may also consider expanding their business by adding tire installation and repair as a service to their customers.
Is owning a tire shop profitable?
How much can you make owning a tire shop? The amount a tire repair shop brings in can vary widely. However, a moderately sized shop with a few employees and service bays can bring in between $36,000 and $60,000 per month. That could lead to monthly profits of $20,000 or more.
What tools do I need to open a tire shop?
Auto repair equipment that you will need to get your shop ready for business may include:Tire Changer. One of the most commonly used machines and a staple of every shop is the tire changer. ... Wheel Balancer. ... Two Post Car Lift. ... Alignment Lift. ... Wheel Alignment. ... Oil Extractor. ... Tire Inflation System.
Can you make money with a tire machine?
With a wheel balancing and tire changing service one family vehicle can make you about $150 per year which may not seem like a lot but multiply that times the 8,000 potential families living in your town for a task that takes your technician 45-60 mins to complete.
How do I start a successful tyre business?
0:291:42Top Shop Tips: Running a Successful Tire Business - YouTubeYouTubeStart of suggested clipEnd of suggested clipOn on building individuals concentrating on making them. Successful making them good business.MoreOn on building individuals concentrating on making them. Successful making them good business. People don't concentrate so much on inventory. And and and the minutiae of the day.
What is the average markup on tires?
The normal markup on auto parts is in the 30 to 40 per cent range, but tire sales are so competitive, very few garages ever attempt to earn this type of profit.
How much investment is required to open a tyre shop?
Invest required for tyre business You require an investment of around 5 lakh rupees to start a two wheeler and four wheeler vehicle tyre shop in India. The ongoing expenses are labor salary, utility bills, shop rent and adding stock.
What size air compressor do I need to run a tire machine?
A portable 1 or 2 CFM compressor, at 90 PSI, should serve you well for filling car tires. If you need to run a tire changing machine, though, then you will need 4 CFM or so.
How do you organize a tire warehouse?
1 of tire storage is to always use high-quality, reliable industrial racking systems to keep vulnerable materials out of harm's way.Do: Clean Tires Beforehand. ... Do: Store in a Cool, Dry Place. ... Do: Make Minor Repairs. ... Do: Label Sensibly. ... Don't: Stack Them Directly on the Floor. ... Don't: Store Them in Direct Sunlight.More items...
Who makes snap on tire machines?
Snap-on Inc.Snap-on Tools, a subsidiary of Snap-on Inc., has introduced a tire changer with a two-speed turntable that offers a forward speed of 14 rpm to provide faster throughput when mounting the initial bead.
Is a mobile tyre business profitable?
According to the British Tyre Manufacturers' Association (BTMA), around 50 million new tyres are supplied in the UK each year. In addition, the demand for mobile tyre-fitting services during the pandemic is on the rise, making mobile tyre-fitting a lucrative business.
How do I promote my tire sales?
Auto Industry Marketing Tips: 17 Ways to Sell More Tires Using Engaging In-Store ContentGo Digital.Educate About Tire Wear and Tear.Explain How to Buy Tires.Assist the Autonomous Shopper.Provide Interactive Research Portals.Repurpose Existing Content.Utilize Seasonal Content.Automate Your Content Using Weather Parting.More items...•
How can I be a good tire salesman?
1:1614:43Tire Selling Skills - Part 1 - YouTubeYouTubeStart of suggested clipEnd of suggested clipWe'll get information about the purchase that they're going to make the internet huge difference allMoreWe'll get information about the purchase that they're going to make the internet huge difference all right so now not everybody is purchasing their ties on the internet.
What tools are needed to change tires?
Tools to Change a TireA manual car jack designed to raise your vehicle high enough to remove the flat tire.A spare tire. ... A lug wrench or torque wrench. ... Wheel wedges. ... A portable tire inflator.A tire gauge to read the recommended tire pressure.
What is the profit margin on Tyres in India?
The margin is going to be around 12 to 15 percent, and the average Return on Investment is around 36%.
How do you maintain tires?
How to: Make Your Tires Last LongerCheck Your Tire Air Pressure Monthly. Take the easiest step to extend tire life: Maintain the correct air pressure. ... Get Your Tires Rotated Every 5,000 Miles. In most cars, only one or two wheels “drive” the car at a time. ... Have Wheels Balanced. ... Check Your Alignment Twice a Year.
How can I start a tire shop business in India?
Legal compliance Required to Start Tyre Shop After company formation, you will need to have a Trade License from the Local Authority. Obtain GST registration as soon as possible. You can also start the tyre store business by having Authorized Distributorship of any renowned tyre manufacturing brand.
What are the pros and cons of franchise?
Some of the pros include a business model that is proven to work, and you get an established business name, while you benefit from national marketing. Some of the cons include restrictions, for the way you run your business. Plus you may be paying royalties on your revenue.
What are the disadvantages of franchises?
One of the disadvantages is you also inherit the bad things that come with the business, such as a bad reputation. It’s also harder to turn around an existing business than it is to set a path for a new business. You can also look into getting into a franchise. A franchise has its pros and cons.
Why is it important to get into a business?
It’s important to get into a business you are interested in and something you enjoy doing. If you get into a business just for the money you may not be happy . You may enjoy the money but if it doesn’t make money you’ll be looking for ways to get out of the business rather than ways to make the business work. Resources.
Why is it important to have the right equipment?
Having the right equipment will pay off because you’ll have what you need to get the job done effectively and in the least amount of time. One important issue you want to make sure you have is the proper insurance coverage that will protect your business from damage, accidents, and lawsuits.
Why do you need to make sure the market isn't saturated?
On the other hand, you need to make sure the market isn’t saturated because it will be difficult to compete unless you bring something to the market that other shops don’t have or improve on a service that is being performed poorly.
How to Open a Tire Repair Shop: Step 1 – Franchise or Independent?
As a franchisee, you’re pretty much your own boss. But you still get some guidance, training, and support from a franchisor.
How to Open a Tire Repair Shop: Step 2 – Location, location, location
To deal with location, you must first look at the macro and then micro level. Presuming you’re not looking to move to open your tire repair shop, you need to figure out which franchisors are looking to sell tire repair franchises in your city/area. Then, you should find one of those franchisors to work with you on finding the exact location.
How to Open a Tire Repair Shop: Step 3 – Who are your Customers?
The tire repair business is buoyed by the fact that its customer base covers everybody who drives. But such a massive customer base can make it difficult to profile your customers and figure out the specificities of what they want. But that doesn’t mean you shouldn’t try.
How to Open a Tire Repair Shop: Step 4 – Financing
How will you fund the opening of your tire repair shop? Do you have all the necessary capital already squirreled away? Or do you require a loan? Top tire repair franchises can work with you to secure third-party financing.
How to Open a Tire Repair Shop: Bonus Step 5 – Contact Tuffy Tire & Auto Service
Tuffy Tire& Auto Service has been running successful franchise locations for decades. Before you go any further, you should talk to us to see if we’re looking for franchisees in your area. To contact us, please click here.
Craft a business plan
Before starting a tire business, you should craft a business plan for the tire shop and choose your niche, as the decision is necessary to sell online or open a brick and mortar tire shop. Also, plan about what services and products you will offer in your tire business to your customers.
Research the tire market
Before starting a tires business, you should research the target market of tires, audience, and your primary competitors. Analyze the structures of businesses, case histories, expenses, how the industry is growing, and assets the startup costs.
Secure funds for your tire shop
Running a tire shop is not an easy task, as it may need to get a loan to invest in starting up the new tire shop and the tire repair shop. Your business plan will be a great tool to determine whether your brand defines the products, whether the steps are accurate or not, and how much your tire shop business is viable.
Choose an ideal location
Opting for an ideal location is an essential factor in running a successful tire business of tires. Your shop should be at such a location where not so many of your competitors exist.
Accessibility
Your tire shop should be where access to multiple roads is easy, as it will be profitable to get the target customers.
Visibility
To offer visibility to your business, the tire shop should be at the prime location to be visible to everyone. The location of the tire shop should be near the road networks.
Storage space
You will need a big store to keep the stock of tires for an extended period.
Prerequisites
You might well think that you need to know something about auto repair to run a successful tire & auto repair business. Yes, of course, if you have previously worked as a mechanic or if know enough to repair minor problems on your own vehicle, you’ll have a leg up on those who know nothing about tire & auto repair business.
Go it alone or Adopt a Safety Net?
Let’s deal with this right now before we get into further details. Should you pay the initial franchising and royalty fees for a franchise or should you boldly go it alone? Both have their pros and cons, but when you stack them up together, there is a clear winner.
Where to?
You can’t open your tire & auto repair business just anywhere. You need the right locale. Small and rural towns are charming and quaint, but they’re not necessarily the best place for a tire & auto repair business. To give you access to enough potential customers, look in and around suburban and urban areas.
How many used tires are sold annually?
The used tire industry is strong and growing. According to the Rubber Manufacturers Association (RMA), between 30 and 35 million used tires are sold annually. About 10 percent of drivers have these tires on at least one vehicle.
How long is Rob's used tire warranty?
Rob’s Used Tires offers two-, four- and eight-week warranties based on tire grade.
What is the job of installing used tires?
Selling used tires to customers. Installing used tires that customers purchase. Installing tires involves removing tires that are currently on a vehicle, and mounting and balancing the used tires that are purchased.
What is a used tire shop?
A used tires shop business is generally run out of a “garage,” a retail location uniquely equipped to store and repair cars. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO). A CO confirms that all building codes, zoning laws and government regulations have been met.
What is the target market for used tires?
The target market of a used tire business is anyone who owns a vehicle and wants to save money. All vehicles need tires, and many drivers are willing to consider used tires because they provide an excellent value.
What are the best resources for entrepreneurs?
One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need. Having a support network in place to turn to during tough times is a major factor of success for new business owners.
What is a strong brand?
Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.
Know-how about tires and vehicle servicing
Wheels and tires are more complicated than they look. They come in different sizes, shapes, utility and prices. There are tires for commercial or industrial trucks, and for sports vehicles.
Strategic Location
The ideal location for a tire shop is near a busy road or a high traffic area with good visibility, an interstate highway, near some truck stop or gas stations.
Tire Supplier
You can buy tires direct from manufacturers, from tire distributors or be an authorized distributor of popular tire brands such as Goodyear, BF Goodrich, Bridgestone or Michelin.
Substantial Space
As mentioned, tire stores are usually not just a mere tire store. It would have bays for servicing, an office, client lounge, and showroom. It would also need space for storing inventories and substantial parking space for customers and for suppliers.
Substantial Capital
You’d need this particularly to buy inventories, diagnostic and service equipment and buy or rent a property for the location of the store, servicing bays, and parking. This business requires considerable space to operate, which translates to considerable capital requirement.
Business Strategy
If you are directly competing with another tire retailer, you’d need some strategy to get ahead of the competition or at the least, to survive. If you are competing with a larger store, it would be difficult for you to compete directly on price.
System to track and manage payables, inventories, and sales
You also need to keep yourself updated about the happenings in the industry, which is very dynamic and changeable. Most importantly, you need to know information such as tire recalls, and changes in governance policies that affect the tire business.
What is the most important decision to make when running a tire shop?
Selecting the proper location for your tire shop is perhaps the single most critical decision to be taken while running a profitable tire shop. The location must have a good local market for tires. You also need to ensure some extra space for parking of vehicles arriving at your shop.
What should I know before starting a tire shop?
The first thing before starting a tire shop is to understand the demand for the local market. Essentially, tire stores are seen doing good business in cities and small towns. Also, strategically located spaces beside highways also are much-sought-after locations for tire stores.
What software do I need to run a tire store?
Tools like customer relationship software (CRM), point of sale software (POS), and proper accounting software is a must.
How to promote a tire shop?
There are plenty of low-cost ways of promoting your tire shop. Create brochures, pamphlets, and distribute them to prospective customers. Nowadays, going online is a must. Create a website and promote it so that the customers can reach you online.
Prerequisites
- To start a tire shop business follow the below steps; 1. Craft a business plan 2. Research the tire market 3. Secure funds for your tire shop 4. Choose an ideal location. 5. Arrange equipment for the tire shop 6. Legal registration of your business 7. Business liability insurance 8. Hiring a supplier 9. Permits and licenses for the tire business
Go It Alone Or Adopt A Safety Net?
Where to?
and That’S How to Start A Tire & Auto Repair Business