Tire business plan: step-by-step instructions for beginner entrepreneurs + 3 videos + how to increase profits in the off-season.
Capital investments in business: 800,000 rubles.
► Tire installation payback period: from 4 months.
Tire fitting is one of those types of work that requires a lot of effort and time.
In order to “unwind” and start making good money, an entrepreneur must first try.
However, this business is “heavy” even without large financial investments.
We will review a standard tire fitting business plan to learn how an aspiring entrepreneur without the necessary experience does not lose money.
An important principle to understand from the outset: most car owners request this service 2-3 times a year, and the profit depends on the season.
What services can be prescribed in a tire fitting business plan?
The modern workshop offers the following services:
- “Change of shoes” of wheels;
- balancing (more below);
- wheel alignment adjustment.
Wheel balancing is a service that customers will always turn to
Wheel imbalance is a dangerous phenomenon, so drivers pay attention to it and are always ready to pay for the solution of this problem with professionals.
When the wheels are out of balance, the tires wear prematurely and the steering mechanisms fail.
The signs of this disorder are:
- outside noise,
- body vibration,
- steering problems.
Wheel balancing is a kind of prevention of possible traffic accidents.
It also improves the technical quality of the car.
Inform each customer that the recommended period for this service is every 5,000 km.
Tire fitting. Business plan with location description
One of the most important parameters in the organization of any business is its geographical location.
Profit will be zero, you can also go into negative territory if the point is located in an industrial area outside the city.
At the same time, there are a lot of people who want to buy a place with a large flow of buyers, and such areas have long been occupied.
Typically, a tire service is located on a highway or road with heavy traffic.
If there is a gas station or a garage cooperative nearby, this is only a plus.
Pay attention to the future location – are there many car owners in the selected region?
You should not open up close to competitors – they will not share their regular customers.
An iron bunker or a capital building will do it.
The average rent is 500 rubles per 1 sq.
What to look for when choosing a site for a business?
- What equipment can be installed?
- How many cars can be serviced per day?
- How many employees do you plan to hire?
- In addition, a conference room is required to serve corporate clients.
Tire fitting as a business: equipment selection
To perform the above services, you need a professional tire changer, the cost of which ranges from 1500 to $.
But this is not the only important position in the list of necessary devices.
|Total:||304 000 rub|
|Balancing stand||from 45 000|
|Tire changer||from 100 000|
|Tire demounting equipment||from 100 000|
|Vulcanizer||from 18 000|
|Compressor||from 18 000|
You should also think about the materials with which the tires are mounted.
What materials are needed to start a tire business:
- rammed weights required to work with alloy wheels;
- patch (to speed up work);
- chemicals, including cleaning products;
- various small accessories.
In order not to invest heavily in the business, it is recommended to purchase only those materials without which it is impossible to perform basic services.
With a large flow of customers and regular orders, you can purchase other tire fitting tools and equipment later.
Transport company business plan: step by step instructions
Recruitment of employees in the business plan of tire fitting
If you are wondering where to look for employees and with what experience, invite only those who have already worked with cars to work.
The benefit is clear: experienced employees do not need training and can thus save money.
When it comes to staff training, you decide which seminars and courses your staff should take at your expense.
The cost of a one-time weekly training for an employee costs an average of 3,000 rubles.
Tire maintenance personnel might look like this:
|Job title||Qty||Salary (rub / month)|
|Total:||5||155 000 rub|
|Senior Specialist||2||40 000|
By age, preference is usually given to young job seekers.
Their work is easier to follow, and if necessary, you can retrain and make your own changes to their communication with the client.
Find future employees here:
- training centers;
- distribution companies;
- operating laboratories;
- secondary special schools;
How to open the malfunction machine?
This business also needs advertising.
If you have a stationary tire service, you can use outdoor advertising and attach it to your building.
Production of large-sized outdoor advertising costs from 1000 rubles, depending on your wishes.
Where else can you advertise?
- social networks are free;
- billboards – from 6000 rubles per month;
- banners on buildings – from 4000 rubles. / month
A much cheaper marketing promotion would cost a mobile tire service.
Advertising can be placed on working vehicles in your fleet.
In this case, you will only have to pay for its production.
Remember that grateful customers, satisfied with a job well done, will themselves advertise you to their friends and acquaintances.
Tire fitting. Business plan with financial calculations
Think about the initial and monthly investment you might need if you want to open a standard tire shop (a list of equipment and staff is provided above).
Capital investment in business
|Item of expenses||Amount (rub.)|
|Total:||800 000 rub|
|Purchase of equipment||304 000|
|room decoration||200 000|
|Video surveillance + alarm installation||70 000|
|Outdoor advertising media (signboard, facade, banners)||80 000|
|Equipment for customer service salons||80 000|
|Advertising campaign||60 000|
Regular investments in the tire fitting sector
|Item of expenses||Amount (rub.)|
|Total:||250 000 rub|
|Premises for rent||45 000|
|Employee salary||155 000|
|Social Security contributions||1,000|
|Security and cleaning costs||10,000|
|Unexpected business expenses||10,000|
With such costs, the payback of tire fitting will take at least 4 months.
How to make more money with tire fitting?
This activity depends on the season.
Sometimes orders peak, and this brings a good profit.
And sometimes there are almost no customers (especially in the height of summer).
To avoid losses, entrepreneurs write a detailed business plan.
By the way, tire fitting is a vast “field” of services.
During the downtime, you can add something new to the “range.
For example, customers are encouraged to retread worn tires, which allows the driver to save on buying new ones.
This is one of the most popular services abroad, especially in the USA.
Invested funds pay off twice as fast if the services you offer are not sold by the closest competitors.
And your employees, in turn, will advise clients to expand the standard set of procedures with others.
To motivate employees, you can introduce a bonus system.
We recommend watching the following video with information that you may need when opening a tire shop:
A new direction in business – mobile tire fitting
“Success is the ability to go from one failure to another without losing enthusiasm.”
With the expansion of tire fitting services and with the aim of increasing revenue, on-call tire fitting was invented.
What problems does mobile tire service solve?
- Less queues.Very often, a queue forms for the services of a tire changer, and customers wait a long time for the order to be completed.For example, during the peak season, everyone needs to change tires.The more orders you take, the more money you will earn and the better you will win over your customers.
- Always near.There is no need to go to a tire service away from the driver.it is in his interest to save gas and do all the work closer to home (or to the location of the car).
If you are also interested in installing mobile tires, then the main thing that is required here for maximum convenience is the presence of several cars in your fleet.
The cost of on-site services is usually higher – regular competitors are tied to stable work and receive less money for the same work.
Here you can think about the benefits for the customer and offer him, for example, every third tire change a free visit to a specialist.
Next time he will contact you again.
The investment in this type of activity is the same as in the equipped parking, except for the presence of several cars in the fleet. It is up to you to decide whether to use your cars or buy new ones.
Tire fitting on wheels can be bought under a franchise – you will always be accompanied in business and provided with everything for work.
The cost of acquiring a ready-made business plan and detailed instructions for work will be several thousand rubles higher than if you organize everything yourself.
If you decide to master tire fitting as a business, we recommend starting work during the off-peak season.
This will allow you to gain experience and not disappoint your first and potential customers.
Thus, you will know all the workflows, find out which services are most in demand in a particular region, you will collect an initial client base and will soon be able to recoup all your investments.