Car service franchise: what is it, the best deals. How to Make a Successful Car Service Franchise Business Franchise Car Service Business Plan

Every year the number of cars on the roads of our country is growing at a colossal pace, so the business of repairing and servicing cars is a very promising investment. However, starting a car service is fraught with a lot of problems, therefore, in order to avoid many mistakes that many aspiring entrepreneurs make, the best option would be to purchase a car service franchise. It is very convenient, because you immediately receive ready-made business processes and technology for doing business, as well as assistance in opening.

There are quite a few franchise options on the market today, so choosing the best one is very difficult. This article will talk about how to run ready business, about all kinds of pitfalls and nuances, as well as about which car service franchise is better.

Buying a franchise: advantages, disadvantages and associated risks

To open a car service on your own, you need not only the availability of special equipment, but also knowledge of the technical aspects and nuances of doing business. In addition, the market for repair and maintenance services Vehicle oversaturated, and a novice businessman will have to wage a fierce competition with federal networks, in which it is quite difficult to survive. Therefore, the best solution would be to purchase a franchise. In addition, before starting a business, it is worthwhile to study car market to choose the right niche for yourself.

A car service franchise, reviews of which are rather controversial, provides the entrepreneur with the following advantages:

  • you get a ready-made turnkey business with a calculated business plan and clear figures for reaching the payback level;
  • using the name of a well-known brand promotes a greater flow of customers;
  • the possibility of purchasing spare parts and Supplies at wholesale prices;
  • professional training from the franchisor;
  • specialized diagnostic equipment and software;
  • help in advertising campaign and promotion of the enterprise.

Despite the rather impressive number of advantages, alas, there were also some drawbacks. Among these are:

  • you are forced to work within a strict framework and cannot independently influence the functioning and development of the business;
  • opening a car service under a franchise is more expensive, since you are forced not only to buy everything you need for your own money, but also to pay a lump-sum fee;
  • you will have to give part of the monthly revenue to the franchise owner;
  • all technical issues upon opening you must agree with the franchisor.

Regardless of whether you run a car service on your own or under a franchise, you need to take into account the high competition in this industry, so reaching the break-even level and business development can take quite a long period of time. You should be prepared for this, and even the most pessimistic forecasts should be considered when planning a business. As practice shows, payback occurs in two or three years with the correct introduction of automotive activities.

Conditions for purchasing a franchise

The desire to buy a franchise is not enough, since each franchisor has a number of requirements for the franchisee. For a deal to be positive, you must meet a number of criteria. This:

  • experience in this business segment;
  • availability of premises for opening a car service that meets all the requirements of the franchisor;
  • positive credit history and no debt;
  • availability of start-up capital.

If you meet all of these criteria, then the likelihood of a successful purchase of a car service franchise increases significantly.

Features of launching and promoting a car service

For a car service to flourish, money alone is not enough. You need to have a clear understanding of the specifics of the region in which you plan to start a business. When conducting market research, the following factors should be considered:

  1. The purchasing power of the population is one of the most important indicators on which the success of a business depends. The thing is that if the population does not have money, then no matter how magical the franchise of a car service, no one will use your services.
  2. The presence of competitors and potential demand. In some regions of the country, the demand for car service services significantly exceeds the real supply due to the larger number of people with personal transport and fewer service stations.
  3. The location of the car service. In large cities, car services will generate significantly higher incomes than in the provinces.

All of these criteria are key to the success of a business, therefore they are mandatory when strategic planning development of the enterprise and drawing up a business plan.

Financial planning

Starting a franchise business requires a fairly large start-up capital, since, in addition to royalties, you will need to buy or rent premises, as well as purchase everything necessary equipment... Expenditure items include many items and consist of the following:

  1. Equipment purchase: the most expensive item of expenditure, requiring about one million rubles. For the normal operation of a car service, you need professional equipment for the diagnosis of cars, lifts, workbenches and tools.
  2. Marketing and promotion: in order for your service station to be known, it needs advertising. Comprehensive marketing company will cost approximately 200,000 rubles.
  3. Business registration and receipt of all required documents... You can do this yourself or contact any company that specializes in these services. In the first case, you will spend approximately 50 thousand, and the company's services will cost significantly more.

To start a car service from scratch, with the purchase of a body car service franchise, an average of about 6 million rubles will be needed. In addition, every month you will spend about 500 thousand rubles to rent premises, pay employees and purchase consumables.

Which franchise to choose: an overview of the Russian market

Today, there are quite a few franchises from Russian and foreign companies on the domestic market, so it is very difficult to choose the best one. Next, we will consider the most attractive offers that provide the most comfortable working conditions.

Every year the number of cars in Russia grows by about 8-10 percent. In this regard, the field of the automotive business related to the service of transport is becoming an increasingly high priority for entrepreneurial initiatives.

Not all car owners are able to independently eliminate all the breakdowns of their vehicles due to a lack of skills and time, therefore car services are always ready to provide any technical assistance.

People turn to car services in all seasons of the year, hence there is a great interest among businessmen to start this type of activity. Organizing is not easy. There is a high level of competition, expensive advertising services, and a lack of professional staff. You can solve this problem by opening a car repair service.

In this article, we will try to figure out what a car service franchise is, talk about the features, advantages of a business model of this kind and talk about existing offers.

Car service opening business. Benefit, relevance, features

A business should always be built on the basis of those areas that bring immediate profit. Car services are always relevant and quite profitable.

You can really invest money here and not be afraid of a lack of profit.

The business in the field of automotive services in any case tends to grow, since it is this entrepreneurial category that has favorable conditions for progress. Clients will only grow here. At the same time, the opening of such a business does not present any particular difficulties.

Car service does not require a procedure. This means that the business does not need to agree on documents for obtaining a license and other acts. The only thing that needs to be done is to register as either legal entity(For example, ).

Car service business provides systematic profit. For example, if the service station is capable of providing a wide range of services, then in this case the income can reach 4 thousand USD. per month. Even a tire shop can make a net $ 700 a month. And if you also organize a wide advertising campaign, then customers will go in a large stream.

You should also talk about start-up capital when opening this type of business. Of course, there is a direct dependence on the desired scale of the project. It will not be possible to name a specific amount, every entrepreneur will consider it necessary to spend a certain amount of money for himself.

However, the range is roughly in the region of 100 - 160 thousand dollars for a fairly high level of car services.

A small service station can cost as little as $ 20,000 to $ 60,000.

Features and benefits of opening this type of franchise business

The car service franchise has certain Benefits compared to starting your own business:

  • Firstly, the franchisor gives certain consultations on the construction, in which each stage of the development of the activity is spelled out;
  • Secondly, the entrepreneur will be provided software for computer diagnostics of a car;
  • Thirdly, the franchise is already a well-known brand, thanks to which buyers will be more favorable to a branch of a familiar network of car services;
  • Fourth, an entrepreneur can purchase equipment, automotive chemicals, various parts for more low prices due to the system of discounts within the corporation;
  • Fifth, the franchisor organizes training and professional development of employees on its own base.

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Review of offers

Wilgood franchise

Car service "Vilgud" appeared in Russia in 2012. To date, 6 own car services and 36 franchise branches have been opened, and another 22 car services are at the opening stage.

The basis for the Vilgood car service franchises is the quality of the opened workshops, and not their quantity.

The Wilgood franchise program in 2016 includes following features... Its format is a service station from 3 posts. With an already existing car service, the launch costs will be within 1 million rubles (first installment). If you start from scratch, then in this case you will need from 4 to 8 million rubles, depending on the size of the facility. The population of the city in which a car service can be opened must exceed 200 thousand inhabitants. The priority is for cities with a high standard of living, close location of logistics centers.

Franchise terms for certain cities:

  1. Moscow and St. Petersburg - 2 million rubles.
  2. Cities with a population of over 1 million - 1.5 million rubles.
  3. Other cities - 1 million rubles.
  4. Royalty for the starting year of the franchise branch is 3.5% of revenue (every month).

Requirements to the franchisee:

  1. Experience entrepreneurial activity or experience in car maintenance services;
  2. Readiness to undergo training at Wilgud, which lasts 2 weeks;
  3. Personal capital in the amount of at least 70% of the project budget.

The franchise is usually one year in advance.

The terms of this offer are presented in the following video:

BOSCH

Bosch service is one of the most popular car service networks in Europe. The company always strives to modernize its own services, to introduce innovative equipment.

Conditions for the franchisee the following:

  1. The company installs demonstration shelves with Bosch auto parts at the car service;
  2. The car service room must be at least 200 square meters in area;
  3. Service equipment only from "Bosch";
  4. Mandatory creation of a comfortable client area;
  5. More than a year of experience in this business area.

Attachments are from 4 to 6 million rubles. The exact size of the license fee is not known.

Benefits of this franchise are the following points:

  1. The car service is known all over the world;
  2. Bosch provides training to personnel;
  3. A set of branded clothing is issued for service workers;
  4. Broad advertising support for franchisees;
  5. Providing a business plan and other instructions for maintaining and developing a business environment;
  6. Constant technical support brand representatives;
  7. Car computer maintenance software.

Payback is 18 months.

KIA

Kia cars from Korea have flooded Russian roads for a long time. Korean-made cars are gaining more and more popularity every year, usually due to their less expensive maintenance. Kia car services provide a full range of services, including repairs, diagnostics and more.

Kia Car Services- it:

  1. Newest Technical equipment providing repair of any kind of complexity;
  2. Highly qualified specialists with extensive experience;
  3. Car service in accordance with Russian operating conditions of "iron horses".

Kia auto repair franchise has the following Benefits:

  • Extensive advertising campaign for a new car service franchise;
  • An extremely well-known brand name, which is widely popular among Russian motorists;
  • Networking, availability of a call center for support of branches;
  • Providing staff training;
  • Equipment supply, selection;
  • Choice of premises;
  • Working with insurance companies;
  • Centralized purchase of car parts;
  • Providing a business plan and necessary instructions with documents.

Conditions Kia offers the following:

  1. The premises should be between 250-450 square meters;
  2. Ceilings with a height of at least 4.5 meters;
  3. Equipment of the area for clients and presentable appearance of the franchise branch.

Payback the franchise from Kia is a year and a half.

Post-warranty service

The most popular after-sales service franchise is FIT Service... This is the most affordable start-up investment option for entrepreneurship. The service tends to pay off quickly and its opening times are generally very short.

Car services of this specificity are located near sleeping areas. FIT Service provides express operations that are required every day by motorists.

Advantages this station:

  • 49 stations throughout Russia, 19 cities;
  • Over 7 years of experience in the Russian market;
  • Assistance in determining the optimal location of the car service;
  • Selection of the necessary equipment;
  • System of discounts for equipment;
  • Help in business development, building a successful business model;
  • Service workers training;
  • Unified call center;
  • Delivery of spare parts on favorable terms.

Profit each month is 400 thousand - one and a half million rubles.

Payback invested investments according to the company's indicators - 1-2 months.

Initial investment in the amount of 1 million rubles or more.

If the station is opened from scratch, the costs will amount to 4 million 300 thousand Russian rubles, according to the company's estimates.

Service of trucks

There are also franchises for opening a car service trucks... For example, a company EXPRESSORDER... This type of business is famous for its long payback period.

Initial investment are, as a rule, from 3 to 6 million rubles. If at the same time the entrepreneur plans to buy out the territory and build buildings, then start-up investment may even grow to tens of millions. Hence the tendency of a small number of such stations in comparison with the service station for passenger cars.

Nevertheless, the level of competition in this business is comparatively lower.

Possible difficulties and nuances of opening

In addition to many positive aspects in automotive business the franchise has certain difficulties and disadvantages:

  • For the right to use the brand, the entrepreneur is forced to contribute a certain amount of money;
  • Almost every franchisor company requires the entrepreneur to pay a fixed fee or a percentage of income;
  • The franchise limits the choice in the selection of equipment, sets specific requirements for the size of the premises and outward appearance, requires a specific location of the car service. Accordingly, this is an even greater cost for an entrepreneur;
  • The need to strictly follow the instructions of the franchisor. Your own ideas are usually not welcome at all.

The offer from FIT SERVICE is described in this video:

Overview of the conditions of the 5 largest franchises operating in the Russian market: Vilgud, Bosch car service, Kia, White Service, Fit Service

A car service franchise with a brand recognizable in Russia is one of the entrepreneurial ideas. To determine the effectiveness of a business, it is necessary to find out the capacity of the service market during the crisis and the peculiarity of the emerging partnership with the franchisor.

According to the data carried out by the analytical agency "AUTOSTAT" marketing research in 69 large regions of the Russian Federation, which account for more than 97% of the passenger car fleet, the market capacity amounted to 524.2 billion rubles. The potential of the market (141.9 billion rubles) was also calculated, which means repair and maintenance of cars (carried out personally by car owners or private mechanics) in monetary terms.

The above statistics show that there are opportunities for entering the car service market - it has not yet reached its ceiling.

In order to minimize risks the best way entering the market will be the purchase of a franchise of a well-known car service.

A franchise is a work under the trademark of a well-known brand with the payment of a certain remuneration (royalty) to the franchisor company, assuming uniform high standards service.

Review of the top 5 popular franchises in Russia

Consider the popular auto repair franchise companies. Analysis of proposals for a franchise on specialized sites made it possible to make a comparative description of the main requirements for a franchisee.

Table 1. Comparative characteristics TOP-5 car service franchises in Russia

Name

Room size

An initial fee

Total investment amount

Payback

1 million rubles

(for Moscow 2 million rubles)

4-8 million rubles.

3.5% per month

Bosch car service

150,000 euros

1400 euros per year

1 year 6 months

RUB 300,000 - 1 million rubles.

2-3 million rubles

2% per month

"White service"

from 50,000 - 400,000 rubles.

1 million rubles

2% per month

5-6 months

from 1 million rubles

4-15 million rubles.

RUB 5,000 from one working position + 2.5% of the total revenue

22-36 months

Most inexpensive franchise, suitable for a beginner entrepreneur, will be the "White Service" franchise. Bosch car service and Fit Service will require investment significant funds.

Let's analyze the terms of cooperation for each of the TOP-5 franchises, in more detail.

Wilgood

Car service Vilgud, which entered the Russian market in 2012, relies on the quality of the opened workshops, and not on their number: the franchise network consists of 48 branches and 6 of the company's own car services. The easily recognizable logo in the form of a white and red lettering catches the eye from afar.

If the franchisee starts a business on the basis of an existing auto repair shop, the costs will not exceed 1 million rubles, if from scratch, the costs of an entrepreneur may amount to 4-8 million rubles.

Table 2. What is included in the Wilgood franchise

Mandatory conditions for franchisees

Opening stage

Final launch stage

Starting a business is possible only in cities with a population of 200,000 or more

assistance in organizing and drawing up a business plan

The need for experience in the field of car services

personnel search

personnel training in Moscow

Personal capital in the amount of 70-80% of the project cost

stock support

signing contracts with partners for the supply of spare parts and auto chemical goods with maximum discounts

Franchise training - up to 2 weeks

attracting customers through outdoor and online advertising

Purchase of equipment and inventory within the agreed standard estimate

Bosch car service

15,000 branches international company franchisor Bosch Car Service speaks about the company's leadership in the provision of car services. The Bosch logo is a tall blue stele with a white arrow and a red and blue name: Bosh Service. The concern, well-known in Europe, offers 3 main directions of franchising activities.

Depending on the planned volume of investments, a businessman can choose one or another segment of a car service.

In addition to training franchisee employees, Bosch offers:

  • business plan;
  • software for computer maintenance of cars;
  • special branded clothing.

Bosch sets rather stringent requirements to the partner company - it is necessary to have premises determined by the company's standards: repair and customer areas, a spare parts warehouse, a shop, a workshop, and accepting cars for service. The total size to meet all requirements must be at least 450 m². The annual royalty payment is RUB 90,000. per year (1400 Euro). On the territory of the workshop in Bosch-Shope, an annual sale of spare parts from the franchisor for the amount of at least 18,000 Euros must be carried out.

Kia

The Korean automobile concern KIA, whose cars have gained wide popularity in Russia, following auto sales, is launching its own line of car services to service its equipment. A car service connected to the franchise network has the right to count on the support of a single call-center, the possibility of a centralized purchase of spare parts with discounts through an affiliate program and assistance in the selection of specialized equipment.

The main requirements for a car service planning to purchase a franchise are as follows.

Initial investments start at 1 million rubles. with monthly payment of 2% to the franchisor of the total revenue.

The opening of a KIA car service is possible in conjunction with obtaining the status of an official dealer of the auto concern.

White service

Cooperation with the White Service company is suitable for a novice entrepreneur, since opening a workshop will require smaller start-up investments - the initial payment can be 400,000 rubles.

The aggressive red logo with white lettering and a waving flag will attract the attention of motorists. The company has 60 car services in 37 cities of Russia by 2017 and continues its further active development.

For the franchisor, the organization offers a whole range of advantages, the main of which are:

  • providing access to the OLA IT platform, which allows you to select the required spare part, make pricing and upload data to 1C;
  • supplies of spare parts from world manufacturers on preferential terms;
  • the ability to register online for the service;
  • advertising support federal level;
  • training of personnel in the standard technologies of the company.
Table 5. Mandatory requirements for a franchisee

Total area of ​​car service

Customer service area

Warehouse space

Parking

At least 3 places

Availability of special equipment

a vanishing-collapse stand for small and basic formats of service stations,

diagnostic scanner BOSCH (LAUNCH),

equipment for antibacterial cleaning of the Wynn’s air conditioning system, installations for cleaning fuel systems Wynn’s FuelServe and for refueling the air conditioner,

balancing stand,

tire changer stand.

Number of lifts

for mini-format - 2, small - 3, main - from 4 to 6 pcs.

Minimum ceiling height

- from 3.5 meters

Fit Service

The specialization of the last considered car service in post-warranty service has determined its availability in value terms - entry into the market by franchise starts at 300,000 rubles, if a service station is re-equipped with a basic set of repair units already in place. The organization has branches in 19 large cities of Russia. Positioning is done at a car service "at home", which allows motorists to quickly carry out minor repairs or replacement of necessary parts.

How to choose a franchise - what we pay attention to

To choose the right franchise, you should focus on several indicators.

The main ones will be:

  • brand recognition. It is best to purchase a franchise from a TOP-10 organization. This will allow you to count on guaranteed profits and a proven standard program for integrating your business into franchising;
  • conditions of purchase. The price of the franchise should be comparable to the profit that you expect to receive after using it;
  • payments. The amount of payments must be made within the scope of the franchisor, otherwise the economic sense of such cooperation is lost;
  • terms of termination of the contract. It is necessary to determine in advance the paths of retreat if the franchise business is unsuccessful.

The correct approach to the analysis of these indicators will allow you to choose the best offer.

At the moment, in our country, many entrepreneurs are turning their eyes to business in the form of franchising. Much is being done in this area in order to create acceptable conditions for effective development franchise system. Today at Russian Federation you will not surprise anyone with goods and services that are designated by fairly well-known trade brands.

Franchising has long been known in the USA and European countries. In Russia, this system is just beginning to develop. Exists several types of franchising:

  • industrial,
  • sales,
  • service,
  • complex.

In this article we will dwell on service franchising in more detail. It assumes the following: the franchisor permits the franchisee to use the service delivery system developed by him. And that, in turn, is already under famous brand provides services to the public. This type of franchising has enjoyed great success in the automotive service industry.

In our country, the car park is actively and rapidly growing in all regions. This was the reason for the increase in the number of enterprises engaged in car service. In this type of business, those companies are especially valued for which customer service is at the highest level, and where the main factor of commercial success is compliance with high international standards.

Such a business as car service became especially profitable after we switched to market relations. Within a short period of time, a large number of new car services of various profiles were opened. Many businessmen prefer to develop this business on a franchise. There is only one reason for this - the franchisee has the opportunity to carry out their activities according to a well-established scheme. In addition, this is a good opportunity to quickly recoup your investment.

The popularity and relevance of the car service business

The growing popularity of this type of business can be judged by the following indicators: in Russia every year the number of cars grows, on average, by 10-15%. Following from this, we can safely say that the undertaking related to car maintenance is becoming quite popular among businessmen. Not many car owners can and are able to independently repair their "iron horse". In this case, they have to seek help from the masters at the service points.

This business is not seasonal. Since cars break down no matter the time of the year, people have to repair their cars all year round. It is for this reason that many entrepreneurs are thinking about starting work in this service sector.

Not many people know that open this business from scratch is not an easy and quite costly business: Competition in this market is very high and, as a rule, there is an acute shortage of highly skilled workers.

The prospect of such a business as a car service is as follows:

  • the owners of expensive new car models themselves are not able to make repairs (often due to not knowing all the intricacies of assemblies and parts);
  • lack of time for the owner to repair the car;
  • hired drivers do not want to do the repairs themselves, arguing that this work is not part of their responsibilities.

Fit Service Franchise

The main direction in the work of car warranty service stations is the planned maintenance of vehicles, diagnostics, repairs, replacement of oil, fluids, spare parts, and so on.

The goal of the company is to provide services at a high professional level using the latest equipment and the achievements of modern science in this area.

Franchisor requirements:

  • availability of premises with an area of ​​at least 300–400 sq. m. It should be located near the road or on the first line;
  • the height of the ceilings in the room should be 4.5 m;
  • the number of posts is not less than 4 plus one "descent collapse" stand.

Entrance fee- 300,000 rubles.

Royalty- 2% per month.

Initial investment- 5,000,000 rubles.

Payback Fit Service franchise - 12-14 months.

How to choose a car service franchise?

In order not to be mistaken and to make the right choice, you need to analyze all the franchise offers on the market in this area and choose the most profitable one.

Which of the above presented car service franchises is the most profitable? In terms of finance, Fit Service is the undisputed leader (this franchise has the lowest royalty percentage - 2%). If an entrepreneur is not constrained in funds, he can purchase popular franchise Bosch Service.

Summary

Car service franchise is a profitable investment. Demand Maintenance and car diagnostics was, is and will always be. The likelihood of a franchisee's success will largely depend on the franchisor's experience and brand awareness.

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More and more people are deciding to purchase a car. Therefore, opening a car service will always be a profitable business. The profitability of such a business is ensured by a constant flow of customers. They need both repair and technical inspection.

The difficulties in opening are obvious. First, there is a lot of competition in this area. Secondly, there are a lot of nuances that should be taken into account when starting. Therefore, a car service franchise is a very profitable offer that can quickly pay off.

The main advantage is that you get a ready-made model with a developed marketing program. Even if you are going to be engaged in sewing car seat covers, finished model has advantages over starting a business from scratch.

Features of the car service business

This type of business will not lose popularity for a long time. You can open a narrow-profile tire or body repair service, or you can paint, as well as the installation of accessories, car covers or additional equipment. You can think about.

One of the main problems of this type of business is. It is difficult to find a professional employee, and the competition is high. A guaranteed income can only provide a high level of service and quality work.

This is why auto business franchises are popular. In most of them, the central company helps to train and select employees, and also monitors their qualifications. An auto franchise can represent not only a service station, but also the production of car covers or a tire recycling enterprise.