In this article, we will give you complete information about the Continental tyre dealership. This article contains all the topics related to Continental dealership, which includes Continental tyre dealership cost, profit margin, shop space required, licenses, and registrations, whom to contact, etc.
Why choose Continental tyre dealership?
Continental tyres is a German-based world’s leading tyre manufacturing company. Continental tyres started its operation in 2011. It has a manufacturing plant in Modipuram, Uttarpradesh.
Continental tyre manufactures car tyres, heavy vehicle tyres (Bus and Truck), off-road vehicle tyres, etc.
Licenses and Registrations Required
These are the licenses and registrations required to open a Continental tyre dealership in India.
- Company Registration – Sole proprietorship/LLP/Pvt Ltd
- Trade Licence – from your local municipality
- Shop & Establishment Registration – from the state government
- GST Registration
- Previous bank statement / Income Tax Returns Returns
- Business Insurance if required
If you require a business loan, you can approach banks like SIDBI.
Continental tyre Dealership Cost
You need approximately INR 13 lakh to 15 lakh rupees to start a Continental tyre dealership.
This amount may vary from one city to another. In tier 1 cities it would be a bit expensive compared to tier 2 and tier 3 cities.
Other factors like whether you have your own shop or not and your initial stock purchase quantity also alter the total cost.
Here is the break-down above said amount,
- Dealership Security Deposit -> 3 lakhs
- Initial inventory purchase -> 8 to 10 lakh rupees
- Shop Interior and Warehouse -> 2 lakhs (racks, furniture, computer system & printer, Signage board)
- Miscellaneous -> 60,000 rupees
- Shop Advance + First-month Rent -> extra (if you do not own a shop)
The working capital required is employee salary, utility bills, adding stocks, shop rent, etc.
Profit Margin in Continental tyre Dealership
From Continental tyre dealership you can expect a profit margin of 8% to 13%.
The profit margin of Continental dealership is directly proportional to the number of sales you have made. i.e If you make more sales, then you will be able to gain more offers and bonuses offered by the company.
The company offers these bonuses & schemes after 6 months to 1 year after you have opened your dealership. If you succeed in meeting those sales targets then you can expect up to a 15% profit margin.
Almost all tyre brands offer special schemes like cash discounts, quantity discounts, product discounts, & outstanding balance nil, etc.
Space required for Continental Dealership
You require a minimum space of 900 square feet shop area to open a Continental tyre dealership. Make sure that your shop has good connectivity.
How to get Continental tyre Dealership?
To get a Continental tyre dealership, first, you need to contact your Continental sales manager. You can get his number by calling Continental toll-free number 18003388.
You can also contact them at their official website.
Once you contact the brand, they will be in touch with you and if you are eligible, then help you in launching your dealership.
Your eligibility for the Continental tyre dealership mainly depends on factors like the density of other Continental dealers in your area, your experience in trading, your shop location, and your financial background, etc.
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FAQ about Dealership
How much space is required to start a Continental dealership?
You require a minimum of 900 square feet of shop space
Investment required to start a Continental tyre dealership?
You need to invest around 13 lakh to 15 lakh rupees
What is the Profit Margin in the Continental tyre dealership?
You can expect a profit margin of 8% to 13%
How to contact Continental tyre?
You can call their toll-free number 18003388.
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