The automobile industry in India is booming. If you want to start a business in this industry you can choose to start a tire business.
You can start a tyre business by partnering with any of the tyre brands available in the Indian market.
In this article, we will give you complete information about the Goodyear tyre dealership. This article contains all the topics related to Goodyear dealership, which includes Goodyear tyre dealership cost, profit margin, shop space required, licenses, and registrations, whom to contact, etc.
Why choose Goodyear tyre dealership?
Goodyear is an American-based world’s one of the largest tyre manufacturing companies. The company has 55 manufacturing plants all over the world in 23 countries.
In India, Goodyear tyres have been around for 90 years. It has manufacturing plants in Haryana and Maharashtra. The brand has a Pan India presence with dealers in every state.
In India, Goodyear tyres manufacture car tyres which include SUV & 4×4, farm vehicles like tractor tyres, and heavy vehicles tyres.
Licenses and Registrations Required
These are the licenses and registrations required to open a Goodyear 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.
Goodyear Tyre Dealership Cost
You need approximately INR 8 lakh to 10 lakh rupees to start a Goodyear 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 -> 2 lakhs
- Initial inventory purchase -> 5 to 7 lakh rupees
- Shop Interior and Warehouse -> 1.5 to 2 lakhs (racks, furniture, computer system & printer, Signage board)
- Miscellaneous -> 50,000 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 Goodyear tyre Dealership
From Goodyear tyre dealership you can expect a profit margin of 10% to 15%.
The profit margin of Goodyear 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 Goodyear tyre Dealership
You require a minimum space of a 700 square feet shop area to open a Goodyear tyre dealership. Make sure that your shop has good connectivity.
How to get Goodyear tyre Dealership?
To get a Goodyear tyre dealership, first, you need to contact your Goodyear sales manager. You can get his number by calling Goodyear toll-free number 1800 266 6767.
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 Goodyear tyre dealership mainly depends on factors like the density of other Goodyear 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 Goodyear dealership?
You require a minimum of 700 square feet of shop space
Investment required to start a Goodyear tyre dealership?
You need to invest around 8 lakh to 10 lakh rupees
What is the Profit Margin in the Goodyear tyre dealership?
You can expect a profit margin of 10% to 15%
How to contact Goodyear?
You can call their toll free number 1800 266 6767
I hope this guide to ‘Goodyear tyre dealership’ will help you get started. If you have any additional suggestions, feel free to mention them in the comments section below. If you like this article then kindly share it with your friends.