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What you need to open a showroom

What you need to open a showroom

Economic stability in the country gives businessmen the opportunity to think about the long-term investments with the potential to bring significant profit.

These types of businesses, in particular, to the opening of the showroom for the sale of new cars.

Despite the fact that the car market in Russianearing the glut, you can find an unoccupied niche. This applies both to a particular car brand and its implementation in the region. However, it should seriously consider the potential market to a significant investment is not lost in vain, and your shop is not closed due to unprofitability.

First steps

To open a showroom in the first placeyou need to register a company, choose the form of ownership and activity codes, to register with the tax office. You can then start negotiations with car manufacturers. Note that many automotive corporations impose strict requirements to its dealers, and some do require a showroom car only stood their brand. From these requirements depends on the location of your future interior, its size, design, availability of additional services, such as the sale of original spare parts, authorized service, a test drive.
Having concluded an agreement on one or intentseveral manufacturers, you can begin to look for suitable premises or building. You will need a fairly large area, which will allow to present the maximum range. Key to open a dealership costs are connected with the location and can vary from half a million dollars in the region to two or three million dollars in capital. Naturally, the price range depends not only on the cost of land and construction works, but also on the requirements of a particular car manufacturer.

Preparations for the opening

In general, the optimal cost of openingAuto Show "from scratch" are considered the amount in the range of 700 thousand dollars in the regions and up to 4-5 million - in Moscow. At the same time net profit salon rarely exceeds 2% of turnover, so the return on investment does not occur earlier than five years.
It will be necessary to resolve the issue and the logistics, thethere is a channel of delivery of finished vehicles from the manufacturer in your salon. As a rule, major automakers, with offices in Russia, arrange shipping and customs clearance themselves, but there are also those who do not provide such services, so you have to look for the carrier to engage in insurance and customs clearance by yourself.
As for the advertising campaign, in mostcases ready promotional materials, as well as its implementation and the recommendations provided by the manufacturer, but if you are working with an unknown brand, you have to lay in the budget also activities designed to draw attention to your organization.
To perceive you as a manufacturereffective dealer, your auto will have to make a minimum number of sales per year. In the case of cars of an average price segment will need to sell about a hundred pieces of equipment per year, while the bottom bracket for more expensive machines is usually about 70 pieces a year.

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