Delivery to car dealers. Business on new cars, or how to open a car dealership

OOO MMS Rus, the official importer and exclusive distributor of Mitsubishi cars in Russia, is currently planning to expand its dealer network in the Russian Federation.

You can fill out the Dealer Candidate Form and provide a kit required documents. The dealer network development team will carefully analyze your application. In case of interest in the implementation of the project in your region, our specialist will contact you to clarify further actions.

Dealer Requirements:

The car showroom of the dealer center must comply with the concept of "Sales, Service, Spare Parts", that is, have a showroom, a service area with a direct acceptance area and a body repair area, and a spare parts warehouse. In exceptional cases, upon written agreement with the Distributor, the service area and the showroom may be located in different buildings, and body repairs may be carried out by a third party.

The area of ​​the showroom of the dealer center must be at least 70 sq.m. for 1 model of the current model range Mitsubishi Motors in Russia, with a total of at least 300 sq.m. The showroom must display all vehicles supplied by the Distributor.

The dealership showroom should include the following areas:

  • Reception area, with an installed reception desk equipped with all necessary means of communication (computer connected to local network and Internet, telephone), chairs for receptionists, a decorative wall “Image Wall” with the Mitsubishi logo, located behind the reception desk, made in accordance with the Brand Book;
  • Showroom area with separate areas for off-road vehicles/pickups.
  • Acceptance zone for service, with a monitor for recording customers for the current date, as well as a zone for direct acceptance of cars equipped separately in the locksmith zone;
  • Spare parts and accessories sales zone, equipped with cabinets and open showcases for visual demonstration of products to customers;
  • Waiting area for customers, equipped with a sofa, a coffee table with constantly updated thematic press, a TV that constantly broadcasts TV programs during the opening hours of the dealership, as well as a channel for viewing the situation in the locksmith repair area and the status of work performed, a cooler, vending machines selling hot and cold drinks and snacks, with sales of new cars by the dealership over 300 cars a year - a cafeteria for customers. Customers waiting for repairs for more than 2 hours should be provided with free hot or cold drinks and snacks. The waiting area must have working free wireless internet;
  • Children's play area, including a table and chairs, an easel, a set for drawing, coloring books and other children's literature.
  • Clean and well-maintained customer washroom equipped with soap dispenser, electric dryer or paper towels, automatic air freshener, hooks for clothes and bags.

If you are interested in obtaining the status of an official dealer, you need to fill out a dealer candidate form and provide a set of necessary documents. Documents must be sent to in electronic format on e-mail to the addresses MUAleshin@mmcrus.com, or through the file exchange system on the Internet or on electronic media.

List of cities where the opening of new Mitsubishi Motors dealers is being considered:

The Russian Federation:

  • Astrakhan
  • Blagoveshchensk
  • Bryansk
  • Yekaterinburg city
  • Irkutsk
  • Kazan
  • Krasnoyarsk
  • Nizhny Novgorod
  • Novosibirsk city
  • Omsk
  • Sochi
  • Sterlitamak
  • Ulan-Ude
  • Yakutsk
  • Yamalo-Nenets Autonomous Okrug

After receiving the completed application form and a complete set of necessary documents, we will contact you to discuss the procedure for further interaction.

For all questions please contact:

Maxim Alyoshin - Director of Corporate Strategy and After-sales Service

Andrey Cheremisin - Dealer Network Development Manager

Store openings and closings

How to become a car dealer

Situation

Selection process

Required Resources

Despite the general decline in new car sales, the opportunity to become a car dealer is still not without prospects. In the current conditions, interesting and potentially popular brands are appearing on the market, which are still poorly represented in the region. With at least $5 million of free financial resources, the company has the opportunity to become a car dealer for favorable conditions.

Situation

The process of expanding dealer networks in Siberia is still ongoing and has objective grounds. To date, most automotive manufacturers are widely represented only to the west of the Urals. However, during the crisis, car sales continue to fall, while the European part of Russia is practically saturated with cars. In Siberia, saturation is much less, and when the crisis is over, this region will largely form effective demand for cars, analysts say. Since the foundation for future success must be laid now, automakers, despite the crisis, continue to develop the Siberian region. “Even in times of crisis, Siberia is a promising region, so Volvo plans to develop here in the future. Fortunately, we have not only existing dealers with great potential, but also excellent candidates,” says Svetlana Sokolova, Volvo PR manager in Russia.

It should be noted that over the past two years, Siberian cities with a population of one million (Novosibirsk, Krasnoyarsk, Omsk) have been densely covered by almost all players. automotive market, therefore, in these three cities of Siberia, starting from last year, it was about the second, third and fourth dealers, by analogy with other large cities of Russia. However, now the situation has changed. So, in Novosibirsk, only TagAZ, Chevrolet, Hyundai have more than one dealer besides domestic brands, although Renault, Ford, Mitsubishi, Land Rover were or planned to be on this list earlier. Moreover, Citroen and Skoda, which were not represented by dealers, turned out to be in Novosibirsk at all. Finding worthy and financially prosperous partners in the current environment is becoming a very difficult task for distributors.

At the same time, in Tomsk, Barnaul, Irkutsk and Kemerovo, which are smaller in terms of population, the process of the emergence of single dealers for certain brands that are not yet represented in these cities continues. We are not talking about the appearance of second dealers in these cities, since the distributors' plans provide for this only for large cities.

Selection process

1. If a car manufacturer plans to expand its dealer network in a particular region, it announces a competition among market participants for the right to be an official dealer for this brand in this region and begins collecting applications from applicants. In this case, the participating dealer must first of all fill out an electronic form on the manufacturer's website, in which it is required to reflect the points that are of most interest to a particular distributor. As a rule, this general information about the company, its business profile and financial position, as well as the characteristics of the dealer center project, which can be used for the temporary sale of cars of this brand. If the questionnaire suits the manufacturer, then the company is admitted to the competition.

2. At the next stage of the competition, the manufacturer presents his list of requirements to the applicants, including requirements for the project of the dealership. The assessment consists of a detailed scoring of more than 30 criteria, which can be divided into four groups: material, legal, human and financial resources.

3. With the most likely candidates, the manufacturer will begin negotiations, based on the results of which the winner will be selected. However, it also happens that the manufacturer is dissatisfied with the contestants who have reached the final, and after a while launches new competition again collecting proposals from all interested participants. So, for example, it was with the appointment of an official Skoda dealer in Omsk.

4. The winning company will receive the official status of a dealer only after it fulfills all the conditions of the contract signed with it. Moreover, some manufacturers, such as Volvo, introduce an additional "trial period", appointing the applicant not as an "official dealer", but as an "official sub-dealer". In this case, the deliveries of cars are carried out not by the distributor itself, but by another large federal or regional dealer. After finishing " probationary period”, the duration of which is specified in the contract, if all the requirements of the manufacturer are met, the sub-dealer receives the coveted status of a dealer.

Required Resources

How to become a car dealerdealer, car dealer, auto retail, car dealership, car trade https://www.site How to become a car dealerhttps://www.site/articles/kak-stat-avtodilerom/ 2020-03-16 2020-03-16

Store openings and closings

How to become a car dealer

Situation

Selection process

Required Resources

Despite the general decline in new car sales, the opportunity to become a car dealer is still not without prospects. In the current conditions, interesting and potentially popular brands are appearing on the market, which are still poorly represented in the region. With at least $5 million of free financial resources, the company has the opportunity to become a car dealer on favorable terms.

Situation

The process of expanding dealer networks in Siberia is still ongoing and has objective grounds. To date, most automotive manufacturers are widely represented only to the west of the Urals. However, during the crisis, car sales continue to fall, while the European part of Russia is practically saturated with cars. In Siberia, saturation is much less, and when the crisis is over, this region will largely form effective demand for cars, analysts say. Since the foundation for future success must be laid now, automakers, despite the crisis, continue to develop the Siberian region. “Even in times of crisis, Siberia is a promising region, so Volvo plans to develop here in the future. Fortunately, we have not only existing dealers with great potential, but also excellent candidates,” says Svetlana Sokolova, Volvo PR manager in Russia.

It should be noted that over the past two years, Siberian cities with a population of one million (Novosibirsk, Krasnoyarsk, Omsk) have been densely covered by almost all players in the automotive market, so in these three cities of Siberia, starting from last year, we were talking about the second, third and fourth dealers in analogies with other large cities of Russia. However, now the situation has changed. So, in Novosibirsk, only TagAZ, Chevrolet, Hyundai have more than one dealer besides domestic brands, although Renault, Ford, Mitsubishi, Land Rover were or planned to be on this list earlier. Moreover, Citroen and Skoda, which were not represented by dealers, turned out to be in Novosibirsk at all. Finding worthy and financially prosperous partners in the current environment is becoming a very difficult task for distributors.

At the same time, in Tomsk, Barnaul, Irkutsk and Kemerovo, which are smaller in terms of population, the process of the emergence of single dealers for certain brands that are not yet represented in these cities continues. We are not talking about the appearance of second dealers in these cities, since the distributors' plans provide for this only for large cities.

Selection process

1. If a car manufacturer plans to expand its dealer network in a particular region, it announces a competition among market participants for the right to be an official dealer for this brand in this region and begins collecting applications from applicants. In this case, the participating dealer must first of all fill out an electronic form on the manufacturer's website, in which it is required to reflect the points that are of most interest to a particular distributor. As a rule, this is general information about the company, its business profile and financial position, as well as the characteristics of the dealer center project, which can be used for the temporary sale of cars of this brand. If the questionnaire suits the manufacturer, then the company is admitted to the competition.

2. At the next stage of the competition, the manufacturer presents his list of requirements to the applicants, including requirements for the project of the dealership. The assessment consists of a detailed scoring of more than 30 criteria, which can be divided into four groups: material, legal, human and financial resources.

3. With the most likely candidates, the manufacturer will begin negotiations, based on the results of which the winner will be selected. However, it also happens that the manufacturer is dissatisfied with the contestants who made it to the final, and after a while launches a new contest, again collecting proposals from all interested participants. So, for example, it was with the appointment of an official Skoda dealer in Omsk.

4. The winning company will receive the official status of a dealer only after it fulfills all the conditions of the contract signed with it. Moreover, some manufacturers, such as Volvo, introduce an additional “trial period”, appointing the applicant not as an “official dealer”, but as an “official sub-dealer”. In this case, the deliveries of cars are carried out not by the distributor itself, but by another large federal or regional dealer. After the end of the "trial period", the duration of which is specified in the contract, if all the requirements of the manufacturer are met, the sub-dealer receives the coveted status of a dealer.

Required Resources

How to become a car dealerdealer, car dealer, auto retail, car dealership, car trade https://www.site How to become a car dealerhttps://www.site/articles/kak-stat-avtodilerom/ 2020-03-16 2020-03-16

The automotive market is now experiencing a period of stability. Demand is moderate. There is no boom, no decline in sales. For businessmen who decide to open a car dealership, this situation is quite favorable.

How profitable is this business?

On the one hand, with a competent formulation of the case, a car dealership can bring significant profit. True, this applies only to wide-format outlets with equipped parking, a car wash, a service center, and a spare parts repair shop. The main income (about 70%) comes from after-sales service.

On the other hand, according to experts, the average profitability of a business is about 10%, so its payback period is quite long - 4 years or more. In addition, it requires significant costs. The opening of the most modest car dealership (500 m 2) for the sale of cheap cars involves significant investments (from 15 million rubles). Talk about the profitability of a car dealership with a high degree unambiguity is possible only with a detailed business plan on hand. Its compilation is mandatory.

Where do I need to register a car dealership?

1 In the tax. Choose legal form. For a car dealership, this will be an LLC - the most suitable form for working with car manufacturers. We will have to apply the main taxation system for trade (since the entire plant-dealer chain works with VAT) and a single tax on imputed income for the service.

2 In the tax it is necessary specify codes OKVED. We recommend that you mark all the subsections included in the sections:

  • 50.10 Trade in motor vehicles;
  • 50.20 Tech. maintenance and repair of motor vehicles;
  • 50.3 Trade in automotive parts, assemblies and accessories.
  • 65.23.2 Dealer activities

3 Registration in the Pension Fund and in all other off-budget funds

4 In Rospotrebnadzor and Gospozhnadzor

6 In the tax register cash register

7 At the local Consumer Market Authority get a certificate in entering the dealer company in the trade register.

8 In Rostest (www.rostest.ru) get certificates for certain types works (in case of parallel opening of a car service).

Which car supplier do you prefer?

This is the main question. The entire car dealership business will be based on working with a specific supplier. It should be borne in mind that when selling machines little-known and inexpensive brands you don’t have to rely on high profitability of the business (manufacturers set a low margin), however, the initial investment when creating a business will be minimal (about 15 million rubles).

When implementing cars of world brands you will have to lay at least 150 million rubles for the start, and also be prepared for the fact that the manufacturer will dictate his terms for organizing the business at all its stages.

In conditions of strong competition, it is worth thinking about selling brands that are not yet represented on the market in your region. In a large city, quite promising Renault, Man, Volvo trucks can become them.

It is also worth focusing on the solvency of the population of the region. In small settlements, inexpensive cars (within $10-25 tons) will be more in demand. In million-plus cities, where all wealthy people in the country mainly buy cars, it makes sense to organize dealerships for the sale of elite brands. You can also enter the auto business from the cheap segment of cars, and then, after gaining experience, move on to the dealership of higher-class vehicles.

It is imperative to develop a concept for the salon in order to know exactly what it will be like: multi-brand, representing one company, selling new or used cars, etc.

How to start working with a car manufacturer and as a car dealer?

  1. In order to become a car dealer, the first thing you need to do is send a request to the official representative office of the automaker in Russia. On the website of each representative office there is an address intended for correspondence with potential business partners. It is to him that you should send a letter of your intention to become a car dealer of this brand.
  2. Then you have to fill out formalized questionnaires that come in response. They usually indicate detailed information about the company and its current activities, about the size of investments and the market this region, a plan for the location of the proposed salon on the ground with photographs. At this stage, you should have ready business plan, with the content of which you need to familiarize the supplier.
  3. Then to be telephone conversation with the manager for the development of the dealer network of representative offices. If you can convince him of the expediency of cooperation between your companies, he will come to meet with you personally.
  4. Based on the results of the manager's visit to a potential dealer, a decision will be made on further cooperation with him.
  5. With a positive decision of the representative office or the importing company, endowed with the appropriate authority, the dealer will be offered sign a protocol of intent. It will indicate the order of construction, purchase of equipment, purchase of a batch of cars, openings, a sales plan for 1 year, an advertising company with specific deadlines.
  6. Then between the manufacturer and the car dealer signing a dealer contract, which is legal basis companies cooperation. It, like the manufacturer's certificate, you will have to provide to car buyers upon request.

Vehicle Delivery Technologies

Photo of cars arriving at the seaport

For each batch of cars, the dealer concludes an agreement in which the price and terms of delivery are specified in detail. Buying cars can be carried out at different points:

1) Buying a car in the manufacturer's country

In this case, the dealer himself solves all the problems associated with the delivery of cars from the factory to his showroom:

  1. purchases cars directly from the automaker's factory;
  2. he insures transport, delivers it to the salon and handles customs clearance (for official dealers a similar procedure takes place in a simplified form in 1 or 2 days). The calculation of the customs payment can be done on the resource: www.tks.ru/auto/calc
  3. cars undergo pre-sale preparation in the car dealership.

If according to this principle it is planned to deliver cars from abroad, then you need to create either your own delivery service, or a full-fledged transport company, or rent a car transporter from others transport companies or car dealers (from $2,000 per trip).

The carrier must have:

  • international license for the carriage of goods;
  • certificate of compliance with Euro-2, Euro-3;
  • all-Russian license customs carrier.

2) Purchase of cars from an official Russian importer.

In this case, issues related to the transportation of cars to Russia, their customs clearance, fall on the shoulders of the importer. This option is the most attractive for novice dealers, especially in terms of money it is equivalent to the first delivery option.

As for the settlements for cars, the options may be different, but most often manufacturers require Russian dealers 100% payment for shipped cars(Honda, Volkswagen, Audi, Toyota,).

If the manufacturer has an official importer for Russian market, which has a common warehouse for all dealers, then the last goods are provided on the terms of a commodity loan(Opel, BMW, Volvo, etc.). The dealer is obliged to distribute the cars taken from the general warehouse within a month. If, after this period, unsold vehicles remain, then the importer accrues daily penalties on their value. Anyway, after 3 months, unsold goods must be redeemed by the dealer.

Therefore, it is especially important to fulfill the monthly sales plan. For a novice dealer selling premium cars, one should proceed from the number of 250-450 vehicles per year. When selling cheap cars - at least 1000 units per year.

About warehouses, plans and prices

One of the questions of interest to many concerns how many machines should be in stock. It depends on the trademark manufacturer. If the model range is extensive, then you will have to keep quite a lot of cars in stock. It is desirable that there be twice as many of them as it is predicted to sell in 1 month.

Now for the prices. Each manufacturer sets its own prices. Margin size is also dictated, which the dealer can receive (usually from 8 to 20%). To attract customers, a car dealer can reduce prices, but only at the expense of a margin.

Usually, with the strict implementation of sales plans, the manufacturer provides the dealer with bonuses. Moreover, it is more important for the supplier to fulfill the model plan. Along with running models, a car manufacturer often obliges dealers to sell slow-moving goods.

Where is the car dealership located?

It is important that the place meets the following requirements:

  • it was close to the highway; it should be easily accessible by any means of transport;
  • the shop window overlooked the roadway;
  • The plot must be at least 0.5 ha.

Which room to choose?

Usually, the manufacturing company strictly regulates both the design of the salon and its design: color schemes, furniture, symbols, etc. However, there are various accommodation options to consider:

  • In the buildings of old car parks. In Moscow they can be rented for $200-500/sq. m.
  • Reconstruction of objects. Moscow rent - from $150/sq. m.
  • The construction of single independent auto centers (if we are talking about middle-class salons, then construction in Moscow will cost about $ 2.4 million). The construction and equipment of a new building takes about 1.5 years.

Equipment

A typical car center includes:

  • exhibition hall (show-room);
  • staff offices;
  • area for visitors;
  • warehouse for cars;
  • warehouse of spare parts;
  • those. Centre.

The cost of equipment is determined depending on the size of those. center. For example, the average Audi station, designed for 25 workers. seats cost about 450-500 tons. In any case, the cost of the equipment is strictly regulated by the manufacturer's project, so its selection for the dealer is usually unproblematic.

Lack of knowledge, experience - these are the first difficulties that a beginner overcomes by deciding to open a car dealership. This article will reveal the main tasks and answers to the question "How to open a car dealership."

Looking ahead, we immediately note that the opportunity to increase sales will provide you with a parallel trade in car accessories, additional equipment And high quality customer service. And remember that the fast pursuit of high profits is a way to get profit today, but tomorrow or six months from now, your clientele circle will disappear like a soap bubble.

How to open a car dealership from scratch

So, consider the information on how to open a car dealership, what you need to open from scratch.

When opening a car dealership, you need to decide which model or models of car you will trade in, determine which dealer network your “brainchild” will represent. You will definitely need to draw up a business plan for opening a car dealership and gradually implement it into the foundation of your business. At this stage, you should negotiate with the manufacturers of your future auto product, draw a circle supplier partners, make them believe in the viability of your future car dealership, in order to supply a car under a commodity loan. The terms of such a delivery and contact information about car manufacturers can be collected on the Internet.

How to become a car dealer

If there is no dealer of a certain brand of car in your city yet, good luck has kissed you!

The manufacturer will agree to represent his model range in your showroom, but still, he will ask if you have experience in the field of auto trade. As a result of such negotiations, you may be advised where exactly it is better to organize a car dealership territorially, which is already a productive step towards the development of a car business.

Now we need to correct the previously drawn up plan for opening a car dealership, take into account the conditions for the participation of partners in it and provide it in finished form to the manufacturer. It is important to use figures to justify to the manufacturer the achievability of the desired result of the dealership's activities.

Location

Geographically, it is more expedient to organize a car dealership near the highway, with display windows opening onto the roadway. This is an advertising moment that promotes the auto business, given its specifics. It is necessary to rent a building with such placement parameters, if it is not possible, it is better to start building a new building for a car dealership.

To attract customers and encourage them to buy will help the arrangement of a car dealership in modern style. Inside, the room must be divided into special zones, equipping a showroom, an office, service center, a spare parts warehouse and leave a prominent place to accommodate a representative of one of the banks. An additional service of your car dealership is the convenience of obtaining an instant loan for the purchase of a car.

The arrangement of the showroom provides for taking into account the requirements of a particular manufacturer, using its trademark symbols, corporate color design and placement of promotional products.

Costs and profits

According to estimates by experts from Svoy Business magazine (SB #11 (40)), the initial investment for opening a car dealership from scratch, according to preliminary calculations, is about $2.65 million.

The figure consists of the cost of building a car dealership, launching it and working capital invested in inventory biweekly turnover. It should be noted that the share of working capital in this figure is only $150-750 thousand.

Percent net profit in the ratio of gross revenue and expenses of a typical car center, is about 2%. Component analysis financial activities car dealership is given in the magazine "Your Business".

  • Let's take as a base the annual gross income - 100.00%;
  • Expenses for the year also amount to 98.00%.

Including car dealership expenses by cost items:

1) The cost of purchasing cars from official distributor — 92,00%;

2) The cost of purchasing accessories and spare parts - 2.00%;

3) Salary of working personnel - 0.60%;

4) Costs for technical support of activities - 1.00%;

6) Payment of taxes (VAT, income tax, social tax) to the budget - 2.00%.

And 2.00% of net profit remains.

The calculation of the deferred payment provided by the manufacturer should be secured by the presence of own working capital in the amount of at least $200,000.

Staff

The professionalism of the staff working in the car dealership will play a fundamental role in promoting the auto business. Politeness in communicating with customers, the ability to listen to the wishes and requirements, and then not intrusively offer the goods of a car dealership and convince the client that this is exactly what he is looking for, not every manager or administrator of the hall can. Recruitment is difficult and time consuming.

We recommend introducing the position of Director of Human Resources. He will professionally solve the issue of recruiting staff to work in your car dealership, set certain standards for communicating with customers in the car dealership. In the working mode, it will strictly monitor the implementation of the adopted rules.

The success of auto sales will ensure the holding marketing research or ordering such. Studying the aspect of the business environment, the presence of competitors in the auto sales market, will help you in your search potential investors, a competent orientation in the economy dictated by the car trade market. Knowledge of economic and technical trends, as well as the financial analysis, represented by your business, industry, will give a positive result to the sales process of an organized car dealership.

From the first steps taken, one should take care of establishing the company's image, lay the basic principles of the enterprise, train staff, orient them to the ability to find an adequate way out of the current non-standard situation. The prompt response of technical staff to minor repairs that take place in the pre-sale preparation of the car also affects the decision of the client to come to your car dealership.

The quality of service guarantees the attraction of customers to your showroom.

car dealership advertisement

The effectiveness of a wide advertising campaign of your enterprise is undeniable.

One of the common options for advertising a car dealership is an article in a free city regional or district newspaper. Publicly available information about the coordinates of the location, an indication of a flexible system of discounts, democratic prices, will attract the attention of a wide audience of potential buyers.

The effectiveness of holding periodic car sales promotions in the car dealership was noted, it is advisable to inform about them by organizing the mailing of booklets, leaflets, offering the purchaser free additional service. For example, a free first refueling of a purchased car or an oil change.

The cost of these activities will pay off and bring profit to your business.

Outcome

Drawing a conclusion from the above, we will give you an analogy to the advice of the president of the Inkom-Lada network of car dealerships and technical centers, which was published in the Business Journal. The essence of the advice is as follows: only by adhering to the basic principles of having long-term goals and perseverance in achieving them, it is possible to achieve an increase in profitability in automotive business and open a successful car dealership from scratch.

Prepared on the basis of the material www.openbusiness.ru , author Tatyana Nikitina.