How to Start A Tire Shop Business?

If you’re thinking of opening up a tire shop, read this article to learn more about legal issues, equipment, advertising, etc.

There are six broad classes of tires, including passenger car tires, light commercial vehicle tires, medium and heavy commercial tires, two-wheelers, three-wheelers, and off-road tires.

As per auto experts, the global tire market is forecasted to grow at an average rate of 8.4 percent between 2016 and 2021. Therefore, if you want to start a tire store, it’s definitely a lucrative venture.

Here are 10 Steps to Start Tire Shop Business

1. Do Market Research

The first step before opening a new tire store is to determine what kind of customer base your location can support. Basically, tire shops do best in cities and smaller towns.

Strategically placed spaces next to major roads are also popular spots for tire retailers. It is important to carry out thorough research into your local area and find out as much as possible about the current trends in the marketplace.

2. Choose the Products

The inventory to be maintained in your business largely depends on the type and make of cars on the road near your location. You can maintain a variety of kinds of tires for trucks, buses, vans, motorcycles, scooters, etc. Also, you can stock various kinds of rakes, spares, tubes, wheels, etc. in your tire store.

3. Business Plan

It is essential to research the industry before starting any business venture. However, it is equally important to develop a business strategy and create a business blueprint.

4. Selecting the Type of Tire Shop

A good way to start your own business is to buy a franchise of a reputable multi-branch chain of stores. These chains sell products ranging from clothing to electronics and everything else under the sun.

They offer great opportunities for people who wish to run their own businesses without having to worry about the overhead costs involved. Buying a franchise is not only easy, but it is also very lucrative if done right.

5. Make the Tire Store Legally Compliant

Contact the relevant authorities and obtain the necessary licenses and permissions to start and operate a tire store. In addition, set up a company with the best business structure available in the region or country. For example, setting up an LLC in the US provides additional advantages.

6. Choose a Retail Space

Choosing the right location for your business is probably one of the most important decisions to take when setting up a successful business. It needs to have enough room for parking of cars coming to your store.

7. Hiring Manpower

When running a tire shop, having enough staff who are well-trained to handle different types of jobs is essential.

To determine the right number of people you require, evaluate the number of employees you currently have and create job profiles for each position. You may want to consider hiring an employment agent or advertising your positions in local papers.

8. Procuring Inventory

When you plan to start a business selling one product or service, you need to focus on finding a good supplier who sells the products or services you want at a price you can afford. But when you plan to start a multi-product or -service business, you need to invest a lot of effort in developing a relationship with multiple suppliers.

You need to buy tire changing and installation equipment if you’re planning to start a tire shop.

9. Selecting Business Software for a Tire Shop

To operate your car repair shop successfully, you need to install relevant software tools including CRM, POS, and good accounting software.

10. Advertising a Tire Shop

A tire store should not only focus on selling tires, but also on providing services to help people get around safely. These services include things such as inspecting brakes, checking tire pressures, and offering to check out car maintenance. By giving these services away, they can attract new clients who may then buy tires later on.

You can also make use of social media platforms such as Facebook, Twitter, Instagram, Pinterest, Tumblr, Google+, LinkedIn, and YouTube to create awareness about your business.

These sites allow you to connect with potential clients and market your products and services. They also provide you with an opportunity to build relationships with your target audience.