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Old 4th October 2004, 12:48   #1
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Default How much does it cost to set up a car dealership in India?

These are indicative figures for the cost of opening up a car dealership.

Mercedes Dealerships : 6 Crore (rented land)
BMW : 9 Crore (Bangalore)
Porsche / Bentley : 5 crore
Audi : 3 Crore
Nissan : 6 crore
Skoda : 1 crore

Apparently the interiors along cost 1 crore upwards. And the workshop? A Cool 3 crore+.

GTO

Source : Economic Times Article
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Old 4th October 2004, 12:57   #2
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wow, but i am sure the kind of money these guys make is not a joke as well, covering the cost in may be 4 yrs or so..

also if u happen to have BMW and Merc dealership then the cost doesnt become a sum right, it would be much lower?
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Old 4th October 2004, 13:22   #3
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hey how much does an honda dealership cost in mumbai and the cost of opening an workshop of honda .
thanks
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Old 4th October 2004, 13:36   #4
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Hey GTO, it's just the setup cost that you are talking about, but when you look at the investment point of view, a Honda dealership in Bombay would easily make a hole of at least 15 crores in your pocket.

And the Nissan dealer in Mumbai has spent lots on his dealership (he;s my dads good friend). He's also got a Toyota workshop that goes by the name of Lakozy.

Last edited by GTO : 11th October 2012 at 13:08. Reason: Removing SMS language
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Old 4th October 2004, 14:03   #5
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What about working capital to stock cars and parts ?
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Old 13th June 2007, 17:56   #6
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Default Project Cost Of Honda Dealership?

Can Any One Help Me With What Would Be An Estimated Project Cost To Set Up A Honda Dealership?

Or If There Are Any Websites Which Would Give Some Idea?

Thanks Very Much
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Old 13th June 2007, 18:49   #7
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Someone once mentioned to me that a Maruti dealership in Whitefield area (Mahadevpura) cost the owner 3 crores to set up about 3-4 years ago. This is a full sales/service dealership.
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Old 13th June 2007, 19:25   #8
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Shivam, I'm on the look out for similar estimate and info as well.. But someone from the indstry told me that the smallest dealership/workshop set up would take atleast 25 crores, where the banks can shell out lets say 15c.. This includes stock of cars..

does anyone have more info on this people ?
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Old 13th June 2007, 19:28   #9
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when the rhino was just launched my uncle in patiala got a for to open a dealership(which he refused) and the price which was indicated was around a core pretty cheap when compared with above post
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Old 13th June 2007, 20:47   #10
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Depends on size of dealership and location.

There are many variables involved. Depends on how big the dealership is going to be and how many bays you want for servicing. Most important is the location. Cost is real estate is a big difference between Kholapur and South Mumbai.

Honda SIEL will give you a list of what kind of tools you need to buy and and they will even specify what color of paint to use.
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Old 14th June 2007, 15:15   #11
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my friend has opened a hyundai showroom and workshop total cost what he told me was atleast 15 cr for the land in the metro city 1.5 cr for building around 1 cr for equipments and another 15 cr for the stock they have to keep 45 days stock of all popular colors and varients they have target of 300 to 350 cars per month
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Old 14th June 2007, 15:44   #12
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How soon do you guys think these people recover the money which is invested?
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Old 14th June 2007, 16:21   #13
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Two threads that may be of your interest:

2

1
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Old 14th June 2007, 19:07   #14
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Bah! Previous to this one I was not even aware that there are so many of us who are interested in a dealership/service point business. 3 is a really serious number of threads on a single subject. And Honda looks like a real favorite for service station business. I wonder why!
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Old 14th June 2007, 19:35   #15
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Quote:
Originally Posted by Zappo View Post
And Honda looks like a real favorite for service station business. I wonder why!
Honda is the only company which doesnot give any discounts at dealer level or otherwise so wont it be the most profitable for the investor
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