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Old 5th April 2010, 21:34   #46
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Originally Posted by aargee View Post
C; when in job, do not learn for the sake of business & when in business do not learn for the sake of money.
Thanks! Will keep this advice in my mind.

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Originally Posted by razor4077 View Post
@SRK: What course of studies are you pursuing? If you are an engineer (especially mechanical), you already have a head start in terms of domain knowledge.
One option for you would be to look for an vocational training course abroad (there are a few in Europe/UK). There you would be trained and would also get hands-on experience in the field, something that would stand you in good stead in the future. You could think of working somewhere in and around that area thereafter to pick up further experience (probably more advanced than a workshop in India would offer you) and of course, money.
After a couple of years, you can come back to India and work on setting up your dream workshop.

Don't give up on your dream - equip yourself with the experience and knowledge needed to achieve it. All the best!
Hey thanks for the suggestion. I am currently doing my Automobile Engineering.
As of now going abroad is not on the plans. If there are some kind of training programs held in Mumbai then I would be interested.
The authorized service centers do provide training for around 6 months or so.
Some of my friends had joined such centers for a period of 2 months when we were supposed to do our project I on the other hand was part of a team who participated in BAJA a Student's Offroad Buggy design challenge. But I got to learn many things from this too.
Now I am waiting for my exams to get over and then will search for some options.
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Old 6th April 2010, 14:35   #47
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Preferably in an Authorised Service Centre till I am confident enough to work for myself.
Work in both; an authorised center & a (large) independent. The latter will teach you clever tricks, including how to go about sourcing spareparts (some Indian manufacturers don't sell parts for their cars in the open market), disorganised labour, credit given to clients etc.

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As of now going abroad is not on the plans.
In case someone else may be interested in automotive dealership management programs, there's degree options now! Sample program. How I wish I knew when I was a teenager
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Old 6th April 2010, 16:33   #48
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I would advice you to educate the customer by giving him the pros and corns of available some available products like accessories you supply, engine protection options, car care products, solving rattling issues etc. The customer would definitely come back, along with others if you are genuine and if proven knowledgable.
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Old 9th April 2010, 19:00   #49
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Work in both; an authorised center & a (large) independent. The latter will teach you clever tricks, including how to go about sourcing spareparts (some Indian manufacturers don't sell parts for their cars in the open market), disorganised labour, credit given to clients etc.
I plan to start in some Authorised Center first, will CARNATION be equivalent to A.S.S?

Also is it possible to name some good independent garages (in Mumbai)? I have seen a few near Mahalaxmi Race Course which are WIAA authorised. Also have seen many imports being worked upon there. I would like to go and learn at such a place.
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Old 5th July 2010, 13:30   #50
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Hello All,

My friend wants to start a new garage here in Nepal. He wants me to post this here so that he can get some advice on it.

He has been told that there are garage consultants in Delhi and elsewhere, who design a modern garage.

Since he is here in Nepal. he does not have any idea where to find them in Delhi. If somebody here knows any information on them, please send me a PM.

Thanking you.

Regards

Nepalken
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Old 13th July 2010, 13:17   #51
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Mods, i know this is not the appropriate section. Please move it where it belong. As well i was not able to post this in Team-BHP Advise.

Dear BHPian's, i need some advise about venturing into automotive field. (Any Sector)

Diversion into a next step is the logical decision in my life. I have a business running which supports me financially, thought lately things have organized and i have some time on my own.

End of the day, i think it is time to think about my passion and make my childhood dream a reality. I have a very big passion for machines - I just LOVE them. Well, not only machines but any metal that moves.

Passion can become an addiction. Understood this through this forum. To fulfill my addiction iam here to you guys to ask an opinion, advise, comments, ROI and other stuffs what all you guys can think of to start a small time automotive venture.

This automotive venture can be of any sort, related with automobiles. I have listed the criteria's and other things what i have in my mind. Please give me your valuable suggestions.

1) Have a vacant land area of around 3000 Sq ft in a NH road locality (On Road).
2) Budget of 15 to 20 L at the most, If the project is going to be big, i do not have any trouble accessing the banks. That too i don't want to cross 50 L at the most.
3) The place where iam planning to put up the project is in Karur, TN. Car's population is growing.
4) I don't want to get into spare parts business.

Guys, it will be of great help if you can suggest me some good ideas.

Thanks.
Niranjan / SD
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Old 13th July 2010, 16:35   #52
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Niranjan, welcome to TBHP.

The question that I would like to ask before anyone else does. Do you need a partner??

Jokes apart, automotive business in India is very competitive. Not as glamorous or flashy as it appears on the internet, car showrooms or anywhere else. How do I know this? Well, I have retreaded OTR HEMM tires, owned a Lucas TVS dealership, a TAFE dealership, an independent garage and stuff like that apart from my general interest and passion for all things automotive.
So, though it may seem a bit too personal (its your money and wish after all), it would good if you could reveal your age, your experience, your family background in terms of business and your initial field of interest before eliciting some more suggestions to proceed.
South India, has a lot of potential but, it is very very important to take the first step very very right.

Hope you understand.
Regds
Dev
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Old 13th July 2010, 18:16   #53
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@ devdath,

Thanks for your comments and i really appreciate your concern. Well, iam aware of the competition and manpower headache's and the complication's of running a business. But on a different note, can you share the problems that you faced running all your business's? This will be of a great help and help me decide further down the line.

Iam a 31 a 3rd generation entrepreneur running a textile business and planning to venture into other field of interest.

SD
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Old 14th July 2010, 14:18   #54
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End of the day, i think it is time to think about my passion and make my childhood dream a reality. I have a very big passion for machines - I just LOVE them. Well, not only machines but any metal that moves.
Well respected, Smooth Drive! I'm one who believes in following your passion.

Quote:
1) Have a vacant land area of around 3000 Sq ft in a NH road locality (On Road).
2) Budget of 15 to 20 L at the most, If the project is going to be big, i do not have any trouble accessing the banks. That too i don't want to cross 50 L at the most.
3) The place where iam planning to put up the project is in Karur, TN. Car's population is growing.
4) I don't want to get into spare parts business.
1. Boutique Showroom - An emerging trend (Skoda's Boutique Showroom (Bandra) - An emerging trend) - I can easily think of some luxury car brands that would be willing to consider your proposal.

2. A high-end customisation outlet, backed by only branded goods + excellent service. A one stop shop for V-Kool sun film, Petes performance products, Remus exhausts, high-end car audio, Stanley leather seats & the like.
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Old 14th July 2010, 14:57   #55
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@ devdath,
Thanks for your comments and i really appreciate your concern. Well, iam aware of the competition and manpower headache's and the complication's of running a business. But on a different note, can you share the problems that you faced running all your business's? This will be of a great help and help me decide further down the line.
Iam a 31 a 3rd generation entrepreneur running a textile business and planning to venture into other field of interest.
SD
It will be long story but yes, I can tell the most significant parts in all the three fields that I have ventured into viz;OTR Tire retreading, Lucas TVS, and TAFE. I will, in summary, mention the main challenges that I have faced. We could chat up in detail when you send me a PM or a mail since it would require a detailed analysis.

A. OTR Tire retreading: Among the most promising fields till date in the tire business. The challenges are:
1Logistics: Your plant needs to be close to the areas where the tires are in use like mines dams etc to reduce costs of transportation and time. Also, you need to be well connected to Cos supplying tire repair products like UNIPATCH so that they can send you the raw material. In TN, Neyveli Lignite is one such area which comes to my mind at this moment.
NB: Please remember that there is no fun in retreading CV/HCV or smaller tires.
2. Quality&Technology. 24.00X47 and 36.00X51 are amongst the commonly used OTR sizes in open cast mines along with 14.00X49 used on payloaders and graders. These tires require suitable moulds to retread them and most of the equipment is imported. The manufacturer will bring people to install it and turn it on but your local labor should be competent enough to handle it, maintain it, and know how to churn out good retreaded tires from it. Also, one faulty tire rejected means a loss of a good chunk of profits so you need to be careful.
3. Payments: Generally OTR tires are used in Govt owned mines/quarries/dams etc which means that the business too is controlled by the respective state/central Govts. So the process of tendering, enquiry, approvals, delivery, sanction and finally payment takes time and you need to have enough reserve cash to sustain delays, run the business, and peacefully maintain your family life as well.
You also need to know how to negotiate with typical Govt officials at all levels and get your work done by hook or crook.

Let me know your queries on these and then we can move forward.

Last edited by n.devdath : 14th July 2010 at 15:01.
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Old 1st May 2012, 17:43   #56
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Lightbulb URGENT: Honda Scooters Workshop - Viable Business Opportunity ??

Mods please move the topic to an appropriate head, if not applicable to this head.

A very close friend was looking out for a business opportunity in automobile sector and luckily got an opportunity to stat up a "Honda Scooters and motor Cycles workshop". For Honda products like - Honda Activa, Honda Eterno, Honda CBR and other Honda Two wheeler products.

Therotically being from management and manpower supervision sector, automobile sector is relatively new for him since he never had any first hand experience in managing such automobile workshop. But being a die hard workman, he is very sure that he can learn and do it very well after initial hickups.

Now, the problem arises is regarding following two questions.

a) The "Breakeven" i.e. How sooner can it be achieved ??
b) How's Honda future in India ??

After an initial brainstorming session following things were concluded
a) For the first 6-9 months, one might need to run the show from his own pocket. But once a initial level is achieved where-in a minimum no. of vehicles to be serviced daily to get running cost of the workshop, it might be no looking back.
b) Let's take a looks at 2011 Stats

Advice needed On setting Up a car / bike Workshop!-sales.jpg

& Latest 2 wheeler market research Link & Latest report regarding the "Honda overtakes Bajaj in March two-wheeler sales" Link

Above Facts and figures do boast a positive energy all around for a successful business opportunity in-hand.

Now some "told you earlier" points:
1) All the expenses including rental and salaries will be responsibility of the Owner.
2) Company will only pay a predefined reimbursement of in-warranty products to be services (Market standard price)
3) Parts to be procured from Honda only.


Pardon me for my limited knowledge regarding 2 wheelers, but we were struck over some question where neither google or me had any answers

a) Is it really a good business opportunity where-in one should jump in ASAP ??
b) Is Honda on the right track regarding it's success in Indian market consisting established players like Hero Motocorp and Bajaj ??
c) Moreover, wherein Honda is carrying a single successful product line which is keeping them ahead of competition i.e. "Scooter". I believe there is no such serious competition for Honda scooters being a class leaders, but can one bet and start business blind eyed upon one successful product only ??


Your expert comments will be highly appreciable.
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Old 1st May 2012, 22:43   #57
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Default Re: URGENT: Honda Scooters Workshop - Viable Business Opportunity ??

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Originally Posted by ashthedivx
Now some "told you earlier" points:
2) Company will only pay a predefined reimbursement of in-warranty products to be services (Market standard price)
Does this apply to all two-wheeler and four-wheeler manufacturers?
What if the faulty parts value exceeds the predefined reimbursement amount?
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Old 1st May 2012, 22:59   #58
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Default Re: URGENT: Honda Scooters Workshop - Viable Business Opportunity ??

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Originally Posted by ashthedivx View Post
Mods please move the topic to an appropriate head, if not applicable to this head.

A very close friend was looking out for a business opportunity in automobile sector and luckily got an opportunity to stat up a "Honda Scooters and motor Cycles workshop". For Honda products like - Honda Activa, Honda Eterno, Honda CBR and other Honda Two wheeler products.
Overall the opportunity is good and difficult to get. Honda has strong plans for Indian market. Company is aiming to become No.1 position in Indian market by 2018. Company is planning to set up 7 factories in India in coming 5-10 years. They have already commissioned second plant in Tapakura, Rajasthan and third one is being constructed near Bangalore.

I don't have much information about commercial aspects of the a service center operation. Probably margin may be less but it may get compensated by huge volumes.

Honda will soon launch a entry level motorcycle Dream Yuva in India, may be by end of 2012. So in short company will emerge as a leader in motorcycle as well.

By the way what is the investment requirement for this business..?
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Old 2nd May 2012, 15:39   #59
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Default Re: URGENT: Honda Scooters Workshop - Viable Business Opportunity ??

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Does this apply to all two-wheeler and four-wheeler manufacturers?
What if the faulty parts value exceeds the predefined reimbursement amount?
Yes it does apply to all off em.

Practically it shouldn't like oil usage and filters usage will be same. In case of any increase, he'll be either charging customer or asking necessary approvals from company.


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Originally Posted by MaxTorque View Post
Overall the opportunity is good and difficult to get. Honda has strong plans for Indian market. Company is aiming to become No.1 position in Indian market by 2018. Company is planning to set up 7 factories in India in coming 5-10 years. They have already commissioned second plant in Tapakura, Rajasthan and third one is being constructed near Bangalore.

I don't have much information about commercial aspects of the a service center operation. Probably margin may be less but it may get compensated by huge volumes.

Honda will soon launch a entry level motorcycle Dream Yuva in India, may be by end of 2012. So in short company will emerge as a leader in motorcycle as well.

By the way what is the investment requirement for this business..?
Huge volume - I ain't very sure if he is going to get them any how, since may if his current repair capacity is around 70 bikes then he may stretch and increase it to 90 bikes but for doing 100+ bikes in a day he will be needing bigger and better infrastructure. And, one do not have any guarantee that company will not open up another service center in the vicinity in near future.

Investment avenue is something in between of 24-25 Lakhs for setting up a good workshop.
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Old 2nd May 2012, 17:56   #60
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Default Re: URGENT: Honda Scooters Workshop - Viable Business Opportunity ??

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Originally Posted by ashthedivx View Post
Now, the problem arises is regarding following two questions.

a) The "Breakeven" i.e. How sooner can it be achieved ??


After an initial brainstorming session following things were concluded
a) For the first 6-9 months, one might need to run the show from his own pocket. But once a initial level is achieved where-in a minimum no. of vehicles to be serviced daily to get running cost of the workshop, it might be no looking back.
These are very complex questions and I recommend you use the services of a good C.A. firm which will advise you suitably.

For a start, you need to divide your expenses into 'Fixed' and 'Variable'. Staff and labour salary, electricity, rent, municipal tax, water charges, 3rd party liability insurance, etc. can be classified as Fixed. Interest cost of money invested will be a big Fixed cost. Calculate interest on your own funds + borrowed funds, because your own funds can earn you an income if invested in a Bank FD, which you will forego, when investing in business.

Expenses on spares, consumables, etc. are variable.

Break-even point is reached when your Revenue covers the variable + fixed cost. Once your expenses have been determined, you will need to estimate your Revenue.

My guesstimate is it will take more than 2 years to break-even.
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