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Car Dealership Business Plan PDF Example

• February 28, 2024
• Business Plan

Creating a comprehensive business plan is crucial for launching and running a successful car dealership. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your car dealership’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a car dealership business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the retail industry, this guide, complete with a business plan example, lays the groundwork for turning your car dealership business concept into reality. Let’s dive in!

Our car dealership business plan is meticulously organized to encompass all key components necessary for a comprehensive strategic framework. It details our dealership’s operations, marketing strategies , market environment, competitors, leadership team, and financial outlook.

• Executive Summary : Offers an overview of your Car Dealership’s business concept, including the range of new and pre-owned vehicles, market analysis , management team, and financial strategy.
• Car Dealership & Location: Describes the dealership’s prime location, accessibility, and facility features, including the showroom and service area.
• Vehicles & Rates: Lists the types of vehicles offered, from economical compact cars to luxury SUVs, including pricing and financing options.
• Key Stats: Shares industry size , growth trends, and relevant statistics for the car dealership market.
• Key Trends: Highlights recent trends affecting the car dealership sector, such as the surge in Electric Vehicle (EV) sales and the shift towards Built-to-Order sales.
• Key Competitors : Analyzes main competitors in the area and how your dealership differentiates itself, focusing on vehicle selection, customer service, and additional services like maintenance and repairs.
• SWOT: Strengths, weaknesses, opportunities, and threats analysis tailored to the car dealership business.
• Marketing Plan : Strategies for promoting your dealership and attracting customers, including online presence, targeted promotional campaigns, and community engagement.
• Timeline : Key milestones and objectives from the initial setup through the first year of operation and beyond.
• Management: Information on who manages the Car Dealership, detailing their roles, experience in the automotive industry, and business management.
• Financial Plan: Projects the dealership’s 5-year financial performance, including revenue from vehicle sales, profit and loss statements, cash flow analysis, and balance sheet.

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Car Dealership Business Plan

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

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Executive Summary

The Executive Summary introduces your car dealership’s business plan, providing a succinct overview of your dealership and its offerings. It should describe your market positioning, the range of vehicles you offer—including new and pre-owned cars, financing options, and after-sales services—its location, size, and an overview of daily operations.

This section should also delve into how your car dealership will establish itself within the local market, including the number of direct competitors in the area, identifying who they are, along with your dealership’s unique selling points that set it apart from these competitors.

Moreover, you should include information about the management and founding team, detailing their roles and contributions to the dealership’s success.

Additionally, a summary of your financial projections, including revenue and profits over the next five years, should be included here to provide a clear picture of your dealership’s financial strategy.

Make sure to cover here _ Business Overview _ Market Overview _ Management Team _ Financial Plan

Dive deeper into Executive Summary

Business Overview

For a Car Dealership, the Business Overview section can be effectively divided into 2 main categories:

Car Dealership & Location

Describe the dealership’s physical setup, focusing on its design, layout, and overall ambiance that welcomes customers. Mention features such as the showroom’s size, the display arrangement of vehicles, and any customer-friendly areas like waiting lounges or consultation spaces. Next, highlight the dealership’s location, emphasizing its accessibility and the convenience it offers to customers, such as proximity to major roads or highways and the ease of parking. Also, explain why this location is strategically chosen to attract your target customer base, considering factors like local traffic flow, visibility, and the presence of nearby complementary businesses.

Vehicles & Rates

Detail the variety of vehicles offered, including new and pre-owned models, different brands, and vehicle types (such as sedans, SUVs, trucks, and electric vehicles). Emphasize any unique or highly sought-after models that could attract customers. Outline your pricing strategy for the vehicles, ensuring it reflects the value offered and aligns with the market segment you’re targeting. Discuss any financing options, leasing deals, or special promotions that make purchasing more accessible and appealing to customers.

Make sure to cover here _ Car Dealership & Location _ Vehicles & Rates

Market Overview

Industry size & growth.

In the Market Overview of your car dealership business plan, begin by analyzing the size of the automotive industry and its growth potential. This examination is essential for grasping the market’s breadth and pinpointing opportunities for expansion.

Key Market Trends

Next, delve into current market trends , such as the growing consumer interest in electric and hybrid vehicles, advanced safety features, and digital sales platforms. Highlight the demand for vehicles that cater to evolving lifestyle needs and environmental concerns, along with the shift towards online purchasing and personalized buying experiences.

Key Competitors

Finally, assess the competitive landscape, which spans from luxury car dealerships to budget-friendly lots, as well as online car sales platforms. Focus on what sets your dealership apart, whether it’s through superior customer service, a diverse inventory, or expertise in specific types of vehicles. This section will clarify the demand for automotive sales services, the competitive setting, and how your dealership is poised to succeed in this dynamic industry.

Make sure to cover here _ Industry size & growth _ Key competitors _ Key market trends

Dive deeper into Key competitors

Begin with a SWOT analysis for the car dealership , identifying Strengths (such as a diverse vehicle inventory and strong customer service), Weaknesses (like limited market presence or competitive pressure), Opportunities (for instance, the growing demand for electric vehicles and online sales channels ), and Threats (such as economic fluctuations affecting consumer spending on big-ticket items).

Marketing Plan

Then, craft a marketing plan that details strategies to attract and retain customers through targeted advertising campaigns, promotional financing offers, a dynamic online presence, and community engagement events.

Lastly, establish a comprehensive timeline that marks key milestones for the dealership’s launch, marketing initiatives, customer base development, and growth goals, ensuring the business progresses with clarity and focus.

Make sure to cover here _ SWOT _ Marketing Plan _ Timeline

Dive deeper into SWOT

Dive deeper into Marketing Plan

The Management section focuses on the car dealership business’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the car dealership toward its financial and operational goals.

For your car dealership business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

Financial Plan

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your car dealership’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs , and capital expenditures.

For your car dealership business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

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Car Dealership Business Plan

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A Car Dealership Business Plan is a detailed plan that will help you take your business to the next level. Use this template to create your plan.

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Car Dealership Business Plan Template

Created by:

​ [Owner.FirstName] [Owner.LastName] ​

​ [Owner.Company] ​

EXECUTIVE SUMMARY

​ [Owner.Company] is a new car dealership that will offer a wide range of new and used vehicles to customers in the [Owner.City] area. The dealership will be owned and operated by [Owner.FirstName] [Owner.LastName] , who has (insert number) years of experience in the automotive industry. The dealership will be located in a prime location with high visibility and easy access for customers. It will offer a variety of services, including sales, financing, leasing, maintenance, and repair.

COMPANY DESCRIPTION

​ [Owner.Company] will be registered as a(n) (LLC/Corporation) and will employ (insert number) people at the start, including the owner and a team of sales associates and service technicians. The dealership will offer a selection of new vehicles from top manufacturers and a wide range of high-quality used vehicles. The dealership will also offer financing and leasing options for customers, as well as maintenance and repair services for all makes and models of vehicles.

MARKET ANALYSIS

The automotive industry is expected to remain stable over the next five years, with a slight increase in sales projected. The demand for new and used vehicles is driven by population growth, economic development, and the need for reliable transportation. [Owner.Company] will target both individual and commercial customers in the [Owner.City] area, focusing on providing high-quality vehicles and excellent customer service.

MARKETING STRATEGY

​ [Owner.Company] will use a combination of traditional and digital marketing techniques to reach potential customers. This will include advertising in local newspapers and industry publications, as well as utilizing social media platforms and email marketing to promote sales and specials. The dealership will also rely on word-of-mouth referrals from satisfied customers. The dealership will host events and promotions to attract new customers and build brand awareness in the local community.

​ [Owner.Company] will have a modern showroom and service center to showcase vehicles and provide maintenance and repair services. The dealership will have a team of experienced sales associates and service technicians who will assist customers and maintain the dealership's inventory of vehicles. The dealership will have a manager overseeing all operations and ensuring that the dealership is running smoothly. The dealership will maintain a well-stocked parts department to ensure that customers' vehicles are well-maintained and repaired as needed.

FINANCIAL PLAN

​ [Owner.Company] will generate revenue through the sale of new and used vehicles, as well as financing and leasing options. The dealership will also generate revenue through the sale of parts and services. The dealership will have operating expenses, including payroll, rent, utilities, and insurance. The dealership expects to generate (Amount) in revenue in the first year, with a projected growth rate of (Percentage) per year. The dealership will implement strategies to increase profitability, such as offering value-added services and maintaining a high level of customer satisfaction.

​ [Owner.Company] is well-positioned to meet the demand for new and used vehicles in the [Owner.City] area. With a prime location, a wide range of high-quality vehicles and services, and a commitment to customer satisfaction, the dealership is confident that it will be successful in the competitive automotive market.

​ [Client.FirstName] [Client.LastName] ​

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Car Dealership Business Plan Template [Updated 2024]

Car Dealership Business Plan

If you want to start a new car dealership or expand your current dealership, you need a business plan.

The following car dealership business plan template gives you the key elements to include in a winning business plan. In addition to this template, a successful business plan will include market research to support your business concept, help you better understand the car dealership industry, market trends, car prices and your target customers. It will also help you craft a smart marketing plan and a strong financial plan.

You can download our Car Dealership Business Plan Template (including a full, customizable financial model) to your computer here.

Sample Business Plan For New Car Dealerships

Below are links to each of the key sections of a sample business plan that can be used for all types of car dealerships including a luxury car dealership, an online car dealership, new car dealers, and used car dealerships.

• Executive Summary – The executive summary provides an overview of your business opportunity and summarizes the business plan.
• Company Overview – The company analysis includes information about your business concept, the types of vehicles you plan to sell, car repair and maintenance services and legal structure.
• Industry Analysis – The industry analysis includes market research that supports your business and provides insights into market trends and the automotive industry.
• Customer Analysis – The customer analysis provides an overview of your target market and the purchasing habits of these potential customers.
• Competitive Analysis – The competitive analysis should identify your direct and indirect competitors and highlight your competitive advantage.
• Marketing Plan – The marketing plan includes your marketing strategy, pricing strategy and how you will build brand awareness utilizing social media platforms and other forms of digital marketing.
• Operations Plan – The Operations Plan includes information on your dealership’s day-to-day operations including inventory management and auto sales, and processes in the service department to maintain customer satisfaction.
• Management Team – The management team section includes a profile of the business owner and business management, their experience and company responsibilities.
• Financial Plan – The financial plan includes financial projections, a cash flow statement, profit and loss statement, and balance sheet.

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Car Dealership Business Plan Home I. Executive Summary II. Company Overview III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan

How to Write a Business Plan for Your Car Dealership

Nuts and Bolts of a Winning Car Dealership Business Plan

Starting a car dealership involves much more than simply placing for sale signs in the windows of a few cars parked in your driveway. Becoming a car dealer requires you to understand and meet your state’s legal requirements, obtain necessary permits, form an appropriate legal entity structure, find a location, and determine the types of vehicles you will offer. If you sell more than a couple of vehicles in a year, you will have to get a license from your state to legally operate your business. States that require auto dealer licenses also require you to obtain an auto dealer bond as a condition of getting a license.

A surety company will want to evaluate your business to determine its financial stability, level of experience, and reputation before it will agree to issue you a bond. To determine whether it will underwrite your bond, the surety company will likely ask to review a copy of your business plan.

Besides having something to present to a potential surety company, there are other good reasons why you should take the time to write a business plan for your dealership. Effective business leaders execute well-planned business strategies. The best way to plan your business strategies is to create a thorough plan for your dealership. While a business plan will not guarantee you will succeed, it can help to mitigate against the risks of failing. Here are the parts you should include in your business plan as a car dealer to help map out your strategies and create a path to success.

Executive Summary

The executive summary of your dealership’s business plan provides a statement of what you envision when you achieve operational success and reach your goals. It is a summary of the vision you have for your dealership and describes your business’s identity, purpose, and how you will achieve your goals. Your executive summary should include your mission statement and validated statements about the business opportunity and the market.

Company History

This section should include a brief account of your business’s roots and how it started. While short, this section should provide insight into your company’s foundation and the direction it will go in the future.

Company Analysis

In this section, you should describe the type of dealership you plan to operate. For example, you should explain whether you will sell new cars or used vehicles, or if you plan to operate an online dealership. You should also include any milestones your dealership has achieved and the plans you have for its future. You should also include information about the legal entity structure you have chosen for your dealership.

Goals/Objectives

You should list the specific goals that your company wants to achieve. The goals you list should be measurable, specific, realistic achievable, and phased in terms of time. Each goal should include objectives and milestones to show the path for how it can be achieved. Your dealership’s goals can provide your team clarity about your vision and guidance for your operations.

Industry/Market Analysis

The market analysis section is critically important for demonstrating that you understand the auto industry, your market, and consumer demand for what you are offering. To write this section, you should research to understand the preferences, whims, and behaviors of your target market. You should also demonstrate knowledge of successful marketing campaigns and describe the demographics and buying habits of consumers in your market.

Competitive Analysis

Your business plan should address both your direct and indirect competitors. Your direct competitors will include other auto dealerships in your area. The indirect competitors will include other ways that people can purchase cars, including online auctions, private sellers, etc.

Discuss the key aspects of your direct competitors’ business models, including their customer base, the types of vehicles they sell, and their apparent strengths and weaknesses. Explaining how your dealership can fulfill a niche that your competitors aren’t providing is important.

Marketing Plan

In your marketing plan, you should make sure you provide the following information:

• Type of vehicles you offer • Price range of the vehicles you offer • Your dealership’s location and how it provides you with a steady stream of potential customers • Methods you use to attract customers to your dealership (online ads, print ads, television commercials, social media advertisements, flyers, etc.)

In this section, make sure to be specific. You will need to sell your marketing plan to yourself, employees, potential investors, lending institutions, and customers. Make sure to show why your customers would want to purchase a vehicle from your dealership.

Management Team

Include biographies of each of the key personnel in your dealership. The success of your business will depend on the talent of your executive players who will execute your business strategies. Highlight what each key member brings to your company and its goals.

Business Strategy

In the strategic section of your business plan, you should include explicit details of your ideas and plans for success. Describe the methods you will use to achieve your goals. Your business strategies help to hold your business together and provide momentum as you react tactically to any contingency that might arise.

Financial Projections

Your business plan should include a financial projections section that accounts for five years, including two years of comparative data and three years of projections based on your market demand and your ability to meet a portion of it.

Succession Plan/Exit Strategy

You need to include information on how your business will handle major changes such as if your business changes hands or loses a key stakeholder. Make sure to include plans for succession so that your business operations can continue even if an owner decides to sell their stake. You can also include an exit plan for investors to help minimize any financial risks of investing in your dealership.

Financial Information

In the financial section of your business plan, provide hard accounting numbers for your dealership. Include a profit and loss statement that states whether your business is currently making money. You should also include a balance sheet detailing your assets, liabilities, working capital, and other financial information. Finally, include a cash flow statement to detail how money flows into and out of your business.

Creating a business plan for your car dealership is a crucial step to take before you open your doors. A good business plan can provide a roadmap to success while also helping you to obtain important financing, surety bonds, and licensure. A business plan can also help to ensure that the members of your team understand your vision and goals and act accordingly.

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Car Dealership Business Plan Template & Guidebook

If you are looking to start a car dealership, you have come to the right place. With the #1 Car Dealership Business Plan Template & Guidebook, you will have all the resources necessary to create a successful business plan that will help you launch your car dealership with confidence. This comprehensive guidebook provides an extensive template for developing the perfect car dealership business plan that will help you with everything from setting up your organization to finding the best financing options for your dealership. Read on for more details about this incredible resource.

Get worry-free services and support to launch your business starting at $0 plus state fees.

• How to Start a Profitable Car Dealership Business [11 Steps]
• List of the Best Marketing Ideas For Your Car Dealership Business:

How to Write a Car Dealership Business Plan in 7 Steps:

1. describe the purpose of your car dealership business..

The first step to writing your business plan is to describe the purpose of your car dealership business. This includes describing why you are starting this type of business, and what problems it will solve for customers. This is a quick way to get your mind thinking about the customers’ problems. It also helps you identify what makes your business different from others in its industry.

It also helps to include a vision statement so that readers can understand what type of company you want to build.

Here is an example of a purpose mission statement for a car dealership business:

Our mission at ABC Car Dealership is to provide quality vehicles and a superior customer experience by becoming the dealership clients turn to for their automotive needs. We strive to create a warm and welcoming environment, personalized service, and one-stop convenience from sales to service. Our team of highly trained professionals will work hard to ensure our clients receive the highest quality product as well as the best car buying experience possible.

2. Products & Services Offered by Your Car Dealership Business.

The next step is to outline your products and services for your car dealership business. 

When you think about the products and services that you offer, it's helpful to ask yourself the following questions:

• What is my business?
• What are the products and/or services that I offer?
• Why am I offering these particular products and/or services?
• How do I differentiate myself from competitors with similar offerings?
• How will I market my products and services?

You may want to do a comparison of your business plan against those of other competitors in the area, or even with online reviews. This way, you can find out what people like about them and what they don’t like, so that you can either improve upon their offerings or avoid doing so altogether.

3. Build a Creative Marketing Stratgey.

If you don't have a marketing plan for your car dealership business, it's time to write one. Your marketing plan should be part of your business plan and be a roadmap to your goals. 

A good marketing plan for your car dealership business includes the following elements:

Target market

• Who is your target market?
• What do these customers have in common?
• How many of them are there?
• How can you best reach them with your message or product?

Customer base 

• Who are your current customers? 
• Where did they come from (i.e., referrals)?
• How can their experience with your car dealership business help make them repeat customers, consumers, visitors, subscribers, or advocates for other people in their network or industry who might also benefit from using this service, product, or brand?

Product or service description

• How does it work, what features does it have, and what are its benefits?
• Can anyone use this product or service regardless of age or gender?
• Can anyone visually see themselves using this product or service?
• How will they feel when they do so? If so, how long will the feeling last after purchasing (or trying) the product/service for the first time?

Competitive analysis

• Which companies are competing with yours today (and why)? 
• Which ones may enter into competition with yours tomorrow if they find out about it now through word-of-mouth advertising; social media networks; friends' recommendations; etc.)
• What specific advantages does each competitor offer over yours currently?

Marketing channels

• Which marketing channel do you intend to leverage to attract new customers?
• What is your estimated marketing budget needed?
• What is the projected cost to acquire a new customer?
• How many of your customers do you instead will return?

Form an LLC in your state!

4. Write Your Operational Plan.

Next, you'll need to build your operational plan. This section describes the type of business you'll be running, and includes the steps involved in your operations. 

In it, you should list:

• The equipment and facilities needed
• Who will be involved in the business (employees, contractors)
• Financial requirements for each step
• Milestones & KPIs
• Location of your business
• Zoning & permits required for the business

What equipment, supplies, or permits are needed to run a car dealership business?

• Car sales license
• Business permit/registration
• Financial documents and records
• Computer software programs for tracking inventory, sales, and customer data
• A display area and other fixtures for displaying vehicles
• Desks, phones, printers, and other office equipment for customers and sales people
• A website or online presence to market and sell cars across the internet
• Automotive lifts, tools, and other equipment for servicing vehicles
• Advertising materials such as flyers, posters, banners, and television commercials

5. Management & Organization of Your Car Dealership Business.

The second part of your car dealership business plan is to develop a management and organization section.

This section will cover all of the following:

• How many employees you need in order to run your car dealership business. This should include the roles they will play (for example, one person may be responsible for managing administrative duties while another might be in charge of customer service).
• The structure of your management team. The higher-ups like yourself should be able to delegate tasks through lower-level managers who are directly responsible for their given department (inventory and sales, etc.).
• How you’re going to make sure that everyone on board is doing their job well. You’ll want check-ins with employees regularly so they have time to ask questions or voice concerns if needed; this also gives you time to offer support where necessary while staying informed on how things are going within individual departments too!

6. Car Dealership Business Startup Expenses & Captial Needed.

This section should be broken down by month and year. If you are still in the planning stage of your business, it may be helpful to estimate how much money will be needed each month until you reach profitability.

Typically, expenses for your business can be broken into a few basic categories:

Startup Costs

Startup costs are typically the first expenses you will incur when beginning an enterprise. These include legal fees, accounting expenses, and other costs associated with getting your business off the ground. The amount of money needed to start a car dealership business varies based on many different variables, but below are a few different types of startup costs for a car dealership business.

Running & Operating Costs

Running costs refer to ongoing expenses related directly with operating your business over time like electricity bills or salaries paid out each month. These types of expenses will vary greatly depending on multiple variables such as location, team size, utility costs, etc.

Marketing & Sales Expenses

You should include any costs associated with marketing and sales, such as advertising and promotions, website design or maintenance. Also, consider any additional expenses that may be incurred if you decide to launch a new product or service line. For example, if your car dealership business has an existing website that needs an upgrade in order to sell more products or services, then this should be listed here.

7. Financial Plan & Projections

A financial plan is an important part of any business plan, as it outlines how the business will generate revenue and profit, and how it will use that profit to grow and sustain itself. To devise a financial plan for your car dealership business, you will need to consider a number of factors, including your start-up costs, operating costs, projected revenue, and expenses. 

Here are some steps you can follow to devise a financial plan for your car dealership business plan:

• Determine your start-up costs: This will include the cost of purchasing or leasing the space where you will operate your business, as well as the cost of buying or leasing any equipment or supplies that you need to start the business.
• Estimate your operating costs: Operating costs will include utilities, such as electricity, gas, and water, as well as labor costs for employees, if any, and the cost of purchasing any materials or supplies that you will need to run your business.
• Project your revenue: To project your revenue, you will need to consider the number of customers you expect to have and the average amount they will spend on each visit. You can use this information to estimate how much money you will make from selling your products or services.
• Estimate your expenses: In addition to your operating costs, you will need to consider other expenses, such as insurance, marketing, and maintenance. You will also need to set aside money for taxes and other fees.
• Create a budget: Once you have estimated your start-up costs, operating costs, revenue, and expenses, you can use this information to create a budget for your business. This will help you to see how much money you will need to start the business, and how much profit you can expect to make.
• Develop a plan for using your profit: Finally, you will need to decide how you will use your profit to grow and sustain your business. This might include investing in new equipment, expanding the business, or saving for a rainy day.

Frequently Asked Questions About Car Dealership Business Plans:

Why do you need a business plan for a car dealership business.

A business plan for a car dealership business is important in order to set goals and objectives, define strategies, develop an operational plan, identify your target market, and determine the financial resources needed to get started. It also serves as a roadmap for the direction of the business and helps you stay on track with your long-term vision.

Who should you ask for help with your car dealership business plan?

You should ask an experienced financial planner or accountant for help with your car dealership business plan. Additionally, you could consult with a business coach, business consultant, or mentor who has experience in the automotive industry. It is also a good idea to speak to entrepreneurial experts or other successful car dealerships owners who can provide valuable insights on the business.

Can you write a car dealership business plan yourself?

Yes, you can write your own car dealership business plan. Writing a business plan for a car dealership is like writing any other business plan. It should include your mission, market analysis, financial projections, competitive analysis and marketing strategy. Additionally, researching the car dealership industry in your area can help you tailor your plan and make it more specific to the local market. With a bit of research and preparation, you can develop a comprehensive business plan for your car dealership.

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Through meticulous research and firsthand experience, I uncover the essential steps, software, tools, and costs associated with launching and maintaining a successful business. By demystifying the complexities of entrepreneurship, I provide the guidance and support needed for others to embark on their journey with confidence.

From assessing market viability and formulating business plans to selecting the right technology and navigating the financial landscape, I am dedicated to helping fellow entrepreneurs overcome challenges and unlock their full potential. As a steadfast advocate for small business success, my mission is to pave the way for a new generation of innovative and driven entrepreneurs who are ready to make their mark on the world.

Motorsports Dealership Business Plan Sample

This motorsports dealership business plan sample is focused on the growing industry in Charlotte, North Carolina . If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own. To get your dealership started, there are no costs associated with overhead, storage, packaging, which in turn will save you a lot of time and money. Our motorsports dealership business plan writers created this sample.

Executive Summary

“Motorhub Motorsports Limited.” operating as “Motorhub Motorsports” (The company) was incorporated on June  22, 2021 in the State of Charlotte, North Carolina.  The company sells a variety of used and pre-owned motorsport vehicles including motorcycles, snowmobiles, dirt bikes, all terrain vehicles (ATV’s) and utility terrain vehicles (UTV’s).

With over 10 years of experience in the motorsports retail management industry, and an extensive network in the American motorsports community, Mr. Michael brings a wealth of knowledge, experience and skill to this opportunity. He is a professional backcountry snowmobiler and motorsports enthusiast, with experience directly managing two successful motorsports dealerships in the past. As Founder of Motorhub Motorsports, Mr. Michael is ready to apply his experience and skills to this new opportunity, with a goal of profitability within the first year of operations. 

Motorhub Motorsports is seeking a $78,500 loan through the North Carolina Small Business Administration to purchase equipment and leasehold improvements for this Charlotte Dealership.  With a growing motorsport community in Charlotte, Charlotte is an ideal location to establish the company’s first facility.

Motorhub Motorsports will drive sales by implementing a digital marketing strategy which will include Google Ads, social media marketing and an ecommerce store.  Furthermore, Mr. Michael has identified a gap in Charlotte’s motorsport industry in the sale of used and pre-owned equipment.  As the sector grows, there are more and more people with used equipment looking to sell, trade, or purchase for their own use.  The company will meet this demand with a centralized location, an experienced team, and sought after motorsport equipment.

Business Overview

Motorhub Motorsports offers direct-to-customer sales of motorsport vehicles such as motorcycles, snowmobiles, dirt bikes, ATVs and UTVs. In addition, the business will host an integrated and up to date e-commerce store listing available inventory and selling motorsport vehicle parts, accessories and safety gear. The company will have a dealership, retail storefront and in-house maintenance services and repairs. Motorhub Motorsports is currently seeking funds from the North Carolina SBA Loan Program to support initial start-up costs including leasehold improvements, and the purchase of equipment.

Mission Statement

Our mission is to become the leader in used motorsport sales in Charlotte and continually support the strong and growing community of motorsport enthusiasts with superior products and services. 

Vision Statement  

Our vision is a motorsport community in Charlotte, which has access to an array of used and pre-owned vehicles, making our sport accessible to all Charlotteans.

Core Values

• Serve customers year round with a variety of motorsports equipment
• Strong customer service with a customer first attitude
• Achieving and maintaining a profitable business 
• Make motorsports vehicles accessible to the public through a variety of options
• Going the extra mile for customers
• Offering fair and accessible financing directly through our network  

Since incorporating in June 2021, the company has achieved the following milestones: 

• Successfully incorporated the business
• Acquired a business license in the State of North Carolina
• Secured a retail space to run the daily dealership operations
• Secured a brokerage company to supply financing for customer purchases
• Implemented a dealer management supply system to control inventory and manage daily operations 
• Launched a website with substantial traffic, unique site visits and click-through rates 
• Launched Facebook and Instagram social media channels and gained a substantial following
• Implemented a Google Business listing, proving strong results on site visits in awareness generation 

Goals and Objectives

• To acquire an original equipment manufacturer (OEM) to provide genuine vehicle parts directly to Motorhub Motorsports 
• Develop a large, loyal customer base who use Motorhub Motorsports services for all their motorsports needs 
• To have a wide pre-owned vehicle inventory of both summer and winter motorsports equipment to generate revenue year round
• To hold the largest selection of pre-owned motorsport units in Charlotte
• Become known across the State as the best pre-owned motorsport dealer 

Market Analysis

Motorhub Motorsports operates in automotive sales and in the outdoor recreation vehicle industries. Specifically, the company serves snowmobiling, offroading (dirtbikes, ATVs, UTVs), and motorcycling sectors in the outdoor recreation industry. 

Government Regulations

All automotive dealerships in Charlotte are required to abide by the North Carolina Division of Motor Vehicles Dealer Unit, which requires all employees to act in accordance with the policies set out in the Motor Dealer Act and the Public Service Act. The Motor Dealer Act requires that the owner be registered and offer repairs for vehicles purchased through the dealership on site or with a partner legislated contractor. Additionally, all dealerships are required to have a clear sign on site to state the nature of the business. All staff who work on site as a salesperson must be licensed, and owners of dealerships must consent to disclosure on fees, exemptions, bonding, and advertisements upon request. 

Market Trends  

The used automotive and motorsport industry in North Carolina is valued at $14.3BN in revenue with an annual growth rate of 2.2% between 2021-2026. The industry reported $314.6M in profits in 2020, with an increasing annual growth rate of 1.4% between 2016-2021. There are 7,625 businesses in North Carolina, employing over 13,778 people. Used vehicles make up 63.5% of the industry, with parts and services making up 25.6% followed by financing and insurance at 11.0%. Overall, the industry is highly fragmented with low levels of competition. 99.9% of used automotive dealerships have under 100 staff, with no one player dominating the majority of the market. 

Covid-19 has challenged the automotive industry’s supply chain and many car manufacturers are struggling to produce new vehicles due to a shortage of semiconductors. This has resulted in an inflation of the used vehicle and motorsport market, allowing dealers to charge more for used vehicles and an overall increase in the willingness to pay on the customers’ part. Increased demand for used motorsports and vehicles has resulted in an increasing number of motorsport dealership registrations in North Carolina, and an overall increase in lending institutions financing automotive purchasers for used and pre-owned vehicles and motorsport equipment. Additionally, there has been a steady increase in people becoming interested in motorsports recreation in the past two years, indicating that the market is growing. In fact, 2019 saw record sales in motorsport vehicles across all categories, with dirt bikes completely selling out across the State in the spring of 2019. 

Charlotte is considered a hotbed for offroading enthusiasts and is a prime location for a motorsports dealership. Charlotte is centrally located within the five top rated places to offroad in North Carolina by Riderswest in 2020. These include Greenstone, Mount Ida, Bardolph and Becker Lakes, Bear Creek, and Allendale Lake. As such Motorhub Motorsports will be well-positioned geographically and situationally for growth, profitability and success. 

Key Competitors

Banner Rec and Marine: Banner Rec and Marine is a recreational Snowmobile, ATV, UTV, Sled, Motorcycle, Sea-Doo, and Boat dealer with locations in Charlotte, Raleigh,  Greensboro, and Wilmington. Banner Rec and Marine sells new and pre-owned motorsport vehicles, with a regular inventory on clearance across all product categories. Each product features comprehensive details and information about each item, including dealer insights, features, engine, transmission, chassis, capacity, instrumentation and dimensions. Banner Rec and Marine also offers rentals, and storage facilities and partners with Bankgate Financial to offer financing services directly through the website.  

M&M Performance: M&M Performance is a Powersports dealership in Charlotte North Carolina that sells UTVs, ATVs, snowmobiles, slingshots, and motorcycles. M&M Performance sells both new and used vehicles,  parts and accessories, as well as conducts trade value assessments allowing customers to trade their Powersports vehicles through the dealership. It is a registered dealer for Triumph, Polaris, and Indian Motorcycle, and has a wider variety of pre-owned vehicles. M&M Performance has eighteen staff and offers services with a full service department located on site as well as a financing calculator and estimator available online. 

Valley Motorsports: Valley Motorsports is a Powersports dealership located in Charlotte North Carolina that has been operating since 1995. The dealership sells new and pre-owned motorsport vehicles. Valley Motorsports specialized in Arctic Cat, Kawasaki, KTM, Royal Enfield, Suzuki and Husqvarna, with a wide selection of pre-owned vehicles of all models. Valley Motorsports has a parts and service department on site, and a wide array of resources and dealer information available online. Their website has a fully integrated virtual showroom displaying all in stock items and offers trade in offers and financing available directly through the website. 

Products and Services

Motorhub Motorsports will sell a variety of outdoor motorsport vehicles, equipment, parts and accessories through their physical dealership as well as online. 

Pricing Model

Motorhub Motorsports will sell a variety of products to serve customers year round. The company’s pricing model is as follows:

Competitive Advantage  

Motorhub Motorsports’ competitive advantage is based on Mr. Michael’s experience and expertise in dealer management and vehicle sales. He possesses the ability to grow Motorhub Motorsports to become well known across the State for providing high quality pre-owned motorsport vehicles and equipment for a variety of sports and activity types. The company differentiates itself from competitors by providing the option for customers to finance pre-owned recreation vehicles. This market is large and currently, no dealers are specializing solely in pre-owned motorsports vehicles with the option to trade-in, upgrade, or receive financing to fund a purchase. Motorhub Motorsports is creating a new market where customers are able to purchase a 1-5 year old automobile at a discounted price through a reputable dealership that can guarantee a level of authenticity, performance and price for the quality. Financing is available for customers to pay for a pre-owned vehicle on a monthly basis, instead of cash outright purchase. 

Key Success Factors

Motorhub Motorsports key success factors are as follows:

• Increasing the number of motorsport vehicles sold
• Increasing the number of conversions from visitors to the Motorhub Motorsports dealership
• Maintaining and withholding a strong reputation as the top pre-owned motorsport dealer in Charlotte 
• An increasing number of walk-ins quarter over quarter 
• Increasing vehicle sales quarter over quarter
• Increasing profitability levels
• Growing and retaining a top tier sales staff 

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Sales and Marketing Plan

As a successful sales professional, Mr. Michael has a unique advantage in ensuring Motorhub Motorsports is acquiring customers and growing the company’s customer base. The company currently has a robust sales and marketing plan in place to reach its target customers and attract new customers to the Motorhub Motorsports dealership and website. 

Target Customer

Motorhub Motorsports has defined the target customer to be middle and upper class men and women that engage in motorsports and outdoor activities. The company will target individuals that live within 250km of the Motorhub Motorsports Charlotte location and have an annual household income exceeding $60,000. Additionally, Motorhub Motorsports will target individuals within the motorsport community that are willing to spend between $20,000 – $25,000 on a motorsports vehicle, between $4,000 – $6,000 per year on motorsport vehicle maintenance services, and between $4,000 – $6,000 per year on motorsport vehicle parts and accessories. 

Key Channels

Motorhub Motorsports will employ a web-based digital marketing strategy to drive awareness, interest consideration, and purchases as well as print advertising in local markets and motorsports media. Motorhub Motorsports plans to utilize the following channels to reach the target customers stated in Section 5.1:

Digital Marketing: Mr. Michael will create and maintain a Facebook and Instagram following where he will consistently promote the Motorhub Motorsports brand to build up a following of thousands of followers. Motorhub Motorsports will employ both paid and organic marketing methods, including paid Instagram, Facebook, and google ads that target interested customers and potential new customers. The company will also employ organic advertising such as search engine optimization and frequent website upgrades with key information on the motorsports industry. 

Internet Sales Strategies: Motorhub Motorsports will also employ internet sales strategies to drive awareness and bring customers into the dealership location. This strategy is especially important, as many customers are often searching for local businesses in their area, and will use the internet as the first point of discovery. Mr. Michael will register the dealership on all relevant online portals as well as develop a strong online inventory and showcasing system to display all relevant and up-to-date information on available products and services. 

Print Media and Advertising: Mr. Michael also will prioritize print and traditional advertising in key markets to promote Motorhub Motorsports to relevant audiences. This includes advertising in local Charlottean newspapers, as well as in motorcycle, snowsports, and UTV/ATV magazines and media. 

Key Performance Indicators

Motorhub Motorsports will monitor progress by referring to the following key performance indicators (KPI’s) at each quarterly meeting:

• Profitability ratios
• Number of repeat customers 
• Number of new customers
• Sales volume (Month-to-date, Year-to-date)
• Sale to customer visit ratios
• Positive reviews and five-star feedback 
• Average turnaround time on inventory 
• Mechanical and cosmetic reconditioning time
• Cost to market value 

SWOT Analysis

Operational Plan

Motorhub Motorsports will operate out of a dealership located in Charlotte, North Carolina. Customers will be able to visit the facility to view inventory, speak to sales professionals and shop in the retail space for motorsports accessories and equipment. Additionally, the company will leverage a constantly up-to-date online inventory system where customers can visit the website to learn about available products. 

Operational Process

Motorhub Motorsports will acquire inventory via trade-ins from customers and by actively pursuing and purchasing high quality pre-owned motorsports equipment. The company will offer inventory to customers at their dealership location, and offer financing and monthly payment options directly through the dealership. This increases the accessibility for motorsports equipment, allowing customers to purchase high quality pre-owned vehicles and equipment from a reputable dealer. Motorhub Motorsports will accept cash, debit, and credit, and work with a third party brokerage to offer various financing options to customers.

Equipment & Inventory

The company will use the funds to acquire the following equipment: Forklift ($15,000), Enclosed Trailer ($20,000), Computer ($3,000), Sled Deck ($6,000), Signs ($6,500), Office Deck ($1,000), Front Counter ($3,000), Flooring ($3,000), Paint ($3,000), Lights ($3,000), Electrician ($2,000), Slat Walls ($3,000) and Bathrooms ($10,000). 

Motorhub Motorsports is located at 26 W 30th St Charlotte, NC 28206.

Risk Analysis

Motorhub Motorsports operates in the automobile sales industry and is vulnerable to the following risks:

Macroeconomic risks such as unemployment rates, the fluctuating world price of crude oil, new vehicle sales, and the per capita disposable income impact the success of Motorhub Motorsports to reach a desirable scale and factors including average household debt, interest rates, and gasoline prices contribute to the overall demand for used vehicles. Motorsports sales are primarily influenced by consumers’ financial stability and spending power for recreational items. Additional risks include the inability for customers to meet financial obligations for vehicle purchases as well as the increasing competition for used vehicles between dealerships, increasing the overall market price and demand for pre-owned vehicles and motorsports equipment. 

Management Team

Jim Michael

Owner and Operator

Jim Michael has more than ten years of experience in the motorsports retail management industry in the fields of sales, management, and business development. He has owned a successful business for the past four years and has successfully managed two motorsports dealerships in the past. He has a strong background and proven success in sales and holds numerous sales certifications and professional designations. He was ranked in the Top Five salespeople in North Carolina for NC Snowmobiles and has gained a strong reputation and knowledge base on motorsports vehicle sales. 

In addition, Jim Michael is a professional backcountry snowmobiler and motorsports enthusiast. He started riding motorsport vehicles at the age of five and has participated in a number of competitions throughout his career. His past entrepreneurial and management experience will directly apply to his ability to manage, grow, and scale Motorhub Motorsports to become known across the State as a top choice for pre-owned motorsport vehicles, accessories, and repairs. 

Corporate Culture  

Motorhub Motorsports has a goal to become experts in the field of motorsports and will employ a strong corporate culture of interest and passion in a variety of motorsport activities. As a professional backcountry snowmobiler, Jim Michael will employ a culture of knowledge sharing and community at his motorsports dealership, inviting customers to ask questions, learn from staff, and trust Motorhub Motorsports for all their motorsports questions and needs. 

Recruitment Plan

Motorhub Motorsports will recruit via traditional recruitment techniques such as Indeed, Glassdoor, and Workopolis. Additionally, Mr. Michael will leverage his industry connections to attract and retain top talent in the automobile and motorsports sales industry. Within the next two years the company will recruit the following staff members:

Bookkeeper 

Salary: $50,000 per year 

• Maintains records of financial transactions by establishing accounts; posting transactions; ensuring legal requirements compliance.
• Develops a system to account for financial transactions by establishing a chart of accounts; defining bookkeeping policies and procedures.
• Maintains subsidiary accounts by verifying, allocating, and posting transactions.
• Balances subsidiary accounts by reconciling entries.
• Maintains general ledger by transferring subsidiary account summaries.
• Balances general ledger by preparing a trial balance; reconciling entries.
• Maintains historical records by filing documents.
• Prepares financial reports by collecting, analyzing, and summarizing account information and trends.
• Complies with federal, state, and local legal requirements by studying requirements; enforcing adherence to requirements; filing reports; advising management on needed actions.
• Contributes to team effort by accomplishing related results as needed.

Administrator  

Salary: $60,000 per year

• Open and distribute incoming regular and electronic mail and other material and co-ordinate the flow of information internally and with other departments.
• Schedule and confirm appointments and meetings.
• Order office supplies and maintain inventory.
• Answer telephone and electronic inquiries and relay telephone calls and messages.
• Set up and maintain manual and computerized information filing systems.
• Determine and establish office procedures.
• Compile data, statistics and other information.
• Supervise and train office staff in procedures and in use of current software.

Salary: $60,000 per year 

• Dismantle engines and repair or replace defective parts, such as magnetos, carburetors, and generators.
• Remove cylinder heads, grind valves, and scrape off carbon, and replace defective valves, pistons, cylinders and rings, using hand tools and power tools.
• Hammer out dents and bends in frames, weld tears and breaks; then reassemble frames and reinstall engines.
• Repair or replace other parts, such as headlights, horns, handlebar controls, gasoline and oil tanks, starters, and mufflers.
• Repair and adjust snowmobile/dirtbike/UTV/ATV subassemblies such as forks, transmissions, brakes, and drive chains, according to specifications.
• ​​Replace defective parts, using hand tools, arbour presses, flexible power presses, or power tools.
•  Reassemble and test sub-assembly units.
• Disassemble subassembly units and examine condition, movement or alignment of parts visually or using gauges.

Financial Plan

The following financial projections have been developed by the management team of Motorhub Motorsports.

Pro Forma Income Statement

Pro Forma Cash Flow Statement

Pro Forma Balance Sheet

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Cara Buka Usaha Dealer Motor Listrik, Lengkap dengan Rincian Biayanya

Bisnis.com , SOLO - Bisnis dealer motor listrik diprediksi akan menjadi salah satu bisnis yang menjanjikan dalam beberapa tahun ke depan.

Hal tersebut lantaran pemerintah mulai melirik kendaraan listrik sebagai alternatif kenaikkan BBM dan makin langkanya minyak dunia.

Bahkan, Kementerian Energi Sumber Daya Mineral (ESDM) menargetkan peralihan penggunaan motor listrik berbasis baterai sebanyak 6 juta unit pada 2025.

Target itu dipatok untuk mempercepat program transisi energi bersih sembari menekan impor dan subsidi bahan bakar minyak (BBM) yang terlanjur lebar cukup besar pada tahun ini.

"Kami sangat mendorong adanya konversi ini. Melalui kerja sama yang disepakati hari ini harapannya target 6 juta motor listrik ada di Indonesia pada 2025 mendatang bisa segera terpenuhi," kata Sekretaris Jenderal Kementerian ESDM Ego Syahrial melalui siaran pers, Jumat (24/6/2022).

Mengacu pada masalah tersebut, selalu ada celah untuk menjadi jutawan baru melalui bisnis dealer motor listrik .

• Korporasi Pacu Bisnis Motor Listrik, 3 Saham Bisa Dicermati
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Bagaimana cara membuka usaha dealer mobil listrik?

Caranya mudah, kamu hanya perlu mencari perusahaan motor listrik yang menawarkan kemitraan untuk membuka dealer di rumah.

Salah satunya adalah PT Smoot Motor Indonesia yang juga sempat menawarkan peluang bisnis dealer motor listrik dan outlet swap baterai.

Syaratnya juga mudah, kamu hanya perlu membeli setidaknya 5 unit motor listrik dari Smoot yang totalnya diperkiraran mencapai Rp90 jutaan.

Harga tersebut dihitung berdasarkan harga satu unit motor listri Smoot yang mencapai Rp16 juta - Rp17 juta per unitnya.

Selain itu, kamu juga perlu menyiapkan dana Rp18 juta untuk biaya instalasi untuk bisnis swap baterai motor. Biaya tersebut sudah termasuk instalasi atau pemasangannya.

Syaratnya listrik di lokasi jika untuk swap station dengan delapan baterai membutuhkan daya 5.600 kWh dan 1.500 kWh untuk kapasitas tiga baterai.

Sementara untuk lokasi dealernya, itu semua diserahkan kepada penguasa.

Buat kamu yang mau bisnis dealer motor listrik melalui PT Smoot Motor Indonesia, kamu bisa menghubungi kontak di link berikut ini: Kontak Bisnis Dealer Motor Smoot .

Selain Smoot, Viar dan Gesits juga menjadi perusahaan yang menawarkan franchise dealer motor listrik bagi masyarakat.

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Home > News > Hyundai opens latest Motorstudio in Moscow

Hyundai opens latest Motorstudio in Moscow

Rebecca chaplin.

The new facility, located on the prestigious Noviy Arbat street in Russia’s capital city, has been developed as part of the company’s innovative global Hyundai Motorstudio project.

Executive vice president of Hyundai WonHong Cho said at the opening: ‘Hyundai Motorstudio Moscow is an important initiative for the company as it helps our customers understand what Hyundai Motor stands for, what inspires us and how our cars play an important role in our day-to-day lives. We will create a unique experience that will realize the company’s Modern Premium brand direction.’

The Hyundai Motorstudio Moscow space is designed to provide an experience like no other for its visitors. It has five zones: Event Space, Car Gallery, Brand Collection, Library and Café.

The key design element of the interior space is the gallery, which features a heart-shaped staircase from the first to the second floor, which can also serve as an amphitheatre.

On the first floor of the Hyundai Motorstudio Moscow is the Car Gallery, where visitors can see and learn about the latest innovations from the brand. This zone will also present contemporary art exhibits all inspired by the latest Hyundai design ideas.

Visitors with a passion for modern technology can make their ‘dream drive’ come true thanks to the Interactive Car Journey. The system utilizes special screens to create a 180-degree view of the road ahead, as if behind the wheel of their favorite Hyundai.

Rigorously-trained consultants, called ‘gurus’, provide customers with information about Hyundai Motor’s history, its models’ design development, as well as show and explain in detail the facility.

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Rebecca has been a motoring and business journalist since 2014, previously writing and presenting for titles such as the Press Association, Auto Express and Car Buyer. She has worked in many roles for Car Dealer Magazine’s publisher Blackball Media including head of editorial.

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