Starting an independent motorcycle dealership takes more than being an avid Powersports fan; you’ll have to take plenty of factors into consideration, from where to set up shop to the Powersports F&I services you’ll need to protect your business.
With that in mind, here are 7 quick tips on starting an independent motorcycle dealership.
1. Know your motorcycles
It helps to be a motorcycle expert before starting a motorcycle-centric business. If you feel you still have a lot to learn, enroll in an automotive class, or find work at a motorcycle dealership.
2. Know your business
It’s essential you know how to run a business, so take some business classes. Spend time at a dealership and observe its operation. Survey the market and learn what types of motorcycles are in-demand in specific regions. Calculate expenses related to tools, employees, advertising, and shipping. Set realistic short-term and long-term goals and determine how to achieve them. When you have all the pertinent data, construct a clear and concise business plan.
3. Choose a location
Compared to a brand dealership, an independent business dealing in used or new motorcycles won’t need that large of a shop. Find a place with a visible storefront, a garage, and a storage area that isn’t exposed to the sun and weather.
4. Acquire funding
There are many ways to acquire funding for your business. See if your friends and family are willing to help or find a trustworthy person to collaborate with. You can also secure loans from venture capitalists or the bank.
5. Register your business
Communicate with your local government and take the steps necessary to make your business a proper legal entity. Make sure you adhere to state requirements; depending on your location, you may have to gain a business permit or license, attend a training program, or register for taxes.
6. Develop your inventory
Once your business has been set up, build your inventory by purchasing bikes and maybe even motorcycle accessories and parts. Contact a brand’s headquarters if you want to sell new bikes.
7. Protect your business
Powersports F&I products and services ensure businesses and their customers against potential issues, such as theft and property damage. Powersports F&I solutions may include Total Loss Protection, Extended Service Contracts, Tire and Wheel protection, F&I Training, and more. The best Powersports F&I companies also cover a range of popular brands, including Honda, Suzuki, and Yamaha. By safeguarding your financial interests, Powersports F&I will help your business thrive amidst the competition.
If you’d like more information about Torque Group’s Powersports F&I solutions, please contact us at (800) 859 0590 or via email.
