A tyre business repairs or sells tyres, and offers other services like wheel alignment and other things that are convenient. But they don’t go as far as working with engines, this is an industry that will not go out of business anytime soon.
Cars will be our mode of transportation and they’re not going anywhere for the foreseeable future. As long as they are around, they will always need to have their tyres repaired or new tyres/rims. The barriers to entry are a bit low but can be high as well, depending on your business model and the services you offer.
What do you need to get started?
All you really need is equipment, this equipment costs less than R1 000 at the very lower end and can cost over R20 000 on the higher end. The type of equipment you need will be determined by the services you offer.
Some entrepreneurs just offer tyre repair, some sell new tyres and rims, some do wheel alignment and others do everything. If all you want is to repair tyres then your starting equipment should not be that expensive.
Equipment list can include a centering device, a balancer, impact wrenches, tyre pressure and a pattern management system. You also need to have operating premises and enough capital to buy inventory if you plan on selling.
I highly recommend getting experience before starting this business. You need to know what you are doing; you can be self-taught or volunteer to work in a tyre shop for a while. Getting experience will also teach you everything about the business, this will lead to few mistakes on your end when starting the business.
Another great thing about getting experience is that you will be able to spot your strengths and weaknesses and that will help you to avoid a lot of pitfalls in the future. You will also know which challenges to expect and how to deal with them.
Choose the right location
This business gets a lot of its customers from foot traffic, it’s of utmost importance to be situated in the right location. It’s especially important for people who don’t have much money to spend on marketing.
Make sure that you are in a location that is highly visible and convenient for a lot of people. You don’t want to pick a spot that makes you hidden in any way. A lot of your first customers are going to be people who see your store then decide to check it out.
Get operating premises
You need to rent or build operating premises; this comes after you have carefully chosen your location. There should be enough space to do all the wheel alignment, tyre repairing and inventory if you plan to sell tyres and rims.
This will be your biggest monthly expense and can be the reason for your business shutting down if you don’t get enough clients. Try to get a place that you can afford for at least 6 months, even if you had no customers.
Buy inventory and equipment
Buy all your tyres and rims if you are planning to sell, as stated above, your equipment will be determined by the services offered by your store.
Register your business
Registering a business only costs R125 in South Africa. Your tyre business will have a professional front and a business account amongst other benefits.
Market your business
A tyre shop in a good location will market itself, you can bring in more people by advertising in your local newspaper. This will help build brand awareness, which will help to build trust in the long run. Other great marketing platforms are Google Ads and Facebook. They make it so much easier to advertise to someone who is looking for what you are selling.
This was a guide on how to start a tyre business in South Africa. Do you have any thoughts or questions? Comment below.