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How to open ATV rental pitfalls. Starting an ATV rental business |
In the market for the sale of motorcycle equipment, the leading positions are occupied by Japanese manufacturers, up to 70% of the total number of sales. This models such as: Yamaha, Kawasaki, Suzuki, Honda and many others. Back in the 90s, a lot of used motorcycle equipment of Japanese origin was brought to Russia. The main supplier in Soviet time, a Czech company producing the world-famous Java brand, today no longer brings its products to Russia. And before - it was the most popular motorcycle of those years, among other motorcycle models. To date, there are also European representatives with their brands of motorcycles: BMW; Ducati. Of the Russian representatives, only one Irbit motorcycle plant "Ural" remained, which still sells its motorcycle equipment. Plant them. Degtyarev, who used to successfully assemble and sell Voskhod motorcycles, now assembles and sells Chinese Lifan scooters. And the IZH plant was closed altogether.
In order to start a business, and it really makes a profit, you need: Motorcycle sales business, if started correctly, will bring a pretty good income. Sales reach up to 10 million rubles a year, even if you make only a 30% mark-up on the cost of motor equipment, and pay all the necessary taxes, then the net profit per year will still reach from 2 million rubles to 5 million rubles. It is possible to bring models of motorcycles, as well as spare parts, to order. To do this, with the client - the customer, it is necessary to discuss the model, color, delivery time and prices. |
Investments: Investments 175,000 - 270,000 rubles. Our motto is Beautiful, positive, socially significant business! In 2013, the company launched a project in the actively growing segment of the children's entertainment market. Analysis this market showed the huge potential of unrealized opportunities. Numerous shopping centers / malls were chosen as platforms for work, in which today, children's entertainment is either not presented at all, or exists in the format of full-fledged gaming zones, the organization of which… |
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Investments: Investments 2 900 000 - 18 800 000 ₽ Lucky Bike is a bike sharing service that allows you to quickly rent a bike using mobile application(QR code), as well as leave the bike in any of the permitted parking lots of the city (where it will be convenient for the user). It is a great alternative to a private car and public transport. Our bicycles are designed in China, taking into account the mentality and roads in the Russian Federation: they are made as vandal-proof as possible (… |
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Investments: Investments 1 500 000 - 4 000 000 ₽ The company "CULT STROY" No. 1 in the design and construction of "Inverted Houses" in Russia, having a slope in two planes of 10 and 13 degrees. On the this moment we have developed and implemented projects in the following cities: Rostov-on-Don, Krasnodar, Stavropol, Yaroslavl, Penza, Gelendzhik, Perm, Ulyanovsk, Voronezh, Blagoveshchensk, Evpatoria. Our long-term plan is that in every city on Earth with a population ... |
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Investments: Investments 884,000 - 2,500,000 rubles. Platforma, the leading company in the construction and renovation segment, offers full complex solutions. 1Platforma introduces offline and online sales- consultations of specialists, services for lifting cargo to the floor, rental of related equipment and machinery (so far, the service has been implemented only in Moscow). There is a federal loyalty program (cumulative bonus cards). Wide regional representation of the Company - all federal districts of Russia,… |
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Investments: from 1,000,000 rubles. The group of companies "MOLOTOK" is a diversified business structure engaged in the sale and after-sales service tools and equipment, as well as tool repair and rental services. The range includes power tools, power equipment, hand tools, Consumables and accessories, heating and garden equipment, overalls, pumping equipment and engineering plumbing, fasteners and furniture fittings, finishing materials, electrical equipment, welding equipment and pneumatic… |
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Investments: 3,000,000 - 6,000,000 rubles. Car rental with driver Comprehensive service Outsourcing and outstaffing Description of the franchise The Raiden company was founded in 1991 and was previously part of the ROLF group of companies, the former name of the company was ROLF-Prokat. In 2004, in order to focus specifically on the provision of car rental services and achieve undisputed leadership in the rental market, it was decided to create our own… |
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Investments: from 1,500,000 rubles. Thrifty Car Rental was founded in 1950 in Tulsa, Oklahoma, USA. Dollar Rent A Car was founded in 1965 in Los Angeles. The companies are part of the largest holding Dollar Thrifty Automotive Group, Inc., which manages them. Represented in 70 countries of the world (at Russian market- since April 2005) with a total fleet of more than 310,000 vehicles per… Investments: 800,000 - 3,000,000 rubles. OOO "SportIndustriya" (Moscow) - representative office of Kangoo Jumps in Russia Description of the franchise A new direction of fitness in Russia. Stable European brand. Jumpers are suitable for children from 6 years and adults. Used for fitness, sports, jogging and various activities. Any surface is suitable (asphalt, earth, grass, parquet, linoleum, etc.) KJ is fun, useful and safe! Franchising offers and options… |
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Investments: from 99,000 rubles. Snabzhenets LLC is one of the leading suppliers of various electrical equipment and cable products. The company specializes in: sale of electrical engineering, electrical equipment and cable and wire products The trade assortment includes more than 45,000 items of materials, equipment, fixtures and tools for production electrical work. In our assortment you will find everything you need, in stock and on order: Lighting products; Cabling and wiring products;… |
Off-road adventures in three or four wheelers are becoming more popular. Target market may include not only enthusiasts. For example, scientists or families who decide to use machines to explore remote areas. Knowing carefully the off-road potential of your area, you can rent ATVs in Russia.
Business Features
Unlike buses, quads provide a degree of independence and direct access to points of interest. For some tourists, the feel of the wind as they make their way through unfamiliar terrain is enough to justify the chosen tour.
Evaluation of competitors
Long before, in ATV rentals, it's a good idea to determine what the competition looks like. Try to create a list of competitors near you. Just enter your city in the search engine to get a list of travel companies in your area.
Before you open an ATV rental, make sure you fully understand the competitive landscape and the location where the new ATV rental will open.
Inclusion of competitors in co-authors
If you are serious about how to make money from quad bike rental, it is important that you learn from people who are already in business. It is highly unlikely that local competition will speak to you.
However, who owns a tourism business on the other side of the country may willingly agree to discuss the industry with you.
The chances of achieving the main goal of prosperity in a new business are greatly improved when you find. Moreover, there is an opportunity to benefit from the previous work of others and their lessons learned. However, before you get into touring, it's worth researching whether franchising can make your startup process easier.
Pricing
If you are the only ATV rental company, you have more flexibility with the price compared to the competition. Most rates are based on rental time and type of quads. More powerful machines cost more. Refundable deposits are another fee if the customer does not return the vehicle or causes damage.
First of all, develop a rental schedule for ATVs. For example, for an hour, a full day, or several days for customers who go on long-distance routes. If you provide helmets, gloves, and goggles, add these costs to your pricing structure.
Ways to promote your ATV rental
- Work with local tourism boards to get information about customers in your area.
- Create a website related to outdoor recreation opportunities in your area.
- Participate in forums catering to four wheel drive enthusiasts.
- Place brochures in nearby hotels, restaurants, and other public places.
ATV rental is a business with a quick payback. Since this type of service appeared in our country not so long ago, the competition in the market is quite weak and you can make good money with just a few ATVs. But you need to take into account the fact that any business related to extreme sports is accompanied by high costs.
You must understand that you can, of course, open an ATV rental at any time of the year, but it is better to develop a plan in such a way as to do it in the spring.
Depending on the climatic zone in which you live, this business can be purely seasonal - late spring-early autumn. But even if winter does not spoil you with snow, it is worth considering that people are much more willing to spend time outdoors in the warm season. By the way, as an option for expanding your business, you should consider purchasing snowmobiles to avoid downtime in winter period. The payback of rental directly depends on the location. In resort areas, rental will pay for itself in a season, in other places it will take about a year.
What is a business plan and why is it needed?
Before deciding to open an ATV rental, you need to thoroughly study this type of activity. AND the best way not to overlook anything would be writing a business plan. Describing point by point all the subtleties of the case, you yourself realize whether this type of activity suits you personally and whether you are ready for possible costs and problems.
A business plan is an accurate and specific description of a business project. If you are looking to invest from outside, you simply cannot do without a business plan. All data that will be presented in your business plan must be accurate and verified. It is better to check all the information personally to be sure of its veracity. The main idea must be clearly defined. We choose the language of presentation as concise as possible.
Since you are writing a business plan not only for yourself, but also for potential investors, pay special attention to the first and last points of the plan. People will start reading your plan with one of these parts, and if they are not interested in it, your project will not be considered further.
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How is a business plan built?
Any business plan is drawn up according to a certain scheme. It is universal for anyone and should reveal all the prospects of this direction.
- general description of the project;
This paragraph should show the relevance of this type of business, describe the potential consumer of your services and have a brief analysis of competition in the market. Also, do not forget about your development prospects.
- legal issues;
At this point, you need to indicate which of the types entrepreneurial activity you choose and why.
- financial aspect;
One of the most difficult points, since you have to calculate not only the expected income, but also all regular expenses. The main thing is to describe how much money is needed to open such a business, without missing any of the expense items.
- risks;
At this point, it is necessary not only to describe the possible risks, but also to prescribe ways to solve possible problems.
- conclusion;
At the end, you draw final conclusions, which should be logically based on all of the above.
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The main points of the project description
The first thing you learn is competition. Although it is not high in this business, it still exists, especially in recreation areas, since here the popularity of rental is much higher.
Pay special attention to the list of services provided. you can offer routes of different lengths for beginners and professionals. True connoisseurs of such a holiday are willing to pay 15%, sometimes 20% more for the opportunity to ride in rainy weather. It is worth considering the options for VIP services. Each non-standard idea will increase the popularity of your rental.
Describe the potential consumer of your services. This item will be of particular relevance in the development of advertising.
Registration of an object of entrepreneurial activity. Two registration options are suitable for ATV rental - IP ( individual entrepreneur) and LLC (limited liability company). The choice of one of the registration forms will determine your rights and obligations as an entrepreneur, the details of reporting and the percentage of tax.
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Project financial planning
Initial costs:
- purchase of equipment. At the first stage, if you want to save money, you can try to buy used ATVs. But in this case, they need to be examined by a person who is well versed in this type of technique. Otherwise, you may face many problems with repairs in the future;
- rent or purchase of premises for storage of equipment;
- land lease for the route;
- paperwork. It may be necessary to consult a lawyer;
- purchase of sets of equipment (according to the number of ATVs) - a helmet, protection for knees, elbows, chest and gloves;
- inspection and registration in Gostekhnadzor.
Monthly costs:
- rent (if the premises are not purchased) and utility bills;
- fuel;
- salary for instructors and mechanics;
- spare parts.
Separately, it is worth mentioning the advertising of your business. ATV rental requires a fairly active advertising campaign. you can use the different ways available to you to promote your project: from handing out flyers to billboards on the roads. One of the very effective ways advertising this business is to promote it to in social networks. If finances allow, you can also open a website that will be a presentation of your business. Do not forget that this type of recreation is preferred by tourists, pay attention to the possibility of concluding an agreement with travel companies. You will need advertising not only at the first stage, develop a plan for a regular advertising campaign.
It is worth remembering that in any business there is one more item - unforeseen expenses. For this section of the budget, it is worth laying at least 30% of the total amount of expenses, both initial and monthly.
ATVs are a convenient mode of transport for overcoming forest, water, mountain and other difficult road sections. Such vehicles are much more compact than cars, more powerful than bicycles and more stable than motorcycles.
The high cost of ATVs is reflected in the fact that few owners of four-wheeled ATVs are found on Russian roads. For such a price, fans of extreme competitions prefer cars. On the one hand, there is a great desire to become a member of the off-road driving team, and on the other hand, the investment of a large amount of money to buy an expensive vehicle.
Opening of ATV rental
This dilemma provides a unique opportunity for entrepreneurs and businessmen to open ATV rental.
Genuine interest in this type of off-road movement, the desire to overcome the difficulties that arise in this case, to increase adrenaline - all this provides broad prospects for the development of this business, which will take its rightful place in the extreme sports industry. In addition, the increased demand for such outdoor activities also contributes to the development of the ATV rental business.
Rental shop formats
The ATV rental business is represented by two formats that allow you to determine the initial investment that is necessary to open a rental office. The first format includes the creation of a traditional rental office operating on standard scheme providing customers with a vehicle and making a profit for the service provided.
The second format is represented by an entertainment center for fans of off-road driving. It includes services for providing customers with rented equipment and further entertainment for visitors. This format of entertainment is distinguished by cosiness, comfort and high quality of service. To create a full-fledged entertainment center, they invest more money, unlike the first option to open a traditional rental point, which is much easier and faster to organize at a lower cost.
Features of an ATV rental business
After determining the format of the future business, they develop a business plan for renting ATVs. It will provide a complete picture of entrepreneurial activity, including income and expenditure items. To create a complete entertainment center start-up capital will be required for arranging difficult sections of the route and an office located next to the route. It is desirable that the rugged terrain contains:
- ravines;
- swamp;
- the river;
- hills and uplands.
This will become the best option for the construction of the route, which will be satisfied with potential visitors. The boundaries of difficult road sections are marked with special flags or other identification marks.
A prerequisite for starting a business of any format is the availability of office buildings and warehouses. When creating a regular rental point, it is allowed to locate an office within the city or near it. An office space will be required for documentation and meetings with clients. Warehouses are designed to store ATVs. Dry closets, sheds with barbecues, showers will significantly expand the customer base and create comfortable conditions for lovers active rest. In addition, they will bring additional income.
At the final stage, equipment is purchased. A batch of ATVs for rent is one of the main tools for making a profit. Models and types of purchased equipment depend on the financial capabilities of the businessman. If available large sum start-up capital, then the ATV fleet will have new and best world models. The second option, which involves buying used vehicles, is suitable for a novice entrepreneur with a modest initial investment. Foreign used equipment markets provide a large selection of ATVs that can easily overcome difficult sections of rough terrain. ATV rental shop usually contains 8-10 pieces of equipment. Used motor vehicles from China are of low cost, but their quality leaves much to be desired. The best solution would be to buy a batch of used ATVs from Japan. It will save cash and give you confidence high quality technology.
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