AUTOMOBILE INDUSTRY BUSINESS IDEAS IN NIGERIA
The automobile industry is a vast and rapidly advancing industry in the world generally. Car care businesses will continue to grow at a faster rate than the overall economy. The reason is the increasing number of vehicles. The trade in new and used cars, motorcycles, buses, tricycles and trucks is now a multibillion dollar business in the continent. Nigeria alone spends up to five billion dollars every year importing vehicles; especially second hand ones. Generally, the automobile industry in Nigeria has a strong prominence in the overall economy. Aspiring entrepreneurs have much to benefit from the industry.
In this article I have compiled 15 great automobile business ideas…
Sales of spare parts
The spare parts sector has a really huge potential in Nigeria. You need to have some formal training and quality experience to start up your own spare parts workshop. You can from a wide range of products to deal in. Ball bearings, body panels, mechanical parts, lubricants, tyres and several other items used on vehicles. Used engines are probably one of the most valuable spare parts due to their high demand in many African countries which have a big market for reconditioned automobiles
To succeed in the spare parts business, entrepreneurs must understand the needs in their local markets to determine the types if spare parts that are in demand.
Auto maintenance workshop
Vehicles are machines and are very susceptible to malfunctions and break downs, they may develop electrical faults every once in a while. A large proportion of vehicles are used ones and as such tend to break down easily and require regular maintenance and servicing unlike the new ones
The needs of this market cover a very wide range of services from simple oil changes and tyre or wheel alignment to engine oil tuning and other complex jobs. These vehicle maintenance businesses exist to satisfy the lucrative market and growing demand for cars and other automobiles which always need to stay in good condition to meet the transportation needs they were purchased for.
Sell junk metal
You can harvest abandoned scrap cars and sell the metals to metal processors. Different types of scrap metals can fetch varying prices. Alloys are usually more lucrative due to having a much higher demand for manufacturing. Copper is another lucrative scrap metal and is considered to be one of the world’s most wanted metal, and as such any yard dealing with scrap metals will accept it, and can return up to $5 or more per kilogram of metal, depending on its state
Car wash shop
This is one of the most profitable and lucrative automobile business for any individual. Apart from the shop space you will need to invest in washing machinery, lifting bay, pneumatic tools, source of water supply and manpower. There are different types of washing tools and equipment available in the market nowadays. As like any business, starting an automobile business requires a lot of work and dedication.
Manufacturing brake linings
Break linings are commonly known as break shoes and is a major essential item in light and heavy vehicles, passenger cars, scooters as friction material for stopping, speed reducing of the vehicle. This component constitute a very important part of the total breaking system of vehicles. Basically you have to purchase a raw material like the cast iron components, asbestos, chemicals, resins, paste adhesive and screws
The battery is an essential material for every vehicle, and it needs regular check up and replacement after a certain period of time. You can start this business with the dealership of any reputed battery manufacturing company, such as Exide.
Mobile oil change
You can start a profitable mobile oil change services business to make profit out of it with a low startup capital investment. It is usually recommended that the vehicle oil should be changed at least after 5000km or sixty days; whichever is earlier. The market for this business is growing rapidly because of the growth rate of the automobile industry. To get into the business, you will need to undergo some training; like how to change oil, which grade of oil is best to use for the specific vehicle and which not to use, how much quantity is needed for a specific vehicle etc. Normally, required equipments are oil filters, lubricants and motor oil of different grades, storage vessel and a container to collect used oils. Also you need to have a vehicle for mobility.
Vehicle towing services is providing services to help vehicle owners of damaged, broken down or abandoned cars to wheel their cars to the service station or garage destination. An individual having demographic idea and knowledge about the towing arrangement for broken down vehicles can initiate this business with substantial capital investment.
Establishing a driving school can be a self rewarding and profit making venture for any interested entrepreneur. But before you actually initiate your driving school, do your research on the location where you want to establish the business. How many driving schools are there already? How are they doing? Next, you can then proceed to register your business with the relevant authorities
You will also need to acquire a license. Having a driving license is mandatory for you to drive.
Vehicle review blogging
Vehicle review blogging is a home based minimal cost business idea that anyone can start. Your review blog should be able to satisfy what your audience crave for, and that is helping individuals to make informed decisions about which car or vehicle will be perfect for them. Your blog should essentially consists of current trends in the automobile industry, good visuals, high quality content, recommendations and so on.
Auto dealing service
Auto dealing is the activity of thorough cleaning, restoration and finishing of a vehicle to produce a show quality level of detail. With a proper business plan an individual can initiate this business venture with a moderate capital investment. Of course you will need to do your market analysis thoroughly with a view to coming up with a well informed market strategy. Next you should hope to prepare a detailed business plan
Window tinting business idea requires professional skill of window tinting. You can easily start this business with a relatively low capital from your home location. You also need to undergo some kind of training in the field so as to better improve your tinting skills; most especially for the entrepreneur who has never done window tinting and has no idea how to go about it
Mechanic service just involved providing mechanic and electrical repair services for vehicles, to help vehicle owners fix or service their automobiles. It is one of the most wonderful automobile businesses you can start with really low start up costs. First you will need to research the location you intend to initiate your mechanic workshop, find out how many other mechanic workshops are already there, find out their growth curve, their customer base and so on. Next prepare a solid business plan and with a great market strategy you can kick off from there. Of course by now you already know that to offer this service, you need to be well trained, even though the learning curve is long; it will pay off at the end.
Vehicle registration agency
As the number of vehicles increase from day to day, the market for vehicle registration is surging and increasing. Invariably, the need of getting those vehicles registered is also creating a huge market for vehicle registration agency businesses. You can easily initiate this business as an individual or create a corporate entity along with other value added services
This business idea requires substantial capital investments and strategic planning to start. Nigeria alone spends up to 5 billion dollars importing vehicles( especially second hand from the USA, Canada, Europe and Asia). While there is a huge opportunity to sell and make more money from brand new cars, the capital requirement is significant, and as a result most car dealers consider only the opportunities around used vehicles. This is quite true because the used vehicle sector capital requirement is less. Because of their cheap cost, the profits tend to be significant
Was this article thought – provoking? THANKS FOR READING.
Latest posts by DayoHub (see all)
- Executive Summary of Secondary School Business Plan in Nigeria - January 17, 2019
- Executive Summary of Event Centre Business Plan in Nigeria - January 17, 2019
- Executive Summary of Multimedia Business Plan in Nigeria - January 17, 2019