Ceat Tyres Franchise – Franchise Cost, Investment Required & Profit Margin
About Ceat Tyres Franchise
CEAT Tyres is one of the most famous tyre-making and selling companies in the world. CEAT Limited is an Indian multinational tyre manufacturing company quite similar to MRF Tyres Franchise. This company is owned by the famous RPG Group of Industries. The company was established way back in 1924 in Turin, Italy.
The company was founded as Cavi Elettrici e Affini Torino (CEAT) by Virginio Bruni Tedeschi back in 1924 in Turin. CEAT Tyres is known to be the flagship company of RPG Enterprises.
CEAT Tyres made their entry into India back on March 1958, the company was incorporated as CEAT Tyres of India. The headquarters of the company in India is located in Mumbai. CEAT Tyres initially conducted business by collaborating with Tata Group and was doing quite well in capturing the Indian market. Later in 1972, CEAT Tyres set its first research and development unit at Bhandup.
Later, the company made many acquisitions and partnerships and did make a name for itself in the Indian market. The moment CEAT Tyres made its presence in India, it started giving out franchise options to expand its presence in the Indian market.
CEAT Tyres Franchise
By the time CEAT Tyres made their entry into India, the company already became famous worldwide. It became of the most famous and highly profitable businesses in the world market. Now, an individual willing to become a part of CEAT Tyres, they can choose to open a distributorship program for the company.
It surely would not be a bad idea to open such a reputable distributorship in a hugely populated country like India. Today, CEAT Tyres is one of the largest producers of tyres in India. Additionally, the company is also one of the largest exporters of tyres, exporting to more than 100 countries worldwide.
Moreover, by starting a CEAT Tyres franchise or distributorship one becomes a part of a highly profitable and reputed business. Other than that, you also become a part of a strict system that enables the distributor owner to operate and conduct business smoothly.
Requirements to get a CEAT Tyres Franchise
To get any franchise or distributorship one needs to follow all the requirements, terms, and conditions. It will help the owner to get the distributorship easily and without any problem. Now, CEAT Tyres is a highly reputable company so one must always to the terms and agreements set by the parent company.
Now, here are the requirements to get a CEAT Tyre franchise or distributorship in India:-
Manpower required to run a CEAT Tyre franchise
Now, the manpower requirement depends on the products you are dealing with and how large is your area. If you plan to open in a very large area more than the asked area then you would surely require more manpower.
The average manpower required for any CEAT Tyre franchise is between 8-10 people. You will not require more than the average manpower as they will be highly trained and can easily manage if any problem comes out.
Area Required for CEAT Tyres Franchise
CEAT Tyres is a reputable Indian tyre manufacturing business entity. Make sure all the terms and conditions are met, especially when it comes to the area requirement. Interested candidates must ensure that they provide the area in the best location to attract the officials of the company.
Now, the minimum space required to open a CEAT Tyres distributorship in India ranges between 800 to 1200 square feet. Within this area you will require 100-200 shop space, godown space required is between 300-500 square feet, and space required for wheel balancing is between 400-500 square feet.
Documents required for CEAT Tyres Franchise
Starting a franchise or any business requires proper and updated documents. A company can only trust you when you provide them with all the required documents. Similarly, to start a CEAT Tyres one must have all valid and updated documents. Here are the documents required to open a CEAT Tyres franchise or distributorship in India:-
- ID proof- Aadhar Card, PAN Card, Voter ID Card
- Electricity Bill or Ration Card for address proof
- A proper education qualification certificate is required
- Passport size photographs
- Proper contact details such as phone number, Email address, and alternate phone number
- Company registration certificate required
- Trade license from your local municipality
- GST Number and GST Certificate
- Previous bank statements along with Income Tax Returns
- Business Insurance (if necessary)
- Current bank account details along with a cancelled cheque
Equipment and Support Provided by CEAT Tyres to Franchise Owners
To run a business entity or a franchise successfully one must have proper equipment and pieces of machinery. In some way, customers are attracted to a business when they use the latest and advanced technology and machinery. The same strategy is used by CEAT Tyres, they provide all the latest and updated pieces of machinery to all the distributors, CEAT Shoppe, and Truck Service Hub.
By choosing any of these partnership programs above you get full support and equipment from the parent company. Yes, the machinery and other equipment will depend on what partnership program you choose. Some basic pieces of machinery will be offered by the parent company are the following:-
- Compressor
- Tyre changer
- Puncture machine
- Alignment machine
- Buffers
- Drills
- Wrenches
- TPMS
How to get CEAT Tyres Franchise?
To get a CEAT Tyres dealership or franchise one will need to apply for it online. Before that, one must ensure they fulfil all the criteria, requirements, terms, and conditions of the company. It will become easier for both parties to process the application further. Now, here is how one can apply for a CEAT Tyres franchise in India:-
- You will need to visit the official website of the company for franchise details or just click on this link https://www.ceat.com/corporate/channel-partner.html
- After you visit this official franchise website of the company you will lots of details regarding the franchise model
- CEAT Tyres offer three different partnership programs and they are Dealership, CEAT Shoppe, and Truck Service Hub. You will need to choose as per your choice and preference
- Now after that, some basic entails will be asked that need to be filled
- Make sure to recheck them before you click on the ‘Submit’ button
CEAT Tyres Franchise Profit Margin
When you open a CEAT Tyre dealership you will be dealing with a long range of products. Now, CEAT Tyres have a good sale per month of the quality tyres they manufacture. People have generated trust in the company and it is growing every month and year.
Here is the profit margin rate:-
- For two-wheelers- Profit of Rs 150 to Rs 200 per tyre
- For four-wheelers- Profit of Rs 400 to Rs 500 per tyre
- For Heavy vehicles- Profit of Rs 1000 to Rs 1200 per tyre
Per month, the distributors are asked to give a minimum sale of Rs 10 lakhs. However, you will be given Rs 10 lakhs worth of products from the parent company. For more profit details you can directly approach the CEAT Tyre Executive.
ROI period for CEAT Tyres Franchise
You will need a heavy investment budget to start a CEAT Tyre distributorship or franchise. Now, you will expect a speedy ROI after you have invested such a huge amount in the CEAT Tyres franchise.
The average ROI of any CEAT Tyres franchise is between 2-4 years. So, you can expect your ROI within that timeframe.
Royalty Charged by CEAT Franchise
The security fee charged by CEAT Tyres ranges between Rs 5 to Rs 10 lakhs. However, we do not have the exact details for the royalty fee charged by CEAT Tyre.