Advice For Starting Your Part-Time Motor Trade Business
So you've decided to set up as a part-time motor trader, congratulations!
If you’re thinking about getting into the motor trade industry, then becoming a part-time motor trader will give you a taste of what it’s all about without having to commit all of your time and money.
Being a part-time motor trader also allows you to continue with a secondary occupation – this means you can keep earning money while you’re getting started with your motor trade business. You’ll be your own boss and you can work the hours you want. Although you’ll only be a part-time trader it doesn't mean it will be easy, but with the right advice and planning you can become a successful part-time motor trader.
What Is Your Motor Trade Business?
Before you do anything else you will need to decide what type of business you are going to run. From sales, to repairs and maintenance, there are a number of options to choose from. You could potentially combine several different aspects, for example fixing up cars to then sell on - but remember to play to your strengths to give yourself the best chance of success.
Remember, deciding what exactly your part-time motor trade business will do can help you get the right Part-Time Motor Trade insurance for it, ensuring your new venture is properly insured and protected.
Where Will Your Part-Time Motor Trade Business Be Located?
Once you have decided which area of the motor trade industry you want to go into, you’ll need to decide where you will operate from. This will depend on what your business is, i.e. if you’re selling cars you will need a place to store the vehicles.
Your drive may be big enough for a few cars but that could mean the growth of your motor trade business is limited due to a lack of space to increase your stock, and parking your stock on the roads surrounding your home could mean a higher Part-Time Motor Trade insurance premium.
Do Your Homework!
Once you've decided what type of business you’re going to run and where, it’s time to do some research – you’ll need to find out as much as you can about the market you’re entering in to. Firstly, you could compile a list of competitors. Look at how they operate, the offers they have, their customer base, their location, and their opening times.
Secondly, compare suppliers for the best deals - you’ll need to look at the prices, the quality, and the delivery times. Finally research your target audience, what their needs are, what they are willing to pay, and how can you reach them.
Name Your Motor Trade Business!
If you don’t have a name, you don’t have a business. You will want to give your business a memorable name. Look at what your competitors are calling themselves and use that as a guide. Be sure to check that no one else is using the name you choose online.
Create a Business Plan
As the old saying goes, if you fail to prepare, then prepare to fail. Research the industry and then create a business plan. It might be a daunting process, but it’s still essential for your part-time motor trade business to be successful.
Part of creating a business plan can include what costs you will incur setting up your part-time motor trade business such as running costs and your Motor Trade insurance premium.
Fund Your Business
Starting a new business can be a costly venture; paying rent, purchasing stock, and all sorts of bills can pop up. If you don’t have the start-up capital you may need to find an investor or take out a business loan. This is where your business plan will come in handy. Banks and potential investors will want to see a thorough business plan before giving you any money.
Tell the World About Your Motor Trade Business!
Make yourself visible, get a website and set up social media accounts. You could enrol yourself on the free Digital Garage course from Google to find out how you can make the most of your business online.
Put yourself on local listing websites and industry specific websites to help people find your business online. Of course you can still use traditional marketing methods, like adverts in the local paper and leaflets distributed in your target area.
It doesn't matter if you operate on a full time or just part-time basis, you need to insure your motor trade business as Motor Trade insurance is a legal requirement (it does also of course help protect you and your assets). It can be hard to figure out what the right level of cover needed for your part-time motor trade business is, so consulting a motor trade insurance broker will make the process a lot easier.
Being a Motor Trade insurance specialist, Think Insurance understand the Part-Time Motor Trade insurance market and can help you decide what cover is best for you. To find out more, to speak to an expert, or to get a quote, call us on 0800 221 8077.
Once everything is sorted, you’re good to go and start your career as a part-time motor trader. Think Insurance are here if you need any help setting up your Part-Time Motor Trade insurance… click 'Get a Quote' below and see how much you can save today!