Tata Motors dealership franchise : Cost, return of Investment, application process

Are you in search for information regarding how to get dealership of Tata Motors show room, service station or workshop area? Here is the details about investment required, eligibility criteria, application process and other information to start Tata Motor dealership.

Why to open Tata Motors franchise dealership (showroom or service station)

Tata Motors is India largest automobile Company having maximum range of cars and utility vehicles. It is the leader in commercial vehicle and among cars it has models of various price range. Tata Nano boast on being the lowest priced car in India fulfilling the dream of common man to afford a four wheeler. With increasing fuel price the sale of smaller four wheelers especially Tata Nano is expected to increase exponentially in coming years. Tata Motor is one of the oldest automobile company established in 1945 and at present about 7.5 millions Tata vehicles are on road. The company is also indexed in New York Stock Exchange establishing its International presence.

Tata Nano, Manza, Sumo, Aria, Indica, Indigo, Safari and Vista all the models are having a descent sale with satisfying customers feedback. Thus not only the sale but also the spare parts and service station or workshop of Tata Motors is busy with customers, Being associated with Tata Motors by starting a business having dealership is not only worth but highly profitable too.

Tata Motors franchise Dealership Start-up Investments: Estimated costs, ROI, payback period of capital

Indeed starting a Tata Motors dealership is high capital business as the investment required is above 10 crores. The break up of investment is as follows - For workshop equipments investment is 60 to 75 lakhs in metro cities and about 35 to 50 lakhs in towns, the cost for vehicle inventory in metro cities is about 10 to 12 crores and in towns it is about 2 to 3.5 crores. Capital or investment required for Tata Motors spare parts are 45 to 55 lakhs in Metros and 15 to 35 lakhs in towns. Other miscellaneous investment like in Computers /Dealer Identity, software, support vehicles etc comes out to be 40 - 50 lakhs in Metros and 20 - 30 lakhs in other towns. Apart from that minimum net worth for any entity operating a Tata Motors Car Dealership is Rs. 50 lakhs.

The floor area required for showroom and backup office for Tata Motors is 5000 to 6000 sq ft in Metro cities like Mumbai, Delhi, Kolkata, Chennai and 3000 to 4000 sq ft in towns. Floor area for Work shop or service station of Tata Motors should be adequate that is about 30,000 to 35,000 sq ft in Metros and 15,000 to 20,000 sq ft in towns. If you want to have dealership of Tata Motors as integrated 3S facilities that is Sales, Service and Spare Parts under one roof the recommended area is 55,000 to 65,000 sq ft in Metros and 30,000 to 40,000 sq ft in towns. The area should be own or should have a long lease and within the reach of the customer. Other pre requisites include adequate qualified manpower.

Though ROI and payback period is not fixed but in general it may be about 16 to 20% ROI and 5-6 years payback period of capital.

How to apply for Tata Motors Dealership in India?

To apply for dealership of Tata Motors you have to download 20 pages dealership brochure from official website of Tata Motors and will have to fill in details mentioning site, financial soundness etc. All the terms and conditions are mentioned in the brochure.

Tata Motors Franchise / Dealership Contacts: Phone number, contact person, email address

Registered office of Tata Motors is at Mumbai, Address is mentioned below-
Bombay House
24 Homi Mody Street, Fort
Mumbai - 400001
Phone no : Registered or corporate office +91 22 66658282
Commercial Vehicles Business Unit / Passenger Vehicles Business Unit - 022-66586000
International Business - 022-67577200

Regional Office - North
Commercial Vehicles (Trucks & Buses) - 011-23341254 / 011-23342151 | Cars & Utility Vehicles - (0124) 2805141 - 45

Regional Office - South
Commercial Vehicles (Trucks & Buses) - 080-66373 (400 to 409) | Cars & Utility Vehicles - (044) 66500900

Regional Office - East
Commercial Vehicles (Trucks & Buses) - 033-66272700 | Cars & Utility Vehicles - (033) 66262600 / 66262658

Regional Office - West
Commercial Vehicles (Trucks & Buses) - 022-67927272 | Cars & Utility Vehicles - (022) 66930400/401/402/40, (079) 66009900

Manufacturing Locations
Pune - 020 - 66131111 | Dharwad - 0836-2486633/ 2486877 | Jamshedpur - 0657 - 2281500/2286875 Pantnagar - 05944-663000/ 663131 | Lucknow - 0522-2818012/20/32

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