Looking to start a car dealership in the UAE? Starting a car dealership in the UAE is an exciting and potentially lucrative experience. The first step to starting a car dealership in Dubai and setting yourself up for success is having a strong car dealership business plan.
EasyCars has put together the complete free car dealership business plan template for aspiring car dealers in the UAE.
Let’s get into it.
Executive Summary
The first and one of the most important sections in a UAE business plan is the executive summary. The executive summary section of a business plan is a snapshot of your dealership idea and plan. In this section you should highlight your mission statement, dealerships services, your target customers and most importantly your financial projections. The executive summary should capture the readers attention and make them want to read more about your dealership and its plans.
Key Components of an Executive Summary:
- Dealership Business name and location
- Dealership objectives and goals
- Brief description of your dealerships stock and services
- Your dealerships target market
- Summary of financial forecasts and funding requirements
Business Description
The second section of your dealerships business plan is the business description. In this section you will need to provide a detailed description of your car dealership in the UAE. Explain the nature of your dealership, the gap in the market that you will be looking to fill and most importantly how your dealership will service and meet that demand.
Key Components of a Business Description:
- Dealership Business model (are you going to sell new cars, used cars, or luxury cars?)
- Dealership structure (Are you going to trade as a sole proprietorship, partnership, LLC?)
- Your Dealerships Location and facilities
- Your Dealerships Unique Selling Propositions
- Your Dealerships Long-term business goals and milestones
Market Analysis
The next section in a car dealership business plan is the Market Analysis. In this section you will need to conduct a thorough market analysis to understand the UAE automotive industry and other dealerships in the market. This section should highlight your research on industry trends, market size, growth potential and most importantly local car dealerships in Dubai.
Key Components of a Market Analysis:
- UAE Automotive Industry overview and trends
- Your Dealerships Target customer demographics
- UAE Automotive Market needs and demand
- Competitive analysis
- SWOT analysis (Strengths, Weaknesses, Opportunities, Threats)
Organization and Management
The fourth section in a UAE company business plan is the organization and management structure. In this section you will need to outline your dealership’s organizational structure and management team. You should highlight each employee’s experience and skills as your staff will be critical to the success of your dealership.
Key Components:
- Your Dealerships Organizational structure (e.g., management hierarchy, departments)
- Profiles of your dealerships management team and key employees
- Your dealership staff’s roles and responsibilities
- Staff Recruitment and training plans
- Legal considerations (business licenses, permits, and compliance)
Products and Services
In this section of your dealerships business plan, highlight and detail the different type of cars and services that your dealership will offer customers. You should also explain how that selling those cars for sale and add ons will meet the needs of your target customer.
Key Components:
- Types of vehicles that you will sell (new, used, luxury, commercial)
- Additional services that your dealership will offer (car financing UAE, car insurance)
- Car Inventory management
- Supplier and vendor relationships
Marketing and Sales Strategy
How are you going to get customers to your car dealership in Dubai? The Marketing and Sales strategy section of your car dealership business plan should outline the different strategies that you will use to gain customers. On top of this, you should also include your pricing strategies.
Key Components:
- Pricing strategy
- Marketing channels
- Advertising and promotional activities
- Sales tactics and techniques
- Customer acquisition and retention strategies
Operational Plan
The next section in a UAE Business Plan is your operational plan. This section should detail all the day to day operations of your car dealership in Dubai. You will need to explain how you will manage the different areas of your dealership from inventory management to customer service and everything in-between.
Key Components:
- Dealership Location and facilities management
- Car Inventory procurement and management
- Sales process and workflow
- Customer service strategies
- Technology and software systems
Financial Plan
Arguably the most important part of your dealerships business plan. The financial plan is crucial for your dealership to demonstrate short term and long term viability. This section should include financial projections, funding requirements, and most importantly financial risks.
Key Components:
- Dealership Startup costs and capital requirements
- Your Dealerships Revenue projections
- Profit and loss statement
- Cash flow statement
- Balance sheet
- Break-even analysis
- Funding strategy
- Financial risk assessment and mitigation
Final Word,
To be successful in any industry you need to have a well written business plan that outlines your mission, goals and how you are going to go about achieving them. Your car dealerships business plan will be the catalyst that your dealership uses to make and base business decisions around. The 8 sections presented in this piece are what should be included on your car dealerships business plan.
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DISCLAIMER – The content within this blog does not constitute professional advice and is intended to be general in nature. Please consult with all relevant parties prior to making any decision.
About EasyCars,
EasyCars by Jeal is a UAE Motor Industry Specific, Dealer Management Software that automates the daily tasks of running a motor dealership. Using the latest technologies, EasyCars removes frustrations experienced at the dealership - opening the doors to future growth.
EasyCars features include Simple Stock Management, Automated Advertising, Automatic VAT Calculations, Xero Accounting Integration, Facebook Automotive Inventory Ads, Dealer Websites and Business Reporting in the one central management software.
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