Hero MotoCorp Franchise- Requirements, Investment, Profit, Applying Process
Do you want to become a dealers or a franchise of a popular brand in India? Are you planning to start a e-vehicle dealership in your location? Want to take up a business with a World-class brand in the two wheeler industry? So, choosing Hero MotoCorp Franchise would be a great option. In this article we discuss about getting Hero MotoCorp Franchise, investment, commission, applying process, documents required and much more.
Hero Electric is India’s first and largest manufacturer of electric 2-wheelers with hundreds of thousands happy customers and growing. It is the ‘World No.1’ two-wheeler company in terms of unit volume sales in a calendar year. Hero MotoCorp Ltd. continues to maintain this feat.
Hero Hero MotoCorp Franchise Company Details:
|Company size||1,001-5,000 employees|
|Specialties||Largest Two wheeler manufacturer in the World|
Why you should choose Hero MotoCorp Franchise ?
Hero MotoCorp was started in 1984 at the time when people were not so much used to motorcycles. It is widely known for its light and affordable motorcycles in the country. It owns a massive 46% market share for two-wheeler in India.
- Hero MotoCorp brand has over 33 years of expertise in the automobile industry.
- Country’s largest two-wheeler manufacturer.
- Hero MotoCorp produces nearly 9,500 two-wheelers in a day.
- Two-wheelers are produced crosswise over four internationally benchmarked manufacturing premises.
- Fuel-efficient and low maintenance motorcycles.
- The company offers 19 models of Motorcycles and Scooters in the price range of Rs. 40,000 to Rs. 1.08 Lacs.
- 6000 service centers across the country
Basic Criteria for Hero MotoCorp Franchise:
- You should have 4000 sqft area(2000 sqft for showroom and 2000 for service Center).
- Should have capacity to 70 Lakh to 1.5 Crore.
- Ability of Management/Supervision.
Note: Area should be at Ground Floor and Frontage for showroom (Minimum) 50 ft.
Investment for Hero MotoCorp Franchise :
If you want to take Hero MotoCorp Franchise/Dealership in your area then. You need approximate INR 80 lakhs – 2 crore to start. Depends on your location that any other dealer is already available or not.
Hero motocorp is a major big player in the two wheeler Industry.
- Dealership (Large, Basic)
Investment details are given below for a Big showroom:
- Land (10 years Lease )= 5 Lac-10 Lac
- Construction of Showroom & Service Center=50 Lac
- Interior Infrastructure: 20 Lac
- Company Deposit: Bank Guarantee (10 Lac)
- Initial Stock (50 Bikes) = 40 Lac
- Spare Parts for Service Bike = 5 Lac
- Working Capital = 15 Lac
- Lightining & Pipeline fitting= 2 LAC
- Computer System, Printer, Internet Connectivity, Phones & Staff Dress = 3 Lac.
- License fee: 50,000
Documents & License:
- Personal Documents like Aadhar card, Pan Card, Voter ID
- ITR for Last 2 years
- Commercial space paper (3000 sqft – 4000 sqft)
- Experience of Business (If applicable)
- Business Registration
- Udhyam registration
- EPF & ESIC
- Establishment License
- GST Registration
- Electricity Permission (for transformer)
Commission on per Bikes:
All the commission of Hero MotoCorp franchise on per bike is given below:
There is 8% -10% (Net commission)
Commission on accessories: 18% -20%
Profit of Dealers:
- Bikes Commission
- Extra Accessories
- Finance (4%)
- Extra Bonus for Sales target Achieve
Hero glamour (BS6)= ₹74,772.00 to ₹84,206.00
Average = 80,000/-
Gross Profit: 8000/- + 1000+ 3200 = 12,200/-
If you will sale 20 number of bike per month then profit will be 2, 44,000/-
Hero MotoCorp Showroom Expenses:
|SlNo.||Particulars of Expenses||Amount|
|2.||Electricty (Showroom) & Internet Bill||5000|
Monthly Net Profit of Showroom : Gross profit – Expenses
= 2,44,000 – 82,000
Hero MotoCorp Service Center Profit:
If you will consume 5 Lac Spares Parts Per month, then Gross Profit of Spares parts will be : 5 Lac X 20%.
Gross Profit of Spares parts = 1,00,000 (1 Lac)
Hero MotoCorp Franchise Services And Training
The following advantages are afforded by the Franchiser for setting up the Hero MotoCorp Showroom:
- The company supports the franchisee for setting up the design and construction.
- It provides assistance in business development, i.e. site selection support.
- It provides necessary operational support for the franchise.
- It provides marketing support for local and regional advertising.
- Technical knowledge and administrative assistance will be provided to the franchisee during the term of the agreement.
- Proper training is given to all crew members and franchisees.
- Expert guidance from Head Office will be provided to the franchisee while opening the franchise dealership.
- Prevailing IT systems will be incorporated in the franchise.
How to apply for the Hero MotoCorp Franchise ?
To apply for the Hero MotoCorp Franchise, you have to follow some steps which is given below:
- Visit: http://www.heromotocorp.com.
- Click on the above link.
- Fill all the details properly, and submit the form successfully.
- After submitting, you get call from the your local area manager within 2 days.
- Once you talk to the area manager then you can get all the information about the Hero MotoCorp Franchise in India.
TOLL FREE NO : 1800 266 0018
Registered and Corporate Office
Hero MotoCorp manufacturing Units:
There are many manufacturing units spread across India and few out of India.
- Dharuhera, Haryana- This was the first manufacturing unit set up in 1984.
- Gurgaon, Haryana- The second manufacturing unit in India and one of the biggest.
- Neemrana, Rajasthan- The Green and environment-friendly manufacturing unit.
- Halol, Gujarat- Another big manufacturing plants.
- Chittoor, Andra Pradesh- The latest manufacturing unit to be set up.
F.A.Q(Frequently asked question):
Q. How can I be sub-dealers of Hero Motocorp ?
Ans: First of all, you have to apply for the dealership and when the company will contact you then you can ask them for sub-dealers. If there is any dealers already available then you can be sub-dealers in your area.
Q. How many days takes to do all the process?
Ans: Approx 30 days
Q. Total Investment for Hero Motocorp Dealership in India ?
Ans: If you want to take Hero MotoCorp Franchise/Dealership in your area then. You need approximate INR 80 lakhs – 2 crore to start. Depends on your location that any other dealer is already available or not. If available then you can start with low investment as sub- dealers.
Q. Is heromotocorp bike dealership profitable?
Ans: Yes. its Profits & Margin is really high and it is one of the best investment opportunities for the new entrepreneurs and for individuals who want to start up a 2- wheeler dealership business.
Q. Is there any Security Deposit or not?
Ans: Company Deposit: Bank Guarantee (10 Lac)
Q. How can I contact Hero MotoCorp?
Ans: All the information is given above. You can call on toll free number: 1800 266 0018 . Or you can visit its official website for more details: click here.
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