You are currently viewing How to Start Automobile Spare Parts Business
How to Start Automobile Spare Parts Business

How to Start Automobile Spare Parts Business

The automobile market has a very wide future in our country. If you want to know how to start an automobile spare parts businessthen you are right! Selling auto parts is one of the most profitable businesses in the market.

Every vehicle will need to replace different spare parts after some time!

So, whenever the person needs to buy a spare part…why shouldn’t he buy from you? Well, you have a great opportunity here.

Our market has millions of people looking to replace their vehicle’s spare parts.

If you are thinking of building a business, then you are right. Let’s take your plan forward and explore this industry more.

Automobile Industry and India

The relationship between the automobile Industry with India is becoming broader. Due to growth in the economy and technology, this industry is performing well.

Opportunities for many startups and businesses have increased in this field!

The automobile industry has also played important roles in other fields. They remained an important part of the transportation industry. And kept our economy safe.

Jobs are getting created, businesses are becoming popular, and many businessmen are coming forward. Indian vehicle and auto-electrical parts manufacturers are the steam of this field.

Starting your own business with this raise will be a great decision!

This field holds many innovations and techs you want to know. Once you enter this field, you will know How to Start Automobile Spare Parts Business!

How to start an automobile spare parts business in India?

Now that you know the field and market, it’s time to get into it!

Choosing the best idea

The first step is to choose the best idea. List your ideas and then check all aspects, from pros and cons to profitability and risk. Once done, make the best out of them. 

Converting an idea into a plan

The basic difference between an idea and a plan is execution and setting goals. From your best idea, now you need to set up business projects, plans, a team, and secure capital. 

Once these basic things are ready….you can go with the next step.

Research your plan

Before executing your plan, you need to do high market research. Research spare parts, manufacturers, suppliers, target audience, market conditions, competitors, and opportunities.

Calculate total cost

Depending upon the business type, you need to calculate the total cost. And then arrange fixed and working capital for your business. Calculate the rent space, stock cost, and other things.

However, creating an online business will cost comparatively low!

Registration and licensing

A very lengthy yet important step. For the flawless running of your business, register your business and get licenses. You should check regulations and licenses as per your state.

Set up and hire workers

Again depending upon your business type, you must set up your business. You can also hire employees and workers if you are taking your business to a high level.

The more you will add product ranges and customer support…the more your business will grow! 

Pros and Cons of in Automobile Spare Parts Business 

Before investing a high amount in any business, you should know all aspects. This includes the pros and cons of a business. 

Like any other business, the automobile spare parts business also has pros and cons. 


  • A self-satisfying and growing business in the market. 
  • You can build your passion in this field. 
  • You can choose manufacturers and suppliers at a relatable price. 
  • A great opportunity to provide quality auto-electrical parts in India. 
  • Being in a local business, you can develop connections with other businesses. 
  • A great opportunity to become a trusted automobile spare part seller. 
  • Giving right and reliable suggestions to customers will improve your goodwill. 
  • The Automobile Spare Parts Business highly relies on referrals.


  • Connecting to a good and trusted supplier will take time. 
  • Also, finding the best deals will always be a wish! 
  • Regulating the expenses requires regular checks. 
  • The profit margin fluctuates due to too many aspects. 
  • Sometimes, the margin becomes very low on products.  
  • This business works on a time deadline that needs to be completed. 

Different Automobile Businesses 

While the auto-spare parts market is experiencing some tough competition, there are some other great businesses which you can go with. 

These businesses are directly and indirectly related to the automobile market. 

Service center or ShopShop 

Service centers or service shops for vehicles have a good profit share. This business has a huge market in this field. For opening a center or ShopShop, your investment will be dependent on the range and type of center. 

Car wash 

Those who want to step into this field with low investment read about the car wash business. For opening a car wash center, you will require a low investment compared to other startups. 

Tire Shop

Another great business field where you can earn a good profit is Tire shop. To open these types of shops, you will need high mobility. You should contact OEMs before investing in this business. 

Second-hand four-wheeler dealing 

Although the value of cars decreases with time, they will be useful for many! The reselling business of four-wheelers is highly profitable and requires limited investment. So, it’s a nice business option. 

Auto-body Shop 

Starting an automobile spare parts business is profitable. But do you know, having an auto-body shop is also a great option! A vehicle, like a car, goes through a lot of wear and tear, like its inner spare parts need to change. 

Similarly, the outer body also needs checkups and restoration. 

Online store 

In 2022, the best way to start and grow your business is to take it online. Today, most of the work is done on the internet. Customers search for auto-spare parts on the internet. And suppliers present on the internet fulfill this requirement. 

Creating an online store will require a comparatively low investment. It is easy to manage and analyze.

You can check one of the best spare parts sellers, FARGO, on the internet!


This was my guide on ‘How to Start Automobile Spare Parts Business’.

Starting this business will be highly profitable but includes risk as well. So, I will recommend checking all tabs before the start.

Also, check out FARGO! A very popular online auto-parts store with millions of happy customers. If you have an idea about an online automobile spare parts store, then you must check this out. You will get reliable guidance on this market for sure!

In conclusion, I hope you have found this useful. Which type of spare part business will you be executing soon? Let us know in the comment section!

Leave a Reply