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Automotive Franchises

Automotive & Car Franchise Opportunities for Sale

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Trends and Facts About Automotive Franchises

Vroom Vroom!

The UK's automotive industry is a vibrant sector of the economy, generating many jobs and business opportunities for entrepreneurial individuals. With new cars constantly being manufactured and sold, there is a lot of room in the market for automotive franchises that offer valuable car-related products, repair services and rental services. There are also a large number of car valeting franchise opportunities, driving franchises, car wash franchises, car rental and sales franchises, especially those that are green/environmentally friendly. Even with recents trends moving towards eco-friendly and eclectic cars such as Tesla models, the industry shows all the signs of going from strength to strength. People may also choose to keep their cars longer, especially during a time of economic uncertainty, which means automotive franchises would be especially helpful to clients who need to make more repairs on their cars. Often, these automotive franchises are van-based, meaning you will have low overheads because you don't need to lease actual commercial space for your business. Although the Covid-19 pandemic disrupted nearly all industries, for a lot of businesses this meant adapting the way they operate. Many franchises were forced to move to a virtual model and some may continue with this model in a post-pandemic landscape. So while the majority of automotive franchises are van-based, there are still plenty of opportunities for those who wish to run their own businesses from the comfort of their own home.

Automotive Trends

The UK automotive industry is an important part of the country’s economy as it has a turnover of nearly £80bn and contributes nearly £15bn of value to the UK economy according to SMMT (The Society of Motor Manufacturers and Traders) .

In their 2020 report, SMMT’s research pointed to the following UK statistics:

  • As it stands, there are an estimated 35 millions plus cars on the road across the UK.
  • Approximately 2,311,140 brand new cars were registered over the course of 12 months in 2019.
  • Over 1 million cars were exported from the UK in 2019.
  • In the same year, there were more than 1 million cars built in 2019 (78,270 commercial vehicles were manufactured in the same year).
  • In total, the UK automotive industry employs more than 850,000 workers. By 2030, it is forecast that 20,000 brand new jobs will be created within the sector.

Franchising

Now, you may be wondering whether franchising is the right step for your career, but due to the robust and flexible nature of the industry as a whole, a franchise investment may be the smartest move of your business career.

To start with, there is less work for you to undertake when setting up a new franchise unit. As you are taking on an already existing business model, you have a leg up in comparison to your smaller, independent business competitors. There is no need to worry about setting up infrastructure or designing new systems or processes as the parent company has already taken care of this.

You will be able to hit the ground running as you have the expert advice and support on hand from the franchisor. As your success is their success, they will want you to prosper so you will have a wealth of knowledge, experience and resources at your fingertips whenever you need it.

In what other sector is there a ready-made business model just waiting for a sharp and ambitious entrepreneur to come along and build on that success?

If you have a passion for all things car-related, then an automotive franchise may be just the right choice for you.

The UK Franchise Market

Franchising is booming in the UK. The industry itself already contributes more than £15bn annually to the UK economy and is responsible for employing an estimated 700,000 people around the country.

With 500,000 franchises units in operation in the UK, it is a clear indicator that the industry is continuing to prosper and grow. As the typical franchisor earns an average of £250,000 annually, it is further proof that a franchise is a highly lucrative business opportunity.

Less financial risk

Unlike independent businesses, franchises are less at risk of financial difficulties as a result of difficult economic climates.

Did you know that in the UK alone, nearly half of all independent companies will go under within the first two years of opening up due to uncertain economic factors.

Franchises generally avoid the struggle of the first few years of operating due to their built-in business model and well-established reputation and customer base. Even at the initial investment process, banks look favourably on those who wish to open a new franchise unit as they are considered to be a reliable model and a low financial risk.

Franchising has been known to be a recession-proof industry; managing to survive the devastating 2008 financial crisis and come out on the other side. While 2020 proved to be a challenge never seen before in modern business because of the Covid-19 pandemic, many franchises were able to adjust and weather the storm. Some franchisors even reported record numbers of enquiries throughout 2020, proving just why the industry is known for its resilience and adaptability.

Your Next Steps

Take the time to consider an automotive franchise, which could be your way into a growing industry with high earning potential. You could own a business that provides valuable services to people in the UK!Don’t know where to start? That’s why we are here to help.

At Franchise Direct HQ, we have plenty of automotive franchise opportunities to spark your interest. Whether you are in the market for a car repair franchise (ChipsAway, Screen Rescue, Puncturesafe), driving specialists (Driver Hire) or a car broker franchise (Auto Car Brokers), there are a diverse range of automotive opportunities available to set you on the road to success.

Even if you are new to the automotive industry or are a seasoned professional with years of experience, take the time to research and enquire about these opportunities so that you find your ideal franchise.

So why wait?

Start browsing today and begin your franchise journey right here, right now.

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