Introduction to Profit in MRF tyres franchise in India
MRF Tyres Dealership / Franchise: In India, the number of vehicles on the road keeps growing year after year. Many people either want to or already have a car so that they can thrive a life of convenience. But cars are not easily available. Not only is there a substantial amount of money need to buy a car, but it also consumes a lot of time and cares to make sure that it runs for several years. One of the essential portions of a car is the tyre. Car safety relies a lot on the tyres. And when it comes to tyres, the most noteworthy brand in India is MRF. The brand is so famous among Indians that people particularly pick MRF tyres for their cars. Over the years, MRF has sustained to make a special place for itself as one of the most famous brands not only in India but all across the globe.
A step by step guide to start and make a profit in MRF Tyres Franchise
Details about the MRF company
MRF Limited is an Indian multinational corporation. MRF stands for the Madras Rubber factory. It is a tyre manufacturing company and produces the largest numbers of tyres in India. It stands 14th on the list of the largest tyre manufacturing factories in the world. Products such as tyres, tubes, conveyor belts, toys, treads, etc. are produced by the company.
The founder of MRF was K.M. Mammen Mappillai. He initiated the company in 1946 at Tiruvottiyur, Madras (now popular as Chennai), to manufacture toy balloons. It was not until 1952 when the company began the production of tread rubber. In November 1960, MRF Limited turned into a private company and got into a partnership with a company that is based in Ohio, the United States named Mansfield Tyre & Rubber Company, to produce tyres. On 1 April 1961, the company went public and in 1967, MRF was the first Indian company to export tyres to the USA.
In 1989, MRF went into a partnership with Hasbro, the largest toy-making company in the entire world, and started Funskool India. In 1993, the company reached the mark of 10 billion rupees. It was the first Indian tyre company to achieve this. From there on, due to their high sponsoring and marketing ideas, they managed to become one of the most popular brands in India.
Although mainly popular for producing tyres for vehicles, many other products are also manufactured by the company. The next section will provide a list of products made by MRF apart from tyres:
- Conveyor belts
- Cricket accessories
- Industrial Paints and Coatings
Business plan for getting the MRF tyre franchise
Through the brilliant sponsoring and marketing ideas over the years, MRF has sustained to put its name out in the market. For instance, a lot of people first came to know about MRF from the sport of Cricket, as MRF sponsored the cricket equipment several famous players like Sachin Tendulkar. Their ad campaigns involving the admiration of Virat Kohli have also managed to gain a lot of eyeballs. MRF sells its products by its exclusive stores and does not hang on any other multi-brand tyre outlets. MRF also has an alliance with some noteworthy automobile companies and became the OEM (Original Equipment Manufacturer) for them.
There are greater than 5,500 MRF dealerships all across India and every 2 out of those 3 dealerships are exclusive outlets. MRF’s total revenue for the year 2017-18 was about 15,078 crore rupees. The company’s plan is to spend about 800 to 1,000 crore rupees in the manufacturing of products. By 2021, MRF projects its income to grow by 20,000 to 22,000 crore rupees.
All of the numbers mentioned above and statistics indicate that a positive vibe must be expected if one plans to invest in MRF. Another main reason to invest in MRF is that the company supports the franchisee in the training and other store-related assistance needed to set up the franchise. MRF does not only provide support while the franchise is being set up but also aids the franchisee throughout the journey until the break-even point is achieved.
Procedure to get MRF tyres franchise in India
Requirements for getting the MRF tyres franchise
There are certain requirements that must be fulfilled by an individual to successfully become an owner of an MRF franchise. The first need is regarding the suitable area of the store or outlet. Individual planning for an MRF dealership must have an area of around 370 square meters or 4,000 square feet to arrange the outlet. Otherwise, the dealership is not allotted.
Investment to start MRF tyres franchise
The second necessity that must be fulfilled for the MRF tyres dealership is the cost of investment. 10 lakh rupees could be needed as an initial investment to have an MRF dealership. Besides that, an investment of around 23 lakh rupees must be required to get the dealership. This investment is required to cover the cost of machines and other store-associated costing.
Profit or Return on Investment (ROI) in MRF tyre franchise business
There is no exact count or statistics to display precisely how profitable an MRF dealership is. But by evaluating the path the company, their plans, and investments and also thinking about the brand value that MRF has nowadays, it is safe to say that investing in an MRF franchise will gain great results for any person.
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How to get an MRF tyres dealership in India?
One thing that every person who is interested in investing in MRF should know how to apply for an MRF dealership. Well, the application process is easy. One can simply check the company’s official website y online and fill out the MRF dealership application form. Information such as name, contact information, address, identity proof, email address, details of the outlet, etc. is required in the form. On the other hand, the financial information of the individual must be submitted along with the application form. The MRF associated employee then reviews the application form. In case the applicant gets shortlisted, he or she is contacted by the MRF personnel for a personal meeting. After that, it is up to the staff at MRF to determine whether to take the process further or disapprove. Another method to apply for an MRF dealership is to directly approach the MRF office in Chennai.
MRF tyres franchisee details:
The postal address of the office is mentioned below:
Old No 124 New No 114,
Greames Road, Thousand Lights,
Chennai – 600006
There are only some brands in India that have good popularity as MRF does. MRF has gained the trust of the Indian public for years and delivered its service again and again with its top-quality goods. So, if anyone is planning to invest in a tyre manufacturing company, MRF could be the appropriate choice.
Frequently asked questions about MRF tyres franchise:
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1. What is the cost of investment for an MRF dealership?
The franchisee should have an investment of 10 lakh rupees initially. An investment of another 23 lakh rupees is necessary for the dealership, which will be used to purchase equipment and for other store-related expenses.
2. How to apply for an MRF dealership?
The process of applying for an MRF dealership is very simple. One needs to visit the official website and fill out the dealership application form. The individual should provide certain personal and official details along with the application form.
Another option is to go to the MRF office in Chennai and apply the MRF dealership.
The address of the office is given below:
Old No 124 New No 114,
Greames Road, Thousand Lights,
Chennai – 600006
3. List the documents needed to apply for an MRF franchise?
The documents required to be submitted along with the application form include address proof, identity proof, store address, store ownership or rent deed, and the bank statements.
4. What happens after the application form is submitted?
After submission, the application form goes for inspection. MRF’s executive staff will review the application and if everything is fine to them, they contact the applicant for further discussion. After that discussion, the MRF staff determines whether to move forward or not.
5. How much area is required to set up the MRF tyre store?
The area needed to set up an MRF store is about 370 square meters, which comes to approximately 4,000 square feet.
6. Is the MRF franchise profitable?
Yes, of course, the MRF franchise is very profitable. By spending in this company, a franchisee can get high returns every month.
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