5 Benefits of Running a Car Rental Business

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Motorized vehicles, especially cars, are now urgently needed, be it personal, group or company needs. Because it doesn’t hurt if you try the idea of ​​opening a car rental business. Car rental business lately is very promising because it is considered more practical. The price of the car is quite expensive and the various additional costs that follow make many people reluctant to buy their own. In addition, the need for car capacity is also often different. Sometimes all it takes is a small car to travel with family. But at certain times it requires a car that is big enough to transport many members. And car rental services are ready to provide cars according to the desired capacity. In addition to the urgent need for transportation, opening a car rental business also brings many benefits to activists. And among them are as follows.

Allows If No Capital

5 Benefits of Running a Car Rental Business You might think that starting a car rental business requires quite expensive capital. Having to spend a lot of money to buy a car and maintenance costs. But this can be tricked so that you can open a car rental business with a fairly low capital or even without capital. You can use car loans or use partner vehicles. The first way is with a car loan. The price of a car on the market can reach hundreds of millions of rupiah, and it is very burdensome if it must be paid in full. With a DP of 5 million to 10 million, now you can get a car to rent. You may need the cost of the first maintenance of the car, but the amount does not exceed the price of a cash car. After the business starts, you can use the results of the rental to pay for maintenance and pay for car installments. A little lighten up isn’t it? No need to immediately look for a large size car and an expensive price, just start with a small investment. The second way is to work with partners. In this way you do not need to have a car to be able to open a car rental business. Just work with partners who have vehicle units and connect them with tenants. If this business is seriously managed, you not only rely on the benefits of small cars, but also cars with large capacities.

Pretty tempting advantages

5 Benefits of Running a Car Rental Business The following assumes the benefits that can be obtained when trying a car rental business.

Initial Capital 1 unit of avanza 1.3 E M / T, 48 months Tenor
DP: Rp. 38,780,000

First month installment: Rp5,010,000

All Risk Insurance: Rp3,000,000

Accessory and other costs: IDR 5,000,000

Promotion Fee: IDR 300,000
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Initial Investment: IDR52,090,000

Monthly Operating Costs
Installments per month: Rp5,010,000

Maintenance and Service: Rp700,000

Other costs: IDR 500,000
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Total monthly fee: IDR 6,210,000

Assumption of Turnover per Month
25 days car rental x Rp.400,000 = Rp10,000,000

Assumption of profit per month

= Turnover – Operating costs per month

= Rp 10,000,000 – Rp 6,210,000 = Rp 3,790,000

This assumption can not be obtained exactly every month. There are times when a car rental will be quiet, but did not rule out the possibility if this business is very crowded even a full month. Especially in the Lebaran season where many people need a car to travel both inside and outside the city. The prices listed above can also go up at any time. You can give a different rate if the package with the driver, the car is used out of town or used on holidays and celebrations.

Broad Market
5 Advantages of Running a Car Rental Business Even if the car rental business competition is quite tight, there is still the possibility to market your business because the market is quite broad. Both in small cities and large cities, cars are needed for various purposes. Starting from private cars like Avanza, Xenia, Innova, SUVs, APVs, minibuses that can be used for family trips. These cars are often rented for long trips, tours, bridal groups, taking company guests and so on. Other types of commercial vehicles such as pick-up cars and trucks that can be rented out for traders and company operations. Or maybe a heavy vehicle that can be rented out to large companies.

Easy to Manage
5 Benefits of Running a Car Rental BusinessRental cars are the easiest businesses in the automotive field to run. Car rental business can be run at home making it easier for you to control your business as well as your family.

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