How to start an Old Car and Bike Dealership Business in UK USA (Business Plan)

Old Car & Bike Dealership

Do you have these questions in your mind?

  • How to start an Old Car and Bike Dealership?
  • How much does it cost to start an Old Car and Bike Dealership?
  • How can you make from an Old Car and Bike Dealership? 
  • How to find the best location to open your Old Car and Bike Dealership?

In this article, you will find answers to all your questions. So please grab a cup of coffee, and let’s get started.

Table of Contents

What is the Old Car and Bike Dealership Business?

With a global market value of around $14.3 billion and an annual growth rate (CAGR) of 4.7%, the Car Detailing industry is one of the biggest industries in the world right now.


Old Car & Bike Dealership Business involves buying and selling used cars and bikes. As a dealer, you will be responsible for finding suitable cars or bikes, assessing their value, repairing and refurbishing them as needed, and then selling them to interested buyers. 


The old car and bike dealership business is a perfect venture for those passionate about old vehicles and wanting to turn their hobby into a profitable business. 


This business requires knowledge of the automobile industry, a good eye for identifying profitable deals, and the ability to negotiate effectively. You must also ensure that the vehicles you sell are in good condition and have all necessary documentation.


By the end of this article, we will teach you everything you need to know when starting your Car Detailing Business. 

Market Insight: The UK Car Detailing market size is around £1.1 billion and is expected to grow more over the years, while in the US, they have the biggest market size in the world with $11.4 Billion.

Old Car & Bike Dealership

Types of Old Car and Bike Dealership Models

Various business models can be applied in the old car and bike dealership business, some of which are:


  • Traditional dealership model: 
    In this model, the dealer purchases old cars and bikes, refurbishes them, and sells them to customers at a profit. The dealer may also offer services such as repairs and maintenance.
  • Consignment model: 
    In this model, the dealer sells the car or bike on behalf of the owner, taking a commission on the sale price. The owner retains ownership of the vehicle until it is sold.
  • Auction model: 
    The dealer purchases old cars and bikes from auctions, refurbishes them, and sells them to customers at a profit.
  • Online marketplace model: 
    The dealer buys and sells old cars and bikes through online marketplaces like eBay or Craigslist.
  • Buy-here, pay-here model: 
    The dealer finances selling old cars and bikes to customers, offering them in-house financing options.


Note: Each business model has its advantages and disadvantages and can be tailored to suit the specific needs and goals of the dealership.

Old Car & Bike Dealership

Pros and Cons of an Old Car and Bike Dealership

Pros of an Old Car and Bike Dealership include:

  • Lower cost
  • Wider selection
  • Potential for higher profit margins
  • Opportunity to preserve historical or classic vehicles
Cons of an Old Car and Bike Dealership include:
  • Higher maintenance costs
  • Uncertainty about vehicle history
  • Limited warranty options
  • Competition from private sellers and online marketplaces

Remember, as a startup, your goal should be to keep your costs low and depend on your skills. If you push the process and try to go full-service from the very beginning, there is a good possibility that you’ll be overburdened and may get lost in the process.

Investment required for an Old Car and Bike Dealership 

The investment required for starting an old car and bike dealership can vary depending on factors such as location, size, type and number of vehicles, and initial inventory. 


Here are some approximate costs to consider:



  • Leasing or buying a commercial space: 
    The cost of leasing or purchasing a commercial space can vary depending on the location and size of the space. In the US and UK, leasing or buying a commercial space can range from $10,000 to $50,000 annually.
  • Initial Inventory: 
    The cost of buying old cars and bikes for your inventory can range from a few thousand dollars to tens of thousands, depending on the number and types of vehicles you want in your inventory.
  • Renovation and Decoration: 
    You may need to renovate and decorate your space to create an attractive and functional showroom for your old cars and bikes. The cost of renovation and decoration can vary widely depending on the condition of the space and the extent of the changes you want to make.
  • Equipment and Tools: 
    You will need various equipment and tools to repair and maintain old cars and bikes, such as jacks, lifts, hand tools, and power tools. These items can range from a few hundred dollars to several thousand dollars.
  • Legal and Licensing Fees: 
    You must obtain various licenses and permits to legally operate your old car and bike dealership business. These fees can vary depending on the state or country in which you operate.


The approximate one-time setup cost for starting an old car and bike dealership can range from $50,000 to $100,000, depending on the specific requirements and factors involved.

Old Car & Bike Dealership

How much will you earn as an Old Car and Bike Dealership?

A dealership’s revenue can vary depending on various factors, such as the business size, location, inventory, operating costs, competition, and market conditions. The success and profitability of an old car and bike dealership depend on its ability to attract customers, sell vehicles at a fair price, and manage expenses effectively.


However, car-bike dealerships can have a profit margin. The margin can vary depending on factors such as the types of vehicles sold, the competition, and the dealership’s location.


Profit margins vary widely, but on average, they can range from 1% to 4% for new car sales and 2% to 8% for used car sales. 


Note: These are general ranges, and profit margins can be higher or lower depending on the specific circumstances of the dealership.

Busiest time for your Car Detailing business:

The busiest time for a Car Detailing Business varies depending on the location and climate, but generally, the busiest time is in the spring and summer months when more people are traveling and spending time outdoors.

Looking for LOGO Design + Branding?

iMedia Ad Agency is an award wining Logo Design Company run by Sushant & Vijaya, offering professional logo designs for Start-ups / SMEs / Home Businesses Owners.


  • Full ownership of final Logo remains with the client
  • 100% original logo artwork
  • No internet copy-paste work
  • Original sketch supplied
  • Super High resolution Vector file formats
  • Free 1 month logo backup support
  • Telephone, chat, skype & email support

Get all Business Launch Solutions under one roof Logo, Corporate Identity, Invite, Stationary, Packaging, Broucher, Product Display, Web Design, Business Blog, Shopify Store, Startup Pitch Deck, Google SEO, Product Reviews, Business Articles, and Social Media Management.

Old Car & Bike Dealership

Employees needed for your Old Car and Bike Dealership 

The size of the team or staffing required for an old car/bike dealership will depend on the scale of the business, the number of vehicles being sold and serviced, and the specific tasks and responsibilities needed to operate the dealership effectively. 


Here are some positions that may be required:


  • Sales Manager – Responsible for managing sales operations and sales team
  • Sales Representatives – Responsible for selling cars/bikes to customers
  • Service Manager – Responsible for managing service operations and the service team
  • Service Technicians – Responsible for repairing and maintaining cars/bikes
  • Office Administrator – Responsible for administrative tasks such as bookkeeping, scheduling appointments, and managing customer inquiries
  • Marketing Manager – Responsible for developing and executing marketing strategies
  • Receptionist – Responsible for greeting customers and answering phones
  • Detailer – Responsible for cleaning and detailing cars/bikes
  • Inventory Manager – Responsible for managing the dealership’s inventory of vehicles and parts
  • Security Personnel – Responsible for ensuring the safety and security of the dealership and its assets.


Note: The number of staff required for each position will depend on the dealership’s size and workload. Additionally, some posts may be combined or shared among staff members depending on the dealership’s needs.

Old Car & Bike Dealership

Old Car and Bike Dealership Product and Service List

An old car and bike dealership can offer various products and services to meet customers’ diverse needs and preferences. 


Examples of products and service that a dealership may offer:


  • Pre-owned cars and motorcycles
  • Vintage or classic cars and motorcycles
  • Parts and accessories for old cars and motorcycles
  • Maintenance and repair services
  • Restoration services for traditional or antique vehicles
  • Customization services, such as paint jobs or modifications
  • Financing and insurance services
  • Appraisal and inspection services
  • Consignment services for customers who want to sell their old vehicles
  • Trade-in services for customers who wish to upgrade their old vehicle to a newer model
  • Rental services for classic or vintage cars and motorcycles for special events or occasions
  • Merchandise, such as t-shirts, hats, and other accessories with the dealership’s branding or logo
  • Online sales through e-commerce platforms or the dealership’s website for customers outside the dealership’s area.


Note: The specific products and services offered by an old car and bike dealership may depend on the dealership’s focus and market demand.

Equipments needed for your Old Car and Bike Dealership 

The specific equipment required to operate a car bike dealership business can vary depending on the size and scope of the operation.  


A general checklist of essential equipment:


1. Office Equipment:


  • Computers and software
  • Printer, scanner, and copier
  • Telephones and fax machines
  • Internet and Wi-Fi


2. Display Equipment:


  • Showroom or lot for displaying vehicles
  • Vehicle displays such as ramps, stands, or lifts
  • Signage for advertising the dealership


3. Maintenance Equipment:


  • Vehicle lifts and hoists
  • Diagnostic and repair tools
  • Specialty tools for vehicle repair and maintenance


4. Sales Equipment:


  • Point-of-sale (POS) system or sales software
  • Customer relationship management (CRM) software
  • Payment processing equipment such as credit card machines or mobile payment systems


5. Other Equipment:


  • Security equipment such as cameras and alarms
  • Cleaning and maintenance equipment such as pressure washers, vacuums, and cleaning supplies
  • Safety equipment such as fire extinguishers and first aid kits


Note: This is a general checklist, and the specific equipment required can vary depending on the size and scope of the dealership business.

Free Learn Blogging Book

Launch your Money Blog

Build a 24/7 money machine that you can create and grow from anywhere in the world you are…

Certification and Registration

Licence needed for a Old Car and Bike Dealership 

The licenses and permissions required to operate a car bike dealership business can vary by state or region. 


List of licenses and permits required in the USA and the UK include:


United States:


  • Business License
  • Sales Tax Permit
  • Zoning Permit
  • Dealer’s License
  • Federal Employer Identification Number (EIN)
  • State-specific registration and insurance requirements


United Kingdom:


  • Business Registration with Companies House
  • Motor Vehicle Traders License
  • VAT Registration
  • Environmental Permit
  • Insurance (including public liability, employer’s liability, and road risk insurance)
  • Compliance with Consumer Contracts Regulations
  • Registration with the Information Commissioner’s Office (ICO) for data protection


Note: It’s always a good idea to research the specific requirements where the dealership will be located to ensure that all necessary licenses and permissions are obtained before operating the business.

Old Car & Bike Dealership

Popular Old Car and Bikes you could sell!

In this industry, there are lots of popular and vintage car and bike you could sell in the US and the UK!


Some of these include:


Popular Second-Hand Cars sold in the USA:


  • Toyota Camry
  • Honda Civic
  • Honda Accord
  • Nissan Altima
  • Ford Fusion


Popular Second-Hand Cars sold in the UK:


  • Ford Fiesta
  • Volkswagen Golf
  • Vauxhall Corsa
  • Ford Focus
  • BMW 3 Series


Popular Second-Hand Bikes sold in the USA:


  • Honda CBR600RR
  • Yamaha R6
  • Suzuki GSX-R600
  • Kawasaki Ninja ZX-6R
  • Yamaha FZ6


Popular Second-Hand Bikes sold in the UK:


  • Honda CBR600F
  • Yamaha R6
  • Kawasaki Ninja ZX-6R
  • Suzuki GSX-R600
  • Honda CB500F


Note: These lists are based on popularity and availability, and there are many other second-hand car or bike models that dealers may sell depending on local demand and inventory. 

Trends & Challenges in the Old Car and Bike Industry


1. Interest in electric and hybrid conversions.
2. Popularity of online marketplaces for buying and selling old vehicles.
3. Use of technology for vehicle restoration and customization.


1. Limited availability of skilled technicians and mechanics.
2. Competition from private sellers and online marketplaces.
3. High cost of insurance for classic and vintage vehicles.


In conclusion, starting an old bike and car dealership business can be a lucrative opportunity for entrepreneurs with a passion for automobiles. 


While there are challenges, such as competition and changing market trends, this industry offers potential for profit margins and customer satisfaction. 


Remember to stay current on industry trends, maintain a solid online presence, and provide excellent customer service to keep your customers returning. 


With careful planning, attention to detail, and a commitment to customer service, you can create a thriving business in the old bike and car dealership industry.

Want to Save Time in your Business Launch?

  • How to Create a Business Plan
  • What is Market Research, USP, Niche & Positioning
  • How to find a suitable name for your business
  • How to create your brand image (Logo + Branding)
  • How to Register Your Business
  • How to Register for Taxes
  • How to get Licenses / Permits
  • How to Open a Business Bank Account
  • How to Get Business Insurance
  • Which Payment Processing Terminal (POS) to buy
  • How to get Funds for your Business
  • How to do Sales & Marketing – Offline & Online
  • Why have a Website / Blog / Social Media
  • How to build & train your Dream Team
  • How to provide Excellent Customer Service
  • Buying an Old Business Vs Franchisee Vs Own Brand from Scratch

Handpicked inspirational Youtube videos for you

How I Built My $3 Million Business Buying Cars At Auctions – YT Channel ‘CNBC’

The Longest Established Dealer in Veteran, Vintage and Classic Bikes in England! – YT Channel ‘’

A. This will depend on the specific laws and regulations in your location. In many cases, you will need to obtain a dealer’s license from your local government or department of motor vehicles. Check with your local authorities to determine the specific requirements.

A. This will depend on the scale of your business and the inventory of vehicles you plan to sell. You will need to consider costs such as rent, utilities, inventory, marketing, and staffing. A rough estimate for starting a small dealership could be $50,000 – $100,000, while a larger dealership could require several hundred thousand dollars or more.

A. Yes, it is possible to sell cars/bikes on consignment, where the dealership acts as an intermediary between the seller and the buyer. In this case, the dealership would take a commission on the sale price.

A. Marketing strategies can vary depending on your target market and location, but some effective strategies may include online advertising, social media marketing, email marketing, and direct mail campaigns. It’s also important to have a strong online presence, including a website and listings on popular automotive marketplaces.

A. It’s not required to offer a warranty, but offering a warranty can give customers peace of mind and increase sales. Additionally, some states may require dealerships to offer a minimum warranty period. Be sure to research the regulations in your location and consider offering a warranty as part of your sales strategy.

Notify of
Inline Feedbacks
View all comments

Hey! Sushant & Vijaya Here

Welcome to

We created this Business Blog to guide small businesses, solopreneurs, mompreneurs, freelancers, and online business owners in launching their businesses offline and online.

We work with clients all around the world on:
  • Logo
  • Branding
  • Business Blog
  • Corporate Identity
  • Sales Presentation
  • Product Packaging
  • Shopify Store
  • Google SEO
  • Digital Marketing
  • Affiliate Marketing and more…

If you need our Help? We help you save time to Grow your Business.

Lets Connect!
Sushant & Vijaya
Latest Articles
Blog Categories