§1What this business is
A garage with a hydraulic lift, compressor, water sprayer, greasing machine, drill and welding set services and repairs cars, two-wheelers and other vehicles. Wear and tear means every vehicle needs regular servicing, and the profile suggests a roadside site in a rural area close to a town.
Capacity: Service income at full capacity: ₹5.00 L a year (cost of service ₹3,63,500).
§2Is it right for you?
Who it is for
A trained mechanic who wants his own workshop on a busy road.
Who it is not for
Someone without mechanical skill who must rely fully on hired mechanics.
Advantages
- Every vehicle needs regular service
- Low raw-material cost (₹25,000 a year)
- Can add spares sales, tyre and battery work
- Steady local demand once you have a name
Drawbacks
- Small net income in the profile (₹0.87 L a year)
- Authorised dealer workshops take new-vehicle owners
- Needs skilled, honest mechanics
- Oil and wash water must be handled properly
Skills you need
- Vehicle diagnosis and repair
- Customer trust
- Spare-parts buying
- Workshop safety
Why difficulty 2/5: Low capital; success depends on mechanical skill and reputation.
§3Market
Who buys
- Car, two-wheeler and tractor owners
- Taxi and goods-vehicle operators
- Village and small-town households
How it sells
- Walk-in customers on the main road
- Regular service for local fleets
Good to know
- The profile suggests rural sites near towns, on any road, to serve passing vehicles.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Hydraulic lift, compressor, water sprayer, greasing machine, drill machine, welding machine, jigs, fixtures and tools | 1 set | ₹4,00,000 |
From: KVIC Project Profile — Auto Garage (PMEGP)
- Oil, grease, spares and consumables₹25,000 a year in the profile
§5Licences & registration
- Udyam
- Shop and establishment registration
- Trade licence from the local body
- GST once turnover crosses the limit
- Pollution consent or authorisation for used oil where the state requires it
§6Schemes & subsidies
A PMEGP service profile; MUDRA Kishore covers this size.
§7Money
How the investment is worked out: KVIC profile: building shed 1,000 sq ft ₹2,00,000, equipment ₹4,00,000 (hydraulic lift, compressor, water sprayer, greasing machine, drill, welding machine, jigs, fixtures and tools) and working capital ₹60,000 = ₹6,60,000; land own.
Working capital: ₹60,000 — mainly spares, oil and grease.
Year not printed on the KVIC profile — check current machinery prices.
§8Export potential
HS code, export markets and export council — being researched. For export basics, see Import & Export.
§9Risks — where people fail
- Competition from dealer workshops and roadside mechanics
- Electric vehicles needing new skills
- Customer disputes over repairs
- Accidents on the lift
§1030 / 60 / 90-day plan
A general plan that applies to any business. A plan for this business will be added after research.
- Days 1–30: Visit a working auto garage (vehicle servicing) unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (Udyam, Shop and establishment registration), a project report (DPR), and the scheme or loan file.
- Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.
§11Who to connect with
Associations, clusters and training institutes — the directory is being built. Connect
§12Watch
There is no episode on this business yet. Shows are coming soon on the Podcast page.
Want to start Auto Garage (Vehicle Servicing)?
DPR, loan file or registration — ask us on WhatsApp.
¶Sources
Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.