The Hyundai Company was established in the year 1967, in South Korea. They started selling cars from the year 1986. Currently, Hyundai is the renowned and fastest growing automobile brand in the world. Hyundai Company partners with dealers through franchise agreement. Hyundai accepts dealers to sell their vehicles, under this agreement. They will give their franchise by collecting some franchise fees and royalty fees. It is must for dealers to satisfy certain rules and regulations formulated by Hyundai Company. If a person wants to be a Hyundai dealer in places like Houston, they have to satisfy these requirements and apply to Hyundai for the franchise to start dealership workshops like Houston Hyundai.
Here are the important rules and regulations of Hyundai, which a dealer has to satisfy to start a dealership.
- Be a car dealer and stay in business for around two years. Hyundai considers only those who have a positive track record as a dealer for nearly two years, before allotting them Hyundai dealership. To start a dealership one must
- Comply with their state or county or city’s regulations for car dealership
- Dealership showrooms must be located in a good commercial area
- Must satisfy conditions regarding space of the showroom.
Some states may ask dealers to set up for surety bonds. Hyundai will conduct some background test before allocating dealership. It will provide a special dealer’s license for those who successfully completed training to start their dealership with Hyundai.
- Dealers have to recruit well experienced employees. Hyundai requires proof of the professional and experienced staff also. Hyundai demands it as it believes that they will represent the Hyundai brand. File each employee’s records including special awards, certificates they received.
- Do register your dealership as a woman-owned, minority or disadvantage business enterprise, if there is any possibility for that. Hyundai prefers to do businesses with such categories. If dealership is about to be opened the US, like Houston Hyundai, it is mandatory to have any one of the below certifications
- The U.S. Small Business Administration’s 8(a) Business Development or Small Disadvantaged Business Certification Program, or
- The Women’s Business Enterprise National Council National Minority Supplier Development Council (from any of their regional councils), or
- The California Unified Certification Program.
Hyundai requires proof of such certifications.
- Apply through Hyundai website by filling relevant application from. Information about your sales experience, proposals for dealership, financial condition, and bank references are to be provided. Hyundai prefers dealers with a very firm financial status
- Also, submit your application via post or email. Incorporate required certifications like minority status or women-owned or disadvantaged business registration (if applicable), dealer’s license, surety bond, current dealership details, marketing materials and employees awards or recognition. Once your application is approved Hyundai will provide required training. Complete the training programs offered by Hyundai to become authorised Hyundai dealer.
Those who want to become Hyundai dealer must have very good financial assets. They have to complete all Hyundai requirements to be considered for dealership signage and training. They have to pay the franchise fees. This fee varies with the size of the dealership, its location and also on some other factors. You can gain more experience if you work under another Hyundai dealer. Dealers who completed training can become approved dealers by the company.