Used motorcycle and service shop

Local riders buying their first or next bike, existing owners needing servicing or parts, and commuters and weekend riders buying gear.

Margin on each bike sold, labour and parts on servicing, and margin on gear and accessories. Spring and summer are usually busiest, so servicing and storage prep can help fill the quieter months.

• Motorcycle mechanical knowledge
• Spotting good buys at auction or trade-in
• Negotiating and customer service
• Basic bookkeeping and stock control

• Dealer registration or licensing, which differs by province (Quebec has its own rules), so check your provincial regulator
• Commercial general liability and garage keepers insurance, plus cover for the stock you hold
• Buying bikes with hidden faults, liens or stolen history, so check ownership and lien records before you buy
• Strong winter seasonality in much of Canada, so plan your cash flow
• Disposal of used oil, batteries and tyres, which is regulated, so check your provincial rules
• Provincial sales tax and GST/HST rules on used vehicle sales, so check with an accountant

Startup costs are typically estimated at around $30,000 to $150,000, depending on your premises, the amount of bike stock you buy, and workshop equipment. Your own figure will depend on how large a starting inventory you choose.

Monthly revenue is typically estimated at around $10,000 to $50,000, depending on how many bikes you sell, your servicing work and your parts and gear sales. Winter is strongly seasonal in much of Canada, so plan your cash flow.

Check dealer registration or licensing with your provincial regulator, as rules differ by province and Quebec has its own. Also check ownership and lien records before buying bikes, and your provincial rules on disposing of used oil, batteries and tyres.