Bajaj Dealership in India

How to Apply for Bajaj Dealership?

Online Legal India LogoBy Online Legal India Published On 09 Jul 2025 Updated On 14 Jul 2025 Category Other

Bajaj Auto, India’s second-largest motorcycle manufacturer under the Bajaj Group, leads the two-wheeler and three-wheeler market across India and 70+ countries. Known for innovation and durability, Bajaj offers high-growth opportunities for aspiring dealers. This blog explains how to start a Bajaj dealership in India, covering eligibility, investment, profit margin, types, and the step-by-step application process.

What is a Bajaj Dealership?

A Bajaj dealership is an authorised business partner appointed by Bajaj Auto to sell its two-wheelers, three-wheelers, and offer after-sales services. Dealers act as the local face of the brand, handling everything from vehicle display and delivery to servicing, spare parts, and customer support.

In simple terms, it’s a retail-plus-service model where you earn revenue through product sales, repairs, and value-added services like insurance and financing. Understanding how the Bajaj dealership works helps new entrepreneurs align with the brand’s expectations and customer-centric standards.

Types of Bajaj Dealerships

Bajaj Auto offers four dealership formats. Each format serves a distinct business goal. Entrepreneurs choose the type based on their market location, investment size, and revenue focus. The types of Bajaj dealerships are listed below:

  • Bajaj Two-Wheeler Dealership

This model authorises the sale of Bajaj motorcycles. The dealership handles products like Pulsar, Platina, CT, and Avenger. The dealer receives company-assigned stock and must display it in a branded showroom. The setup requires floor space, storage, and a delivery zone. Bajaj provides marketing support and sales tools. This format suits cities and towns with consistent demand for personal transport.

  • Bajaj Three-Wheeler Dealership

This format allows sales of Bajaj auto-rickshaws and cargo carriers. The dealership includes RE passenger models and Maxima goods vehicles. It requires space for display, paperwork handling, and customer interaction. The dealer must assist customers with on-road permits and finance options. Bajaj supplies vehicle inventory and branding materials. This model suits industrial towns, business zones, and rural transport hubs.

  • Bajaj Showroom Franchise

This is a full-scale franchise that covers both sales and servicing. It includes motorcycles, auto-rickshaws, and after-sales support. The setup needs a large showroom, service area, staff rooms, and inventory space. The franchise must meet Bajaj’s brand layout and design requirements. The company offers software systems and operational training. This model suits metro cities and high-footfall locations.

  • Bajaj Service Centre Franchise

This format focuses only on repair and maintenance services. It includes vehicle servicing, part replacement, and routine checks. The setup requires tools, spare parts inventory, trained technicians, and a reception area. Bajaj supports with diagnostic systems and service guidelines. This option fits smaller towns and areas where vehicle sales already exist through nearby dealerships.

Eligibility Criteria for Bajaj Dealership

To apply for a Bajaj dealership, you must meet the following basic requirements:

  • Indian Citizenship

The applicant must be a citizen of India. Bajaj Auto accepts applications only from individuals or business entities registered in India.

  • Minimum Age of 18 Years

The applicant must be at least 18 years old. This ensures legal capacity to sign business agreements and handle financial transactions.

  • Educational Qualification

The applicant must have completed at least Class 12. A graduate degree improves your chances, but it is not mandatory. Bajaj prefers candidates who can manage business operations efficiently.

  • Prior Business Experience (Preferred)

Business experience is not compulsory, but it adds value to your application. Candidates with a background in automobile sales, service, or retail gain a competitive edge. It shows your ability to handle operations and customer engagement.

Investment Required for Bajaj Dealership

Starting a Bajaj dealership requires financial planning across two key areas—initial setup cost and operational infrastructure. The total investment varies based on dealership type, location, and business scale.

  1. Initial Setup Cost (Rs 10–Rs 50 lakh)

This covers the core cost of dealership initiation. It includes Bajaj’s brand compliance, basic infrastructure, and initial vehicle stock.

  • Rs 10–Rs 15 lakh for a service centre franchise
  • Rs 20–Rs 30 lakh for a two-wheeler or three-wheeler dealership
  • Rs 40–Rs 50 lakh for a full showroom franchise (sales + service)

The cost includes vehicle procurement, branding, insurance registration, and basic furnishing.

  1. Working Capital, Land, and Infrastructure

In addition to setup, you must account for recurring and operational costs:

Land Area:

  • 1,000 to 1,500 sq. ft. for a two-wheeler dealership
  • 1,500 to 2,000 sq. ft. for a three-wheeler dealership
  • 2,500+ sq. ft. for a showroom franchise
  • (Owned or rented property is acceptable with valid agreements)
  • Workshop Setup: Rs 5–Rs10 lakh for tools, equipment, and servicing bays
  • Staff Salaries: Re 1–Rs 2 lakh per month, depending on team size
  • Utility and Miscellaneous Costs: Rs 50,000–Rs 1 lakh per month
  • Security Deposit (if rented): Rs 2–Rs 5 lakh depending on city and space

Profit Margin in Bajaj Dealership

A Bajaj dealership earns revenue from vehicle sales, servicing, and spare parts supply. The margin in each area varies based on the dealership format, local demand, and operational efficiency.

  1. Vehicle Sales Profit (Two-Wheeler vs. Three-Wheeler)
    • Two-Wheeler Sales:

Bajaj offers a margin between 3% and 6% on each motorcycle. The exact margin depends on the model and sales volume. Basic models like Platina and CT generate lower margins due to their pricing. Premium models like Dominar or Pulsar provide slightly higher margins. Dealers also receive seasonal incentives when they cross monthly sales targets. These incentives improve total earnings without affecting the base margin.

    • Three-Wheeler Sales:

Dealers earn a margin of 7% to 10% on auto-rickshaws and cargo models. These vehicles serve both commercial and rural transport needs. The higher margin reflects the business utility of the product. Three-wheeler sales also allow cross-selling of finance and registration services, which increases the overall revenue per unit.

  1. Servicing and Spare Parts Income
    • Servicing Income:

A dealership that runs a service centre earns steady income from repairs, maintenance, and health check-ups. Regular jobs include oil change, brake adjustment, clutch tuning, and engine checks. Customers pay for both service and labour. Each vehicle that returns for service adds to the monthly income. The service centre also helps retain customers who purchase vehicles from the same outlet.

    • Spare Parts Margin:

Spare parts offer a 20% to 25% profit margin. These include filters, spark plugs, cables, lights, tires, and brake components. Bajaj supplies genuine parts directly to dealers. Each part sale supports the service department and improves customer satisfaction. Parts sales also continue in off-season periods when vehicle sales remain low.

Location Requirements and Expansion Plans

The success of a Bajaj dealership depends heavily on the location. Bajaj Auto identifies areas with high demand, low competition, and future growth potential. The brand also plans focused expansion across specific regions and product segments.

  1. Ideal Cities and Tier-2 Locations

Bajaj encourages dealership setup in tier-2 and tier-3 cities, where demand for two-wheelers and three-wheelers stays high. Cities like Patna, Indore, Bhopal, Ranchi, Nagpur, and Coimbatore offer strong potential. These regions have growing populations, limited public transport, and a strong preference for personal vehicles.

Rural and semi-urban locations near industrial clusters or agricultural belts also see regular demand for three-wheelers and cargo carriers. These areas offer stable sales with less price competition.

  1. Bajaj’s Expansion Focus

Bajaj plans to expand aggressively in the electric vehicle segment. The company aims to strengthen its Chetak EV network, especially in urban areas with high EV adoption. Bajaj also targets rural mobility through affordable three-wheeler models and better service coverage.

Dealers in growing towns with a mix of personal and commercial users stand to benefit the most. Bajaj supports them with marketing, training, and supply chain access.

  1. Site Requirements

Bajaj outlines clear space and location requirements for each dealership type:

    • Main Road Access: The site must lie on or near a busy road to ensure maximum visibility.
    • High Footfall Area: Proximity to markets, schools, or transport hubs helps attract walk-in customers.
    • Minimum Area:
      • 1,000 to 1,500 sq. ft. for a two-wheeler dealership
      • 2,000+ sq. ft. for a full showroom and service facility
    • Easy Parking: The site must allow test rides, vehicle display, and service movement without congestion.

Bajaj inspects the site before final approval to ensure it matches the operational and brand standards.

Dealership Services & Training Support

Bajaj Auto provides end-to-end support to help dealers run operations smoothly and meet customer expectations. The company ensures that each dealership follows brand standards and delivers a uniform customer experience.

    • Staff Training (Sales and Service)

Bajaj trains both sales and service staff through structured in-person and online modules. The sales team learns customer handling, product demonstration, pricing, and closing techniques. The service team receives technical training on vehicle diagnosis, repair standards, and safety protocols. This training ensures that employees understand Bajaj’s product range and deliver consistent service quality.

    • Software Support

Each dealership receives access to Bajaj’s central software systems. These tools manage billing, customer records, service history, inventory, and vehicle tracking. The software improves accuracy, reduces paperwork, and helps the dealer monitor business performance. Bajaj also updates the system regularly and resolves technical issues through its IT support team.

    • Marketing Assistance

Bajaj supports its dealers with regional and national marketing campaigns. The company supplies promotional banners, digital creatives, hoardings, and branded merchandise. Dealers also receive guidance on local events, test ride campaigns, and discount offers. Bajaj shares seasonal marketing calendars to align dealership efforts with national launches or promotions.

    • Inventory Management Training

Bajaj trains dealers on how to manage vehicle and spare parts inventory. This training includes stock ordering, demand forecasting, storage setup, and reordering schedules. Dealers learn how to avoid overstocking or stockouts. The system also alerts the dealer when inventory levels fall below the threshold.

How to apply for Bajaj Dealership?

Bajaj Auto follows a structured application process for new dealerships. The applicant must follow each step on the official website. The system evaluates each submission based on eligibility, location, and business profile.  Download Bajaj Dealership Form

Step 1: Visit the Official Website

The process begins on the official Bajaj Auto website. This site acts as the single authorised platform for dealership applications. The applicant uses this portal to access forms, updates, and instructions related to the dealership program. Applications submitted outside this portal do not qualify for review.

Step 2: Click on ‘Become a Dealer’

The homepage displays a tab titled ‘Become a Dealer’. This tab links directly to the dealership registration section. The applicant must select this tab to proceed. It opens the page that contains the enquiry form and further instructions.

Step 3: Access the Dealership Application Form

The registration page asks for basic details such as full name, mobile number, email ID, and city. The system uses this information to generate a unique Reference ID. This ID links to the applicant’s profile throughout the application and evaluation process. It is essential for form upload, tracking, and communication with Bajaj Auto.

Step 4: Fill in the Dealership Application Form

The applicant downloads the dealership form from the portal. This form must include accurate business and personal information. Key details required are:

    • Full legal name
    • Verified email address
    • Mobile number in use
    • City and exact location for the proposed dealership
    • Present occupation or type of business
    • Communication address
    • Name of existing business (if applicable)

Bajaj uses this information to assess the financial and operational background of the applicant and the suitability of the proposed location.

Step 5: Submit the Dealership Application

Once the form is complete, the applicant returns to the official portal. The form is uploaded using the Reference ID generated earlier. After the upload, the applicant must click the ‘Submit’ button to complete the process. A confirmation message appears on the screen. Bajaj then reviews the application and may contact the applicant for inspection or further discussion.

Conclusion

To sum up, a Bajaj dealership offers strong business potential through sales, service, and brand trust. Every step—from application to approval—requires precision and compliance.

For smooth setup and legal clarity, Online Legal India provides expert assistance, complete documentation, and reliable support to launch your dealership without delays.

FAQs

  1. Is Bajaj dealership profitable?

Yes, a Bajaj dealership is profitable. Dealers earn from vehicle sales, service jobs, and spare parts. With steady demand and strong brand support, the dealership ensures reliable cash flow and long-term returns.

  1. What is the net profit margin of Bajaj Auto?

Bajaj Auto reports a net profit margin of around 18% to 20%, which reflects strong cost control, high operational efficiency, and consistent demand across domestic and export markets.

  1. What is the price-to-book ratio of Bajaj Auto?

As of the latest available data, Bajaj Auto’s price-to-book (P/B) ratio hovers between 4.5 and 5.5. This indicates strong investor confidence and consistent value creation.

  1. Is it good to invest in Bajaj Auto?

Yes, Bajaj Auto is considered a sound investment. The company shows stable revenue, low debt, strong export earnings, and active expansion in electric mobility. Analysts rate it as a long-term growth stock.

  1. What is the ROI of Bajaj Auto?

Bajaj Auto maintains a return on investment (ROI) of over 20%, reflecting efficient capital use, strong earnings, and solid shareholder returns.


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