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Mobile Phone Repair Shop Business Plan for Beginners

Do you want to start a mobile phone repair shop business with a small capital investment? If yes, you have landed at the right place. Find here a complete stepwise guide on starting a mobile/ smartphone repair business from home or with a retail storefront.

As per industry experts, India’s smartphone shipments touched 17 million units in 2021 and are predicted to grow more. Hence, it can be easily concluded the demand for the mobile phone repair service business is bound to grow in the coming days.

12-Step Mobile Phone Repair Shop Business Plan

1. Research the Market

Begin by conducting thorough market research to understand the demand for mobile phone repair services in your area. Assess the competition, target market, and pricing trends. Identify the popular mobile phone brands and models in your region.

2. Decide on Mobile Phone Repairing Business Model

A business model is a make-or-break aspect of any startup. And initiating a business with the right business models is absolutely necessary for getting long-term success in the business. Here we have mentioned three different types of prudent business models. However, you can definitely modify one as per your specific requirement.

a) Buy a Mobile Phone Repair Franchise

This is one of the safest ways of starting this business. You can find a lot of mobile phone repair business franchise opportunities in your city. And if you are a beginner in this trade, you can consider this. However, you must choose the right franchise as per your investment capacity and local market demand.

Read: Top Mobile Phone Companies in India

b) StoreFront Mobile Phone Repair Operation

This is one of the most traditional and proven models of opening a mobile phone repair business. This type of operation demands moderate capital investment. And definitely, the business returns more lucrative revenue than a franchise operation.

c) Home Based Mobile Phone Repairing Service

This is another great phone repair business model you can operate with a small startup capital investment. As the name refers, you will provide the service at the client’s doorstep. However, here also you must have a servicing center of your own. If you find any critical issues, then you might consider bringing the phone with you to fix the major faults.

3. Learn the Skills & Get Certified

Skill is the most important aspect of this business. In starting a cell phone repair business, you must have adequate skills to address the basic issues of fixing a damaged smartphone. Additionally, you must know the basics of industry trends. If you don’t have at least some basic skills, then it is impossible for you to start and operate the business.
If you are already an expert and want to open this business, then you can directly jump to the next paragraph. However, if you don’t have that skill, you can consider joining the training classes.

4. Create a Business Plan

Crafting a business plan is the most essential and first action step in starting this business.  Develop a comprehensive business plan that outlines your goals, target market, services offered, pricing structure, marketing strategies, and financial projections. This plan will serve as a roadmap for your business and can help attract potential investors or secure financing.

5. Select Services

Generally, a mobile phone repairing company offers services like repairing basic feature phones, smartphones, iPhones, tablets, etc. In addition to that, you can offer several specific repair services too. Some of the most popular services are

  • Screen repair and replacement
  • Battery repair and replacement
  • Button and headphone jack repair and replacement
  • Camera and sensor repair and replacement
  • Water damage repair
  • Software updates
  • Other repair and replacement

6. Registration & Licensing

After crafting the plan, you have to register your business. Additionally, you must apply for the necessary licenses and permissions. Basically, it varies from state to state. Therefore, it is advisable to check the licensing factors with local consultants. In addition to that, you must be aware of upcoming tax liabilities and compliance liabilities too.

7. Arrange Finance for Mobile Phone Repairing Business

Generally, the mobile phone repair business demands moderate capital investment. However, the amount of investment depends on the business model and business size. A storefront operation demands investment for establishing the store. Some of the basic investment areas are equipment cost, manpower cost, and operation costs including administrative and promotional expenses.

Having a well-written business plan will come in handy when applying for a business loan to financial institutions. Also, you use your credit card judiciously, if a limited fund is required.

8. Source Basic Mobile & Smart Phone Repair Equipment

The business demands specific arrangements for the right equipment. Some of the basic repair tools are wire cutters, small Phillips screwdrivers, flat-head screwdrivers, heat guns, adhesives, Isopropyl alcohol, and a soldering station. You can check at Amazon for the latest price on mobile phone repair kits.
Additionally, you must have a computer with an internet connection. And definitely a working desk setup for doing the repairing jobs.

9. Hire Expert Personnel

Basically, the manpower requirement depends on the business model and the size of the business. And if you want to hire employees then never compromise with the quality of the personnel because the employees are the biggest aspect of any startup operation.

10. Business Setup

According to the specific business model, establish the workstation. If you want to operate the business from a storefront location, then select the right retail space for it. Try to select a location in a busy area with high traffic. You can also set up the workstation at your home and offer a doorstep delivery service. Decorate the workspace with essential furniture and equipment and a waiting area for customers. Set up a clean and organized workspace with proper lighting and ventilation. Finally, arrange the invoice-raising systems. You can consider using good business accounting software to get day-to-day track records. Also, install POS software for making payments easier for customers. Furthermore, select a catchy name for your mobile phone shop repair business.

11. Set Competitive Pricing

Research the market to determine competitive pricing for your repair services. Consider factors such as the complexity of repairs, the cost of spare parts, and your operating expenses. Offer transparent pricing to your customers, providing estimates for repairs before initiating the work.

12. Promote Your Business

Regardless of your mobile phone repair business model, you must promote your business. According to your target audience and investment capacity, craft a marketing plan. You must put an effort into making people aware of your services. It would be great if you can create a website for your mobile phone repair shop business. This will create confidence among customers but also will help you to reach a wider audience. Additionally, make your business available in the local classifieds. Also, you can consult with a digital marketing company to create a digital marketing plan for your mobile phone repair business.

Frequently Asked Questions

How Much Does a Cell Phone Repair Technician Make?

How Much Does a Mobile Phone Repair Technician Make? If you average a revenue of around Rs. 250 per repair and you fix 8 devices a day, you can have a revenue of Rs. 2000 per day. So, approximately, you can make around 60,000 Rupees per month at ease.

What is the Cost of Starting a Mobile Phone Repair Shop?

It is needless to say the investment will depend on the size and scale of your mobile shop. However, the cost of starting a mobile-phone repair shop on a small scale will be a minimum of Rs. 1 Lac. The space cost is not included.

Is Mobile Phone Repairing Business Profitable?

it is without saying, the mobile phone repairing business is enormously profitable in this part of the world. As more and more smartphones are being sold, the need for professional mobile phone repair technicians will increase. However, one needs to be adequately trained for repairing the latest models of smartphones. Furthermore, proper business planning and effective promotional activities must be initiated to make the mobile phone repairing business more profitable.

Do I need any certifications or licenses to start a mobile phone repair shop?

In India, there are no specific certifications or licenses required to start a mobile phone repair shop. However, it is advisable to register your business as a sole proprietorship or a private limited company and obtain the necessary business licenses and permits as per local regulations.

How can I keep up with the evolving technology in mobile phones?

Stay updated with the latest mobile phone technology by regularly attending workshops, seminars, and industry conferences. Follow reputable online resources, join online forums, and engage in continuous learning to stay informed about new models, repair techniques, and software updates.

How can I ensure the quality of my mobile phone repairs?

Focus on using genuine spare parts and tools, employ skilled technicians, and maintain a rigorous quality control process. Test each repaired device thoroughly before returning it to the customer. Providing warranties on repairs can also instill confidence in your customers about the quality of your services.

What are the common challenges in the mobile phone repair business?

Some common challenges include sourcing genuine spare parts, keeping up with evolving technology, managing competition, dealing with warranty issues, and maintaining profitability while offering competitive pricing. However, effective inventory management and building strong relationships with suppliers can help mitigate these challenges.

Can I offer doorstep repair services?

Yes, you can offer doorstep repair services as an additional service. This can be particularly helpful for customers who are unable to visit your repair shop. However, ensure that you have proper systems in place to manage logistics and maintain the quality of repairs conducted outside your premises.

About Next What Business Research Team

The Editorial Staffs at NextWhatBusiness is a team of Business Consultants with years of experience in small and medium-scale manufacturing and service-based businesses.