Starting a racing business
Starting up any business can be daunting and a racing venture though exciting has the same mundane organisational, funding and legal hoops as any other type of enterprise. Before you are up and running, these hoops have to be jumped through. Before looking at the necessary steps, it a terrific idea to learn a little more about the auto racing business from people who are already involved. There are a lot of individuals who are successful in this field who may be willing to spare time to talk through what it’s like.
Once the first part of the process is completed, and advice from an insider has been considered, it is time to start the process of setting up the operation.
Decide of what sector
Opening the door to such an exhilarating experience as an auto racing business will also have the potential to make money. For anyone that wants to go into this area, however, the first thing that needs to be defined very precisely is what type of racing business he wishes to commence. There are many kinds of variations and these go from stock car racing, sports car series and midget series. Each varies in costing and is the first thing that needs to be decided.
The business plan
No matter what area of racing a person starts his business in, the most important thing to think about at inception is the business plan. What are the short, medium and long-term aims of the company? How much money is needed to start the operation and what are the business aims? These are just some of the issues that need to be addressed on paper before any racing can take place. It’s true that you can make a small fortune out of motor racing, but it is important to ensure that this is not made by using a ‘big fortune’.
When the plan has been completely reviewed and the business looks terrific on paper, it is now time to convince the bank manager. Before any money changes hands he needs to be certain that loaning money to fund the racing business will make sound financial sense. Although motor racing is a stimulating area to be in, the actual acquisition of capital to fund it has much more mundane roots. After persuading the loan officer to give the business the amount of money needed it is time to go out and spend it on the tools of the trade.
Open for business
With the proper funding in place, it’s possible to find premises and buy the first car. Once this has been achieved, it’s a question of getting out onto the circuits and competing. The business will need a driver, staff to support him, administration, mechanic and possibly a PR person to handle the marketing side.
If you have a racing company, then the bottom line is all about winning and having fun on the way.