Do you have a car rental business? If yes then tell me what is your opinion regarding car rental business.
Let's say I lease a Corolla XLi (original cost Rs. 879000 approx) by giving 50% down payment of 439500 plus other charges (processing, registration, tax) of Rs. 10,000.
So my total down payment becomes
439500 + 10000=449500
I lease it for 5 years @ Rs. 13,000/month. It means after 60 months it will become 60 X 13000=Rs. 780000.
If I add down payment in this amount then total price becomes
780,000 + 439500=Rs. 1219500
What are the prospects of this car earning more than Rs. 20,000/month so that out of it I can pay the monthly lease and the rest if my profit?
Is this a profitable business?