EBRD helps Mongolian Auto chain retailer to expand
EBRD helps Mongolian Auto chain retailer to expand.
EBRD helps Mongolian Auto chain retailer to expand. The European Bank for Reconstruction and Development said it is supporting the expansion of Doctor Auto Chain, a car maintenance and spare parts retailer in Mongolia, with business advice and finance. The company, which now employs about 200 people, has now opened three new branches. It was possible thanks to advice from industry experts, promoted by the EBRD and supported by the European Union, and a US$ 2.7 million loan from local Khan Bank, which was co-financed by the EBRD. Car ownership is an important factor which can determine economic and social inclusion in Mongolia. In rural areas, it helps to cover great distances in a sparsely populated and extremely vast country. In the rapidly growing cities, it compensates for insufficient public transport. The automobile sector is therefore growing and presents a great business opportunity. To cover kilometers on unpaved roads in safety or to be jammed in traffic with extreme temperatures outside requires a set of specific checks and car maintenance products. Doctor Auto Chain, which was established in 1998 as a small workshop producing car seat covers, has responded to growing customer demand by gradually introducing diagnostic and repair services as well as retail of spare parts and car accessories. The company is also the first and only private enterprise in Mongolia licensed for compulsory state vehicle inspections. With the EBRD’s Advice for Small Businesses, which in Mongolia is funded by the EU, Doctor Auto Chain improved its financial reporting according to international standards and established a proper data collection and analysis system as a basis for strategic planning. Doctor Auto Chain has eight branches around the country and it is now exploring the possibility of entering the market in Kazakhstan.
Views: 1798
Tweet