ForumsStarting a Business

We are close to getting our dealer's license and I hope to get fully involved in January as i still have a full time job for now, but b4 then, my partner who is also my big brother will be running the business, we already have a target market and we have tried a few sales and it has been successful so we intend to go fully into the market in a month's time and we have a marketing plan already which includes an interactive website.

Hi, Luckiest,
You can reach me on 770-365-9258 and also via email:- lek_omri@yahoo.co.uk thank you so much and i hope to read from you soon. pls if u have infomation on the general liabilty insurance, and also on the business line of credit.
Thanx

bump ...bump.....

Any info that any kind soul out there can provide... thanks a bunch,

The following might be good sources to check out:

http://www.motordealerservices.com/

http://www.dealers-insurance.com/AboutUs.html

http://www.dealercover.com/DCI/dealerliability.html

Good luck with your venture.

Dennis Lowery
Adducent, Inc.

Hello mcdixons1979

I have a used car lot and I what can tell is that with $40k you and your brother can start the business on the small level and just concentrate on volume, you will need to buy good cars from all sources (your local paper, auctions etc) below $2500 each and to sell these vehicles you will need to advertise your inventory lower than your local competitors in order to do volume, you will need to be agressive on making decision at the closing table, what I mean by being agressive is that if you have a customer that has the cash and is ready to buy now and you know your are making a profit, you need to sell that car even if you are not earning what you had plan to earn. To do all this, you will need to know the difference between the whole sale value and retail value of a vehicle, I would suggest you to see http://www.kbb.com/ values so you can see what mean. Kbb.com is not the only source available but is the one that most of the car shoppers are using now days.

As to a credit line for your business, I don't know if you can get one from your local bank or credit union but I know that you can get what's call a "bridge line" which is given to new used car dealers by www.manheim.com. Manheim is one of the biggest auction which I suggest you to register.

For insurance, I used these company http://www.kfaic.com/ which I'm sure they can help you.

Oh, and to manage your car lot, use the software from C.A.R.S Warranty, is not the best but it will help you get start it, is the one I'm using now.

Folks, i have a few questions regarding the user car dealer insurance, would appreciate some replies/discussions on these:

1) Does the used car dealer insurance cover all of what a personal car insurance covers and more?

2) Can a used car dealer include their personal vehicles into the used car dealer insurance?

3) Any info on what kind of things does the insurance cover? Also what kind of things are an absolute necessity to be covered?

4) Anyone know which is the best used car dealer insurance company out there?

Thanks and Regards

mmmmmm. .... why aren't you asking an insurance agent?