What steps do you take to open a car dealership? Government financing?

Question

My husband would like to open up his own used car lot. What are all the steps he would have to take, and how does he do them? I know he needs numerous licenses and insurance and dealer tags...how does he go about it all? Also, I know the government provides grants to those wanting to start their own business....does anyone know hot to go about this?

Answer 1

Grants are (Typically) not available to most people (contrary to popular belief). But, here's a great link to get started in the car biz: http://www.125aday.com/books/205/start-automobile-dealership.cfm

I am actually in the process of writing a thesis on a a VIRTUAL car dealership. Interested in partnering up? Or hiring a consultant?

Answer 2

The best routes to take are to research the process of starting a business as well as the industry you're interested in.

I recommend checking out the SBA, Entrepreneur, The Start Up Journal & Nolo. All 4 are great informational resources for the new/small business owner. I posted links for you in the source box.

Associations may be a good avenue to explore. These organizations will address many of the thoughts, questions and concerns you'll inevitably have as well as many you haven't anticipated yet. See the source box for some relevant links.

Research, research, research – this cannot be stressed enough. Read as much as you can about the industry. Here are some book titles that are relevant:

* The Automobile Sales Manager's Complete Success Formula: A Current Guide to Managing a Profitable Car Dealership by Jon McCormick
* Cars and People: How to Put the Two Together by Ziegler
* Selling Cars: The Handbook of the Professional by Patrick Davis
* What You Need to Succeed: Making Car Sales a Career Rather Than a Job by Mike Radosevich

There are plenty of free informational resources out there. Check the source box for links to articles.

Hope that helps! I wish you much success & happiness in all your ventures!

Answer 3

There are four types of licenses: Independent, Franchise, Wholesale and Auction dealer.

Some of the requirements are:

Approval of business location by a DMV representative.
Completed application form.
Fee for each main location.
Surety bond or letter of credit. (usually $25,000)
Garage liability insurance.
Copy of lease for location or proof of ownership.
Dealer training seminar certificate.
Registration of fictitious trade name.
Copy of corporate papers.
Sales tax number.
Federal employer identification number.
Fingerprints and applicable fees.

Check with your local DVM department or website for more info.


Good luck

Answer 4

The dealership knows the value and that they set the value and that they then call the financers to verify in case you qualify for that private loan volume. Them no longer telling you the value for a motor vehicle is ridiculous and a lie, did you refer to the quite proprietor or a supervisor? Or replaced into the daughter the "supervisor"?? nicely the two way you probably did the the suitable option element via no longer finding out to purchase from them. i for my area will no longer be able to permit you already know why they did this, yet i will permit you already know, you have each and every right through fact the purchaser to understand how lots you pays for something you purchase, through fact regardless of each and every thing it is you cash, and finally your selection to spend it and how lots of it you spend, no longer theirs