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Old 01-30-2017, 07:31 PM   #1
Vallman
New Member
 
Join Date: Jan 2015
Posts: 28
Default Need Critiques Please

Hello all once again,

I am here to try and get some critiques of my currently business model. I have been researching, thinking and trying to execute slowly my launch into the small used car lot for about 2 years now. I currently work for a new car dealer as the GSM but have been looking to invest my time and money into my own endeavor.

The brief lowdown; small used car lot holding 40-60 cars at a time. Small showroom with two offices and a back room and restroom. Small back lot with paint booth and for service bays. Rent is cheap and over-all overhead kept to a minimum.

Inventory will be cheap cash cars with a single price of $2995 no matter the year, make, model or mileage. Warranties will be offered for a cash price or financed through the Underwriter and accessories like VTR, paint protection or a low jack like system will be offered for additional fees.

Other than the additional products offered no other dealer fees will be charged. Only a $2995 price with local tax and smog if applicable.

Hoping to keep the per unit cost with small cosmetic recon down to $1800-$2000. No financing will be offered for these vehicles and they will be a cash for title. Hoping to market it as the 99 cent store of used cars. With the goal of turning the inventory every 45 days.

With this quick and basic low down I am hoping to get some basic thoughts on this model. I know that I am leaving money on the table by not financing but I think the low price and one priced inventory model will allow me to move higher volumn and make up for the difference without the hassle or risk of diving into BHPH or outside lenders.

Thoughts? Suggestions?

Thank you!
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