Monday, 29 July 2013

How to Make Money Buying and Selling used Cars






Today, with the average consumer now spending up to $26,400+ for a new car,



consumers realize the importance on investing in lower priced used cars.



With millions of buyers entering the used vehicle market every year, a



wealth of opportunities exist for anyone looking for extra income, or a new



and lucrative full-time career. They key to making a lot of money in this



business is to buy low, and sell at a huge profit. This report will show



you how to get started down the road to riches as a used car dealers.





Operating your own used car business





The goal of many people is just to make a little extra income. If you



consider $1,000 to $3,000 or more for a single sale in one month to be



"extra income" you could easily make that in your spare time without much



effort.





On the other hand, you may be one of those people who want to be their own



boss. While it's true that the risks are often greater than if you just



worked for someone else, it's just as true that risks and rewards go hand



in hand. If you're willing to take the plunge, the potential returns are



also greater. If you have a bit of the adventuresome spirit and some



confidence in your own skills and abilities, operating your own used car



business may be the ideal way for you to make big, big money!





Advantages of owning your own business





The opportunity to express your own ideas and do things exactly as you want



are among the primary advantages of operating your own business. The



challenge and excitement of running your own operation also ranks high on



the list. Another big advantage is that you will receive all the profits



generated by your time and efforts. The potential exists to develop a



part-time business into a full-time career that produces an income you



never thought possible.





Skills and abilities needed





The same type of personal skills that are necessary to successfully work



for someone else are also required to be successful in working for



yourself. Personal skills involve being conscientious, dedicated,



determined and persistent. Good human relation skills are also important.





There is also another type of skill that is necessary: It involves the



ability to manage and organize your activities and possibly those of others



if you hire salespeople to work for you. This skill should be taken very



seriously because it organizational ability that can make the difference



between huge success and total failure.





Finally, you will need technical skills. These are the skills that include



the knowledge to perform activities involved in the used car business. It



is this combination of technical, personal and management skills that will



make your operation successful.





Getting your used car business established





Whether you are operating your business on a part-time or full-time basis,



people will expect you to provide the type of service any consumer expects.



They will also associate the type of service they can expect with the



image you create for your business. This image will be the impression you



make on others.





For example: Will people perceive you as handling high-medium, or



low-priced vehicles? Will your used cars appeal mostly to the rich, the



poor, or the middle class? Do you sell something for everyone or do you



specialize? (Just pick-ups, just vans, etc.)





Any positive image is fine as long as you are consistent in everything yu



do within the scope of that image. The image you create will largely set



the tone for all your business activities, including selection of a



business location, types of vehicles handled, prices charged, etc.





Selecting a location





If you are going to buy one or two cars at a time for resale on a part-time



basis, then working right from your home shouldn't pose a problem for you.



However, if you intend to eventually have a large, full-time business



operation, the most important ingredient in your success or failure could



be your location. What constitutes a good location varies with the type of



business. But in the used car business it means being highly visible in a



high traffic area, and being situated so that driving customers can get to



you. In many cases, the location yo consider ideal may not be available,



or if it is, the cost may not be practical. In that event, you will simply



have to select the next best location you can find and that is affordable.



Then you will have to male a strong advertising and promotion work to make



customers aware of who you are, and what you are selling, and where they



can find you.





Whether you select a location at your home or in a business district, you



must make certain you are operating within city and county zoning



ordinances. Zoning ordinances are regulations specifying what each parcel



of land within a community can be used for. In the location you decide on



is not zoned for the type of business you want to start, you can appeal to



the zoning commission to obtain a "zoning variance." If approved, you



will be allowed to use the property for your business.





How to locate used car supplies





To get started in the "Buy low, Sell for Huge Profits" used car business,



you will have to locate suppliers. In some cases you will be able to buy



directly from individual car owners. At other times, you will go to



independent auction houses or attend U.S. Government Auction Sales where



you can often purchase vehicles for pennies on the dollar.





An independent auction offers vehicles of owners who want auctioneers to sell



by getting buyers who are at the auction house to bid against one another. Generally, there is a minimum bid set. The person who offers



the highest bid over the minimum set has the winning bid. The seller,



however, also has the right to sell the vehicle below the minimum bid if he



chooses. Incredible bargains can be found at independent auction houses.





Independent auction house sales take place throughout the U.S.A., many on a



weekly schedule. For additional information on auction house locations



refer to your telephone directory under "Auctions" or "Car Auctions," write



to:





National Auto Research



P.O. Box 758



Gainsville, GA 30503



(404) 532-4111



(800) 554-1026 (Except Georgia)





N.A.D.A. Used Car Guide Co.



8400 Westpark Drive



McLean, VA 22102-9985



(703) 821-7193



(800) 544-6232



(800) 523-3110 (in Virginia)





U.S. Government Auctions





A wide variety of personal property either no longer needed, or seized by



the Federal Government is periodically placed on public sale.





The Department of Defense and the General Services Administration are the



principle government sales outlets for surplus property. As items become



available for public sale. catalogs and other types of announcements are



distributed to people who have expressed an interest in bidding on the



types of property being offered.





Sales generally are on a competitive bid basis, with the property being sold



to the highest bidder. Among the many thousands of items sold are



automobiles and other vehicles of every imaginable make and model. In



fact, tens of thousands of vehicles are sold by the government at public



auctions throughout the country every year.





How can there be so many vehicles for sale? Because the government is so



huge that it's difficult to even comprehend just how much property is



amassed for resale. In fact, the government seizes, confiscates and



forecloses on property that results in many millions of pieces of property



every year, and that number continues to grow.





Incredibly, the government isn't a private business that is interested in



making a profit on the items it sells. The government is mostly interested



in eliminating enormous stockpiles of seized and surplus vehicles and other



properties. As a result, many thousands of vehicles are offered to the



public through government auctions at a fraction of their actual value.



This is where you can buy just about any modelof vehicle you want at



super-huge savings and make gigantic resale profits.





How to Get on the Government's Vehicle Auction Mailing List





Both the Government Services Administration (GSA) and the Department of



Defense maintain mailing lists on persons interested in seized and surplus



property sales. People on these lists are sent catalogs and other sales



announcements in advance of sales and give the opportunity to inspect the



vehicles and submit bids.





Each GSA regional office maintains a mailing list for sales of property



located in the geographical area it serves. For general information about



sales conducted by GSA, or to be placed on the mailing list, write to any



of the following addresses.





The Department of Defense maintains a centralized mailing list for the



sales of its property located in the United States. The Defense Surplus



Bidders Control Office, Defense Logistics Service Center, Battle Creek,



Michigan 49016 maintains this list.





GSA Customer Service Bureaus





National Capital region





GSA Customer Service Bureau



7th and D Streets, SW



Washington, DC 20407





Serves: District of Columbia, nearby Maryland, Virginia.





Region 1





GSA Customer Service Bureau



Post Office & Courthouse



Boston, MA 02109





Serves: Connecticut, Maine, Massachusetts, New Hampshire, RHode Island,



Vermont.





Region 2





GSA Customer Service Bureau



26 Federal Plaza



New York, NY 10278





Serves: Ne Jersey, New York, Puerto Rico, Virgin Islands





Region 3





GSA Customer Service Bureau



Ninth and Markt Streets



Philadelphia, PA 19107





Serves: Delaware, Pennsylvania, Maryland, Virginia, West Virginia





Region 4





GSA Customer Service Bureau



75 Spring St., SW



Atlanta, GA 30303





Serves: Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina,



South Carolina, Tennessee





Region 5





GSA Customer Service Bureau



230 S. Dearborn St.



Chicago, IL 60604





Serves: Illinois, Michigan, Minnesota, Ohio, Wisconsin





Region 6





GSA Customer Service Bureau



1500 E. Bannister Road



Kansas City, MO 64131





Serves: Iowa, Kansas, Missouri, Nebraska





Region 7





GSA Customer Service Bureau



819 Taylor Street



Forth Worth, TX 76102





Serves: Arkansas, Louisiana, New Mexico, Oklahoma, Texas





Region 8





GSA Customer Service Bureau



Bldg. 42-Denver Federal Center



Denver, CO 80225





Serves: Colorado, Montana, North Dakota, South Dakota, Utah, Wyoming





Region 9





GSA Customer Service Bureau



525 Market Street



San Francisco, CA 94105





Serves: Samoa, Arizona, California, Guam, Hawaii, Nevada





Region 10





GSA Customer Services Bureau



Auburn, WA 98002





Serves: Alaska, Idaho, Oregon, Washington





How to Determine the Value of Used Vehicles





Whether you attend and auction or purchase a vehicle outright from a seller,



you must know what it is worth. The best way to determine a vehicle's



average market- trade-in or wholesale value, average loan or average retail



value is to subscribe to N.A.D.A. Official Used Car Guide, published



monthly by the National Automobile Dealer's Used Car Guide Co., 8400



Westpark Drive, McLean, VA 22102-9985. Write for current subscription



rates.





N.A.D.A. also publishes guides as follows: Official Older Used Car Guide



... Official Used Car Trade-In Guide ... Official Title & Registration Book



... Official Recreation Vehicle Guide ... Official



Motorcycle/Snowmobile/ATV Personal Watercraft Appraisal Guide ... Smaller



Boat Appraisal Guide ... Official Larger Boat Appraisal Guide ... Official



Mobile Home Appraisal Guide and Mobile Home Appraisal System.





A weekly used car market guide is also available from: National Auto



Research, P.O. Box 758, Gainsville, GA 30503. Write for current



subscription rates.





Regional Classifications





The average values listed in the N.A.D.A. Official Used Car Guide are based



upon reports of actual transactions by dealers and auction houses



throughout each area for which a guide is published. A used car guide-book



normally includes (1) Domestic Cars (2) Imported Cars and (3) Trucks.



Manufacturer's names are listed alphabetically.





Securing Licenses and Permits





City, county, state and/or federal licenses or permits are often required



before entering a particular business or service operation. Often these



are issued solely as a fund-raising measure, and therefore, are easy to



obtain by submitting a fee.





On the other hand, licensing is also used as a method of regulating the



competency of those entering a particular field and to protect the public



from shady operators. In some cases an exam is administered, and moral and



financial requirements may need to be met as well.





In the used-car business, most states require that you obtain a dealer's



license if you are buying and selling vehicles for the purpose of making a



profit. However, you are not required to apply for a license if you only



make an isolated or occasional sale. You are not considered to be in the



business of selling motor vehicles in that event. "Isolated or occasional



sales" in many states means the sale, purchase, or lease of not more than



five motor vehicles in a 12-month period.





Once you began to sell more vehicles for profit that is allowed by your



state law on an annual basis, you should apply for a Dealer's License by



contacting your state department of public safety of department of motor



vehicle.





Check with your attorney or other city officials to determine what licenses



and permits are needed. Simply start up a business without having the



proper authorizations can result in severe penalties, and you could be



forced to discontinue operations.





Many states and some cities and counties require that sales taxes be



collected. The state sales tax permit is available from the State



Department of Revenue. City and county permits are available from the tax



department in those jurisdictions.





Even though a certain amount of "red-tape" must be tolerated to obtain some



licenses and permits, this is usually a one-time occurrence. Then, it's



just a matter of submitting an annual renewal fee.









-30-

No comments:

Post a Comment