How to Make Money Buying and Selling used Automobile

Today, with the average shopper now spending as much as $26,400+ for a brand new automobile, shoppers notice the significance on investing in lower priced used automobiles. With millions of consumers getting into the used car market yearly, a wealth of opportunities exist for anyone looking for extra revenue, or a brand new and profitable full-time profession. They key to creating a lot of money in this business is to buy low, and sell at a huge profit. This report will present you get started down the road to riches as a used automobile dealers.

How to Make Money Buying and Selling used Cars

Working your own used automobile business

The purpose of many people is just to make somewhat further revenue. Should you consider $1,000 to $3,000 or more for a single sale in one month to be “extra revenue” you can easily make that in your spare time without a lot effort.

On the other hand, you may be a type of people who want to be their own boss. While it is true that the risks are often higher than if you just worked for someone else, it is just as true that risks and rewards go hand in hand. Should you’re prepared to take the plunge, the potential returns are also higher. If you have a bit of the adventuresome spirit and some confidence in your own skills and abilities, working your own used automobile business may be the ideal way for you to make big, big cash!

Benefits of owning your own business

The opportunity to express your own ideas and do things exactly as you want are among the main benefits of working your own business. The challenge and pleasure of running your own operation also ranks high on the listing. One other big benefit is that you’ll 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.

Abilities and skills 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 necessary.

There’s additionally another type of skill that’s necessary: It involves the power to manage and organize your activities and possibly those of others if you hire salespeople to work for you. This ability should be taken very seriously because it organizational means that can make the difference between huge success and total failure.

Finally, you will need technical skills. These are the abilities that embrace the information to carry out activities concerned in the used automobile business. It’s this combination of technical, personal and management skills that will make your operation successful.

Getting your used automobile business established
Whether or not you might be operating your business on a part-time or full-time basis, people will count on you to offer the kind of service any consumer expects. They can even affiliate the type of service they’ll 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 dealing with high-medium, or low-priced automobiles? Will your used automobiles attraction mostly to the wealthy, the poor, or the middle class? Do you sell something for everybody or do you specialize? (Just pick-ups, just vans, etc.)

Any positive image is fine as long as you are constant in every little thing you do inside the scope of that image. The image you create will largely set the tone for all your business activities, including choice of a business location, types of vehicles dealt with, prices charged, and so on.

Choosing a location

If you’ll buy one or two automobiles at a time for resale on a part-time basis, then working right from your home should not pose a problem for you. However, if you intend to eventually have a big, full-time business operation, the most important ingredient in your success or failure could be your location. What constitutes a great location varies with the kind of enterprise. However within the used automobile enterprise it means being extremely seen in a high traffic area, and being located so that driving customers can get to you. In many cases, the location you consider best may not be available, or if it is, the cost may not be practical. In that occasion, you’ll simply have to select the next best location you can find and that is affordable. Then you’ll have to male a strong advertising and promotion work to make clients aware of who you are, and what you are selling, and where they’ll find you.

Whether you choose a location at your own home or in a business district, you have to make sure you are working within city and county zoning ordinances. Zoning ordinances are laws 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 begin, you can appeal to the zoning commission to obtain a “zoning variance.” If approved, you’ll be allowed to use the property for your business.

How to find used automobile suppliers

To get started in the “Buy low, Sell for Huge Profits” used automobile business, you will have to find suppliers. In some cases you will be able to buy directly from particular person automobile owners. At other times, you’ll go to independent auction homes or attend U.S. Authorities Auction Sales where you’ll be able to usually buy automobiles for pennies on the greenback.

An independent auction offers automobiles of owners who want auctioneers to sell by getting consumers who’re at the auction house to bid against one another. Usually, there’s 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 fitting to sell the car 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 phone directory under “Auctions” or “Automotive 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

All kinds of non-public property either no longer wanted, or seized by the Federal Government is periodically placed on public sale.

The Department of Defense and the General Services Administration are the principle authorities sales shops 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 vehicles and other automobiles of every imaginable make and model. In fact, tens of hundreds of automobiles are sold by the government at public auctions throughout the nation every year.

How can there be so many automobiles for sale? Because the government is so big that it is difficult to even comprehend just how a lot 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 is not a non-public business that is interested in making a profit on the items it sells. The government is usually thinking about eliminating enormous stockpiles of seized and surplus automobiles and other properties. Because of this, many thousands of automobiles are offered to the public by means of government auctions at a fraction of their actual value. That is where you can buy nearly any modelof car you need at super-huge savings and make gigantic resale profits.

How to Get on the Government’s Automobile Auction Mailing List

Both the Government Services Administration (GSA) and the Department of Defense maintain mailing lists on individuals 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 examine the automobiles and submit bids.

Every GSA regional office maintains a mailing list for sales of property located in the geographical area it serves. For general information about sales performed 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 US. The Defense Surplus Bidders Control Office, Protection 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 Automobiles

Whether or not you attend and auction or buy a car outright from a seller, you must know what it’s value. The best way to find out a car’s average market- trade-in or wholesale value, average loan or common retail worth is to subscribe to N.A.D.A. Official Used Car Guide, published monthly by the National Car Seller’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 Car Guide … Official Motorbike/Snowmobile/ATV Personal Watercraft Appraisal Guide … Smaller Boat Appraisal Guide … Official Larger Boat Appraisal Guide … Official Mobile House Appraisal Guide and Mobile House Appraisal System.

A weekly used car market guide can also be 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 all through each area for which a information is published. A used automobile guide-book usually contains (1) Domestic Vehicles (2) Imported Vehicles and (3) Vans. Manufacturer’s names are listed alphabetically.

Securing Licenses and Permits

City, county, state and/or federal licenses or permits are often required before getting into a particular business or service operation. Usually these are issued solely as a fund-raising measure, and due to this fact, are simple to obtain by submitting a fee.

On the other hand, licensing is also used as a method of regulating the competency of these getting into a particular field and to protect the public from shady operators. In some cases an exam is administered, and ethical and financial requirements may need to be met as well.

In the used-car business, most states require that you receive a dealer’s license if you are buying and selling vehicles for the purpose of making 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 automobiles in that occasion. “Remoted or occasional sales” in many states means the sale, purchase, or lease of no more than 5 motor vehicles in a 12-month period.

Once you started to sell more automobiles for profit that’s allowed by your state law on an annual basis, you need to apply for a Dealer’s License by contacting your state department of public safety of department of motorcar.

Check with your lawyer or other city officers to determine what licenses and permits are needed. Simply start up a business without having the proper authorizations can lead to extreme penalties, and you may 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 can be found from the tax department in those jurisdictions.

Even though a certain amount of “red-tape” must be tolerated to obtain some licenses and permits, that is usually a one-time incidence. Then, it’s just a matter of submitting an annual renewal fee.

Leave a Feedback

Menu