The debate on whether to post prices on vehicles has raged almost since Buy Here – Pay Here was invented. The number of dealers who actually post prices seems to ebb and flow like the tide based on the current status of that debate. In today’s business climate of increased transparency and ever-increasing regulatory scrutiny, the debate is again in full swing. Most dealers who argue against posting prices on
The following is a list of terms and formulas that are used in the basic math calculations performed every day in the operation of a BHPH dealership. Many of these terms have extensive legal and accounting implications. These definitions are not meant to give you the complete legal definitions or interpretations. The purpose of this list is to illustrate a common language that used in this setting. Some are very
In previous articles I have discussed the dilemma dealers face regarding Cash In Deal with the current high state of wholesale vehicle prices and additional potential sources for BHPH inventory. This month I’d like to take a look at inventory pricing. After all reconditioning has been completed; the person responsible for establishing the selling prices of your inventory should drive the vehicle. Only after driving the vehicle should he then
Would you like to make more money? If you answered no to that question, you can stop reading. If your answer was yes, you should consider entering the Buy Here – Pay Here business. Retail Cars You Currently Wholesale Buy Here – Pay Here offers you the ability to retail vehicles that you currently wholesale and make more profit. Taking trade-ins that don’t meet the standards for your retail sales
I just got off the telephone with a dealer who was complaining he hadn’t been able to buy a single unit at the auction today. He claimed every car he wanted went for over $3500 and, with a cash in deal policy of $2500, average reconditioning expenses of just about $700 and average customer down of just under $800, he just couldn’t make $3500 cost vehicles fit his business model.