i recently graduated college and have a decent amount of money to invest. i have already done alot of outside research but i would love to talk to someone in the auto business (wholesale is best). my friend, who is a former used car salesman, and i are hoping to start a small auto dealer business.


basically, here is my current plan. i would first take the DMV dealer application permit test, which requires many things, including insurance bond, location, etc. hopefully in a few months i will also be purchasing property with some help from my dad, most likely a house or residential like office where we can set up business. Any information about getting bonded is welcome. We are currently looking at a small bond for maybe 10k, 50k at most. I am most interested in how this bond works, and what happens to the down payment.

i am not really looking to own a huge used car lot or buy a lot currently, i am aiming to start small. I want to be able to get my wholesale license and attend auctions and have a small inventory maybe 2 or 3 vehicles. I have money to buy these cars, but i prefer to get a line of credit for business. Any information about obtaining a line of credit to buy cars is appreciated. I currently have a credit score or 730, which my auto dealer friends say can get me a brand new car at most dealers

I have alot of experiance buying and selling cars, but my transactions have always been private party and i am limited to 8 cars a year. I am hoping to buy cheap vehicles at auctions and then sell them private party or through my friends dealership, as a auto broker or wholesaler. I also have clients with connections in Venezuela and Trinidad who are in dire need of american trucks and SUVs, which are fetching a premium overseas while selling for dirt cheap at most auctions because the value of used trucks has fallen so much.

Anyone with anything to share please do.

 

anybody???

 

Not sure man.

 

well, in case anybody on here searches this thread and needs teh information, i recently attended the dealer class at this website www.gotplates.com

its a california based class that will literally teach you everything you need to know. its like $130 and my teacher was super cool.

i cant wait to get into the car business and get my license. the only weak part is that there is a 3-4 month waiting period, so you have to establish your location (pay rent) untill you actually get your license.


You basically neeed

Bond (around 700 dollars for 50k coverage)
Insurance (umbrella policy around 3000 a year)
Location (office to store records and display signs, must be zoned properly)
Board of Equalization (so you can collect and pay the state its taxes)
about a million different forms
alot of cunningness, skill, and knowledge of prices and the market.
the ability to battle with other car dealers for the best rides at the auctions



BY THE WAY, MY INSTRUCTOR TOLD ME THAT MOST PEOPLE DONT GET INTO THIS BUSINESS TO MAKE MONEY, BUT TO SAVE MONEY.

a wholesale license is a car lovers dream. we can save thousands off bluebook NO TAXES, discounts on ALL car parts. you can buy cars, drive them for months, and sell them for a profit.

no more car payments, depreciation, lemons, etc.

i highly recommend people to look into this!