What Else Can You Do With a Dealers License?
What Else Can You Do With a Dealer License?
What can you do with a used motor
vehicle license, well you can do a lot.
Are you thinking about getting a
dealer license?
Well, this little piece of paper
does way more than just let you sell cars from a lot.
I want to break down the powerful
and lucrative things you can do with a dealer license—and how it can turn into
a business with unlimited profits.
At first I want to show you the
benefits of a dealers license and if you watch to the very end, I will show you
how to get licensed depending on where you live.
https://dealerslicense.com
Number 1. You Sell Cars to the
Public
If you would like to start that
small car lot and sell vehicles locally you can certainly do that, the small
lot is truly the foundation of the industry.
With a license, you can legally
buy vehicles at low wholesale prices and sell at retail prices—right from your
lot. That means more profit per sale. The average profit per sale normally runs
around two thousand one hundred dollars per vehicle
Number 2. Buy From Dealer-Only
Auctions
You will have access to exclusive dealer
only auctions like Manheim, Adesa, ACV AUCTIONS, CAR MAX Now has a dealer
auction, Backlot Cars and a website called OVE.com, OVE, or Online Vehicle
Exchange, OVE is Manheim's 24/7 online marketplace for licensed dealers. It
allows dealers to conduct business outside of traditional physical auction
lanes. OVE provides a platform for dealers, buy and sell vehicles nationwide
with several delivery options available to licensed dealers. No matter what
vehicle your customer needs, dealers can scan OVE, show the vehicle to the
customer and hide the price, then buy any vehicle the customer is looking for
and have it delivered within a couple of days. You will have access to vehicles
the public never sees at prices the public can never get.
3. Flip Cars Without Limits
Most states only let you sell 3 to
5 vehicles a year without a license. Some states require you to obtain a
license even if you are selling 1 or 2 vehicles for a profit. But with your
dealer license? No limit. Buy, fix, and flip as many vehicles as you want.
4. Sell to Other Dealers
(Wholesale)
If you are not interested in
retail , you can be come a wholesale only dealer, which tends to have lower
startup costs.
You can sell directly to other
licensed dealers without dealing with the public. But I do want you to be aware
that a wholesale license only allows you to sell vehicles to other licensed
dealers which can really limit your income opportunities.
5. Export Vehicles Internationally
There is a HUGE worldwide demand
for vehicles in other countries.
Used cars are in demand all over
the world. With your license, you can buy at U.S. auctions and ship cars
overseas with very large profit margins.
Africa Toyota Corolla, Camry, Honda Accord, Ford F-150
Eastern Europe has a huge demand
for German and Japanese sedans, U.S. SUVs
South America cant get enough
Pickup trucks, diesel-powered vehicles
Middle East they need Full-size SUVs, luxury cars, salvage vehicles
Caribbean Compact sedans, older SUVs, motorcycles
6. Offer In-House Financing
You can start a very lucrative buy
here pay here dealership, and I am aware of software that will run a buy here
pay here dealership for you automatically.
If you think about how a buy here
pay here model works when you have a multitude of customers making payments to
you every month, it can create a very lucrative cash flow
And you can sell the loans that
you create every month to investors. Investors want to by your loans,
especially the loans that you create for someone with bad credit.
7. Buy Vehicles Tax-Free
You can legally buy vehicles to
resell without paying sales tax. That helps your cash flow and gives you more
room to negotiate deals.
8. Run an Online-Only Dealership
In many states, you don’t need a
big car lot. Just a compliant business office. Some dealers sell entirely
online and still make great money. Let me know if you have ever sold a car
online in the comments below.
Some states will allow you to have
a dealers license at your home but that is not the norm and will usually only
apply to someone that lives in a rural area with lenient or no zoning laws.
While it may seem tempting to
avoid the expense of rent by operating online only or selling from home, paying
a small monthly fee for a physical location brings real benefits that far
outweigh the cost.
A small physical location whether
it is an office or office with one or two parking spaces allows you to meet
local licensing requirements much more easily. And if you cannot meet licensing
requirements, you are missing out on a very lucrative industry that has many
more benefits than just selling on the lot. Even if you are going to run your
business entirely online, you will still need to meet your local licensing
requirements which usually require some type of physical location away from
your home.
So whether you want to run a
retail dealership, export worldwide, flip cars, or wholesale to other
dealers—your license is the key that unlocks it all
https://dealerslicense.com
