Part-time Trader

[Part-time Trader]

As a brand new trader myself I’m not entirely sure you’re approaching this in the right way, I spent over a week trawling through the forum to do what research I could before asking any questions.

I was in a partnership (not this trade) and it turned ugly, was great until money got involved, his ideas of running a business differed to mine, he ended up clearing the business account! Needless to say I went on my own after this.

I am finding this trade tricky, I get some stuff that shifts quickly and other bits hang around, main issue for me is I can’t hold enough stock due to storage, as in most businesses you learn from mistakes (normally open wallet surgery).

A good accountant is a must in any business.

 

 

[Decisions....]

3 minutes ago, Arfur Dealy said:

Repair it and sell it, some cars cost more to prep than others, that's the game. The next car may not cost you a penny, its swings and roundabouts, its also a great bnenefit....New MOT, just serviced, new rear dif, etc etc.....

Thanks AD, Do you think ill make anything back on it or use this as a learning point? 

Appreciate you taking the time out to help us probies...

[Decisions....]

Hi everyone, looking for some advice, I recently picked up a BMW 120i SE from BCA, wasn't until I was driving back I realised why it was at the auction, the rear diff has gone, apparently very common on these cars, so my question is what would you advise me to do with the car...

BMW 120SE silver, 61K, 12 months MOT. Leather interior, Paid 2K (with fees included)

Estimated repair £600. Paint £160

I've obviously done my research as valuation but Ebay and Autotrader seem to be quite a way from each other so difficult to make a decision.

I have thought of a few options - Repair and hopefully make a return - Sell as is - or chuck back in auction (not keen!)

If anyone could offer some advise I would be grateful.

Many thanks,

John

 

[Decisions....]

Hi everyone, looking for some advice, I recently picked up a BMW 120i SE from BCA, wasn't until I was driving back I realised why it was at the auction, the rear diff has gone, apparently very common on these cars, so my question is what would you advise me to do with the car...

BMW 120SE silver, 61K, 12 months MOT. Leather interior, Paid 2K (with fees included)

Estimated repair £600. Paint £160

I've obviously done my research as valuation but Ebay and Autotrader seem to be quite a way from each other so difficult to make a decision.

I have thought of a few options - Repair and hopefully make a return - Sell as is - or chuck back in auction (not keen!)

If anyone could offer some advise I would be grateful.

Many thanks,

John

 

[Brand new person]

6 minutes ago, justina3 said:

I would apply for membership to the dealers only section it could take a few months so best apply now, talking about margins out in the big wide public world gives the public the impression we are all minted. 

 

 

I thought you were all minted!....as I said earlier everything always looks easier from the outside, thanks for the membership advice, I'll get on it.

[Brand new person]

26 minutes ago, Arfur Dealy said:

My thinking is you should be doing your video intro's and conclusions in your uniform, my god what a sales tool. Jealous I am.....

BTW welcome, I'm just up the road in Exeter  

BTW2..... Don't buy a Zafira...awful publicity 

Thanks AD, Think the service may have a problem with this, I'm up Exeter fairy regularly so may pop in for a brew see how its done!

[Brand new person]

1 hour ago, Mark101 said:

I commend you for having a go and coming here with some tangible information.

I am sure as a Fire Fighter (can’t say fireman anymore), you’ll have dealt with much, much worse situations that the routine shit we experience.

Remember, don’t be a busy fool and make sure you have enough margin in a deal to manage warranty claims as well as proper recon/prep.

Is it you plan to switch (or I guess you’re not far off retirement age (sore subject I bet) for FF)) to motor trade full time? If so, this is your chance to learn while you earn - easier with a safety net.

Not planning on retiring any time soon, service have changed their requirements, think they were losing too many good people who still had plenty to offer, fitness test now every 2 years, was planning on setting up with motors to work along side fire stuff,  although i'm on call for 63hrs a week this is only cover so not always on a job, hence plenty of time available.

[Brand new person]

15 minutes ago, Mark101 said:

Avoid BMW ES models, SE is ok but really you want the M Sport models. 

Re: margins, remember prep will soon eat into that and eventually when you become VAT registered. So your example in OP only really works because you prepped it yourself and got away with a tidy up.

New MOT - advisory free, valet, service and repairs + VAT doesn’t leave a lot, so keep this in mind and take advantage of no VAT whilst you can, not by reducing margins but my maintaining them and enjoying the additional money.

 

Agree Mark, think there was an element of luck involved rather than good judgement. thanks for the advice, sure I'm going to get bitten on the ass a few times but sometimes you learn more from these experiences than plain sailing.

Cheers

 

[Brand new person]

7 minutes ago, MrV said:

I've read a few times about buyers negotiating cars level with BCA, can it be done? I'm on silver and if I can get a better deal I'll be onto them tomorrow 

Hi mate, BCA Bridgewater said they would consider my case if I was to buy another car in March, I have read on this site that some auctions don't require any buying history,hopefully going to bag something tomorrow and then send another email, nothing to lose!

Cheers 

[Brand new person]

15 minutes ago, trade vet said:

Hello John gotta new motor !  Welcome to the jungle....etc .I have already decided with your intro that you will be good in this job.

Go for the pitch,don’t be greedy,small main road site low overheads.Milk the fact you are a firefighter,the punters will like that.We will guide you,just keep asking the questions. Good luck.

Thanks TV, hoping for lots of new motors!!! as for the jungle want to turn a new... leaf so hopefully not barking up the wrong... tree!! (my punns suck!)

Thought the pitch was a bit of a no brainer, i've always kept the firefighting stuff quiet, i'll have a think......

Cheers TV

8 minutes ago, boring dave said:

a firefighter should be able to stand back from the melee and assess

so your background should be usefull

take the pitch and as suggested play on your trusted firefighting background

just please dont stand at the side of the road waving in a costume like a bear suit as no one will want to see you waving your helmet 

8 minutes ago, boring dave said:

a firefighter should be able to stand back from the melee and assess

so your background should be usefull

take the pitch and as suggested play on your trusted firefighting background

just please dont stand at the side of the road waving in a costume like a bear suit as no one will want to see you waving your helmet 

Thanks Dave,

As for the helmet waving......whatever it takes!

[Brand new person]

9 minutes ago, justina3 said:

Welcome John, 

you will find the advise differs in this forum which isn’t a bad thing. 

I don’t think there is anything wrong with your margins for now, more importantly your in having a go and turning a profit, I feel sometimes you can read to much and never act on it. 

Whats your local support network like, paint shop, mot garage, mechanic, spark, dent guy, Valetor.

these are all vital as you grow best to start building relationships as early on as you can iron out and find out who is worth there weight in gold. 

Ps, how hard can it be to chop a tree down 

Hi, How hard is it to cut a tree down.......very good!,

with the margins I think that comes with experience, i've got a friend who does my current repairs on vans and kit so will use him, MOT same as...dent guy I'm struggling with at the moment, valetor is yours truely, will look to sourcing out if things go well.

Thanks for your reply

PS - How hard can it be to sell a car!?!

[Brand new person]

3 minutes ago, Mark101 said:

Nice intro John.

I am a 1 series fan and have sold more of these than anything else during the past 12 months or so.  Good sellers with the right spec/colour.

Good luck mate. One bit of advice, you need to increase your margins, even on the lower value stuff.

 

 2007 120i SE, Silver,leather  61K. Thanks Mark, any advice more than welcome!

[Brand new person]

Hi to all, thought I would take 5 and introduce myself, I'm John (48), live in the Southwest (Torbay) and brand spanking new to car dealing, I've been involved in the tree surgery business for many years running my own business for approx 15yrs, also I'm a retained firefighter of which I'm contracted to 63hrs a week, its always been an ambition for me to be involved in the used car business, sure alot of you who have been involved in the business would say keep clear, I would say the same about tree work but if you don't try you'll never know!, like most things they always look easier from the outside looking in.

I spent most of Christmas and New Year reading up on posts on this site, thanks to everyone who contributes, really helpful information, my local auctions are BCA Bridgewater and Manheim Plymouth, managed to do a couple of dry runs to BCA to suss things out, couldn't put things off any longer so bought a tidy Peugeot, didn't need much other than a good tidy, sold it 2 weeks later with not a bad profit (bought for £1200, sold for £1850), last week came back with a 1 series BMW, after all I had read up not entirely sure why I bought it!?!, I think just got caught up in the auction banter, I will keep you posted on how it works out, with the MOT tomorrow you may never her from me again :).

I've been offered a small frontage probably get around 6-8 cars on and its on a main road, cost is minimal so I think a bit of a no brainer, if I had a bit more experience / confidence in the trade then decisions would be alot easier, next visit to BCA tomorrow, currently on a Silver card but negotiating Gold to reduce fees, bit of a kick in the teeth these are!

So that's a brief introduction and where I am at the moment, thanks again for all who take time out and contribute, for us neewbies this information is really helpful.

Cheers

 

John

 

[Brand new person]

Hi to all, thought I would take 5 and introduce myself, I'm John (48), live in the Southwest (Torbay) and brand spanking new to car dealing, I've been involved in the tree surgery business for many years running my own business for approx 15yrs, also I'm a retained firefighter of which I'm contracted to 63hrs a week, its always been an ambition for me to be involved in the used car business, sure alot of you who have been involved in the business would say keep clear, I would say the same about tree work but if you don't try you'll never know!, like most things they always look easier from the outside looking in.

I spent most of Christmas and New Year reading up on posts on this site, thanks to everyone who contributes, really helpful information, my local auctions are BCA Bridgewater and Manheim Plymouth, managed to do a couple of dry runs to BCA to suss things out, couldn't put things off any longer so bought a tidy Peugeot, didn't need much other than a good tidy, sold it 2 weeks later with not a bad profit (bought for £1200, sold for £1850), last week came back with a 1 series BMW, after all I had read up not entirely sure why I bought it!?!, I think just got caught up in the auction banter, I will keep you posted on how it works out, with the MOT tomorrow you may never her from me again :).

I've been offered a small frontage probably get around 6-8 cars on and its on a main road, cost is minimal so I think a bit of a no brainer, if I had a bit more experience / confidence in the trade then decisions would be alot easier, next visit to BCA tomorrow, currently on a Silver card but negotiating Gold to reduce fees, bit of a kick in the teeth these are!

So that's a brief introduction and where I am at the moment, thanks again for all who take time out and contribute, for us neewbies this information is really helpful.

Cheers

 

John

 

[Warranty for home trader]

If you are not required to provide a warranty, how long can the customer exercise their consumer rights, I sell cars normally around 10yrs old, surely they cant come knocking in 6months asking for stuff?