Hot1 1 Posted March 6, 2017 Good evening all! I read many dealers reporting how difficult it is to make a good living in the motor trade nowadays. However there are normally two sides to a story, so out of interest, who is making a good living out of selling cars? I would be interested to hear if there are any part time home traders who manage to make a reasonable profit, or is this just not possible anymore? Share this post Link to post Share on other sites
metcars 395 Posted March 6, 2017 Sorry to sound obtuse but define 'good living'? Share this post Link to post Share on other sites
sparky 274 Posted March 7, 2017 8 hours ago, metcars said: Sorry to sound obtuse but define 'good living'? And while your there, define 'part time'. In fact, don't bother as I'm not interested. 1 Share this post Link to post Share on other sites
justina3 518 Posted March 7, 2017 I do ok cant complain, that said i have been going for 25 years and have hardly any overheads such as rent rates ect, not a fan of the home trader there a constant thorn in my side either when it comes to buying or selling there is always someone sitting in there living room wanting to make £100 Share this post Link to post Share on other sites
justina3 518 Posted March 7, 2017 I have several similar people within 3 miles to me, you think trading standards would visit him instead of moaning about my mileage discrepancy stickers are not the latest issue 1 Share this post Link to post Share on other sites
metcars 395 Posted March 7, 2017 2 hours ago, tradex said: I have one near me, guy always has 2 cars for sale but if you call him he is never a car dealer its always a private sale, they are always a p/x he had to take to sell his car I've mentioned before the Polish guy on the corner of my road who started off doing mechanical work, then buying damaged repairables. He's now almost totally just buying and selling. But top end BMW/RR/Merc. He's got a newish silver Jeep on his fleet at the moment, endless stream of punters looking, but he can't seem to shift it. On a side note, did anyone ever read the articles that Peter Simpson (ex editor Car mechanics magazine/car dealer) wrote on home trading. If I remember correctly, he even wrote a guide available on subscription for a few months on how to do it. But, these days, so many people are looking for opportunities to earn on the side and there are even more people willing to show them how to do it, for a price? Share this post Link to post Share on other sites
Ocsltd 133 Posted March 7, 2017 I wish they would clamp down on these facebook selling sites!! Get sick and tired of seeing the same people popping up selling cars from home. Now it's far too easy / accessible!! 1 Share this post Link to post Share on other sites
Hot1 1 Posted March 7, 2017 Hi Thank you for your replies. Sorry my message was a bit vague. Making a good living, I meant is it possible to make a reasonable income selling cars part time. I fully appreciate that there is no such thing as part time in this trade, but to me it will not be my main source of income. I would be hoping to sell a couple of cars a month, and had the idea of making an extra £6000 a year. I will not be the type of trader that gives traders a bad name, if I am to do this it would be done properly, no sold as seen etc. Share this post Link to post Share on other sites
metcars 395 Posted March 7, 2017 You get these issues in many walks of life. My brother in law has a small cleaning business, 3rd generation. Windows and office cleaning. He has a machine in the back of his van that cost a fortune and converts tap water into 'angels tears' to keep the council happy. But he has to contend with chancers with broken ladders and buckets of dirty water on JSA who undercut him and poach customers but only turn up for a month. Both his sons are self-employed, one's a plumber the others a 'chippy', same story of being undercut by unqualified 'chancers'. Does anyone on here employ a window cleaner? Share this post Link to post Share on other sites
SIMONB 0 Posted March 7, 2017 well presumably most of you have a house/mortgage, family, business premises, staff to pay plus hopefully a holiday or two throughout the year. I guess if that is all covered with a bit of "fun money" left over ?? Share this post Link to post Share on other sites
SK Motors 4 Posted March 7, 2017 As a 'Part time' trader from home I've not been the most popular on here but here goes: Yes it's possible to make a 'good living' from it providing you're willing to put some serious hours into it. I work on average a minimum of 45 hours a week in my full time job before I even start with the cars. I work every evening and every weekend, I get emails/text messages/phone calls etc literally anytime. I was discussing a car I have advertised through email on Saturday night until 1am and that has just been collected today so in my opinion was worth it. I don't bother working out what the equivalent hourly rate would be as I just don't see it like that. Unfortunately, I have 6 points on my driving licence now and my insurance is due for renewal. It's now nearly £1400 just for a road risk policy ! I feel the same about people in my local area who are blatantly traders but deny it. "It's just a hobby, I keep selling cars because I'm not happy with them etc" ! These people don't pay trade insurance, tax, vat or warrant cars and probably make more money than me. In fact, I was looking at a Range Rover on eBay for myself and when I phoned the guy up he said "Which one, I've got 3 !" When I asked about warranties etc he laughed and said he just buys and sells the odd car, he's not a trader. That guy had over £100,000 of stock advertised ! Share this post Link to post Share on other sites
metcars 395 Posted March 7, 2017 3 hours ago, SK Motors said: As a 'Part time' trader from home I've not been the most popular on here but here goes: Yes it's possible to make a 'good living' from it providing you're willing to put some serious hours into it. I work on average a minimum of 45 hours a week in my full time job before I even start with the cars. I work every evening and every weekend, I get emails/text messages/phone calls etc literally anytime. I was discussing a car I have advertised through email on Saturday night until 1am and that has just been collected today so in my opinion was worth it. I don't bother working out what the equivalent hourly rate would be as I just don't see it like that. Unfortunately, I have 6 points on my driving licence now and my insurance is due for renewal. It's now nearly £1400 just for a road risk policy ! I feel the same about people in my local area who are blatantly traders but deny it. "It's just a hobby, I keep selling cars because I'm not happy with them etc" ! These people don't pay trade insurance, tax, vat or warrant cars and probably make more money than me. In fact, I was looking at a Range Rover on eBay for myself and when I phoned the guy up he said "Which one, I've got 3 !" When I asked about warranties etc he laughed and said he just buys and sells the odd car, he's not a trader. That guy had over £100,000 of stock advertised ! Yeah, I'm on a few motoring forums and one in particular (4x4) has a few guys who buy the odd non runner cheap, fix it and sell it on for a profit. When pressed they say they're not trading? Funny that? Share this post Link to post Share on other sites
Hot1 1 Posted March 7, 2017 5 hours ago, SK Motors said: As a 'Part time' trader from home I've not been the most popular on here but here goes: Yes it's possible to make a 'good living' from it providing you're willing to put some serious hours into it. I work on average a minimum of 45 hours a week in my full time job before I even start with the cars. I work every evening and every weekend, I get emails/text messages/phone calls etc literally anytime. I was discussing a car I have advertised through email on Saturday night until 1am and that has just been collected today so in my opinion was worth it. I don't bother working out what the equivalent hourly rate would be as I just don't see it like that. Unfortunately, I have 6 points on my driving licence now and my insurance is due for renewal. It's now nearly £1400 just for a road risk policy ! I feel the same about people in my local area who are blatantly traders but deny it. "It's just a hobby, I keep selling cars because I'm not happy with them etc" ! These people don't pay trade insurance, tax, vat or warrant cars and probably make more money than me. In fact, I was looking at a Range Rover on eBay for myself and when I phoned the guy up he said "Which one, I've got 3 !" When I asked about warranties etc he laughed and said he just buys and sells the odd car, he's not a trader. That guy had over £100,000 of stock advertised ! Thank you for your reply. I am trying to get an idea if some money can be made, it's hard because if you look at a lot of posts on this board it seems all doom and gloom, and it's the worst possible job out there, but surely that cannot be everyone's experience! Share this post Link to post Share on other sites
metcars 395 Posted March 7, 2017 19 minutes ago, Hot1 said: Thank you for your reply. I am trying to get an idea if some money can be made, it's hard because if you look at a lot of posts on this board it seems all doom and gloom, and it's the worst possible job out there, but surely that cannot be everyone's experience! Almost anyone can sell good cars, its easy. What's hard is finding the right car at the right price. 1 Share this post Link to post Share on other sites
GreenGiant 287 Posted March 8, 2017 As Metcars says, the selling is the easy bit. It's the buying where you make your money. You are competing with huge numbers of 'traders' all trying to find the same bits for stock. Legitimately or otherwise. The pitfalls are many: Sellers lie Cars can go wrong; anytime, anywhere. Never convenient. Cashflow controls everything Buyers lie Overheads General expenses HMRC FCA 'Experts' Conmen, thieves, tax-dodgers, halfwits and lunatics. And not just the ones you employ. Other than those, if you could get rid of the paperwork and the customers, it'd be a cracking job! 3 Share this post Link to post Share on other sites
Cornish Guy 45 Posted March 8, 2017 Green Giant, you missed Buyer Premium. Delivery Charges. Auction SureCheck. Indemnity. Sundry Items (S). Share this post Link to post Share on other sites
Mikey 19 Posted March 8, 2017 Plus: The never ending advertising costs The paint guy The wheel guy The dent guy PDI + Service costs per car All coming out of you bottom line... My accountant couldn't believe how little margin was left in the stock after everything taken into consideration! The beatch still didn't give me a discount on my year end! 1 Share this post Link to post Share on other sites
SIMONB 0 Posted March 8, 2017 begs the question and no disrespect but why do you all still do it ? Share this post Link to post Share on other sites
justina3 518 Posted March 8, 2017 its all i know, and from looking in on other trades the country is as ass backwards towards them as well unless your a top level mp or something, I mean who in there right mind would want to be a police man or a nurse, phft no way i rather put up with trading standards and the guy in the street who becomes rumpole of the bailey when his rear windscreen wiper makes a odd noise after 7 months in the £1500 fiesta i sold him. Share this post Link to post Share on other sites
Cornish Guy 45 Posted March 8, 2017 A guy is walking the strip in Las Vegas and a fantastic-looking Vegas hooker catches his eye. He strikes up a conversation and eventually asks the hooker, "How much do you charge?" The Hooker replies, "It starts at $500 for a hand-job." The guy says, "$500 dollars! For a hand-job! Holy crap! No hand-job is worth that kind of money!" The hooker says, "Do you see that Denny's on the corner?" "Yes." "Do you see the Denny's about a block further down?" "Yes." "And beyond that, do you see that third Denny's?" "Yes." "Well," says the hooker, smiling invitingly, "I own those. And I own them because I give a hand-job that's worth $500." So the guy says, "What the hell? You only live once. I'll give it a try." They retire to a nearby motel. A short time later, the guy is sitting on the bed realizing that he has just experienced the hand-job of a lifetime, worth every bit of $500. He is so amazed, he says, "I suppose a blow-job is $1,000?" The hooker replies, "$1,500." "I wouldn't pay that for a blow-job!" The hooker replies, "Step over here to the window, big boy. Do you see that casino just across the street? I own that casino outright. And I own it because I give a blow-job that's worth every cent of $1,500." The guy, basking in the afterglow of that terrific hand-job, decides to put off the new car for another year or so and says, "Sign me up." Ten minutes later, he is sitting on the bed more amazed than before. He can scarcely believe it but he feels he truly got his money's worth. He decides to dip into the retirement savings for one glorious and unforgettable experience. He asks the hooker, "How much for some pussy?" The hooker says, "Come over here to the window, I want to show you something. Do you see how the whole city of Las Vegas is laid out before us: All those beautiful lights, gambling palaces and shows? "Damn!" the guy says, in awe, "You own the whole city?" No," the hooker replies, "but I would... if I had a pussy." There is always a catch to everything! 1 Share this post Link to post Share on other sites
grant8064 219 Posted March 8, 2017 2 hours ago, Mikey said: My accountant couldn't believe how little margin was left in the stock after everything taken into consideration! Ours is the same...she had no idea some units only just break even or have a very little left in them after all the bits were accounted for. If it makes you feel any better, we asked for an accountancy costs discount too but were met with her middle finger! Share this post Link to post Share on other sites
metcars 395 Posted March 8, 2017 3 hours ago, SIMONB said: begs the question and no disrespect but why do you all still do it ? People think that being a car dealer is about selling cars, but for me its more about buying them. That's what makes this job interesting. I enjoy reading the market and researching 'hot' prospects, the cut and thrust of auctions, prepping and repairing. The selling is for me only 10% of the job. This is why I couldn't work for a large dealership, I couldn't just stand in a showroom all day, I may as well just sell carpet or photocopiers? Just my opinion? 3 Share this post Link to post Share on other sites
andymc1973 199 Posted March 8, 2017 its not what you sell them for its what you buy them for Share this post Link to post Share on other sites
Hot1 1 Posted March 8, 2017 Thank you for the replies, there is mention that a lot of times you are making very little margin, is this the case for everyone? Share this post Link to post Share on other sites
Rory RSC 596 Posted March 9, 2017 All this doom and gloom was around 3-4 years ago when I first started. A lot of traders actively discouraged me. In that time I literally started with nothing and now hold 40-50 cars in stock, selling on average around 40 a month. Being totally honest I work very hard, have next to no social life, don't take holiday or days off so 7 days a week working but I have managed to build a very strong reputation and a knack for buying desirable stock which sells promptly. It can be done. If you want any help PM me. An understanding girlfriend Rent of a yard Autotrader bill Ebay motors bill Motors bill Cargurus Trade insurance trade plates Buisness insurance staff or someone to run around at the least 2 x mot stations to use 2 x paint shops to use 2 x auto electricians to use 2x repair garages to use A diesel specialist a good scrap yard your friendly with Merchant services Your own transporter CCTV Equipment Overflow space - as someone said for me to have cars ready to retail i need another few getting prepped and others sitting in hand over zone i also have a dead zone for cars i want to forget about haha ) FCA / Credit consumers license for finance trade acounts with bca, manheim, local etc A good accountant. a good selection of tools A snap on booster pack, nothing else cuts it for me. Your own diagnostic and battery recharging equipement A complaints procedure a warranty company who will actually pay out. Friends to help you A firm but fair attitude, the public with try it on. Share this post Link to post Share on other sites
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