simonsjacars 0 Posted May 16, 2018 Hi Guys, I've been contacted by Rate Setter about a stocking plan. Currently I don't run a stocking plan at all but have come to the stage I would like to employ someone so the extra capital would come in handy to keep the stock flowing. Does anyone have Rate Setter ? I know they took over what was VTG. Share this post Link to post Share on other sites
trade vet 702 Posted May 17, 2018 Hi Simon Do you have a pitch How many do you stock What do you specialise in How many do you average per month on your own It may be that you are doing OK and taking on debt might not be a good idea. Share this post Link to post Share on other sites
justina3 518 Posted May 17, 2018 Yikes i am not a fan of these schemes seen so many friends hit it big then when they have a quiet month or two before you know it there in a world of pain, so you will expand your business with the additional debt of a stocking plan loan and wages the extra cars you MIGHT move that profit could easily get swallowed up in wages paye and the dreaded interest so you end up being a busy fool. (not saying your a fool its just a saying) Share this post Link to post Share on other sites
sparky 274 Posted May 17, 2018 14 minutes ago, justina3 said: Yikes i am not a fan of these schemes seen so many friends hit it big then when they have a quiet month or two before you know it there in a world of pain, so you will expand your business with the additional debt of a stocking plan loan and wages the extra cars you MIGHT move that profit could easily get swallowed up in wages paye and the dreaded interest so you end up being a busy fool. (not saying your a fool its just a saying) This. I know folk who do well off them, I also know someone who had to hand his keys back in to the bank after getting on a sticky wicket. They are not for me, I've enough stress as it is without buying any more. Share this post Link to post Share on other sites
simonsjacars 0 Posted May 17, 2018 Yeah I've got a pitch holding around 15 cars including the inside showroom area that holds 3 cars. I've mainly been building Campervans for the last 3 months so car sales is quiet low for me i use to average 4 cars a week previous to that on my own. I want to get a separate unit next door to use as workshop and then employ someone to run the car sales side of things hence starting to look at extra funding. Share this post Link to post Share on other sites
EPV 631 Posted May 17, 2018 4 a week is some effort, fair play. Share this post Link to post Share on other sites
trade vet 702 Posted May 17, 2018 7 hours ago, simonsjacars said: Yeah I've got a pitch holding around 15 cars including the inside showroom area that holds 3 cars. I've mainly been building Campervans for the last 3 months so car sales is quiet low for me i use to average 4 cars a week previous to that on my own. I want to get a separate unit next door to use as workshop and then employ someone to run the car sales side of things hence starting to look at extra funding. Sounds like you prefer the campervans.Are you not better off borrowing money from the bank to expand your campervan business.Surely there is a lot more profit in them and you can always rent them out for big money.There is very little profit left in car sales these days. Share this post Link to post Share on other sites
simonsjacars 0 Posted May 17, 2018 1 hour ago, trade vet said: Sounds like you prefer the campervans.Are you not better off borrowing money from the bank to expand your campervan business.Surely there is a lot more profit in them and you can always rent them out for big money.There is very little profit left in car sales these days. I don't prefer the campervans but the profit can be alot more. I can easily make 3-4k per unit on a campervan once built and sold. I only do them really as it's something I know well and I'm pretty good at it not meaning to blow my own trumpet. There is profit left in car sales but from experience it's very time consuming but hitting the private market seems to be the better option. Everytime I go to auction most things are making over cap clean plus fee's. Share this post Link to post Share on other sites
trade vet 702 Posted May 17, 2018 16 minutes ago, simonsjacars said: I don't prefer the campervans but the profit can be alot more. I can easily make 3-4k per unit on a campervan once built and sold. I only do them really as it's something I know well and I'm pretty good at it not meaning to blow my own trumpet. There is profit left in car sales but from experience it's very time consuming but hitting the private market seems to be the better option. Everytime I go to auction most things are making over cap clean plus fee's. So you get a good salesman to do 3 or 4 per week.That will cost you at least £30k.He probably won’t wash and valet your stock every day ( which you probably do ) so you need a part time valeter/car washer,cost about £12k.Unless you do a lot of finance business,a £100k stocking loan won’t be cheap.Throw in all the other overheads including comeback costs and you will need to gross at least £150k profit to net £10k if you are lucky......If you can as you say, sell 3 or 4 per week on your own,just stick to doing that. Share this post Link to post Share on other sites
justina3 518 Posted May 18, 2018 Just to add to above, if your looking to do 3-4 a week thats 15 private cars a month to purchase, and thats just to stay where you are to grow you will no doubt be looking to purchase 20-25 a month who is going to be doing that? sounds like a bonkers amount of leg work to me. Share this post Link to post Share on other sites
EPV 631 Posted May 18, 2018 I'd be absolutely thrilled to do 4 cars per week, if you're averaging £750 per unit thats a tidy income and as least aggro as possible, taking on staff, valeters etc? I'm aiming to get to the level you're at and I will not be moving from that point! Share this post Link to post Share on other sites
metcars 397 Posted May 18, 2018 Would it not be better to pay someone to do the campers and you stick to the cars? Share this post Link to post Share on other sites
justina3 518 Posted May 18, 2018 1 hour ago, EPV said: I'd be absolutely thrilled to do 4 cars per week, if you're averaging £750 per unit thats a tidy income and as least aggro as possible, taking on staff, valeters etc? I'm aiming to get to the level you're at and I will not be moving from that point! we all said that and then 4 becomes 6 then six becomes 8 Share this post Link to post Share on other sites
EPV 631 Posted May 18, 2018 56 minutes ago, justina3 said: we all said that and then 4 becomes 6 then six becomes 8 Not for me my friend. 4 per week with £750 margin avg and that will do me. Share this post Link to post Share on other sites
justina3 518 Posted May 18, 2018 We see But i totally agree i have seen it many times its far to easy to end up being a busy fool and earn the same or less, a good mate of mine just scaled down for that very reason once his operation got so big he had to be buying 30 cars a month to feed it which was a huge ask, at some point he noticed he had less in his pocket than he did when he was playing with half the numbers. Share this post Link to post Share on other sites
