Finance companies

[Nick 2]

Hi Guys, Ok it's been a while. Started as a home dealer on the 8th of Jan. I have 2 cars, a Juke and a DS3. Have had loads of enquiries. Firstly people asking for px which I couldn't do, but sorted now. Same with warranties. People are now asking if I do finance, which I don't at this point, but NEED to. Would appreciate you guys pointing me in the right direction, ie, best companies to use? Also probably a stupid question but are there any fees for using them for me, the dealer? Or can I actually make a few quid on commission?

On a separate note, learning curve. Buy cheaper cars! Must improve sales pitch, first viewing didn't go too well. AT is a waste of time and so expensive, not even using ebay, rac or any other paid advertising anymore. All enquiries have come through FB. I am in loads of groups and seems to be working well. On a positive note my FB page is getting quite a few hits as with the website. But like I said I don't have a clue about offering finance???

 

Many Thanks,

Nick.

[Kingsbridge Autos 2]

To offer finance the rules have tightened up immensely to push out small home traders/dealers and make the industry more regulated. To that end you need to obtain a Consumer credit licence and meet all the associated criteria (all on their website).

A lot of them will only work with vat registered dealers working from business premisses.

So in short you will not be able to offer finance at this trading level.

 

[Nick 2]

Thanks for the reply. Not good news, i thought they would be glad to have as much business as possible. I emailed a company today, let's see what happens.

Cheers.

[Kingsbridge Autos 2]

Who did you email out of interest? From research I would say Close brothers are good for small dealers however you cant get past the requirement for the CCL and the associated quarterly reports and lots of other paperwork that needs to be maintained regularly. 

Let me know how you get on?

[Nick 2]

It was evolutionfunding.com I havent followed it up yet as been to busy. I did see The Close brothers advertised so might give them a try. Do you have to pay for the Credit licence and are there costs involved when using a company like the Close brothers for example or can money actually be made by making money for them, ie commision?

Cheers.

[Kingsbridge Autos 2]

CCL cost circa £100.

There is commission paid to dealer so yes its an added revenue stream.

[Nick 2]

Thanks for the reply. I clicked on one website and it was stating £670 for a sole trader and £1676 for a dealership. £100 isnt to bad. I need to get off my ass and get it sorted. I really do think i'm losing a lot of business not being able to offer. 

Probably being a bit thick but what or who are circa?

Thanks again.