Specialist car traders - How do they start?
Specialist car traders - How do they start?
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Discussion

okgo

Original Poster:

42,323 posts

229 months

Wednesday 27th August 2008
quotequote all
As above really, I have been looking over past threads about someones desire to open something Porsche related, the pitfalls and what had been done in the past ect was brought up. And I know a gentleman on here has a 911 website that seems very successful..

The question I ask is, how do these specialist garages that do maybe Ferrari only or something like Romans for instance that do all kinds of exotic cars start?


I know this is not something I could be doing in the short term, but it still interests me and for future plans ect, it would be nice if anyone knew how these seemingly designer/dappa car outlets get themselves off the ground?

Cheers

Eric Mc

125,855 posts

296 months

Thursday 28th August 2008
quotequote all
Some owners are millionaires who are simply indulging a passion. I know of one outlet which operates on this basis.

jamesuk28

2,176 posts

284 months

Thursday 28th August 2008
quotequote all
Eric Mc said:
Some owners are millionaires who are simply indulging a passion. I know of one outlet which operates on this basis.
Me too, thats what you need I think, money and lots of it.

Gravy

2,076 posts

265 months

Thursday 28th August 2008
quotequote all
I would also imagine you would need to be seriously well networked and connected across several countries in order to locate, or be informed of, the very best cars for sale. Likewise, using those connections should allow you to find homes for said vehicles.
I'd like to do it too on a brokerage level at first but you need the above. Which I haven't. So I can't!

POORCARDEALER

8,669 posts

272 months

Thursday 28th August 2008
quotequote all

Lots of experience, contacts, patience and money.

pgilc1

40,169 posts

228 months

Thursday 28th August 2008
quotequote all
POORCARDEALER said:
Lots of experience, contacts, patience and money.
+1

Ambience too. Lets be honest, you're not going to buy a £75K porsche from a council estate

okgo

Original Poster:

42,323 posts

229 months

Thursday 28th August 2008
quotequote all
pgilc1 said:
POORCARDEALER said:
Lots of experience, contacts, patience and money.
+1

Ambience too. Lets be honest, you're not going to buy a £75K porsche from a council estate
Is Ambience the right word?

pgilc1

40,169 posts

228 months

Thursday 28th August 2008
quotequote all
okgo said:
pgilc1 said:
POORCARDEALER said:
Lots of experience, contacts, patience and money.
+1

Ambience too. Lets be honest, you're not going to buy a £75K porsche from a council estate
Is Ambience the right word?
well, ambience of the environment.

Ade355

337 posts

271 months

Friday 29th August 2008
quotequote all
If you are well connected with the rich set of Arabs that visit London every summer, you can run a business off the back of their yearly turnover of exotica.

justin-banks

193 posts

271 months

Friday 29th August 2008
quotequote all
Start with whatever you've got and see how you get on. Play to your strengths. The nice thing about trading cars is that you will know within 2 months whether it is for you or not, you buy 5 cars, you sell 5 cars, either your mortgage is paid and you've had a great time or you have lost your arse. Wonderfully unambiguous.

I deal in classic cars and there are new people setting up every month and the same amount calling it a day. Risks and rewards much higher than moderns but no Glass's Guide so do your homework!

I say give it a go, you only live once.

okgo

Original Poster:

42,323 posts

229 months

Saturday 30th August 2008
quotequote all
justin-banks said:
Start with whatever you've got and see how you get on. Play to your strengths. The nice thing about trading cars is that you will know within 2 months whether it is for you or not, you buy 5 cars, you sell 5 cars, either your mortgage is paid and you've had a great time or you have lost your arse. Wonderfully unambiguous.

I deal in classic cars and there are new people setting up every month and the same amount calling it a day. Risks and rewards much higher than moderns but no Glass's Guide so do your homework!

I say give it a go, you only live once.
Well we work with people that seemingly come in and underwrite cars we may have, random p/x mostly BMW. Would said people do this job without having a garage?

You mention buy 5 cars and sell 5 cars, what do you need to register as to do this? And in terms of cars, where did you go first time round? Auctions?

Just interested to know what these guys that come into our garage do, as one drives a 911 turbo and the others don't seem to do bad..

StevieBee

15,459 posts

286 months

Monday 1st September 2008
quotequote all
I have in the past known traders (on a business basis) in high-end dealerships and sales.

From a business basis, there is not much more to be made selling second hand Ferraris as there is from second hand Fiestas. Although margins in nicer cars may be more, you’ll sell less of them, stock value is higher so risk is greater (as is the need for huge start up capital).

If you are going to specialise, then you need anorak levels of knowledge of the marque you sell.




Obiwonkeyblokey

5,400 posts

271 months

Tuesday 2nd September 2008
quotequote all
many dealers also use funding to stock their cars. That was certinaly the case when I worked for TVR about 10 years ago, we had funding with ombard and chartered trust which helped to pay for about 15 stock cars at any one time. the security being ther stock.

You can only get to this stage after trading for a few years though ( i imagine)

bromers2

1,867 posts

281 months

Tuesday 2nd September 2008
quotequote all
Surely SOR is besy way of doing it ?

A decent showroom is a must and therefore expensive.

Start small - on Boxsters or similar and work.

Specialise in one brand/model - get a good reputation.

okgo

Original Poster:

42,323 posts

229 months

Tuesday 2nd September 2008
quotequote all
bromers2 said:
Surely SOR is besy way of doing it ?

A decent showroom is a must and therefore expensive.

Start small - on Boxsters or similar and work.

Specialise in one brand/model - get a good reputation.
SOR?

What does this mean Bromers?

Gravy

2,076 posts

265 months

Tuesday 2nd September 2008
quotequote all
okgo said:
bromers2 said:
Surely SOR is besy way of doing it ?

A decent showroom is a must and therefore expensive.

Start small - on Boxsters or similar and work.

Specialise in one brand/model - get a good reputation.
SOR?

What does this mean Bromers?
I think it would refer to Sale Or Return

okgo

Original Poster:

42,323 posts

229 months

Wednesday 3rd September 2008
quotequote all
Sounds about right.

I admit a nice showroom makes a difference. Romans one is a nice looking joint, but then again it would be with those cars..