Car Dealerships Ford F-150 XLT in Fall Creek WI

Car Dealerships Ford F-150 XLT in Fall Creek WI

February 15, 2018
Posted by: solfa_admin

Used car dealerships present the option for people that do not wish to buy a brand new car. The main thing that drives this industry is the money savings people can take advantage of when buying used instead of buying new. A new car immediately loses value the second you drive it off the lot. Let other people take that loss in value by buying a certified pre-owned car.

A Car Dealerships in the Strangest Places Ford F-150 XLT Fall Creek WI 54742 common misconception is that used cars carry much more problems than buying brand new from a dealership. This isn’t true considering all the checks and measures your used car lot takes to make sure the car that they are selling is completely suitable and in perfect working order. In many cases these used vehicles still have an existing warranty on them, or you have the option of purchasing a Ford F-150 XLT Fall Creek WI 54742 warranty to make you feel confident you won’t have any costly repairs down the road.

One major benefit a used car dealership presents to people is budget options. People can choose from highly expensive cars to very affordable economical cars on the same lot. This simply gives customers more options, and people really like to have these types of options. A used car dealership can also save people from taking An Introduction To Used Car Dealers Ford F-150 XLT Fall Creek WI 54742 many trips to many different dealerships because they carry different brand named vehicles at all times.

Customer service is a major consideration when it comes to the employees and owners of a used car dealership. Their mission is to find the right car, for the right person, and sell it to them at the right price. If their customers aren’t happy, they will lose business. This is why these types Ford F-150 XLT Fall Creek WI 54742 of dealerships are much friendlier than corporate owned new car lots.

Used cars simply save people money. This savings can be from the overall price of the car, and the insurance cost of a car. Used cars are cheaper on insurance than when you buy brand new. There is also more room in the price a vehicle to haggle with, instead of paying the brand new car premium that other Ford F-150 XLT Fall Creek WI 54742 dealerships have.

If you are in the market for a new vehicle, you should take a second glance at cars that are used. Many cars for sale that are used come off a lease, which means low miles and that it was highly maintained. This presents the best buy for a customer. No matter what your budget is, or what type of vehicle you are in the market for, a Ford F-150 XLT Fall Creek WI 54742 used car lot has the best chance of suiting your needs.

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    Car Dealerships Ford F-150 XLT in Fall Creek WI

    February 15, 2018
    Posted by: solfa_admin

    Blue Sky is the intrinsic value of an automobile dealership, over and above the value of its tangible assets. It is sometimes equated to the goodwill of a car dealership.

    Most articles regarding the blue sky value of new car dealerships cite a multiple of earnings formula, such as three times earnings, four times earnings, and so forth. The idea that “blue-sky” can be determined by anything times anything is just plain wrong.

    Even NADA the Is Now the Right Time to Buy a Car Dealership? Ford F-150 XLT Fall Creek WI 54742 National Automobile Dealers Association in its publication entitled “A Dealer Guide to Valuing an Automobile Dealership, NADA June 1995, Revised July 2000 bemuses, in part, with respect to valuing a dealership by using a multiple of earnings: A Rule of Thumb valuation is more properly referred to as a “greater fool theory.” “It is not valuation theory, however.”

    In its Update 2004, NADA omitted its reference to “fool”, but referred to the multiple formula as Ford F-150 XLT Fall Creek WI 54742 rarely based upon sound economic or valuation theory, and went on to state: “If you are a seller and the rule of thumb produces a high value, then this is not a matter of great concern. Go for it, and maybe someone will be stupid enough to pay you a very high value.”

    A dealership’s blue sky is based upon what a buyer thinks it can produce in net profit. If potential buyers think it Car Dealerships: The Difference Between Pre-Owned and a Clunker Ford F-150 XLT Fall Creek WI 54742 cannot produce a profit, the store will not sell. If it can produce a profit, then variables such as desirability of location, the balance the brand will bring to other existing franchises owned, whether or not the factory will require facility upgrades, and so on and so forth, determine whether or not a buyer will buy that particular brand, in that particular location, at that particular time.

    I have been consulting with dealers for nearly Ford F-150 XLT Fall Creek WI 54742 four decades and have participated in over 1,000 automotive transactions ranging from $100,000 to over $100,000,000 and have never seen the price of a dealership sale determined by any multiple of earnings unless and until all of the above factors have been considered and the buyer then decided he, she or it was willing to spend “x” times what the buyer thought the dealership would earn, in order to purchase the business opportunity.

    To think Ford F-150 XLT Fall Creek WI 54742 otherwise would be to subscribe to the theories that (1) even though you think a dealership could make a million dollars, the store is worth zero blue sky because it made no money last year; and (2) if a store has been making $5 million per year you should pay say 3 times $5 million as blue sky even though you think you will not produce that kind of profit. Both propositions are absurd. Ford F-150 XLT Fall Creek WI 54742 If a buyer does not think a dealership is worth blue sky, then what he is really saying is that he sees no business opportunity in the purchase and therefore, in my opinion, he should not buy the store.

    Each dealership is unique with respect to its potential, location, balance that its brand brings a dealer group, and condition of facility. The sale is also unique with respect to whether it is a forced liquidation, Ford F-150 XLT Fall Creek WI 54742 orderly liquidation, arms length, insider, or a case where an anxious buyer is trying to induce an unwilling seller. There are management factors to consider, length and term of leases, possibilities or non-possibilities of purchasing the facilities and whether or not the factory wants to relocate the store or to open a new store up the street.

    In the car business it is impossible to pick a dealership or a franchise out of a hat, Ford F-150 XLT Fall Creek WI 54742 multiply its earnings by some mystical number and predict either what the dealership is worth, or what price it would sell for – and it doesn’t matter if you are talking about a Toyota, Honda, Ford, Chevrolet, Chrysler, Dodge, or any other dealership. At any given time one franchise might be considered more or less desirable than another, but they are all valued in the same manner.

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    Used 2015 Nissan Sentra
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    13077 mi
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    51894 mi
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    Used 2015 Toyota Corolla
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