Nick M.K.

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About Nick M.K.

  • Rank
    Advanced Member
  • Birthday 03/04/1978

Profile Information

  • Gender Male
  • Location UK
  • Your industry Independent dealer
  • Dealership/company name TBC

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1,935 profile views
  1. Bye bye autotrader

    The problem with aiming for small margins is that you will then only ever get small margins, you'll never have a nice juicy £5K one (I've had less than 5of those over the years so not there yet sadly). If a dealer clears £250 per car they need to sell 20 cars for each £5K. That's 20 TIMES more chances of something going pop & bang, 20 times more chances of screamers, 20 times more MOTing, 20 times more valeting, 20 times more servicing and repairs and MUCH higher AT or premises or storage bill. One guy can have 20 nice cars, the other guy needs 400! And several times more staff. And less finance penetration as % and a much lesser chance of another high value p/x for retail... Listen, I lived in £2989 land for years (you know I hate XX95 pricing) and I regret it. This comfort that we have with certain price points works against us sometimes :-)
  2. This is the same as doing a very long distance journey without getting on the motorway. You’d still reach your destination but it makes no sense to do it using slow roads that take 3 times longer. People can sell without AT but will sell less units for less money and after stocking them longer. Pay the fee, use the toll road, get there faster.
  3. We all need this like a hole in the head

    Bring back Diesels I say! It’s crazy how it shifts. I still remember when the £500 tax was introduced in 2006, we thought the end of petrol power is near.
  4. Who is doing well?

    Becoming harder to find I guess as no one wants to stock them but people want to own them.
  5. Who is doing well?

    That's what I'm saying. You are. I am still stuck in June sales :-)
  6. Who is doing well?

    You are definitely flying if you are already into July. I am still in June, 6 sold and collected, 5 of them bought to order. If you can see my call list on a Merc E220CDI Coupe, they went wild for it. One woman checked 3 times if the car was REALLY sold.
  7. Sale or return fee

    I wasn't thinking about court immediately, some of these are repeat customers that I have worked with for many years and it's a case of calling, reminding them of the Tc & Csand asking for some "modest contribution". Some people will pay it, some won't.
  8. Business / Stocking Loans Question

    I don’t know the answer to that. If unsoldby day 90 I just return the money from my own pot or overdraft.
  9. Sale or return fee

    THIS! I've done some very nice SOR (and that's not spares or repair) deals over the years. It's free stock, very often stock that I have personally sold them a few months or a year earlier and still in near-retail condition. The way I go about this is quote (retail) for the prep required and charge the owner for this in advance. Even if it doesn't sell and you return it you don't lose out on prep costs. I would also do most of these deals in the winter when I have the AT double stock offer. This way my advertising is free. Quote a fixed percentage depending on the value of the car, I usually charge between 7 and 11% but this is entirely negotiable and could be lower or higher. NEXT. Very important. I will have a strong preference for a finance buyer because this will effectively double the income from a no-margin deal or at least for a buyer with a bargain priced part exchange. I will also try and upsell an extended warranty to cover the vehicle so I can limit my exposure. Some dealers even insist on your seller/owner covering the warranty costs for the first 6 months. Lawgistics's sale or return agreements actually havea clause that states that seller (the car owner) shall stand by and indemnify the dealer against claims that arise so it's not 100% down to you post sale.
  10. Business / Stocking Loans Question

    You just return the 70% that they funded. Press a button on a computer screen, they recover the funds from your account. The criteria as Mark pointed out is to do a few deals on finance and give them reciprocal retail finance business, my facility is only £50K and every year I need to give them 3-4 times as much in finance business. They still pay me their commission on the finance so every year I make a lot more from them than they make from me :-) Not everyone will get those terms but if a very small independent like me can most pitches will eventually. Larger pitches actually get their funding free of charge.
  11. Business / Stocking Loans Question

    I can't answer for those exact operators but I'll give you my answer: The finance company Close funds my stock, they pay 70% of purchase invoice value at an annual interest of 2.5% which works out at £21in interest every month in stock on a £10K car. They also charge a flat "bonnet" fee of £20.My limit is 90 days so if I sell that car in 45 days the funding for it will cost me around £51.50.
  12. Feeling Like a

    Took me 7-8 months and a dozentries :-)

    You did not explain if it sits lower only with engine off or when it runs also? If only with eng off you will have an airleak or faulty valve. Usually they leak from plastic tubing that runs under the car but could be from the suspension air bags also.
  14. Sold my last diesel

    This is not always the case. There are 2013 and 2014 models (Mazda 6, BMW 530D) that are Euro 6. It depends on the date when a manufacturer paid to certify some models. You can have 2013 BMW 530D Euro 6 and 2014 BMW 520D Euro 5. But after 65 reg they all are. Agree with TV that not stocking diesel at all is a mistake. Auction prices are lowin the London area, manydealers avoid the stockbut a lot of buyers still want them and they now look great value for money, I had 3 viewings and 2 sales this weekend, all diesel. Based 2 miles from the M25.
  15. Tail of Woe - Help Sought

    A Bulgarian wrote that. You can't possibly trust it. In Bulgarian the word Perfect has the same meaning as the word Immaculate here: Well used with signs of fair wear and tear but can do the job if you are not too fussy.