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Christian

FCA Authorisation Assistance Needed! (Newbie)

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Hi everyone, Since my saga with the 7 series I've went back into (temporary) part time employment to gather more funds and start working on a more sustainable way to sell cars. This week I applied for a BCA traders account and I also plan to get the ball rolling on an FCA application. At a glimpse through online articles, the process looks far too complicated for a novice like me to apply for on my own, so I contacted a company who assists with the authorisation and was told their fee is £1495 +VAT for the setup! Using the connect system online I can apply for a limited license but its asking for a 'regulatory business plan' which certainly do not have! Is this something I could do myself?

 

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15 minutes ago, Christian said:

I also plan to get the ball rolling on an FCA application

I've never heard the BCA Account and the FCA reg to be done in the same month. EVEN if FCA give you a reg number you'll struggle to find a finance company that will consider working with you with no existing trading. They are terrified by new small dealers because you can do several false applications, take the money and disappear. 

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£1495 fair play that’s how to make money £1495 in your bank bossch 

two of them a day job done 

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1 hour ago, justina3 said:

£1495 fair play that’s how to make money £1495 in your bank bossch 

two of them a day job done 

I could comfortably get through 4 for that :D 

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As Nick has said , you will struggle to find a mainstream finance company to work with till you have been trading for a good while . 

Not a bad idea either as there's good and bad sides to selling finance , not all roses if not done correctly .

I know one guy who's neck deep in trouble with three  finance firms , sold cars that have come back to haunt him and he cant buy them back , seized engine , clapped box , ecu faults that shut the car down etc  , customer gone back to the finance , finance come to him , he cant pay , trouble in the making , not an easy time for a guess .

good aim though when you it all in place , can be lucrative too  , I've done four  on  finance today , 3  prime , one not so but still got a commission on it , all good deals for us with profit in the metal too ,. 

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5 hours ago, Christian said:

Hi everyone, Since my saga with the 7 series I've went back into (temporary) part time employment to gather more funds and start working on a more sustainable way to sell cars. This week I applied for a BCA traders account and I also plan to get the ball rolling on an FCA application. At a glimpse through online articles, the process looks far too complicated for a novice like me to apply for on my own, so I contacted a company who assists with the authorisation and was told their fee is £1495 +VAT for the setup! Using the connect system online I can apply for a limited license but its asking for a 'regulatory business plan' which certainly do not have! Is this something I could do myself?

 

Don't do it, you are trying to jump before you can walk. Simply start trading properly and then re-assess when you have sold fifty cars :)

I'm would never insult an auctioneer online for everyone to see, they are all fantastic and I love them ;) 

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I've been trading for nearly two years and put through 90 cars with 22x 5* reviews and 1x 4* review, is that anywhere near enough?

Also how detailed does the 'regulatory business plan' need to be? These plans seem to require a lot of in depth information about customers, market research, marketing strategies, competitor analysis, sales forecast, etc...

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On 02/10/2018 at 1:10 PM, Christian said:

Since my saga with the 7 series I've went back into (temporary) part time employment to gather more funds and start working on a more sustainable way to sell cars. This week I applied for a BCA traders account

When I read your starting post it didn't sound like you've been trading full time. It just read like you are starting now. I did my own FCA, took under 2 hours, don't remember anthing about a business plan. Call a rep for Close Brothers motor finance, they are very helpful in setting you up if you are established. Free of charge. 

If you are not established the answer to your "is that anywhere near enough" question is of course NO. 

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Close Brothers - free

Gentlemans agreement that I reward their efforts with some business.

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Fca is easy to do especially as you can phone them and they walk you through step by step. No business plan is needed. You need to make sure you get the correct permissions. Almost all finance companies want you trading for at least 12 months, have a website, forecourt and signage. Some aren’t as strict

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