The importance of research can’t be understated. As Startups.co.uk rightly points out, some real knowledge of the motor industry is essential, as is a basic understanding of vehicle mechanics and a good grasp of vehicle values.
You need to scrutinise the current market. So explains another Startups.co.uk blog, you should find out which types of cars are selling, and for how much. You might even decide to specialise in selling a certain car make or model you know a lot about.
The Society of Motor Manufacturers and Traders (SMMT) represents the industry’s interest and is a great place to go for market research and statistics. You’ll find data and advice on everything from used car sales and car registrations, to insight on vehicle sustainability.
Ultimately, you can’t be expected to know everything about cars and the motor industry at the beginning – and you’ll find that you’ll learn a lot on the job. But the more research do now, the more confident you’ll feel when you open the doors to your forecourt for the very first time.
There’s a good deal of admin involved with setting up any type of business. Again, the tasks you’ll need to carry out will depend on your individual circumstances – this list is by no means exhaustive, but duties may include:
As Startups.co.uk explains, there are a number of ways to purchase used cars, with the most convenient option being auction and listing sites, like eBay, Copart UK and Gumtree. You might also want to browse car selling sites, for instance Carwow and Carspring.
Buying cars at auction tends to be the cheapest option. However, if you’re new to the auction game, you should get a feel of what they’re like by attending as a spectator. Bear in mind that purchasing a car at auction means you’ll have less legal protection, so be sure to thoroughly pick through the history of the vehicle and the buying terms and conditions.
And another thing to note: you may be aiming for maximum profit on every car you sell, but that doesn’t mean you should also choose the cheapest vehicles and sell them on for inflated prices. You might end up spending a lot of money (not to mention time and effort) repairing the car or providing refunds to unhappy customers (which could also damage your reputation).
Car dealers need insurance just like any other business owner. Motor trade insurance, also known as traders insurance or traders car insurance, will provide you with full cover if you’re buying or selling vehicles independently or commercially.
Insurance Choice understands that every business is unique, and knows how important it is to secure the right type and level of cover that reflects your needs. And, of course, making sure that cover is offered at the most competitive price.
We have access to a leading panel of motor trade insurance providers and can arrange policies for:
Get your motor business off to a great start with competitive motor trade insurance from Insurance Choice. Get a quote today – and happy trading!