School me on opening a small specialty used car lot.

[Sean88gt]

And hope to god you never fall under the scrutiny of the IRS.. Ask Al Capone. Tax evasion can be a bitch!

Evasion and avoidance are two different animals

[War Machine]

I will help anyone get their license for 250.00

[jason07]

James, I think you're on the right track. There is some good advice in here.

It will be important to make the business look as legit as possible. You will need to submit pics to the state. They require a store front with a sign, at least one office with a phone, chair etc.

I helped do this a few years back opening up a motorycle dealership and the auto side if things is just the same. If I can think of anything more important, I'll let you know.

[JC316]

It's a raging pain in the ass to get started, but there were a lot of rule changes this year that makes it easier though. Basically you will need a location that is at least 10x10 with 7 foot ceilings separate from any residence. Then you will need either a DBA or an LLC. You will need a sign, a computer, internet, a printer, and a phone in the business name. If you are leasing, you need it to be a 2 year lease. You will need a bond. Then you just sign up for the license.

Figure 10 grand at a bare minimum to get started.

[GrayStangGT]

This thread has me itching to look into doing a side car business again. I'm assuming your 10k figure includes acquiring the lot, I've already got the lot, office, etc, just set up a cheap LLC, put up a sign under my current one and get the license.

[War Machine]

Only advise I can give is to stay small. I'm stressed out of my mind constantly. If I had it to do all over again no way in hell I'd ever get in the car business. Anyone serious about doing this bullshit full time feel free to buy me dinner and ill piss all over your dreams of own a car lot and getting rich. This was a good business before 2008 every since then it's been downhill.

[dville_gt]

Only advise I can give is to stay small. I'm stressed out of my mind constantly. If I had it to do all over again no way in hell I'd ever get in the car business. Anyone serious about doing this bullshit full time feel free to buy me dinner and ill piss all over your dreams of own a car lot and getting rich. This was a good business before 2008 every since then it's been downhill.

where do you want to eat?

[JimD]

Just "whiteboy" your operation!!
Your allowed to buy n sell only a certain number of cars before being required a license. That is if you chAnge the titles into your name. If you don't then your golden buy and sell as many as u want.
Make good friends or connections at the bigger auction houses so u can purchase those cars that won't crank on for some reason .

X2

[Baron Von Crowder]

where do you want to eat?

somewhere that allows golden showers on your dreams.

[War Machine]

Give me a call one day after work (469)587-9119 Billy

[Mike]

where do you want to eat?

He's a huge fan of Sweet Georgia Brown's.

[jayjohnson600]

I have a friend that just folded up his used car biz. He sold his low-tier auto insurance company
to start a used car company. He dabbled in used cars for about 6months before making the
transition.

He got 90% of his inventory in the auctions. He made more money on fix-em-ups, than good
runners. But, he lost big on a pair of $5k cars not-running. He used a low cost auto mechanic
shop to fix engine issues, they robbed him and didn't fix the issues. The cars went back to the
auction non-running.

He was in trouble financially in less than 6 months after being in the biz, then held out for the
last 6 months. Called it quits recently. Now he's trying motorcycles/dirt bikes, which he can do
his own mechanic work. So, he's making money from sales and mechanic labor. He says it's still
a grind, but he has a slight advantage by removing some of the third party risk by using his own
experience and expertise without relying on others for mechanic work.

His opinion is that used automotive biz is a grind, and requires a lucky break a couple times every
month. On the bright side, locations can be had very cheaply and more people are opting for used
versus new automotive, with the recent down turn in the economy.

[6.7dually2009]

I will say If you want to make it you have to be different than any body else in your area. When I started out on my own four years ago I was the only one in Killeen not doing the bhph with the cheaper cars I averaged 750 to 1000 some times more but sold 25 cars a month 4 years later there are 4 other car lots like mine so I am going back to the drawing board and come up with something else with 4 other car lots in Killeen like mine it is just to hard to sell the number of cars I want every month with only 1000 profit plus one of the guys is ok only making 500 a car which makes it even harder to sell cars I am not mad just looking at something else I can do and be different.

[sosoe]

Buzzo has good info!

[onemeangixxer7502]

I have a friend that just folded up his used car biz. He sold his low-tier auto insurance company
to start a used car company. He dabbled in used cars for about 6months before making the
transition.

He got 90% of his inventory in the auctions. He made more money on fix-em-ups, than good
runners. But, he lost big on a pair of $5k cars not-running. He used a low cost auto mechanic
shop to fix engine issues, they robbed him and didn't fix the issues. The cars went back to the
auction non-running.

He was in trouble financially in less than 6 months after being in the biz, then held out for the
last 6 months. Called it quits recently. Now he's trying motorcycles/dirt bikes, which he can do
his own mechanic work. So, he's making money from sales and mechanic labor. He says it's still
a grind, but he has a slight advantage by removing some of the third party risk by using his own
experience and expertise without relying on others for mechanic work.

His opinion is that used automotive biz is a grind, and requires a lucky break a couple times every
month. On the bright side, locations can be had very cheaply and more people are opting for used
versus new automotive, with the recent down turn in the economy.

sounds like he's not to bright to sink 5k at the sale on inop's none the less. If 10k can put you out of business you shouldn't be in it in the first place IMO