Page 1 of 1

very nklr - those damned car dealerships

Posted: Sun Aug 06, 2000 5:32 pm
by Karl Raupp
>Has anyone ever seen a poor car dealership owner? > >Thanks. >Bob Kaub
Yea and no. With sales generally booming now, and in the last number of years, dealerships as a rule are doing pretty good. But put into perspective the return on investment. If you were to invest $10 million to 50 (and in a lot of cases, much more) of your own money into a business, what would you think is a fair return on that investment? It's an industry average to have 1-1 1/2% percent back into your pocket after all is said and done. Dealerships are for sale all the time all over the place, if they were the gold mine people think they are, they would never be up for sale. Our area's largest Ford dealership changed hands a few years back, as well as the largest volume Toyota dealer, a Mazda has went under, a Jeep dealer closed up, two Volvo dealers closed down and one new one is being built (diff. owners completely), Subaru is always closing down and reopening, blah blah blah. It's not all cherries. I'm not advocating paying full MSRP (I surely wouldn't!), but hammering and chiseling and getting all emotional and letting $50 make or break a deal is nuts. TTYL Karl ________________________________________________________________________ Get Your Private, Free E-mail from MSN Hotmail at http://www.hotmail.com