Step 1: Buy car
Step 2: Fix car
Step 3: Sell car
Congrats, you’re now a car dealer.
But if you want to open up a dealership, the playbook is a bit different.
In all my time in this industry, I’ve observed 2 paths to success as a car dealer:
- Start flipping cars on Craigslist and Facebook Marketplace.
- Work your way up the “dealership ladder” from salesperson all the way to ownership.
You will learn a ton about the industry,
Step 1: Join a local dealer group. Step 2: Ask to attend an auction as a "driver". Step 3: Observe, listen and ask lots of questions.
More than any book or course will ever teach you.
3 ways opening up a car dealership has changed:
- Tough or impossible to get zoning in many markets
- Value of the "frontage" has significantly decreased due to the internet.
- Consumers care about a better experience, not a better waiting room.
Smart dealers are adapting.
Build vs Buy
First dealership: 100% Build
Second dealership and beyond: 100% Buy
Do I need to own my dealership’s real estate:
If you don’t own the real estate.
Or if you don’t have a path towards owning the real estate.
Don’t open the car dealership.
Most important personality trait to start a dealership:
Everything else can be taught.
Show me your credit card bill and I’ll tell you if you’re fit for this industry.
Over the coming weeks I’ll begin sharing more step-by-step info on how to set yourself up for success with either path.