Web Based New Car Brokerage For Sale

Business description

This web based company supplies cars and light commercial vehicles to a range of clients across the UK. Sixty per cent of its customers are from the retail market place with the remainder being business users. The reason for its continuing success is simple. Many buyers know exactly which make, model and specification of vehicle they require and have no desire to establish a relationship with the local franchised dealer. They simply wish to source the vehicle and the finance and have it delivered to their door with the minimum disruption to their daily lives. This business does just that. It has established a number of key supplier relationships that allows it to source any type and model of vehicle.

It also offers a comprehensive range of funding services including Contract Hire and Purchase, Personal Contract Purchase, Leasing, Fleet and Accident Management. Incoming enquiries are carefully qualified and commitment is gained to the purchase over the phone. All proposal details are captured and sent to the funding agencies, order details are processed by the supplying dealer. Revenue streams come from two sources. Firstly the supplying dealer pays an introductory fee and the finance house also pays a commission. There is no claw back of monies for early settlement.

The company also has two self-employed salesmen who are out on the road every day canvassing the industrial markets, building relationships and establishing buying patterns. This has proved to be very successful and has helped to create a broader operational base for the business. The salesmen are paid a fixed commission for every sale.

Equipment:

The business has a simple and easily operated quotation system. They also have links to the funding houses for proposing the details of customers and receiving documentation.

Customer Service:

This method of buying is becoming more and more popular as it represents a hassle free method of vehicle acquisition. Buyers are also aware that the discounts that have been negotiated for vehicle brokers are significantly greater than they could expect to achieve in a normal showroom negotiation. Attention to detail has been the watchword of this business and much of their business is now referrals.

Key Strengths:

Good volume sales
Strong commissions with no claw back
Low overheads
Easily relocatable
Self employed sales team
Excellent commercial relationships

Financial Information:

The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.

The company has a fee income turnover of around £50,000. All accounting figures will be made available by the vendor as part of the overall sales negotiation.

Property information

Property:

Leasehold

Location:

This is a home based operation

Other information

Competition / Market:

In addition to the two sales personnel the company also buys in quality, qualified leads. At present these number around ten per day which is more than the company can practically handle.