Here’s a secret of the auto business that works for either new or used cars, and is a business model secret where a dealer can easily turn about $500 into $20,000 or $30,000 each week like clockwork. In this case, for example sake, a used car model is used. – There is something in the industry known as”flooring”. “Flooring” allows a dealer to have vehicles available to display for sale with an investment as low as only a $47.50 charge per car. In other other words, “flooring” means to display or “floor” a car for 90 days before payment is due.

And “flooring” has other advantages. If a car does not sell in 90 days, the “flooring” company will actually purchase the car for whatever price the dealer paid at an auto auction for the car. In other words, if the dealer bought a car that will not sell, even if  an unknown mechanical issues should emerge, the dealer takes no risk. Zero risk for just $47.50!

Another advantage of “flooring” is for a dealer with only limited capital to display a large number of quality cars for sale. In other words, “flooring” companies expect you to use their money to make you money.

“Flooring” is one of the trade secrets of many successful car businesses who want to make the most money with the least risk. One, of the worst business strategies in business is to use large amounts of your own money, when some sources like the “flooring’ companies openly beg you to use their own money with only small incidental fees. This is a trade secret that can make you wealthy in a very short time!used car lot

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  • Walter_Cronanty

    How does the flooring company make money, besides the $47.50, which doesn’t seem like much when financing the cost of a car for 3 months? Does it somehow get a cut if the car sells?

    • Paul Hooson

      There’s no extra costs that I know beyond this $47.50. The business appears to be volume based. But, if this flooring company also is involved in financing, then the profits can be huge with big fees to customers and the lot both.