The Car Dealership business model is as follows:
Customers make a down payment equal to or greater than the cost for the vehicle
The Business then finances the remaining purchase price at 24.95% APR
The Business receives monthly loan payments for all of the vehicles that are sold; and
The Business's cost of the vehicle is effectively $0 because the customer covers the cost of the vehicle through the down payment.
The Business has more than 100 loan accounts with each account collecting between $250 to $275 per month in car loan payments!
Therefore, income from the car loans is more than $25,000 per month!
All loaned cars are tracked with a built-in sensor! If the payment is even one day late, you are permitted by law to repossess the vehicle. Repo company has a high success rate in repossessing the vehicles!
Seller has a Mechanic onsite to handle repairs! Minimal learning curve for the Buyer!
Yearly Net Profit is approximately $177,000 which is AFTER paying $38,000 in Owner's Payroll and $45,000 in Employee Payroll, as well as all other expenses! Owner-Operator can take home over $215,000 per year!