Valuation • Financial Turnaround • Fraud Investigations • Strategic Advisory
New Car Dealership Business Plans, Open Points and Factory Applications
Our business plans have been praised by manufacturer representatives and other decision-makers as among the best they had reviewed. More importantly, they have helped our clients make informed decisions—not just obtain factory approval.
Unlike firms whose objective is simply to prepare an application, our responsibility is to protect our client’s interests. On occasion we advised clients not to pursue a proposed dealership or open point because our independent analysis indicated the demographics, market conditions, or financial projections would not support the opportunity. Just because a manufacturer believes a point should succeed does not necessarily mean it represents a sound investment.
In one instance, a manufacturer proposed adding a new dealership to an automobile mall. During our analysis we discovered that, to achieve the factory’s projected sales volume, our client would have to outsell a high-volume Ford dealership that had operated there successfully for more than twenty years. Further analysis showed the new dealership would need to equal the combined sales of its three nearest competitors. After considering the substantial investment required to construct the facility and the time needed to develop profitable Parts and Service operations, he concluded the opportunity presented considerably more risk than reward.
Our plans typically include:
Market Analysis
New vehicle sales projections
Used vehicle sales analysis
Certified pre-owned opportunities
Demographic and competitive analysis
Facility & Operations
A description of the proposed site
Site evaluation
Facility plans
Factory image compliance
Customer parking plan
Customer amenities we plan to provide
Service business hours
Facility utilization
Financial Planning
Management compensation
Management fees
Advertising budgets
Parts inventory management
Customer Experience
Mission statement
Our strategy for achieving total customer satisfaction
CSI initiatives
Vehicle delivery process
Customer follow-up
Employee empowerment
Management
Organizational structure
Community involvement
Factory training commitments
Business philosophy
Every business plan we prepare is customized to the client, the market, and the manufacturer’s requirements. Our objective is not simply to obtain factory approval, but to help our clients make sound long-term business decisions.
Plus an organized Table of Contents and Exhibits List.
Advising Automobile Dealers LLC
We Could Make the Difference
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