Free Dealer Training
“How to become a car dealer” training & “how to become an auto broker” training. Learn how to get a dealers license. Download my free mini-course & business blueprint. Watch the webinar, listen to podcasts, … Insider insight into the used car business. Start with or without a dealers license! Learn the state requirements to be a success, learn about licenses, title, registration, laws, applications.
Home Study Course
Learn how to start a profitable used car business… starting now. Training new dealers, wholesalers, and auto brokers since 1997. You can start without a dealer license but I recommend you step up and get your required licensing in your state. The forms and registration process is not difficult. There is plenty of money to made buying & selling motor vehicles. Get started… today!
Get a Dealer License
Learn step-by-step how to get a dealer license from your state dealer licensing board. Learn the licensing requirements & process to get a motor vehicles dealer license application from your state motor vehicles department. Get the forms and complete the registration process. There are a few different licenses you can apply for. I recommend the used car dealers license.
How to Get a Dealers License
The first step to get a car dealer license is to contact your state licensing board or DMV department and request information about getting a new dealers license application for used cars. Different states have different departments with the authority to issue dealer licenses. You should be able to download the current forms and application right on your state’s site. The registration and application process is pretty straight forward. As a new applicant, simply follow the instructions contained within those forms. Of course, you should always call and ask all questions you have about the process of getting a motor vehicles dealer license. I encourage you to call and ask the experts – the folks at the office motor vehicle department will assist you! They are government agency there to help along with other services. They state typically also has several publications you should readh through.
In most cases, you will need a commercial location that has the proper zoning (this does NOT need to be a “cat lot”) that holds 4-5 cars, dealer insurance (not that expensive), proof of your license and insurance and bond and your current drivers license, a surety bond (not that expensive either), a phone number, a filing cabinet, and a few other little requirements. Some states require you to list your experience in the industry (and anyone in your partnership or officers of your corporation) – do NOT let that scare you. Just be honest and move on! Some states will have an inspector some out to your “location” where you will sell vehicles to make sure it passes the licensing requirements. You can have a criminal record EXCEPT for fraud and anything automotive related (they will do a background check). None of this is brain surgery – just do it!
The yearly fee is typically a few hundred dollars a year. There aren’t typically any additional fees. After the yearly renewal, you will get a new dealer license certificate. Display that proudly! You will also need to renew your surety bond. If anything about your business changes, like your location, you will need to notify the state of these changes. FYI.. each location you have needs to have its OWN license.
Now, the truth is… ANYTIME you get a license from a government agency, there is red tape and hassles but who cares. Just do it! It is part of the licensing process. In order to receive your license, submit the documents they require, follow the regulations, submit your application, and after they review your application (within a few weeks usually), you will be issued your dealer license. You will be mailed your dealers license. The dealer licensing process is not THAT difficult.
The law for getting a dealer license is designed to protect the safety of the public from a long list of bad practices. This is why many states require an education class before you get licensed – you need to learn the laws. This class is a GOOD thing. Cheerfully take the class and take notes! If you know the code(s) and regulation(s), you will stay out of trouble – it is for your safety. The state will provide the training material. The states wants you to be successful because they get tax revenue from each sale! Once you are issued a dealer license, you will be given dealer plates, and access to dealer auctions. Just follow the rules and regulations to stay in compliance – do that and you will be just fine!
The Auto Dealer Academy offers a comprehensive training program teaching the ins and outs of the used car business & auto broker business. You will learn things that “you didn’t know THAT you didn’t know”! Learn the used car profits system to grow your car business! The Auto Dealer Academy and your state licensing board are valuable resources you should tap into. Without these resources, you are gonna be trying ot paddle up stream – you can do it but I wouldn’t recommend it.
Don’t try and wiggle your way around any law! Do it legal and do it right. There is PLENTY of profit to make this a profit business.
How to Become a Car Dealer
The first step on “how to become a car dealer” is to get some experience under your belt! At the Auto Dealer Academy, we recommend you start out buying & selling used cars for profit from home BEFORE you become a vehicle dealer & get a dealer license. Sure, a dealers license helps you find more deals through the car auctions BUT I will tell you… the MOST profitable deals I have ever done was NOT at the dealer auction BUT the dealer auction has hundreds of cars every day!
Each state will allow an individual sell a certain number of cars per year without being licensed. Usually, you can buy & sell 4-5 cars a year without needing a dealer license. You can do 4-5, your wife can do 4-5, …. Now.. the truth is the state MIGHT SAY, “if you buy and sell used cars for the purpose of profit, you must be licensed”. I still recommend you buy and sell a few cars on the side BEFORE you get your auto dealers license. AFTER you have done a few deals, proved to yourself that you LOVE the business, and turned a profit, THEN use THAT PROFIT to get your vehicle dealer license! Doesn’t THAT make sense??
There are many advantages to being a motor vehicle dealer. You get to slap your dealer plate on any car at the auction and drive it legally. You never pay sales tax on a car you buy. You never pay sales tax on any part you purchase either. You can travel across the US (like Hawaii or Flroida or California) to attend wholesale dealer auctions! There are so many benefits! Used car sales and auto brokering is pretty darn easy once you are licensed and bonded! The dealer license form and application process is not brain surgery.
Super Low Miles? Be Careful!
2005 Mercedes E320 with 12K Miles!!! The seller wants $25K.
Once again.. BE CAREFUL here. The EXTREMELY low miles (12K for a 2005) is tempting. I know. I get it.
BUT… the buyer usually wants WAY WAY WAY more for the car than it is worth IN MY OPINION. I don’t mind paying a little premium for good miles but you’ve got to be careful. I see new guys make this mistake a lot too!
Let’s look at this deal closer. This car with 70K miles is worth about $14K wholesale (see red circle). As a good rule of thumb, ‘good miles’ is worth about $1000 per 10K miles. So, lets sat the car is 60K miles to the good. That is a $6K add. So, $14K + $6K = $20K wholesale. This seller wants $25K. That is $5K OVER. I could buy a 2008 with good miles for that money!
As a bonus observation, if you are selling a high end car, take it’s picture in front of a high end home! Nice touch.
Easy Cash Deals
2000 Corolla CE – 4 Door. 81K. Auto. Cold AC.
I LOVE these easy deals! I love love love cars under 100,000 miles. Easy to sell. Give me a break, a Toyota under $5000 and 100,000 miles. A no brainer!!! You could make your entire living JUST selling this type of car!
Pay $3500. Spend a couple hundred for new mats and wheel covers. Sell it for $5000 everyday of the week! Clean it up to a SHINE. The more it shines, the money it brings, PERIOD.
$1500 profit. Sign me up! Simple as apple pie.
Welcome to the Auto Dealer Academy
Hi, my name is George Dean. I am known for my down-to-earth, tell-you-how-it-is Auto Dealer Training Program. I am famous for helping absolute beginners get started buying & selling used cars for maximum profit. My years of expertise & acclaimed program will help you build a profitable car business without making expensive stupid mistakes.
I have been offering start-up training for new dealers, wholesalers, and auto brokers since 1997. In that time, I have trained hundreds of dealers and I’ve seen nearly ALL the mistakes new guys (and ladies) make when starting out. Heck I’ve made every mistake there is, so please, learn from our mistakes.
Imagine this… You walk through the front door of the dealership and ask for the owner. He approaches and asks, “What can I do for you?”. You awkwardly respond with the question you have rehearsed over and over, “Will you teach me how to buy and sell used cars for profit?”. The owner will have a great bid ole belly laugh. You will be laughed right out of the dealership. No one will reveal these secrets. The business is just too profitable to invite more competition (why do you think the industry requires a license? They want to keep you OUT!).
Well, I am on your team. I am here to help SO if you have a question, ask me any question. I am here to help – truly.
ARE YOU BRAND NEW? No problem! This means you don’t have bad habits! I do recommend you start smart by starting small. Making safe decisions avoiding classic beginner mistakes. Let me tell you, it is pretty easy to make a stupid/avoidable mistakes in this business. Let me guide you! You will learn how to do this business the RIGHT WAY without making those stupid mistakes!
LET ME BE BLUNT Firstly, One thing you will always get from me is ….. the straight up BLUNT truth – whether you like it or NOT. Secondly, I’d rather you NOT invest in my study course if you are lazy and small minded – I don’t have time for people like that in my life. HOWEVER, if you are upbeat, positive, got some money to actually INVEST in your business, and you want to get involved in this amazingly profitable business, I am here to help!
“Six Step Profit Process”
I have trained new dealers, brokers, and wholesalers since 1997. Most of the people I train are great spanking new in the car business. They need someone to break down the process into simple easy-to-understand steps. That is where I come in! I am GREAT at breaking down a process into SIMPLE EASY steps.
Allow to me outline my “Six Step Profit Process” that I cover in DETAIL in the Auto Dealer Academy’s Home Study Course. If you decide to attend the LIVE Dealer Auction Training, you will get HANDS ON exposure to this training!
1. Locate the Car
You do NOT have to be a mechanic to be successful in this business but do need to know HOW and WHEN to use mechanics, use pre & post sale inspections, how to avoid cars that have been in accidents (or floods), and more. This is very valuable and worth your careful study. This ALONE is worth the price of admission into the Auto Dealer Academy.
6. Sell It Profitably:
In general, I recommend cars that are mechanically sound. They are clean cars with nice curb appeal. Less than 10 years old with less than 150,000 miles. Buy it, clean it, sell it, & take the profit and re-invest it into the next car. I know a couple guys who literally started with just three cars and kept reinvesting their money into more cars and now own a thriving car lot. It can be done.
To Summarize: First, find your local ‘HONEY HOLE” where you can buy all the cars you want (BTW, I will give you my recommendations on exactly which cars you should start with), then inspect each car carefully so you pick only the very best, value the car accurately to assure you have enough room for a nice profit, negotiate the lowest price possible, recondition it to maximize your retail sale price, and effectively market the car to sell it quickly so you can buy another one. Repeat over & over.
Want to know more?
What is Wrong With This Car?
Question: Can you tell WHY you should avoid this car?
Answer: Most likely it has been in an accident!
Yes, I can tell JUST by looking at it. How? Well, look at the color! The SHADE of gray is different from the door and the fender!
Why is the shade of gray different? It has been repainted! Why has it been repainted? I don’t really care why. I avoid it.
Why avoid it? MOST paint jobs are horrible. There is crap in the paint. The clearcoat peels over time. The color difference gets worse. AND, it MIGHT have been in an accident. I don’t want MY family driving in a car that has been in an accident because once metal is bent (accident) and straightened (fixed), it is NEVER as strong. This is why I avoid it. And if you have ever owned a car that has been in an accident, it is just never the same. Avoid it.
Would You Buy This Car?
STOP RIGHT THERE. No NOT pass go. Do NOT collect $200.
WALK AWAY from this CAR! I do NOT car HOW cheap it is!
This is the NUMBER ONE MISTAKE new people make!!!. They buy a car with TOO MANY MILES! Stay away. Stay WAY away.
IF YOU DO buy a HIGH MILE CAR PLEASE DO NOT CALL AND say “George, what do I do?”. It is hard to fix a mistake AFTER you purchased it. Set YOUR BUYING criteria in STONE and don’t deviate.
IN the course, I give you MY recommendations on WHICH cars to buy and why!
Retailing, Wholesaling, Auto Brokering
- Wholesale, &
- Auto Brokering.
In actuality, many small dealers do ALL three models simultaneously. Learn them all.
For example: Let’s say you auto broker a three old Camry for a local business owner (very good auto broker clients BTW), and take his 10 year old Corolla on trade-in. It is a nice little car with cold A/C, less than 120K miles, and all service records.
So, you have a choice, either advertise & retail the car (my personal choice) or WHOLESALE the car. I recommend you take it to a Toyota dealership, get an glowing inspection report, advertise it locally & pocket the additional profit.
From this example, you can see why you need to learn all the business models discussed below.
- Auto Broker Model:
This does not mean you have to own a ‘car lot’ on the main strip in town. You do want to have a car dealers license ot be “legit”. You just don’t need a “traditional car lot”. You see, there are plenty of stealth dealers who operate from a commercial warehouse. It is much cheaper too by-the-way. It is easy to flip cars on the side with the model I teach OR do it full time!
Ok, I am about to burst someone’s bubble. This is NOT the place to start. This is a good ole buy network that takes time and money and to break into. Unless you know-a-guy who can introduce you and vouch for you, don’t even think about STARTING here. This is MY opinion. You can tell me to take a flying leap into the nearest lake but….. I recommend you get a RETAIL license WHILE building your wholesalers network. The full plan is in the studio course.
To ME, this is the Holy Grail of car dealing. Hear me out. With ‘retailing’, you buy the car and hope to find the buyer for it. With ‘auto brokering’, you have the buyer and you buy them the EXACT car they want for a ‘fee’. This is the easiest of all the profit models with the BEST hours and the BEST clients. Of course, this is my opinion.
I like buying cars that are ‘pre-sold’. Think about that for a second. No advertising the car. No meeting people for test drives. The financing is already done. AND, I sell an extended warranty in most cases too! Buy the car on Monday and deliver it by Friday.
Once a local client of yours purchases a car without EVER having to walk onto a car lot – they are yours forever. You will buy their next car, their teenagers daughter’s car, his secretary, their neighbor, … this is a fantastic business worthy of serious study. I give you my entire blueprint to be successful.
Take my advice: When you start people WILL say “If you come across XYZ car, give me a call, ok?”. Your response is, “I wish I could. But, I don’t shop for cars. I buy them for clients. When you are ready to BUY a car, let me know and I will get to work for you. I am able to find the exact care you want in less than 30 days in most cases.”. Remember that, you are a car BUYER.
QUICK HOMEWORK: The going rate for auto brokers is about $800-$950 per car. So, the fee to buy a client a car is about $850 on average. Do the math on completing ten deals a month. That number should put a smile on your face. Here is the kicker, 80% of your buyers will also buy an extended warranty at $300 -$800 additional profit. 🙂
Buy Here Pay Here Manual
The Only One in The County!
Howdy (said in my best Texas accent)!
This Buy Here Pay Here Manual will help you add “buy here pay here” to your profit model without screwing it up. This Manual is 117 pages & the only one of its kind in the country.
The truth is…. no one wants to tell you how to do it. This manual WILL get you going down the right path!
I recommend starting small with just one car. Then do two cars, then three, then four. Make sure this business is for you! This ain’t for everyone! Before you know it, you will have 50 cars on the street.