5 Benefits of a Georgia Used Car Dealer License
- Georgia state has some of the lowest Dealer License start up costs in the country. The biggest reason for this, is you can operate out of zoned (approved) office locations and pay on the average of $300 a month for rent. Most other states require you to have at least a two (2) car lot like Florida, and some states even require you to have an office with 10 car lot location, like Maryland does. Tennessee Dealer License, requires an office with 18 car lots attached. This keeps a lot of people out of the car business, or searching for alternatives. The benefit of a Georgia Dealer License is the insurance is moderate. The costs will range depending on the level of insurance you get for your Dealership. But you can expect to from pay $1,500 and $2,800 a year depending on deductible and other options. Surety Bond will run you $300-$600 per year, not too bad.
2. Low cost of Maintenance is a big benefit of having your own Georgia Used Car Dealer License. After you get all set up, all you need to pay to maintain your license is your rent and telephone bill. It does cost you anywhere from $3,500 – $4,000 for your entire total cost set up, depending on various factors, but ongoing, you are looking at approximate $400 a month or so, to keep it all going. Essentially your office rent and telephone land line, which is required by the state. If you only put down a deposit on your insurance, then that residual gets rolled into your monthly maintenance costs. The applicable annual zoning permits and license renewals are moderately priced ($100-$300). So, yes, you can own and operate a Georgia Use Car Dealership for $400-$500 a month, complete with 3 Dealer Plates.
3. Another great benefit of having a Georgia Dealer License is you have inexpensively priced reassignment forms. Many states like Delaware, New York can charge $10 a reassignment and even more. If you are like many Dealers, you also wholesale cars, and/or run cars thru the dealer auctions. You are not happy paying all that money, if you are selling 10+ cars a week. One of my New Jersey based business clients tells me he sells cars only thru Dealer Auctions, and he moves 30-50 cars per week. You do the math. Here in Georgia, you order a book (contains 20 forms) of reassignment forms for like $20, and it comes to your offices.
4. The wonderful thing about having a Dealer License issued from Georgia is you can operate it from any other state, as long as you are not trying to open up a physical retail location outside of Georgia (ie, your home state). The benefit of having a Georgia Dealer License is much easier to see, particularly if you are from a state that requires a much larger financial start up (like Maryland). If you are in the state of Georgia, obviously it will be easy as well, because we usually can find a custom office close by you as well, if you require that service. Actually, I’m located here in Downtown Historic Norcross at Holcomb Bridge rd, so you can always schedule an appointment for a consultation to discuss my set up services.
5. It’s obvious that most people reading this article are in the state of Georgia and just want to weigh the benefits of getting their own Dealership, versus some other kind of Dealer Network program…where you are just a representative of another company and use their credentials to buy/sell cars. However, many of my clients are from out of state. So, not only to I assist in the set up service, I also provide mail forwarding service and any other support for your Dealership as needed. So if you are thinking about the benefits of a Georgia Dealership, compared to other sates, or other programs that you considering, hopefully this article helped you. If you would like my firm to do the set up for you, you can contact me via phone/text or email right now for a consultation.
If you are researching this topic, then you are most likely, considering the cost, ease of operation and other factors in your decision. I would like to point out that having your own dealership gives you the control you want and need with your own Dealership. You control the dealer plates, titles and all the things that matter to you. You control the money. Owning a Dealership gives you protection in the form of dealership insurance and your surety bond. You get to be able to buy and sell and as many cars as you like regardless of what state you actually are in. If you are just starting out, an affordable Dealership in Georgia gives you the time to grow and expand at your own pace, without the large overhead of a car lot based Dealership. Once you have been operating out of your office location and feel like you have out grown it, you can easily transfer your dealer license to another approved location in the state of Georgia. If you are an out of state License holder, then obviously you are more inclined to operate the smallest financial foot print as possible.
