July 21, 2008 at 12:26 AM #243774RaybyrnesParticipant
Working with Fleet is a litte different. You deal with commercial accounts and you are looking at the monthly revenue stream. The majority are set up on operational leases. Depending on the number of months you want to make around 40 a month for a realy well qualified customer with a good fleet to 100 a month which might be a short term lese on a poor credit. Did not really matter whether it was made on markup or financing. Smarter buyers realize this and just want a fair deal and you work as their employee structuring the deal. Dipshits will try to focus in on price or financing. You appease their ego with what they are looking for but in the end you are getting between 40 to 100 a month.
Sort of like destination charge. If someone wants to fight destination charge, it like OK let’s get rid of destination charge. You reduce the holdback which appeases the buyer, hopefully you had some margin built in and you angle the finacing. In the end you are getting a minimum of 40$ a month or you are just going to let the deal go. There are other deals out there and you don’t have time to deal with this every time someone is looking for a company vehicle. I would usually set up a deal structure. By this I mean the parameters were laid out from the onset.
Your cost would be Invoice Cost less advertising and finance on a factory order less dealer incentive or fleet rebate whichever wss greater. Financing would be Prime +.50 and dispositon of the vehicle is $200. (This is a sample)
In any event this is how fleet works. You figure a 40 car fleet is going to cycle through 25% of vehicles each year so you set this account up correctly and you have 10 sales a year. You provide them with insurance and a maintenace package and you end up making about 250 per vehicle (as the salesperson). If an owner want s to do everything himself (and they can) move on. They are usually losing money if they do or their business is not being maximized to it’s full potential. It is very much a realtionship oriented business. Any one transaction is meaningless. If you want to skip the trip up to LA it amy be worth using he following service. http://www.newcar4you.com/qa.html
Guarantee low price adn vehicle delivery. If you already have a price on paper I don’t think you have anything to lose.
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