As the variety of buyers bidding for dealerships grows, it’s important to remember that one size doesn’t fit all when presenting a buy/sell deal to a potential buyer. Regular contributor Don Ray of Portfolio Reinsurance this week considers different pictures that might be painted of a deal based on the potential buyer.
Regardless of the buyer or the sales price, however, for you as the seller it is always the present value of the after-tax cash or cash equivalent is what really counts, he reminds us. So make sure you — or your advisor — keep your eye on that prize.
The Volkswagen emissions fraud scandal continues to roil the industry. Last week Mark Johnson gave us his take on the affair. This week, Ira Silver of MBAF looks at it from a different angle. But he, too, concludes there may be opportunity for Volkswagen dealers who can make it through these hard times.
I am headed to China again this Sunday. I will be moderating at the EV Innovation Leadership Summit held in conjunction with the Formula E race in Beijing. I also aim to sniff around for a story on the buy/sell environment in China. A big deal just got done there. Is this the beginning of a consolidation? I will report back.
As always, we offer the latest Transaction News in this issue as well.
Enjoy!
