A new tax sheriff is coming to town. What does it mean for the retail car business? If the new tax policies do, indeed, put more money into most consumers’ pockets, it could boost 2018 auto sales, which are currently forecast to be basically flat compared to 2017.
The extra cash may help offset the increase in the cost of borrowing that rising interest rates will likely bring, points out Jonathan Smoke, chief economist at Cox Automotive. As for what it will mean for the buy sell market, I aim to look into that and get back to you next week. If you have thoughts on that topic, please drop me an email.
Personal relationships are something that definitely help in the buy sell market. I have talked to many dealers who found out a franchise was available because the seller called them first. That is the case in this week’s dealer profile. The Wyler family is very well known in its neighborhood, which happens to be Cincinnati, and it focuses on that area as it grows. That helped it acquire a Mercedes-Benz franchise. Check out this week’s issue to read the story.
Consolidation is a constant drumbeat in today’s dealership world. As a group adds franchises, the accounting becomes increasingly complex. Dealership groups save money by centralizing functions such as human resources and IT. Why not accounting?
This week, our friends at DHG offer the rationale for a centralized accounting center for multi-franchise groups. Sure, it can save money. But it can also mitigate risk and offer other benefits.
And we have … wait for it … Transaction News.
Happy Holidays to all!