Different Categories of Automotive Damages and the best Insurance Cover


Hefty expenses will always be there when running a dealership business. Therefore, it’s up to you to know how much you are prepared to spend. There is always room to trim your franchise costs as long as you are willing to get a grip on your expenses before your business explodes. You should be prepared to spend money in order make money thus the need to invest in advertising, employees and expensive cars.

To make your automotive business more profitable someone in the industry has to get into the weeds with your expenses. This implies that you need to look at a month by month income statement for the previous years of the business. By so doing, you can compare your cost of sales, sales, gross, profits and expenses. Where you choose to decrease costs will depend on your dealership, but here are some expenses to focus on;


An easy area to save money is by observing how much overtime your personnel is clocking but not firing them. Always have management sign off on all overtime before it serves to payroll. You also need be smart about who you hire as hiring mistakes are costly. Bringing the wrong person into your business can adversely hurt productivity, teamwork, and profitability.

When cross-examining a job applicant, never ask hypothetical questions but rather ask behavioral ones. Hypothetical questions don’t divulge anything about the applicant’s real-life. Try to minimize turnovers as much as possible by taking time to employ right people.


It is essential when running an automotive business although it needs a tactical management. Do not throw money into print ads, commercials without measuring the desired outcomes. Poor advertising strategies hardly bring in the amount of business you need as the numbers don’t add up. Advertising provides publicity for your business’s products and can assist to distinguish from your competitors. You can control the variables of the marketing equation by examining ways to decrease the production cost, impulse advertising expenditures, and media addition fees.

Office and shop supplies

Always shop around for discounts and keep supplies constantly locked to reduce the cost of purchases. Personnel can get tacky fingers at times when buying office supplies so ensure to appoint specific ones to be key holders.

The degree of organizational disturbance caused by discounts will be equivalent to the degree of cutting you do.  Trademark supplies only have name acknowledgment and prestige but not always cost effective. Always purchase generic products for less money as they are equivalent to their brand name.


Mostly, used cars sitting on your lot cost you money each day. Having a strategic rule could help so that your stock keeps moving, but your money doesn’t.  By taking time to tighten the purse strings a little and review your expenses, the profits you incur will massively progress without much effort.

Ensure to keep track of your inventory levels in a straightforward way to avoid overstocking and also reduce cost. Implementing a perpetual system will enable you to track sales record movements in real time and reorder stock.

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