Starting small second hand car trading business

[sarimraza]

Dear All

I wish to start slow.

Initially i would just like to go to car auction and buy a used car -- i would use some mechanics to upgrade it, advertise for it on net etc and then sell from my home

Later ill grow this and will need space for 5-10 cars

Now there are questions . .

1. Will this be called a business and do i need to register a company and apply for any licence ?

2. For show room space with small parking lot i guess ill have to find a place on rent per month.

In short for this car trading business what sort of paperwork and fees for licenses etc do i need ?

I understand my investment is only going to be the CARS, and later if i BUY the showroom land area instead of renting it ..

Is there any thing else i need to know ?

Is there a market in SAUGA where most of this car show rooms are located or are they scattered ?

Thanks

 

[imoomiiw]

Do you have a answer?

 

[littlekyle]

Hi,

A friend of mine does the similar business in Ottawa as you described. He is a good mechanician and sold 5-6 cars a year as scond job and does not register the business.

To be safe, it's better not to rent space but try your idea of buying second hand car, upgrading and selling to test the market before go further.

Any way, it's not expensive and it does not take much time to register sole-proprietorship.

Hope it could help.

Rgds,

 

[Mike_Thompson]

Dear All

I wish to start slow.

Initially i would just like to go to car auction and buy a used car -- i would use some mechanics to upgrade it, advertise for it on net etc and then sell from my home

Later ill grow this and will need space for 5-10 cars

Now there are questions . .

1. Will this be called a business and do i need to register a company and apply for any licence ?

2. For show room space with small parking lot i guess ill have to find a place on rent per month.

In short for this car trading business what sort of paperwork and fees for licenses etc do i need ?

I understand my investment is only going to be the CARS, and later if i BUY the showroom land area instead of renting it ..

Is there any thing else i need to know ?

Is there a market in SAUGA where most of this car show rooms are located or are they scattered ?

Thanks

http://w ww.omvic.on.ca/info/faqs/dealer_registration_faqs.htm

Once you plan to sell used cars you need a used car dealers license by law. You can buy 1, fix it up and do a private sale etc. to start off.

There are lots of car show rooms in most major cities and Mississauga has a bunch. It's all about price and quality along with the reliability of the type of vehicle. No one wants to get duped into buying a lemon. Read up on that link and good luck

 

[MrsHelper]

Dear All

I wish to start slow.

Initially i would just like to go to car auction and buy a used car -- i would use some mechanics to upgrade it, advertise for it on net etc and then sell from my home

Later ill grow this and will need space for 5-10 cars

Now there are questions . .

1. Will this be called a business and do i need to register a company and apply for any licence ?

2. For show room space with small parking lot i guess ill have to find a place on rent per month.

In short for this car trading business what sort of paperwork and fees for licenses etc do i need ?

I understand my investment is only going to be the CARS, and later if i BUY the showroom land area instead of renting it ..

Is there any thing else i need to know ?

Is there a market in SAUGA where most of this car show rooms are located or are they scattered ?

Thanks

I'd advise you to buy cars from the US, and drive them through Buffalo. As card in Canada are really expensive and the cars in US are much cheaper such as mustangs.

Best of luck xx

 

[Mary32]

Your plan is good sarim. Existing car business is nice because the car is only one which is everyone's need and people will never stop in buying cars so i must suggest you and i best wishes are with you to start it.

 

[asrafurs]

great post. I am benefited from this post.

 

[scylla]

I'd advise you to buy cars from the US, and drive them through Buffalo. As card in Canada are really expensive and the cars in US are much cheaper such as mustangs.

Best of luck xx

You do realize this won't work? You will have to pay duties and taxes on any cars purchased in the US and then driven across the border to Buffalo. By the time you do that, the price will be more or less the same as if you had purchased the car in Canada.

 

[Insurance-Broker]

I don't think you will get any credibility, selling from home. That being said, you can start off by selling a car or two privately and once you get some sort of understanding than start your business.

You can rent space from existing dealers/garage owners.

Register yourself as a used car dealer. Licence and insurance would also be required to operate your business.

Good luck