[Question] Vehicle Auctions?

[nightcoder]

Hi Everyone,

I am planning to buy cars on auction and reselling them for profit.

I need to know if anyone here knows anything about this industry and if you can share any tips or tricks you are willing to part with.

I basically know nothing about the best way to go about this. Would you say this is a viable business to start right now taking into account our current economic climate?

I looked all over the Internet for advice but was unable to find anything.

Our goal is to buy cars under R 20 000 to begin with. The plan is to focus on small economical cars and then trying to sell them directly to dealers. If the selling to dealers does not work well, we can still sell via advertising online and offline and via bidorbuy, etc.

Some people I have spoken to is of the opinion that this could work very well, but they are not exactly experts in this field, therefore I am hoping to hear from anyone that can provide some input.

Thanking you in advance.

John

[Dave A]

From what I've heard, buying them isn't the problem. If you don't have outlets lined up, selling them might get interesting.

There is one guy I tend to call if I'm selling anything of our fleet that is in pretty bad shape. And so do lots of retailers to move their high mileage trade-ins. He cleans them up, often including a full motor overhaul, and has a few outlets where he moves them nowadays.

As far as I know, he started out small just selling via classified advertising. Last time we spoke, it sounded like it had grown to quite a big operation.