Advice on setting up in car sales

underpaid

Hi there, Im looking for information on setting up in car sales with regard to requirements to obtain a tan number, procedures to follow etc.
Really its the procedure that needs to be followed to set up efficintly, such as "is a tan number required straight away or can it be obtained at a later date i.e a few months later?"

I have bought and sold cars on a part time basis for the past 5 years or so and understand the instability of the market at present so no need to point that out. Recently my hour/wages have taken a hit to the extent that I feel I would be able to make a substantially better living in car sales.

So if anyone involved in the industry or has knowledge of the industry would like to point me in the right direction I would be greatly appreciated.I have made a number of contacts over the years, in Ireland, north and south, and in the uk and while the logical choice would be to speak to them I would prefer to have a basic understanding of the procedure before speaking to them.

Thank you all in advance.

Cars&cars

Hi

a TAN no is not required and is hard to get - you need premises that will be inspected.

First you need a company or trading name - set this up at companies house CRO, then call revenue and ask for a new business pack, you need to set yourself up for tax purposes, either as a sole trader or ltd company - best to get an accountant to advise you on this and for them to do your book keeping and accounts.

The tricky part is vat - however this cant wait if you do less than €55k turnover.

Have a look at some business start up sites on the net.

Oh you will need to take out trade motor insurance too, and if you start a garage you will need to insure that too. If you employ anyone it gets more complicated with PRSI, bla bla.

Drop me a line if you want any futher advice.

underpaid

Hi,

Thank you for the information. I have tried to pm you but it doesnt seem to send? Can you pm me your email address as I have a few more questions. Thanks.

kazul

I know you think you're aware of how difficult things are at the moment but do you think you're better than people who have been in the business 20+ years, been through 2 recessions already and have gone to the wall?
Myself and my former colleagues were shifting on average 200+ units a year each and 2 out of 12 are still selling.
Good luck if you decide to go through with it cos that's what you'll need.

underpaid

Hi, I certainly dont think Im better than anyone else and I apologise if it came across that way on my original post. I am all too aware of the potential pitfalls but I suppose if it was easy everyone would be at it:).

old_aussie

kazul wrote: »

I know you think you're aware of how difficult things are at the moment but do you think you're better than people who have been in the business 20+ years, been through 2 recessions already and have gone to the wall?
Myself and my former colleagues were shifting on average 200+ units a year each and 2 out of 12 are still selling.
Good luck if you decide to go through with it cos that's what you'll need.

No, you don't need good luck, you need good business sense.
That's what the two remaining sellers had.

Any business needs determination, good management and an educated judgement to survive and succeede.......NOT luck.

-Chris-

underpaid wrote: »

Hi,

Thank you for the information. I have tried to pm you but it doesnt seem to send? Can you pm me your email address as I have a few more questions. Thanks.

You may as well post the questions here (if the answers aren't commercially sensitive), that way the answers are available for future posters too.

underpaid

No problem Chris,

My questions are to do with the TAN number and the requirements you must meet to get one?

Also is it possible to hold english registered cars on your pemises without a TAN number? obviously the cars would be sold vrt paid etc.

Esel

underpaid wrote: »

..Is it possible to hold english registered cars on your pemises without a TAN number?

Pretty sure the answer to that one is 'No'.

Drummerboy08

I'll tell you the truth. It sounds like you'll be eaten up alive by the trade and the public alike if you enter the Motor trade with your current level of knowledge.

I dont want to sound harsh, but if you have to ask these questions, then you havent a chance. You'll hit the ground before you even take off. Its a massive struggle for guys who have been selling cars for 20 years. For someone to enter the trade now with very obviously little experience is madness.

My advice? Get a sales job in a showroom.

kazul

old_aussie wrote: »

No, you don't need good luck, you need good business sense.
That's what the two remaining sellers had.

Any business needs determination, good management and an educated judgement to survive and succeede.......NOT luck.

Thankfully I had the good business sense to get out of car sales. I know what a business needs to succeed, I have grown one since last september to a stage where turnover has quadrupled.
Sometimes you make your own luck.

ha-ya-said-what

you'll also need a premises that will pass the environmental inspection ie concrete yard, incase they were to decide to ever do a random wee check on ya or get a report about ya.

underpaid

@ Drummerboy - thanks for your honesty, as I said I have thought long and hard about this and have plenty experience of the buying and selling aspect of the business over the last few years, in the good and not so good times.I have also set up and grown a small company, which is still operating successfully, in the past so I have a bit of experience of that aswell.

What I need is advice in aspects such as obtaining a tan number etc. I admit I have little knowledge of this side of the industry but the only way I can gain it is by asking questions and listening to peoples advice as well as researching it myself.

Esel

Ho hum.... I found these by entering TAN VRT into the Search Box on www.revenue.ie and clicking Find. Not rocket science, really.

Information Notice on the Commercial Aspects of Vehicle Registration Tax in Ireland

The following is very detailed:

VAT and VRT on Transactions involving Motor Vehicles

underpaid

esel wrote: »

Ho hum.... I found these by entering TAN VRT into the Search Box on www.revenue.ie and clicking Find. Not rocket science, really.

Information Notice on the Commercial Aspects of Vehicle Registration Tax in Ireland

The following is very detailed:

VAT and VRT on Transactions involving Motor Vehicles

Hi esel, thanks for that, I found the second link a few night ago and am not even half way through it, plenty night time reading