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Tactics to Fight Tariff, Turndown and Traffic Margin Squeeze

AutoSuccessOnline

How that process is managed determines how strongly reconditioning helps push back the margin compression clouding your profitability horizon. Holding cost is the normal accumulation of sales overhead expenses that erode margin: floorplan costs, insurance and taxes.

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Vroom Goes Bust: Online Used Car Giant Stops Sales, Lays Off 90% Of Staff

Carscoops

“As we previously disclosed, we intended to raise additional capital to fund our operations and support the extension of our vehicle floorplan facility beyond its current expiration date of March 31, 2024,” said Thomas Shortt, Vroom’s CEO.

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Vroom Used Car Retailer Announces End to Ecommerce Operations, Liquidating Inventory

Automotive Addicts

Vroom’s move comes as a response to challenges in securing additional capital for its operations, particularly in extending the vehicle floorplan facility beyond its current expiration date of March 31, 2024. Despite concerted efforts, the company faced difficulties raising the necessary capital in the current market environment.

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The $740 Challenge: How Savvy Dealerships Are Turning the Tables

Full Path

For dealerships, Higher inventories and rising floorplan costs are eating into profit margins, creating a challenging environment for automotive retailers. Leveraging Digital Platforms: Utilize technology to streamline the leasing process, especially for generations that prefer managing their payments online.

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NextGear Capital Offers Tips for Independent Dealer Success in 2024

AutoSuccessOnline

Be aware of how much credit you have — especially if you have multiple floorplan lenders — and stay away from hard money lenders who drain a dealer’s cash flow daily. Stay informed about software options for managing your floorplan. You are being evaluated just the same as you assess your customers.

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Fears emissions law ‘loophole’ will leave dealers with cars they can’t sell as makers scramble to hit targets

Drive.com

An OEM would say, ‘oh, we don’t make them take them’, but if you [a dealer] get a phone call from your zone manager and he says, ‘mate, I need you to take a hundred of these or 50 or 20 and you’ve already got a bunch of them’ there’s not much you can do – there is pressure, it just exists. “We

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Dealership diversification

Canadian Auto Dealer

He said his company has given every one of its General Managers a home charging station manufactured by Quebec-based FLO EV Charging. “We We went in and adopted a lot of the car business side to their business, everything from financing, structure, accountabilities, floorplans, banking systems, everything.