If you’re passionate about cars then you’ve probably considered making money buying and selling them at one point. One of the great things about making a living buying and selling cars is that the barrier to entry is much lower than other types of careers in the motor trade. For example, if you wanted to set up an MOT garage then you’d need years of experience in working as a mechanic to do that successfully. However you can make a profit buying and selling cars with a small initial investment and the right know how.
If you’re thinking of venturing into the world of buying and selling cars then below are some practical tips to help you succeed.
Know the market
This one is obvious. If you want to make a good profit buying and selling cars then you have to be able to spot a bargain. There are so many cars out there that you could choose to buy and sell; you need to know which are popular and the ones that you’re most likely to make a profit from.
Many people who sell their car are looking for a quick sale and this presents a good opportunity for you to make money. The basic business principle of ‘buy low and sell high’ applies here. Try to look for vehicles that you can make the maximum amount of profit on.
Know the law
In order to buy and sell cars successfully you should also know the law very well. Most of it is fairly obvious and basic but it’s still worth looking through the requirements for buying or selling a car so you know that everything is above board.
You should also know your legal rights if you’re sold a car that’s not as advertised. Sometimes you won’t be able to do anything about it, especially if that car is sold privately ‘as seen’ but if you’ve bought from a garage then there will likely be some guarantee in place that you can take advantage of.
Get yourself covered
When buying and selling cars, even if you’re doing it from your own home on a part-time basis, you still want to get the necessary cover to protect you. If you’re just starting out or only selling cars on a part-time basis then a part-time motor trade insurance policy could be the perfect fit.