70bigblockdodge
Old Man with a Hat
My overhead is less.Paying Journeymen $50/hr aint cheap. Door rates average $150/hr up here. Most fixed operations run at 50-60% absorbed so sales must make up the other 40-50% in gross sales just to break even. I know of many middle to large Dealerships that are currently losing $100k to $300k a month right now in my market. Breaking even is considered a win nowadays. My monthly expenses to turn the lights on day 1 of the month top out at $600k so I need to gross $700-$800k to make a decent ROI. Average profit selling cars at $4000 per in 50 units is only $200k so fixed needs to produce $400k mmmm average per RO is $250 so thats 1600 work orders in a 22 day month or 72 per day in a 18 bay shop is 4 per bay...thats 18 bays producing 10 hours of billable work every day ...oh ya warranty work only pays 60% of door rate so tech is making 40% less and they love that..
All kidding aside there is money to be made owning a Dealership but it is far from easy...
The big bill means bigger GST, Ontario thanks you.
Not as bad as changing the starter on a 4.2 Trailblazer.You ever try to replace #7/8 plugs on a 5.7 hemi in a Grand Cherokee?? I’d pay that to not have to