Go Back   986 Forum - The Community for Porsche Boxster & Cayman Owners > Porsche Boxster & Cayman Forums > Boxster General Discussions

Post Reply
 
LinkBack Thread Tools Display Modes
Old 05-08-2006, 07:15 AM   #1
Registered User
 
Perfectlap's Avatar
 
Join Date: Nov 2004
Location: New Jersey
Posts: 8,709
Opening A Porsche dealership?

Anyone know what it takes to open a Porsche dealership? Any info is much appreciated.

__________________
GT3 Recaro Seats - Boxster Red
GT3 Aero / Carrera 18" 5 spoke / Potenza RE-11
Fabspeed Headers & Noise Maker
BORN: March 2000 - FINLAND
IMS#1 REPLACED: April 2010 - NEW JERSEY -- LNE DUAL ROW
Perfectlap is offline   Reply With Quote
Old 05-08-2006, 07:29 AM   #2
Registered User
 
Join Date: Apr 2006
Location: North New Jersey
Posts: 440
Quote:
Originally Posted by Perfectlap
Anyone know what it takes to open a Porsche dealership? Any info is much appreciated.

Alot of capitol I would assume...
Seems like new Porsches dealers dont open around here, they just change owners or move.
So you would need an open territory or to purchase a dealer.
__________________
Marc Gelefsky
02 996 Carrera Coupe 6 Speed Aero
86 911 Carrera Targa

http://forums.rennlist.com/rennforum...tar14266_4.gif
EX-88 951, 87 951, 86 944na, 85.5 944na 00 Audi S4..01 Boxster S .etc..etc
Marc Gelefsky is offline   Reply With Quote
Old 05-08-2006, 07:35 AM   #3
Registered User
 
Join Date: Sep 2005
Location: Sacramento
Posts: 3,417
Send a message via AIM to blinkwatt
Quote:
Originally Posted by Marc Gelefsky
Alot of capitol I would assume...
Seems like new Porsches dealers dont open around here, they just change owners or move.
So you would need an open territory or to purchase a dealer.
Does Porsche makes contracts so only one person(investor) within 100 miles radius(example) can have a Porsche dealer?
__________________
-99' Zenith Blue 5-spd...didn't agree with a center divider on the freeway
-01' S Orient Red Metallic 6-spd...money pit...sold to buy a house
blinkwatt is offline   Reply With Quote
Old 05-08-2006, 07:42 AM   #4
Registered User
 
Join Date: Apr 2006
Location: North New Jersey
Posts: 440
Quote:
Originally Posted by blinkwatt
Does Porsche makes contracts so only one person(investor) within 100 miles radius(example) can have a Porsche dealer?
They limit dealers geographically for sure, in this heavily populated area it can be a little as 8-10 miles.
__________________
Marc Gelefsky
02 996 Carrera Coupe 6 Speed Aero
86 911 Carrera Targa

http://forums.rennlist.com/rennforum...tar14266_4.gif
EX-88 951, 87 951, 86 944na, 85.5 944na 00 Audi S4..01 Boxster S .etc..etc
Marc Gelefsky is offline   Reply With Quote
Old 05-08-2006, 07:53 AM   #5
Registered User
 
Join Date: Jul 2004
Location: Houston, Texas
Posts: 7,243
A friend's dad opened a Chevy dealership years ago. He needed 1.5 million bucks to do it. I would imagine a new Porsche dealership would require at least as much capitol plus a hefty debt to build the building, buy the land, outfit the service bays, etc.

I can't think of any reason why any sane person would want to own a car dealership unless they grew up in it and didn't know any better.
RandallNeighbour is offline   Reply With Quote
Old 05-08-2006, 08:10 AM   #6
Registered User
 
Brucelee's Avatar
 
Join Date: Jun 2004
Location: Des Moines, IA
Posts: 8,083
Capital and experience. And lots of capital, did I mention that?

oh, and being German helps too!


:dance:
__________________
Rich Belloff

Brucelee is offline   Reply With Quote
Old 05-08-2006, 08:13 AM   #7
Registered User
 
Join Date: Sep 2005
Location: Sacramento
Posts: 3,417
Send a message via AIM to blinkwatt
Quote:
Originally Posted by Brucelee
Capital and experience. And lots of capital, did I mention that?

oh, and being German helps too!


:dance:
Every German mechanic I met has been named "Hans".
__________________
-99' Zenith Blue 5-spd...didn't agree with a center divider on the freeway
-01' S Orient Red Metallic 6-spd...money pit...sold to buy a house
blinkwatt is offline   Reply With Quote
Old 05-08-2006, 08:38 AM   #8
Registered User
 
Join Date: Jun 2004
Location: NYC
Posts: 121
Let's all chip in

This way we can get our Boxsters, parts and service at cost.


bob
BoxsterSbob is offline   Reply With Quote
Old 05-08-2006, 08:48 AM   #9
Registered User
 
Join Date: Sep 2005
Location: Minneapolis/St. Paul, Minnesota, USA
Posts: 3,308
Hi,

I seriously doubt that there are any Franchise opportunities at all in the US. The existing Dealers will all have geographically based non-compete clauses in their Dealer Franchises.

For Porsche and a new Dealer to open one, the affected existing Dealers would have to relinquish part of their acquired rights to that geographical area, after being duly compensated of course. This could turn out to be the biggest expense of the whole package.

Given the high cost of entry and the limited sales, it would probably not make sense as a stand-alone dealership, rather an existing Dealer of other Marques may be able to make it work, but only through consolidating and ammortizing costs between the various other Dealerships they owned.

As a Stand-alone, I expect you couldn't produce a credible Business Plan which allowed you to turn the corner in less than a decade, maybe more, anything less would be so optimistic as to be labeled Fantasy by any Bank or Lending Institution...

Happy Motoring!... Jim'99
MNBoxster is offline   Reply With Quote
Old 05-08-2006, 10:07 AM   #10
Registered User
 
Ronzi's Avatar
 
Join Date: May 2004
Location: Denver CO
Posts: 748
There are NO Porsche dealerships in Montana, Wyoming, and South Dakota.
Looks like a major opportunity to lock up three states. All those miners, cowboys, and potato farmers are doubtless salivating at the chance to buy a Cayenne Turbo. Rag top sales might be thin upon the ground, however.
Ronzi is offline   Reply With Quote
Old 05-08-2006, 10:39 AM   #11
Registered User
 
Perfectlap's Avatar
 
Join Date: Nov 2004
Location: New Jersey
Posts: 8,709
you have to see the front caliper on that Cayenne TurboS.

How about this would Porsche cooperate in setting up a service center where ONLY certified Pre-Owned Porsches would be sold?
__________________
GT3 Recaro Seats - Boxster Red
GT3 Aero / Carrera 18" 5 spoke / Potenza RE-11
Fabspeed Headers & Noise Maker
BORN: March 2000 - FINLAND
IMS#1 REPLACED: April 2010 - NEW JERSEY -- LNE DUAL ROW
Perfectlap is offline   Reply With Quote
Old 05-08-2006, 11:13 AM   #12
Registered User
 
Join Date: Sep 2005
Location: Minneapolis/St. Paul, Minnesota, USA
Posts: 3,308
Quote:
Originally Posted by Perfectlap
you have to see the front caliper on that Cayenne TurboS.

How about this would Porsche cooperate in setting up a service center where ONLY certified Pre-Owned Porsches would be sold?

Hi,

I suspect you're barking up the same tree here, but of course, no one here can speak for Porsche AG or Porsche NA...

Happy Motoring!... Jim'99
MNBoxster is offline   Reply With Quote
Old 05-08-2006, 12:26 PM   #13
Registered User
 
Brucelee's Avatar
 
Join Date: Jun 2004
Location: Des Moines, IA
Posts: 8,083
FP is too busy trying to sink the CEO of VW to worry about the Prairie States.

I just read a short bio of the guy. He makes the term Egomanic seem too mild.

It IS tough being German sometimes.

__________________
Rich Belloff


Last edited by Brucelee; 05-09-2006 at 05:44 AM.
Brucelee is offline   Reply With Quote
Old 05-08-2006, 06:37 PM   #14
Registered User
 
Join Date: Feb 2006
Location: Toronto Ontario
Posts: 291
For a McDonalds which is cheaper than a Car Dealership you must have liquid net worth of 5 million dollars to even quilify to buy one. You pay $900,000 for the store and must also agree to develop two new stores in your area (dependant on what they say) in the next two years.

I'll bet for a Car dealership you would need at much liquid capital if not more because of the cost of all the inventory. Yes it's financed but you need to have minimum 1 years operating expenses in cash reserves. The Corporation doesn't want to be taking over franchises because they can't afford to keep it running if they don't sell X number of cars.

Basically you gotta be TOTALLY loaded to open something like that. I do Franchise lending for Canada's largest bank. The terms are set out by the Franchise corporation and all the people are pre-screened before they can even apply to us for the financing. If the corporation says they are worthy, we do some checking but pretty well run it through because they are backed either way with a guarantee. The different ratios and criteria one must meet is crazy. Basically need 4X-6X the cost of the operation in cash to even open the doors (thats after paying to get the place started).
986Jim is offline   Reply With Quote
Old 05-08-2006, 07:27 PM   #15
Registered User
 
Join Date: Dec 2003
Location: Fair Oaks, CA
Posts: 75
Send a message via AIM to janzenms
Call them

Quote:
Originally Posted by Perfectlap
Anyone know what it takes to open a Porsche dealership? Any info is much appreciated.
I would just call, write or email them. I got this contact info from the http://press.porsche.com website (shhhh carrera/carrera):

Porsche Cars North America, Inc.
980 Hammond Drive, Suite 1000
Atlanta, Georgia, 30328

Public Relations
Martin Peters (770) 290-3667

__________________
-Mike
-----------------------------
2001 Porsche Boxster, 2001 Honda Accord V6, 2006 Honda Ridgeline
My other hobbie: emptum, GETitSELLit, CARazed
-----------------------------

http://static.flickr.com/55/128864958_14b7e6dbeb_m.jpg
janzenms is offline   Reply With Quote
Post Reply


Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Trackbacks are On
Pingbacks are On
Refbacks are On




All times are GMT -8. The time now is 02:19 AM.


Powered by vBulletin® Version 3.8.7
Copyright ©2000 - 2024, vBulletin Solutions, Inc.
Content Relevant URLs by vBSEO 3.6.0
Copyright 2024 Pelican Parts, LLC - Posts may be archived for display on the Pelican Parts Website -    DMCA Registered Agent Contact Page