What is life like with your car? Let us know and win £500 in John Lewis vouchers | No thanks
Ought I trader?
I would like to become a used car dealer but I do not know what I need to do to register myself. I have bought a car from the sales recently and they automatically send the V5 away and that puts another name on the logbook. I know that I need traders insurance. Can you help please, as I like to be professional.
Asked on 11 July 2009 by
Answered by
Honest John
1. Register for VAT.
2. Have somewhere to keep the cars off the public highway.
3. Obtain trade insurance.
4. Lodge about £20,000 in a bank account then try to get a cheque account at an auction house.
5. Get liability insurance.
6. Subscribe to www.motorindustrycodes.co.uk code of practice.
7. After you have been trading for a couple of years, apply for Trade
Plates so you can legally move untaxed cars around.
8. Realise that no one will help you, most of the motor trade will hinder you and many of the motor trade will cheat you.
It isn't a nice business.
2. Have somewhere to keep the cars off the public highway.
3. Obtain trade insurance.
4. Lodge about £20,000 in a bank account then try to get a cheque account at an auction house.
5. Get liability insurance.
6. Subscribe to www.motorindustrycodes.co.uk code of practice.
7. After you have been trading for a couple of years, apply for Trade
Plates so you can legally move untaxed cars around.
8. Realise that no one will help you, most of the motor trade will hinder you and many of the motor trade will cheat you.
It isn't a nice business.
Similar questions
I am hoping to apply for trade plates and, if necessary, an operating license. My question is which forms do I need, and where do I get them ?
I would like to get into the car trade. Is it realistic to aim to sell 10 cars per month? I would aim for bargain cars under £1500. Would you also please confirm realistic margins, i.e. could I buy them...
Could you help me again please.
I am 50 years old and I have had an interest in high end cars for many years.
I've owned a fair few and turned them over frequently. I have bought 18 month old Porsches...
.jpg)
