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How to Sell Used Cars to a Business

by David Pepper

Overview

One business you can enter without putting up a lot of capital is buying and selling used cars. You don't even have to be a car enthusiast--just someone with a little time and money to devote to finding some bargains and then re-selling them on the open market. Most part time car sellers concentrate on the consumer market, but a very good specialty niche can be buying and selling to businesses. Here's how to sell used cars to a business in your area.

Step 1

Develop a feel for your potential customers. As you're riding around town, keep your eye open to see what kind of commercial vehicles are on the road, and which local businesses are using them. Have some business cards made in your name (Example: "John Doe, Buying/Selling Commercial Vehicles") and introduce yourself to some business owners to get a feel for the needs in your individual market. Focus your efforts on vehicles that businesses are looking to purchase.
Step 2

Locate commercial vehicles and buy at the right price. Typical vehicles for businesses are trucks--small, large and specialized heavy equipment such as dump trucks--and vans. Light pickups and vans can often be sourced from leads in local newspapers and Penny Traders. You can also go to major auction sites online, such as Cars.com and AutoTrader.com, to find desirable cars in communities more distant from your base.
Step 3

Another good source for finding commercial vehicles for resale is at the U.S. General Service Administration, which auctions used government vehicles. For a link to the government auctions, see the Resources section. Find an auction near you and register in advance to be eligible to bid. Heavy and farm equipment auctions are held privately in many areas across the country. IronPlanet.com and AuctionTime.com are two sources for finding out about these locations.
Step 4

Once you have a lead on a vehicle, or actually have the vehicle in your possession, advertise it to your client list with a personal phone call or a faxed flyer. Include relevant details, such as engine sizes and commercial customizations, and set a fair price that allows you some haggle room.
Step 5

Deliver your vehicle to your business customer in tip-top condition. Pressure-wash truck beds, clear out old equipment and make your vehicle sparkle. Your new owners will appreciate your attention to detail and word will spread on the business network that you are a trustworthy source of commercial vehicles.

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Some spare cash Business cards
Some spare cash
Business cards
You don't need a license in most states until you sell over a certain number of cars--three in Florida, six in New York, five in Ohio. Check with your local Department of Motor Vehicles for your state's guidelines.
You don't need a license in most states until you sell over a certain number of cars--three in Florida, six in New York, five in Ohio. Check with your local Department of Motor Vehicles for your state's guidelines.
Test drive your prospective vehicle, checking for engine noise, braking and suspension problems. Electrical problems can be especially vexing to repair, so make sure everything turns on and off and works to par.
Test drive your prospective vehicle, checking for engine noise, braking and suspension problems. Electrical problems can be especially vexing to repair, so make sure everything turns on and off and works to par.