Auto Dealership Floor Plan

Retail floor planning also referred to as floorplanning or inventory financing is a type of short term loan used by retailers to purchase high cost inventory such as automobiles these loans are often secured by the inventory purchased as collateral. There s never been an easier way. If your holding cost per day per unit is 44 63 and your turn time is 60 days you will spend 2677 of your profit holding on to a non selling car.

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Variety of floor plan structures and interest rate options to meet your needs and reduce your interest expense.

Auto dealership floor plan.

These floor plan finance formulas incorporated with your turn time can help to make or break your dealership s profitability. Monday friday 8 30 5 30 est. Call or apply now 864 234 9696. Contrary to common perceptions most car dealers do not pay cash for the.

A one percent rate increase can raise some dealership costs by millions of dollars. Afc helps independent automotive dealers expand their businesses by providing inventory finance solutions and key operations related services. Floor cars for up to. With more than 120 locations afc is one of the largest floorplan providers in north america and offers unmatched local access and customer service.

But because inventories are so immense the car business is very sensitive to both floor plan interest rates and the tax treatment of interest expenses. Let s say you make a profit of 3 000 per car sold. Keep it with car bucks. Floor planning is commonly used in new and used car dealerships.

Floor plan statements and inventory information available online. Our floor plans offer quick cash flow great terms and no curtailments. No curtailments or audit fees. New and used vehicle floor plan financing at competitive rates and terms focused on meeting the needs of new car franchised dealerships.

Floor plan loans are among the safest of all financial instruments.

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