Question:

Can a used car dealer buy a new car from a franchise, new car dealership?

by Guest60039  |  earlier

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I'm a used car dealership (llc structure), can I go to an Acura/Honda/Toyota/BMW/SAAB/etc. dealership and purchase and register a new car into my company's name for future resale?

Your factual answers are greatly appreciated. Please, no 'I think' type of answers.

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3 ANSWERS


  1. They will not wholesale you the car, you'll have to buy it retail, and they'll register it in your business name in order to pay the tax.  At that point the car is yours and you can sell it as a used (pre-owned) car.


  2. You have a business license. You can buy and sell any car you like. Driving it off the lot makes it used. There is no law against it. But if I were you, I would check into buying a dealership franchise, where you sell new cars on consignment.  

  3. The new car will have an MSO, so you will have to pay sales tax on it, since you don't hold that franchise.

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