There have been a few big name Ford dealerships change hands in recent times for prices that seem undercooked..
Former Britek & Formula Ford championship winning (with Mr Larkham & Mr Ingall) sponsor Coffey Ford recently changed hands for $2m
Here, which perhaps reflects the state of volumes in the blue oval dealerships
Ford hasnt tried to tickle business along with fancy financing packages to stimulate demand. Nissan, VW, Toyota, Renault, Subaru, Mercedes, Volvo and friends have all participated in low interest rate financing most recently, and from the look of the sales numbers, this has been helping shift a lot of product.
Whether there is money to be made out of financing is the challenge... being able to flex the interest rates on a customer's borrowings is where many dealerships have made their money.
What will happen going forward with fixed price servicing, as against full price servicing which is another post-sale source of strong margins and indeed ongoing cashflows, will be interesting..