The Do's and Dont's of Becoming a Motor Trader

Deciding to become a motor trader and open your own business takes a lot of time and consideration, there are certain things you need to ensure are done before you open the doors and there are plenty mistakes you can make a long the way.

What You Must Do

One of the first things you will want to do once you have found and signed for a suitable property is to get your insurance in place. Opening the doors to any business without adequate insurance is a disaster waiting to happen.

Firstly ensure that it covers your building and tools along with your ability to drive customer vehicles. In the event of an accident in a customers vehicle you want the repairs or replacement to be carried out as quickly as possible.

The next thing after insurance is to ensure you have a good website. These days the website is an essential asset, people don't search the telephone directory any more, they go online, learn as much as they can about the business before even considering to book their vehicle in.

Lastly you must offer exceptional customer service, you want repeat and referral business, this is the business that keeps your company's doors open, you cannot rely on marketing alone.

What You Must Never Do

While there are so many things you can do right, there are mistakes you can make along the way, mistakes that can cost you dearly in the long run.

The first mistake is when hiring staff you forget or don't bother getting employer's liability insurance. Now what you may not realise is this is a legal requirement in the UK which protects you when a staff member injures themselves at work. It can amount to thousands in claims and can leave you in serious financial trouble.

Another thing you must never do is allow potential buyers to drive a vehicle you have for sale without having the right cover in place. Demonstration cover enables you to allow customers to try before they buy. This also increases your chances of making a sale.

Lastly what you must never do under any circumstances is to lie to your customers. Your customers are what keeps the business going and you want to enjoy the benefit of repeat and referral business. While marketing online can increase brand awareness, as a motor trader you need your customers to make profits and rise to success.

Review Your Business Insurance Policy Regularly to Ensure the Correct Level of Cover

In order to always have adequate cover for your company you need to review your business insurance policy on a regular basis. As you know the needs of your business are constantly changing, you may be adding new vehicles, you may have sold some vehicles or moved to a bigger property.

This type of policy offers a complete solution for your business covering every aspect of your day to day activities from the building you work from, you are kept covered against fire, theft and damage. Then there are your assets which you keep inside the building, maybe expensive computer equipment or your vehicles overnight.

Other aspects you need to consider which can change is your liability cover, maybe you are welcoming more customers through your doors and realise that the public liability cover you have at the moment just isn't enough any more. You need this level of cover to protect you should a customer injure themselves while visiting your property. A public liability claim against you can leave you in serious financial trouble if you don't have the right level of cover. In the event you don't have enough public liability cover, you will have to pay in the balance, sometimes this can amount to thousands.

If you have business vehicles chances are these are constantly changing, you buy new vehicles and sell the older ones, you need to constantly update your policy to ensure that you are not paying for vehicles you no longer own and that the vehicles you have on the road are all covered.

Saving Money

You should take the time to review your policy a few times a year, when reviewing you can ensure that you have the right level of cover and make changes where necessary. Remember that having adequate cover can save you a fortune in the long run. Without adequate cover you will need to pay out of your own bank balance, this can sometimes leave a company in serious financial difficulty.

Keep a risk assessment close at hand and compare your policy to the assessment, go through all the cover you have and ensure it is enough, that the vehicles you have under your business name are all covered and that you are not paying for cover you don't need.

Often you will find that you are paying for cover that doesn't assist your business in any way. Maybe you're paying for drivers, but don't have drivers or you may be paying for equipment cover, but you don't have any equipment. This is why reviewing your business insurance policy at regular intervals can save you money moving forward.

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How Do Motor Trade Auctions Work?

Motor trade auctions are one of the best places to find great cars at affordable prices, the perfect choice if you are looking for a vehicle to resell at your dealership. The advantage to this type of buying is that you can buy vehicles in excellent body condition with minor mechanical repairs, vehicles with great engines that have minor body repairs or those that are ready to drive away.

Auctions have become a very popular way to purchase vehicles for the private buyers and the dealerships. They are also a great way to sell a vehicle that you are having trouble selling, set a reserve and only part with the vehicle if it reaches that amount or over.

What You Need to Know

The first decision you need to make is to determine what type of auction you wish to attend, there are both online and those that are held face to face. Online gives you access to vehicles from across the country.

In both instances you will want to find out what vehicles are available and determine how much you would be willing to pay. It's essential that you view the vehicle first, try and arrange for someone to view a vehicle for sale on an auction site before you bid.

The auction houses will allow a set period of time where you can view the vehicle, see it run and determine any problems it may have, this will help you come up with the right amount of money to pay for the car.

Next you will need to pay a bidders fee if you are buying from an auction house, the bidders fee gives you the ability to bid on vehicles. Once the fee is paid you will receive a number which is used during the bidding process and to register the owner. Remember that most auction houses only accept cash.

If you win a bid on a vehicle you will need to have cash in hand or have a bankers draft to prove you have the cash available, you will have a short time frame in which to pay and collect the vehicle.

Online vehicles you can pay within a set number of days via PayPal or pay cash on collection.

Whether you're looking for a great deal to resell or you're looking for a vehicle to fix up, the motor trade auctions offer a good selection that ensures you get the best possible vehicle for the right price. Remember to restrict yourself and have a maximum on each vehicle and don't go above that maximum to make it worthwhile.

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Get Taxi Insurance for Your Whole Company - Here's why

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Taxi insurance is not only designed for the sole trader, but it is the ideal choice for the larger cab companies that have a number of vehicles on the road at any given time.

One of the most important aspects of your business are your vehicles, if one of them is involved in an accident it will not only cost you money that will mean that there is one vehicle not making you any money at all.

As you know the legal requirement to drive on the UK roads is a minimum of third party cover, but as a business person you also know this level of cover is not enough should one of your vehicles be involved in an accident.

When you apply for this level of cover you will be given three choices; third party, third party, fire and theft and comprehensive.  The third party options only cover any third party vehicle for property involved in an accident caused by your driver, you will not cover your cab.

So it is easy to see a comprehensive cover is the most logical and practical choice, protecting both your own vehicles and any third party property more vehicles.

The benefit of this level of cover is that you can add all your cabs under one policy, this makes it more affordable, practical and convenient.  You only have one policy number to remember, when phone number to phone and one claims process to go through.

You also want the peace of mind that your driver’s are protected at all times.  In the event of an accident and should your driver be seriously injured you can a claim against you, which is why you need have adequate cover in place.

When selecting drivers for your business is important to ensure that they are over the age of twenty five, they have clean driving licences and a noclaims bonus, bonus on their private policy.  These three things prove to the broker that your drivers are not a risk.

Of course incomes your biggest risk, transporting passengers.  For this you need a good level of public liability cover.  If one of your cabs are involved in an accident while transporting a passenger this can end up with a large claim against you.  A public liability claim against you is a claim you legally responsible for and they can amount of thousands, leaving your business in serious financial difficulty.

So whether you have one cab were a number of cabs, taxi insurance offers you the full level of protection, convenience and money saving ability that your business needs.

Save Yourself and Business by Having Fleet Insurance

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Fleet Insurance can save both you and your business money on an annual basis.  The ability to place all your company vehicles under one policy not only offers convenience, but affordability too.

Would you can expect from this level of cover is the convenience of being able to add and remove vehicles as and when needed with only one phone number to call.  As you can imagine place in all vehicles whether they are cars, motorcycles, vans or trucks is a huge benefit to any business that keeps a large number of vehicles at any given time.

When you think of a private auto policy and you purchase a second vehicle, you know it is cheaper to add the new vehicle to your current policy rather than taking out a separate policy for it. The same applies for business vehicles, placing them all under one policy is a cost effective way to ensure all your vehicles are safe on the roads at all time.

Another big benefit to this type of cover is the convenience of only having one premium to pay. Having a number of premiums due can get confusing and sometimes can result in you forgetting to pay one, leaving it to lapse and leaving your vehicle illegally on the road. While you probably didn’t mean to do so, you will then be in a situation where in the event of an accident you don’t have any cover and if stopped by the traffic policy, you will have a hefty sign to pay, the vehicle may even be impounded.

There are other benefits to this policy. Imagine in the event of an accident you now have to phone the broker, but if you have all your vehicles covered by different companies you will be digging through paperwork and wasting valuable time. Having one policy means one phone number to call and one claims process to go through.

Flexibility

It is very important when looking for this type of cover to ensure that the broker you choose offers you flexibility, the ability to add and remove vehicles throughout the year as and when needed.

As a business you may change your vehicles on a regular basis, selling off those that have worked hard for you for a couple of years and replacing them with new ones. You don’t want to end up in a situation where your broker is unwilling to make changes to the policy leaving you paying for vehicles you no longer own.

I cannot stress enough how important it is to review your fleet insurance policy on a regular basis, this way you are saving both you and your business from paying for vehicles unnecessarily and it gives you the ability to ensure the policy is updated with any new vehicles you have acquired.

Why Do Some Motor Traders Work Independently?

English: Peacock Garage. Servicing motor vehicles, rather than Peacocks. A family business with a small fleet of vans.

There are many independently owned mechanical workshops and dealerships around the UK, these motor traders have chosen to work independently for a number of reasons and often being an independent works to their advantage.

Be Your Own Boss

Being part of a large franchise, even if you have purchased the franchise, means you have someone to answer to, strict guidelines to follow and in many cases strict targets to achieve.

This can add extra stress when starting up your own business. In fact franchise opportunities within this industry is similar to those in any other industry. You have the name to help you achieve success and yet you still have rules to abide by and while you can make your own decisions regarding your business, they have to fall within the franchise requirements.

Being an independent means you are your own boss, your business can be as small or large as you want it to be and the only person you have to answer to is yourself.

Reduced Overheads

Being part of a franchise means you don't only have rent to pay for your property, but in many cases you have franchise fees which are due either monthly or annually, putting a higher financial burden on your business.

Now it may be welcomed to use a large company name to help fuel your business, but at the same time with the financial burdens placed on these companies, working on your own is often a more viable option.

Those that work for themselves without being part of a large group enjoy financial freedom, they can pay rent and utilities, hire as many staff as they want and their overheads will be less than those that have chosen to join a large corporation.

Competitive Prices

Often those that work under the name of a well known company are forced to charge a specific amount for labour, parts and even vehicles. There are strict guidelines to follow and these guidelines is what turns customers away.

These days customers are choosing the independent companies due to their competitive prices, exceptional customer service and one on one contact. The smaller companies are able to deal with vehicle problems quickly, they use non-original parts that do the same job as the original parts and they offer their customers the one on one customer services that people are looking for in today's market.

If you've ever wondered why motor traders have chosen to work independently, just going over the advantages speak for themselves.

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How Many Vehicles Will Fleet Insurance Cover?

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When you are in a business where you have a number of vehicles, fleet insurance may be the answer you are looking for to save money, cover all your vehicles in one policy making it easier to manage.

This type of cover is designed for all vehicles, so you don't have to have a number of cars or a number of vans, you can put all your vehicles into one policy from motor cycles to trucks. This is one of the many reasons this type of policy is so advantageous to so many businesses.

Is This Cover Right For Me

This type of policy is designed for all businesses that have a number of vehicles, some brokers cover from three or more vehicles while others do five or more vehicles, there is no maximum amount, you can have thirty or forty vehicles owned by your business all safe guarded by one handy policy.

The advantage is that there is only one policy. This means one premium and one phone number to call in the event of an accident, what's more there is only one renewal to worry about.

The biggest mistake companies make it shopping around every time they purchase a new vehicle, leaving a number of vehicles all on different policies. This is when the problems start. It becomes a nightmare for bookkeepers that need to try and take note of when premiums are due and when renewals are due, which can often leave you in a situation where you have one or more vehicles uninsured, not legal or safe when driving on the UK roads.

The best thing about this type of cover is that because you can place all your vehicles on one policy in the event of an accident there is only one phone number to call and one claims process to go through. This can save a lot of time and energy and doesn't leave you digging through paperwork trying to determine what car is covered by what company.

Add your own private vehicles to the policy, remember you can add anything from motor cycles to cars and vans to trucks, there is no limit to the number of vehicles you can add and it works out cheaper in the long run. If you were to have a separate policy for each vehicle you will end up paying a much higher amount in premiums than having all your vehicles under one easy to manage policy.

So to answer the question on how many vehicles you can cover by fleet insurance, the answer is that there is no limit, put all your vehicles into one easy to manage policy and enjoy the peace of mind that they are protected every time they pull out onto the road.

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Will Couriers Insurance Cover My Car or Van?

UPS 128314 (Photo credit: kenjonbro)

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When running a transportation business you want to know that all aspects of your business is covered. Being in the transport industry you want to know your building, staff and vans are covered by your couriers insurance, but what about your personal vehicle?

Chances are on a very busy day you get a call to collect a package in a nearby area, all your vans are already on the road so you hop into your own personal car or van to pick up the parcel. Now you may not know this but if you have private cover in the event of an accident while driving for work you are not covered, the safest thing you can do is include your own personal vehicles to your business cover, this way you can collect packages in your local area with ease whenever you want to.

The ability to cover your own vehicle under the business policy can save you money in the long run. You don't have a private cover that you need to pay for any more, you can even add your spouse to your list of drivers, enabling you to completely cancel your private policy and only have one premium to pay.

Of course this type of cover protects so much more than your own personal vehicle, there is your building which you can protect against fire, storm damage and theft. There are the parcels which while in your possession are your responsibility and there are your vans.

Over and above all of this you need to have good liability cover. Public liability is essential, a delivery person walking through your doors and injuring themselves can see you slapped with a hefty fine. Remember that when someone lays a public liability claim against you, you are legally responsible. This can be for loss of income, mental distress and medical expenses.

You also need to ensure that all your staff members are covered by employer's liability cover which is a legal requirement here in the UK. A staff member that is injured on the job can claim for loss of income, so besides abiding by the law it is in your financial interest to ensure you have adequate employer's liability cover in place.

When selecting your drivers always choose drivers with clean driving licenses, combine that with the ability to add your private vehicle to your couriers insurance and you can save yourself some money in the long run.

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Get Yourself Covered with Taxi Insurance

English: A black Taxi in London, UK Deutsch: Ein schwarzes Taxi in London, Vereinigtes Königreich (Photo credit: Wikipedia)

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If you run a cab business whether you work in the city or in a quiet village, you must get yourself covered with taxi insurance. This is a legal requirement in the UK and the mistake many cab owners make is believing that a private auto policy will protect them and their customer in the event of an accident.

If you offer the service to transport customers from one destination to another and you are doing so under a private auto policy, should you be involved in an accident, not only will your vehicle not be covered, but neither will your customers. This is a shocking truth that many cab companies overlook, but a private auto insurance only enables you to use a vehicle for private use, the minute you use it for business, your policy is null and void and you are left in serious financial trouble.

These policies are specifically designed for your industry. Besides being a legal requirement they are a necessity to ensure your business doesn't end up with a large financial bill which you cannot pay.

Your policy should cover your vehicle or vehicles comprehensively. This means that any damage caused to third party vehicles or property is covered along with repairs or replacement of your own vehicle.

The policy should also protect you in the event of an accident, this can include additional loss of income, which pays you out for the time you are unable to work. This may be while you wait for repairs to be carried out or if you need time to recover before returning to work. Loss of income is a wonderful cover to have, it ensures that you can continue to pay bills even while you are unable to work. This means your business can continue moving forward even without you behind the wheel.

Then there are your customers and you need to ensure you are covered to take them where they want to go. In the event of an accident whether it was your fault or not, you are responsible for protecting your clients. So public liability cover is essential to the daily running of your business and your policy can protect you against any claims laid against you for loss of income, medical expenses or mental distress.

What you will notice is that if you run your company in the city you will have a higher premium than the cab companies that run in the quiet countryside. This is due to the fact that your risk of having an accident in the city is increased as there are more vehicles on the roads. Always double check any taxi insurance policy to ensure that your entire business is covered and that it offers you the best protection when you get in your vehicle each morning.

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Want to Get a Job in the Motor Trade But I Don't Know What Motor Trade Recruitment To Use

When looking for a job in a particular sector of the motor trade, you have a choice of motor trade recruitment options at your disposal. Depending on the type of job you are looking for, the area you live in and the type of company you want to work for will determine the best way to find the jobs.

Online

These days technology has taken a firm grip of the advertising side of things. All companies within the industry use the internet as a way to post their current job postings. This way they don't have to spend too much money on advertising and they can reach a wider selection of applicants.

The problem for you when it comes to using the internet to find jobs is that you are competing against hundreds of other applicants, these applicants may be just as well qualified as you and many of them live closer to the business, giving them the upper hand.

When using online resources to find the perfect job in this industry it's advisable to check the sites and forums as often as possible. Checking them a few times a day will increase your likelihood of applying for a position quickly and getting to the front of the queue. Many of the companies will not offer a phone number and require you send your CV for review.

It's important to ensure your CV is well written, it should be short and to the point, highlighting your abilities and achievements within the industry. Bear in mind that your potential employer has probably received a large pile of CV's which they need to wade through, so making yours appealing and highlighting your abilities will make it easier for the person to read and hopefully put your CV in the “yes” pile.

Agencies

Another option is to sign up with an agency. Agencies that specialise in the vehicle industry work with key businesses and their job is to screen prospective applicants and then forward the information to the company. The advantage to this is these are the jobs you don't necessarily find online. These companies are busy and the management don't have time to read and review each CV. The agency does the leg work for them.

The advantage to registering with an agency is that they already have your information on file, so they are able to forward your information as soon as a suitable position becomes available, this may be before it's plastered all over the internet and available to the hundreds of other applicants searching for the same job criteria.

When it comes to motor trade recruitment it's worthwhile using all the resources available to you to increase your chances of finding the perfect job.

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