What to Consider Before Starting a Used Car Dealership?

If you are thinking of starting your own used car dealership there are several factors which you must carefully consider. The basics include performing thorough market research, identifying a prime location and having a good understanding of all the rules and regulations that are relevant to you in your new business venture.

If you get everything spot on, then you could be onto a real gold mine! However, just one mistake could end up being costly. The age-old adage that all publicity is good publicity is simply not true… especially in a market as competitive as the used car market.

Identify inventory

So, for argument’s sake, let’s say that you’ve already done your market research, you know the rules and regulations like the back of your hand, and you’ve already got yourself an excellent location… Now you just need inventory, and we mean quality inventory, no one is buying rubbish anymore, everyone is just too tuned in to fall for the old sales tricks. At this point, it is essential to find out everything you can about your prospective inventory.

Buy smart, sell smarter

The need to buy before you sell is obvious, after all, if you don’t own it, you can’t legally sell it!

When it comes to purchasing your inventory there are several factors to consider, each of which can be as important as the last. For example, if you are seemingly getting a great deal, only to find that you unknowingly bought several cars that had previously been in an accident, you could easily to stung with exorbitant insurance and repair costs, and that’s before you’ve even made a sale!

You can find out more about the risks involved with buying a car, check this “has my car been in an accident?”

Don’t pay over the odds

Obviously, whether a car has been in an accident or not, you’ll want to sure that you’re paying a fair market value. Buying a used car at above market value will inevitably lead to you making a loss on each car you sell, and that’s without things such as rent for your location and other running costs factored in.

If you are looking to ensure that you pay a fair price, or even ensure a real bargain isn’t too good to be true, you should get an independent valuation, such as those you get when you run a comprehensive background check.

Bring the price down

Let’s say that you’ve seen a seemingly reliable, desirable, and affordable car. But, before you put an offer in, you run a background check. The check identifies that despite the seller’s claims, the car does not have a full MOT history and that it was previously an insurance write-off car check.

Now, these are not reasons to not buy the car, but as the seller didn’t inform you right away you can now make a lowball offer which they will pretty much have to accept. So, you pick up the car for way below the asking price, and as long as you make the prospective buyer fully aware and reassure them that everything is fine, you will still get a good price.

Buying below market value and selling for a fair price means more profit for you!

These are just some of the many reasons to run a full car background check if you’re starting a used car dealership, and Reg Car Checks offer one of the most comprehensive car checks on the market.

7 Ways to Manage Fraud Within Your Financial Organisation

Fraud is a serious problem for financial organisations of all sizes. According to the Association of Certified Fraud Examiners, the typical organisation loses 5% of its annual revenue to fraud. But you can take steps to protect your organisation and reduce your fraud risk.

Here are seven ways to do just that:

SAP Fraud Management

Why not partner with the world’s leading provider of enterprise application software? SAP offers a comprehensive suite of solutions to help organisations quickly detect and efficiently resolve fraud cases. And because SAP integrates seamlessly with popular accounting and ERP systems, you can be up and running quickly and with minimal disruption to your business operations.

SAP fraud management is a critical solution for organisations looking to protect themselves from the costly effects of fraud. With its comprehensive suite of tools, SAP can help you detect and prevent fraud before it happens.

To learn more about SAP fraud management, visit the Pathlock website, the only solution endorsed by SAP.

Implement Internal Controls

One of the best ways to combat fraud is to put internal controls in place. Internal controls are procedures or policies designed to prevent or detect errors or irregularities. They can be as simple as requiring two people to sign off on all disbursements over $500 or regularly reviewing expense reports for unusual activity.

The key is having appropriate organisational controls which will deter or detect fraud. You also must ensure your employees know the controls and how to comply with them.

Conduct Background Checks

Another way to reduce fraud risk is to conduct background checks on all employees, contractors, and vendors. These checks can help weed out individuals with a history of fraud or financial crimes.

You should also have a policy for what to do if an employee is convicted of a crime. For example, you may require the employee to repay stolen funds and terminate employment.

Educate Your Employees

Educating your employees about fraud and how to spot it can go a long way in preventing it from happening in your organisation. Ensure your employees know what types of fraudulent activity to look for and who they should report it to if they see something suspicious. You might also consider implementing an anonymous tip line where employees can report suspected fraud without fear of retaliation.

You can also provide employees with training on specific fraud risks, such as phishing scams or identity theft. This will help them be more vigilant in spotting these scams and protect your organisation from becoming a victim.

Use Technology

Technology can be a powerful tool in the fight against fraud. Consider investing in accounting software that includes built-in controls and safeguards or implementing spend management tools that provide real-time visibility into how money is being spent within your organisation. SAP fraud management is also a worthy investment.

You can also use data analytics to detect fraud. For example, you might flag any vendor payments significantly higher or lower than the average payment amount or any employee expense reports with unusually high amounts for meals or travel.

Technology can make it easy to monitor financial activity closely. This can be done through regular reviews of financial statements, expense reports, and other financial documents.

Look for red flags like unusual patterns of activity, significant or unexplained discrepancies, or transactions that don’t make sense. If you see something suspicious, don’t hesitate to investigate further.

Review Your Insurance Coverage

Be sure your organisation has adequate insurance coverage in place in case of fraud or theft. Many insurance policies will cover some or all losses incurred due to fraudulent activity. Review your policy regularly to ensure you have the coverage you need and that it is up to date.

You should also have a plan for what to do if fraud occurs. This should include who to contact, how to report the scam, and what steps need to be taken to mitigate the damage.

Use Data Encryption

Another way to reduce fraud risk is to use data encryption. This can help protect your organisation from data breaches that could lead to fraud. Data encryption scrambles data so it can’t be read without the proper authorisation and password. This makes it difficult for hackers to steal and use your data for fraudulent purposes.

Ensure all sensitive data, such as credit card and Social Security numbers, are encrypted. You should also encrypt electronic data via email or instant message.

Take Away

Fraud is a serious problem that can have a devastating effect on your bottom line—but there are steps you can take to protect your organisation from becoming a victim. By implementing internal controls, conducting background checks, educating employees, leveraging technology, reviewing your insurance coverage, and partnering with SAP, you can help reduce the risk of fraud and keep your business safe.

6 Effective Ways to Find Exceptional Employees

Your company is only as exceptional as your employees! It may seem like everyone is looking for employment these days. But this doesn’t necessarily translate to having a great pool of applicants ready to fill any job opening you might have. You will have to wade through bad or mediocre applications to get a few decent ones shortlisted.

One study found that it can take as long as 49 days from the time of application to get an employee on board. It can take less time for specific industries, but the bottom line is hiring can be a tedious process.

Find out how to hire the best employees for the job in record time with these six practical tips.

Know What You’re Looking For

Writing the job description and the ad is one of the most crucial parts of the hiring process. But somehow, not much time usually gets spent on this, especially when there is an urgent need for new human resources. Don’t write a quick, generic job ad just so you can start getting applicants right away. Instead, take time to decide precisely what you want for the position.

Be specific with the skills and experience the job requires. Describe the attitude you would like to have in a team member. It’s in your best interest to be as transparent as possible with the tasks the job entails. This will ensure that you and your applicants are on the same wavelength about what to expect.

Lastly, emphasize all the perks and benefits offered by the company on top of compensation. This will entice talented professionals to apply for the job right away.

Require Background Checks

If you think you have found the perfect candidate at last, it’s still best not to take any chances. Make criminal record checks a requirement for any job opening you have and avoid any issues down the line.

Thanks to technology, it’s never been easier for applicants to generate online criminal record checks and instantly submit them to potential employers. They no longer have to go to a physical location, fill out paperwork, and wait a few days. Services like these also keep everyone safe from potential exposure to COVID-19. Third-party background checkers also work for companies that want to check candidates’ backgrounds with their consent.

This way, promising candidates won’t miss out on great but urgent openings, and companies can also be assured they’re hiring someone trustworthy and upstanding.

Be Proactive with Your Search

In a perfect world, the best candidate for the job will find your ad, walk into the company building, and ace the interview. But in reality, the pool of applicants you will get may not always be what you’re looking for. This can be a sign for you to take control of the situation and be the one to reach out to promising job hunters instead.

Thanks to sites like LinkedIn and Indeed, job seekers can now publish their resumes online and have potential employers contact them first. Plus, there are options for employers to filter candidates based on their company’s needs or preferences.

Set Up a Referral System

This move will hit two birds with one stone. Being compensated for successful referrals can boost motivation and satisfaction among employees. They will also be encouraged to find quality candidates for job openings, which will ensure a better pool for you to choose from.

Existing employees are already familiar with the work culture and what the company is looking for. In a way, there is also some initial screening happening before they decide to refer someone. There’s also an unspoken expectation for the employee to refer a good candidate. This is because it may not reflect well on them if they recommend people who don’t meet the qualifications. It’s a win-win situation for all parties involved.

Use an Outline, Not a Script

When you’ve narrowed down several good candidates, prepare an outline before interviewing them. It can have bullet points of what you want to know about the applicant by the end of the interview. For instance, check for their attitude toward high-pressure work or their capacity to be a team player.

Try not to create a word-for-word script or list of questions. They tend to make you too rigid. You may end up asking only the questions you have written, even if they are not what you need to know from the applicant. Be more flexible and adjust the questions and flow of the interview based on the situation.

Another helpful but unusual practice you can adopt is to give interviewees an idea of topics you want to discuss in advance. If they feel ready and less anxious, the interview can be more productive for both sides.

Don’t Decide Alone

Whether you’re still sifting through resumes, interviewing applicants, or selecting who to offer the job to, you can always benefit from brainstorming. Try not to be the only person in the hiring process. Have someone from HR or a trusted colleague join you during the interviews. They can provide some much-needed perspective for things you are unsure about.

If you prefer to do those alone, discuss your options with the rest of the team afterward. They’ll be able to provide fresh insights you may not have taken into account for each candidate.

These six methods can ensure that your company gets the best talent for the job. But your intuition can also go a long way when hiring people. Get to know your applicants in a more relaxed, friendly setting if you can. Resumes don’t always show you the whole picture. A good attitude and mindset can be better than years of experience in many cases.

Think of hiring as both science and art. You can establish procedures and steps, but it’s also essential to bring interpersonal skills and empathy to the table to get the best results.