Does anyone have any experience purchasing a dealership of any sort?

searcher profile

June 18, 2025

by a searcher from Columbia University - Columbia Business School in New York, NY, USA

Hi all, I’m exploring the possibility of purchasing a dealership—this could be in any sector (auto, equipment, boats, franchise, etc.) and I’m hoping to learn from others who’ve gone through this process. If you’ve had any experience acquiring a dealership or even considered it seriously, I’d really appreciate hearing about: 1) What type of dealership you looked into or acquired 2) What the buying process was like (e.g. due diligence, financing, negotiations) 3) Any major challenges or red flags you encountered 4) Things you wish you’d known before starting 5) Any tips or resources that helped you Feel free to respond here or DM me. I'm grateful for any insights, big or small! Thanks in advance!
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commentor profile
Reply by a professional
from Villanova University in New York, NY, USA
For an auto dealership, I would highly recommend a QoE firm that has done many auto dealership QoEs in the past. Its a unique business model and has specific accounting practices. You'll need a firm that knows where the skeletons are in the closet. Its a bit of a challenge getting approval from the manufacturer but we can help you get through it (and the QoE). Happy to talk more / introduce you to some folks at my firm that specialize in auto dealerships. That said, there is very good upside for a strong performing store, and if you acquire several...
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Reply by a searcher
from Grenoble Ecole de Management in Vancouver, BC, Canada
I've looked at a few different types of dealerships and worked at the largest CAT dealer globally - reach out if you'd like to connect. I haven't found one that made sense from a Search perspective yet. Highly capital intensive, although can be a good cash business if there is good floorplan financing and you can turn through inventory at a reasonable rate. Most profits come from financing and the maintenance / repair shop so I'd personally rather target those as standalone businesses.
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