Comments Off on Phil Villegas to his share his insights on the 2014 Mega Dealer 100 issue
By Phil Villegas
If you’re like me, you use the WardsAuto Megadealer 100 to gauge which dealer groups are in a growth mode and which aren’t.
In facilitating the buying and selling of dealerships, my firm, Axiom Advisors, takes a due-diligence approach that it’s not always what you see on the books that will get you, it’s what you don’t see that can ultimately sneak up on you.
Comments Off on Outsiders Poised to Buy Car Dealerships
By Phil Villegas
This is an attractive time to be a car dealer. Dealership profitability is up across the board, automaker are producing great vehicles and the upswing looks like it will last for the next few years.
Accordingly, we’re once again seeing activity brewing from outside speculators looking to enter and redefine the dealership arena. It’s similar to 2004 through 2007 when individuals and entities new to the industry vied to buy dealerships.
Comments Off on That’s How We’ve Always Done It – Embracing Microsoft Excel to Promote Accounting Department Efficiency and Productivity
By Lucian Bacallao, CPA
An easy way to identify when a change may be needed is to ask why things are done a certain way. If the response given is, “that’s how we’ve always done it,” then there may be a need for change. Throughout my time working with auto retailers, I have noticed one of the biggest opportunities for improvement in business offices is addressing the underutilization of Microsoft Excel (“Excel”) for accounting transactional postings, and operational and financial analyses. Excel is the predominant spreadsheet and financial analysis tool used in almost every accounting office, but it’s also the most underutilized accounting tool available to dealership employees.
Comments Off on As the Retail Automotive Industry Surges Look Out for Industry Outsiders and Private Equity Firms Driving Up Blue Sky Values
By Phil Villegas
This is a very attractive time to be a car dealer. Regardless of the franchise or region, sales and dealership profitability are up across the board, manufacturers are producing great and attractive vehicles, and by all indications, this solid trend is certain to last throughout the next few years.
Comments Off on Have You Tested Your Payroll Lately
Here are some quick payroll and personnel tests to stay better informed of potential risk areas:
Is the company withholding properly in accordance with IRS guidelines? Is any of the withholding being charged to the company? Divide withholding amount into gross earnings by employee. Are any percentages too high or too low? Is there a W-4 on file to support the number of withholding allowances claimed?
Comments Off on Avoiding Closing Table Surprises – Things you should know before you sign the APA
By Marilou C. Vroman, CPA, CFE
Buying and selling dealership’s is no small task, nor is it something to be taken lightly. With transactions that can take months to complete and involve tens to hundreds of millions of dollars, both the financial risk and reward can be overwhelming. Buy-sells can affect dealership owners and its employees both financially and emotionally.
In 1895, attorney George Selden received a U.S. patent on a horseless carriage powered by a gasoline engine. The patent was written so broadly, anyone building anything that looked like a car with an internal-combustion engine would have to pay him royalties.