the turner family

Hi everbody!

Just a quick update first, EOI selected, full application submitted last week, waiting to hear from NZIS in London.

I have a job waiting for me in Auckland but when I was in England I made a bit of money and kept myself busy by buying cars either from auctions of from main dealerships part exchanges that were too old for them to forecourt.

I did any repairs needed, new MOT, valet etc and re-sold them. I used small ads, window stickers, creative parking and e-bay to get buyers.

When in NZ I would like to do this again as well as bit more cash I actually enjoyed it.

I know it is a long shot but do any forum users have any advice regarding the feasability of this. I should mention that my regular job there is motor trade too so I am expecting to have the inside line on resonably priced spares and other services.

I know the ACS means car insurance is cheaper than UK but is a motor trade policy available?

I would like to stress that I am NOT a cowboy. I am a trained mechanic and would NEVER allow anyone to get into a dodgy car.

Any thoughts????

Bye for now.

Matt

Sega Mad

I can't answer your questions because I don't know the answers. We Haven't gone to NZ yet. What I must say though is that it is my belief that your enterprising spirit is just the thing to make your move a success. I believe that anyone with a 'go for it' enterprising spirit is precisely what a country like NZ needs. You are asking all the right questions and making all the right plans. Good Luck

Regards

deedee

You can do it out of your back door, but after(i think 5 sales a year) you need an MTA licence.They are pretty hot on this sort of thing too,plus theres the tax implications,you don't want to be avoiding payments if your a new migrant.
As for trying to do this anyhow, there are so many jap impots here from 1000$ up,and i mean warehouses full of them, you'd struggle like hell.Add to this so many car sales yards and the fact that the last five years have seen ever increasing numbers of cars sold to a record number of new this last year, its a tightening market.There are far easier ways to make money....just my opinion mind.

the turner family

Hi Deedee, Thanks for the reply.

If there is a warehouse full of cheap cars that is actually quite good news for an enterprising trader. How difficult (expensive) is a MTA licence?

Would I have to register as a business and declare tax if I sold over 5 cars a year?

What are these "far easier ways to make money" too??? are they legal or moral??

Bye for now

Matt

deedee

You need to be here to see the state of the car trade.It is NOT the uk in terms of the motor trade.The problem is, theres too much choice of cheap crap and if your selling them you have to give a bomb proof warrenty for starters.The MTA licence insists this and to make it worthwhile you either have to do large numbers or have stock thats perfect....hence the numbers of jap imports of the reliable boring saloontype.There are very few bargains at present, most good imports are been bought up by UAE and surrounding countries from the buyers in Japan, NZ just gets the crap.
Like i say, you need to be here to learn it, its very very different.The biggest difference over the UK that is always the pitfall of many is....the numbers!The population here is too small,spread too thin other than Auckland before you take into consideration the actual numbers of punters buying within a small population.Not trying to be a killjoy,it may sound doom and gloom,but that's how it is at present.
Hey, try doing that on South Island with only the population of one millionish...spread thinly.Its not easy i assure you....even if you have the best stock in the world.
Not sure about mta licence fee at present, use to cost the earth but they've come down loads in the last 6 six or so years i'm told.
Something else to bare in mind too, most deals here are not private, unlike the UK,simply because of the comeback on the dealers because of the mta.
It is also the reason(i think)that there are no cars via dealers for less than 1000$...not worth doing it for less regardless of the stock.
Whatever business venture you do, do it legal and declare it if your new here or you might shoot yourself in the passport,right through your pr sticker.
As for easier ways to make money?All legal of course, come and see,the motor trade here is far too hard work.
For your info, i do have friends here who are car dealers hence my interest in it.
good luck

Roger

I'm constantly amazed by the numbers of used cars in Car Lots (bit like Essex) and people selling their cars by the side of the road. Seems to be more cars than people. I'm told it is not a good trade to be in - used cars.

My wife has a Nissan Micra imported from Japan. Great little car and was very rare in NZ till last year. She was always getting people commenting on it at work and parking lots. We decided that we did not need her car as she did very little mileage and we could put the money against our mortgage. However no interest at all advertising in papers and by the side of the road.

Just a thought but if was planning to come to NZ I would import a campervan with me. New UK bought 30 thousand pound vans (eg Rimor, Bessacarr) sell for $130K. I was considering doing it now but would have to pay 17% import tax and GST here. If you import it as your own and depending on how long you owned it in the UK there's significant discounts on the tax. About four grand to transport and about $2000 for certification here. That's up to a forty grand price difference (NZ).

Three year old ex-rental which are very basic and have 200,000km on the clock sell for $75,000. see www.keacampers.co.nz

See the Barrons Camper van site for ideas for price and import a similar wagon as they will have done the checks for NZification.

Just an idea.
Roger

extrameant

I used to buy old motorbikes at auction in UK and do them up and make bit of money. A hobby really, sounds a bit like you with cars.

Over here I looked into and never took it any further. A bike I could get for less than 50 squid in UK, they would be expecting nearer $800! There is also a big problem with parts from breakers (even common cars, not just bikes). I bought a new Taiwanese brake master cylinder for an L300 van for less than the breakers wanted. They don't budge much on price either, 2nd hand stuff really does seems to sell at high price.

I asked my kiwi friends about this and the consensus was that its not that long ago when everything was imported and very expensive, so people had to make do and this reflected in 2nd hand prices. It doesn't explain why it is still like that here but my guess is there are loads of people still programmed to think they can't afford new things.

It is the same in the trade and exchange, flea markets etc. You regularly see old crappy 2nd hand things going for more than you could buy better new. You hear of hundreds of people who keep a car for several years then sell it for more than they bought it for. 2nd hand prices are just weird here. I would say its very hard to make any money doing up old bikes or cars.

deedee

i recon you've hit the nail on the head there...second hand stuff is expensive everywhere in NZ.

Roger

We have a saying in our house 'stuff refused by Kiwis'. The items that you see at school sales, second hand shops is quite appalling. Only fit for the dump.

Mind you they want a lot for second hand stuff. Guy tried to sell me an old self propelled lawnmower (they are very expensive in comparison to normal petrol mowers so bring your own from the UK) for $500! Couldn't give it away in the UK. As for the price of their minging campervans.

Mind you we are a bit of a throw it away culture in the UK, but am constantly amazed by how tight Kiwis can be in this regard.
Roger

Merlot12

I am constantly amazed by the things that people in the UK spend their credit card money on... Given the way the world works I don't have a problem with recycle, reuse and reduce - having part of the world consuming at the rest of the world's expense doesn't seem the best way to use the world's resources.

I would imagine that you did not have to buy the $500 lawnmower (mebbe he was just trying it on to a new immigrant), there are plenty of bargains to be had, just check out the local 'buy sell and exchange'.

Roger

My attitude to the $500 lawn mower was 'yeah right'. Not that recently off the ship. Rather buy new than get off loaded some second hand rubbish. However opted for the $20 a fortnight lawnmower man and has worked out well as I no longer need a lawnmower (I'll have the old one back of my father!).

No really the stuff at the jumble sales 'is' the same stuff at my mother church bazaars in the 60s.
Roger

the turner family

Hi. Thank you for all the people who took time to reply.

My speciality and hobby is 4X4s and I will be joining a club when we get there. Maybe I will concentrate on some repairs and off road mods rather than selling day to day cars.

I looked at the auckland car auctions website - I think it was called Turners as well and saw a few light accident damaged or stolen recovered cars. The guide prices indicated that a profit was on the cards but I hadn't realized the high price of scrapyard bits.

Thanks again for all the advice I will have a good look at the scene when I am there.

Matt