Car Dealership Operations Drastically Hurt by Vehicle Subscription Changes and New Colorado Sales Tax

As though the auto industry didn’t have sufficient difficulties with General Motors near bankruptcy and their CEO resigning, the State of California is raising sales tax one-percent and almost doubling the auto subscription fees. Car Dealership Franchises are damaging and when their sales are down this also affects the area city government tax revenues.Some Auto Dealer Franchises in California promoted seriously in front of the April 1 ), 2009 tax and increases in automobile registration fees, telling consumers that they needed to buy now in order to save $1,000s of pounds, and that failure to buy now could prove really costly.Yes, it worked a bit, but now auto consumers who obtain a new vehicle have greater taxes to pay, which auto professionals consider can reduce sales by another third. This is devastating considering the already lack luster sales.And as though the economy wasn’t poor enough all the auto store companies from Toyota and Honda to Ford, GM and Chrysler will have to take on the loves of the new SmartCars, Chinese economy cars, and the TaTa Nano from India. Maybe if you’re contemplating on buying into a car dealership franchise business opportunity, you may wish to have a look at these new market entrants, as numerous car dealers are losing their shirts.It seems that anyone enthusiastic about getting into a California automobile business franchise needs to be mindful of the fact that the game has changed and won’t be the same again. And since there is possibility in chaos it makes sense to appear carefully at the unfolding events to capitalize on it. Think with this.

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