If you are a petrol head or think you know your cars, then setting up as a part-time motor trader may be an attractive option to supplement your income or begin a new career.
There are, however, several issues which you will have to address before you start out on this venture.
You may be repairing cars, selling vehicles or operating a valeting service, but there is one issue you will have to address and that is Motor Trade Insurance. This can involve premises, stock and tools, and it is vital that you have the right cover. There are many issues involved, and selecting the right broker will ensure you get the best advice.
Insurance such as that found at https://www.quotemetoday.co.uk/motor-trade-insurance will help to give you peace of mind and avoid many of the problems which can arise in the sector you are operating in. Part-time motor trade policies are available.
The question of where you are going to operate from needs to be addressed. Although selling cars from home or repairing them there can be a money saver, you will have to notify your local council to confirm how many cars can be parked on your road at any one time. Motor trade insurance means you can add and remove cars from the policy with no additional cost.
If you are trading cars, make sure you are aware of the impact of the V5C notification of sale or transfer form. You cannot sell a vehicle as taxed if the log book is not in your name – this why dealers have trade plates. After a sale the buyer will fill out the V5C as if he had bought it from the original owner.
Trade plates mean you do not have to register and tax every vehicle temporarily in your possession Details on trade plates can be found at the Driver and Vehicle Licensing Agency (DVLA).
Dedicated premises will require attention and a different insurance schedule.
Alternatively, if you have a mobile business such as a mechanic or valet service, you need to consider other issues, such as vehicle or tools theft, which could affect your income. Your broker will be able to advise on the kind of policy you need, including loss of earnings through the interruption of your business.