Thread: Interest rates
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      04-20-2024, 07:27 PM   #28
evdoho
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Drives: BMW E46 M3, VW Arteon
Join Date: Mar 2024
Location: Atlanta

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Quote:
Originally Posted by robopp View Post
Sorry if I came across with a confrontational tone. Definitely not intention. I really have no clue how much they make so I’m very interested in you educating me. Was I close? I threw out the 90k since that’s probably what most M3’s are optioned to. TIA!
No worries, I just hate forum fighting so I try to avoid if possible lol.

You’re close on the invoice, it’s 6% below MSRP across the brand.

Honestly the milestone bonuses are above my pay grade, I know they exist, but I’m just in sales so I don’t get to see those numbers.

It’s also worth factoring in the client advisors commission, which at my store is 25% of front gross, so on a $90k car the front is $5,400, then after deducting commission the store makes $4,050.

Obviously it’s more complex than that, because the technician needs to get paid for the pre-delivery inspection, and detail needs to get paid for the delivery clean, etc.

Even ignoring the other departmental costs, personally I feel like a $4k profit on a $90k car is surprisingly low, but if the hypothetical deal in question includes buy-rate on the finance side then that’s really all that’s left over if not less.
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