The Rent to Own Story
What is Rent To Own?
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Rent
to Own (RTO)
is a Proven, Highly Profitable Program founded in
1990’s. |
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RTO
is a long-term customer rental/purchase that works like
a lease. |
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An
"in-house" option for customers with bruised credit or
customers that are unable to obtain financing.
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An
avenue for your dealership to generate the total profit
that normally goes to a sub prime finance company.
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Why should I do Rent To Own?
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MORE
PROFITABLE than wholesale, retail or BHPH. |
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Average profit on an RTO contract is $4,000 to $6,000!
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LESS
RISK-Title stays ill tile business name. No
repossession paperwork and no bankruptcy. If you get the
vehicle back, clean it up and put it back out on RTO and
make even more profit on it - no money has to be paid
back to the previous customer because you are the owner.
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MUCH
LOWER CHASE RATE-Many car dealers do BHPH, which has a
national chase rate of over
30%.
RTO
has a chase rate of less than 5%. The reason for this
is on the front of the contract-it says "If your payment
is not in my office by the due date or the car back in
my lot with the keys included I will report the vehicle
stolen and you may suffer the consequences."
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BETTER CASH FLOW than BHPH. With BHPH, your income tax is paid at
the end of the first year on the entire contract. With
RTO, your income tax is based on the revenue as!
is
earned within a taxable year (like a lease).
Sales tax is collected on a monthly basis, also not
upfront in almost all states because Rent To Own works
like a lease. |
Who
should do Rent To Own?
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FRANCHISED DEALERS
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If
you are uncomfortable with the BHPH image
on your lot - you can do RTO on your lot
,without having the BHPH image. |
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Most
franchised dealers are familiar with leasing
and RTO works like a lease. |
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No
Advertising Necessary-your customers are
already on your lot. |
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Keep
the profits you have been giving to
sub-prime financers.
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Start
doing RTO now! |
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RENTAL OPERATORS
(For
vehicles corning off your fleet) |
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Start
the Wiser Way of vehicle "Re-Marketing".
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Start
making higher profits with RTO. |
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Start
making more money than wholesaling or retailing.
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Start
doing RTO now! |
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INDEPENDENT AUTO DEALERS |
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Start
thinking higher profits, less hassle than
BHPH. |
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Increase your profits instead of wholesaling.
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Start
capturing your "Walk-A-Ways" with RTO.
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Keep
the profits you have been giving to sub-prime financers.
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Start
doing RTO now! |
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