How to Manage the 8 Controllables of Dealership ... - DealersEdge
How to Manage the 8 Controllables of Dealership ... - DealersEdge
How to Manage the 8 Controllables of Dealership ... - DealersEdge
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Essential #7<br />
Gross Pr<strong>of</strong>it Margins = 75% & 40%<br />
Gross Pr<strong>of</strong>it = The Sale Amount <strong>of</strong> a<br />
Product or Service Minus <strong>the</strong> Cost <strong>of</strong> Sale<br />
Gross Pr<strong>of</strong>it Margin = The Gross Pr<strong>of</strong>it<br />
divided by <strong>the</strong> Sale Amount<br />
Sale Amount Cost <strong>of</strong> Sale Gross Pr<strong>of</strong>it Margin<br />
$112-Labor $28-Tech $84 75%<br />
$90-Parts $54-Supplier $36 40%<br />
Essential #8<br />
Control Expenses<br />
Shop Policy Adjustment – (2% <strong>of</strong> Labor Gross)<br />
Lot Damage<br />
Comebacks<br />
Tools & Shop Supplies<br />
Charge Out Supplies @ 7% <strong>of</strong> Labor (State<br />
Laws?)<br />
S<strong>to</strong>re & Dispense Supplies in <strong>the</strong> Parts<br />
Department (Log)<br />
Personnel (1 Support Person for every 2 Productive)