7 KEYS TO SUCCESS - DealersEdge

Key #1 Business ModelBuy Here-Pay Here –or– Lease Here-Pay HereBUY HERE-PAY HERE (BHPH):Advantages: Capital sources are readily available to purchase BHPH contracts Purchases are more familiar and easier for customers to understand No vicarious liability exposure Typical accounting systemsDisadvantages: All sales tax paid at time of sale (except Texas) All revenue and income recognized at time of sale for tax purposes Repossession laws are complex and vary from state to state Subject to bankruptcy filings