I've been doign the BHPH thing for a short time, and plan on expanding and doing this for a while
Generally when the people don't pay I repossess the vehicle and don't go after the bad debt.
But as you start crushing the numbers you realize that the people that when you have to repo a car and then re sell it, you don't make anything.
For example let's just say the people paid $1500 and you had to repo it.
$1500
- $200 repo
- $100 registration
- $500 depreciation
- $400 reconditioning
- $150 sales commission
_________________________________
Profit $150
So you made $150... on of course you had to deal with the people the whole time.
I want to go after this bad debt.
I understand that in order to go after the bad debt you have to sell the vehicle (at auction) get a deficiency and sue them
1) Is there a way you can do this buy obtaining what it would bring at auction (MMR of manheim) and reselling it?
2) is there a company / service you recommend?
3) is there any sample docs or anything out there?
Thanks