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Motor Industry Services Alert – June 2017

Motor Industry Services Alert – June 2017

In this edition we explore the practice fundamentals in buying a dealership franchise to future proof profits.

Wayne Pearson

Director, Motor Industry Services, KPMG Enterprise

KPMG Australia


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Are my profits future proofed?

In a market where goodwill multiples are at an all-time high and the quest for turnover can sometimes overtake the need for profit, we often hear the question "What dealership should I buy that future proofs my profits?". Franchise success comes and goes, but best practice fundamentals do not.

In the June 2017 edition we equate the price you pay with the value of the business you are buying.

Key highlights

  • The 6 Key Performance Indicators to consider for a long-term successful dealership.
  • The minimal acceptable performance levels that need to be achieved to deliver an acceptable Return on Investment, including performance standards for each department.
  • Non-negotiable questions dealerships need to ask itself to future proof their business.

This edition also incorporates what actions and activities will help you achieve the outcomes necessary to be a successful dealership.

Further information

If you'd like to find out more please feel free to contact KPMG’s Motor Industry Services team (PDF 298KB).

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