view newsletter online December 20, 2023

A Word from MTIADA President, Chad Randash

Tis the Season!

I hope that your December has been great so far. As we wrap up the end of the year, and no matter how your dealership performed in 2023, I hope you are thinking deeply about how to make 2024, 10 times better.

Some of the most common concerns when I talk with dealers is that they can have a good month, one month but the next one is a lot slower. It can feel like a rollercoaster ride, and an independent dealer this can be frustrating. We can have great sales volume months but then we need to source, recon and restock our inventory supplies. Sales Calls or internet inquires during these “hot streaks” may lead to delayed call backs or replies as dealers are handling the clients in front of them. The added sales for these months can create added Title Work, that will transition into the next month and invariably this can also create a chain reaction of After Sale Repairs or Goodwill Repairs.

It can be easy to see, outside of consumer sentiment, why we as dealers can have these up and down months. So now the question invariably is, “Ok Chad that sounds sorta familiar, how do I fix that?” Of course there is no easy hacks to just make this better overnight, and as the term Independent Dealer implies, we are in nature self-governing and capable of thinking or acting for oneself, which can also be the root cause of why we can have those "Start/Stop” months. The solution is that we need more help. Of course hiring employees can be very difficult in this environment but we can have a better chance of succeeding in this endeavor if we clearly define what we need to help the dealership and have clear and concise processes and procedures.

A "french fry" from McDonalds for example tastes the same in Bozeman Montana as it does in Tokyo Japan. The work force at these restaurants are generally considered entry level but the organization has very clear processes and procedures of how an employee is to do their job and in so doing, Management has an easier role of measuring the employees performance.

At our dealerships I am always on the lookout for people that have character, discipline, and a willingness to get stuff done. I am constantly thinking about how we can hire, train, and promote these individuals that exhibit these qualities. Unlike McDonalds, there is no franchise manual on how to do this for independent dealers that I am aware of. The first step, as the shadow falls from the top, is to recognize what you and your business needs are and then work out in detail how to get there. If you have any thoughts or ideas that you want to share regarding this article, or anything else, I would love to hear from you. Give me a call at 406-570-5426.

For all members and non-members, I wanted to thank everyone involved and trusting in the association. The most common thing that I hear from all independent dealers is, what can the association do for me? As the President of this association, it is my intention to first deliver a consistent message of local and national news items that may affect your business. In addition, I have asked for strategic partners like Buckeye Dealership Consulting, PassTime, Kinetic Advantage, MVD Express, ADS and others to help light our way. But we also need Dealer Participation.

With a consistent message and dealer participation on the board as well as in our communities, our mission is to serve all independent dealers in our great State of Montana.

Happy Holidays to each and every one of you.

Chad Randash


Jump start your 2024 Membership

MTIADA is incredibly grateful for your membership, and we are always stronger when we stand united. With its members’ support, your association can continue to advocate for all independent dealers at the state Capitol and offer the education and resources you can always rely on.

Visit our Website to Renew/Join

Maximize the Benefits of Reinsurance

This is the third of a four-part look by Buckeye Dealership Consulting’s CEO Rob Fox regarding the independent automobile dealers and finance companies can maximize the benefits and profit opportunities that come from establishing their own reinsurance company.

Part III: Brand Management Flexibility

Having your own reinsurance program affords you the flexibility to white label products that are appropriate for you and your customers and determine the scope of terms and coverages. No longer will you have to try to fit someone else’s square peg in your circular hole.

Moreover, you can tailor your products to help drive business to your service department. This is another great way to maximize profits. Just make sure you review your forms with your attorney to ensure any tie-backs to your dealership service department are compliant.

Imagine that you’re a buy here pay here dealer who has placed a 6-month, 6,000-mile limited warranty on a vehicle you sold. That warranty covers systems like the engine, transmission, etc. What happens if your customer has a radiator fail, or the vehicle is otherwise inoperable due to a non-covered breakdown?

You know that the likelihood a BHPH consumer will keep paying for a broken vehicle decreases significantly. “Car doesn’t run, customer doesn’t pay.” By taking control of the claims process, you can keep running and the customer making payments. And, you can choose how to handle the repair without negatively affecting the cash flow of the dealership or the related finance company.

Buy here, pay here dealers will also reap the benefit of not having the dealership or finance company fund the consumer’s voluntary protection product purchase up front. With reinsurance, a pro-rated portion of the consumer’s payment is forwarded to the reinsurance trust account to provide funding for claims management. This frees up your hard-earned capital in the dealership/finance company to get more customers in their next car.

Stated simply, a dealer-owned reinsurance company, run by you, will help you minimize your losses and maintain optimal portfolio performance. Why put your destiny in someone else’s hands?


If you’re thinking about getting a floorplan it’s important to understand what it is and how it can benefit your business. Floorplan financing is a line of credit that provides you with additional cash flow.

As the vehicles on the floorplan sell, the loan gets paid off. While floorplan providers come in all shapes and sizes, it’s important to choose the lender who has your unique needs in mind.

Here are some of the benefits of having a floorplan:

Floor Inventory Buying Power

Floorplans allow independent dealers to purchase more inventory to keep up with customer demand. Having more inventory for customers to choose from can help your dealership close more sales. 

Funds For Unexpected Expenses

If you suddenly find yourself having to pay for unexpected maintenance expenses or need to tap into your cash reserves to cover inventory fluctuations, your cash flow could be significantly impacted. This is where a floorplan can be beneficial; you’ll have enough funds to cover those expenses, while still having enough in your budget to purchase the inventory you need without delays.

Unlimited Growth Potential

When you rely solely on your capital, you might feel limited in how quickly you’re able to make changes or grow your business. This is where a floorplan can be a real game-changer for your dealership. By providing you with additional capital, you can expand your services by adding a maintenance or detail shop to your operations or even open a second location. You can also use your floorplan funding to hire more staff, upgrade your technology, or increase your marketing budget.

While you may have been hesitant to sign up for a floorplan in the past, choosing a lender who understands your business and is willing to customize terms to fit your needs is the key to keeping your business healthy. 

Sponsored by Buckeye Dealership Consulting, Kinetic Advantage, & Passtime

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