Small used boat dealership with a lot

Local boaters upgrading or downsizing, first-time buyers and people trading in their old boat.

Margin on each boat sold, plus fees for prep and paperwork, and referral fees or commissions from lenders or service partners where allowed.

• Pricing and buying used boats well
• Sales and customer service
• Basic boat and trailer knowledge
• Managing cash and stock

• Check state dealer licensing, surety bond, insurance and lot requirements, which differ a lot by state
• Check zoning and permits for a display lot with your city or county
• Garage keepers and general liability insurance, plus coverage for stock against theft, storm and fire
• Boats can sit unsold for months, and carrying costs can add up
• Check rules on advertising, warranties and disclosing known defects, and consider a legal review of your sales contract
• Check sales tax and title transfer processes with your state

Startup costs are typically estimated at around $25,000 to $100,000, depending on your lot, the boats and trailers you buy, and insurance. Monthly revenue is estimated at about $3,000 to $15,000, depending on how many boats you sell.

Check state dealer licensing, surety bond, insurance and lot requirements, which differ a lot by state. Also check zoning and permits for a display lot, sales tax and title transfer processes, and rules on advertising, warranties and disclosing known defects.

Boats can sit unsold for months, and carrying costs can add up. Check garage keepers and general liability insurance, plus coverage for stock against theft, storm and fire. Consider a legal review of your sales contract. The idea assumes about 30 hours a week.