Selling Cars in Canada?
- Thread starter SpellZ
- Start date
SpellZ
Regular Member
- Feb 8, 2009
- 358
- 317
What happens after 6 cars? Heavy taxes or a fine?
Wtf... This month I banked over $7000 selling 4 cars. That means I can only sell 2 more? Wtf do I do? I'm not a dealer I just buy and resell
Where are you getting this info from? I know a mechanic that buys and sells numerous used cars per year here in Ontario and he is not a dealer. Not exactly sure what he is doing in his operation though.
Spellz...I will try to get some info from him if you need me to.
Actually in Ontario you can sell 0 cars for profit without a dealer license.
http://www.omvic.on.ca/documents/Files/print/dealer_registration_faqs_print.htm
http://www.omvic.on.ca/documents/Files/print/dealer_registration_faqs_print.htm
Read it carefully. If you own the cars, you can sell them. They are saying you can't sell on behalf of others (turn your property into a car lot). If this wasn't the case, you would never be able to sell your car privately.
Obviously, but dealers do not sell on behalf of other people, they actually own the cars. Not exactly sure what would happen if you sell too many 'privately' owned cars.
Selassie_i
Newbie
- Jun 20, 2009
- 42
- 1
If you are planning to sell a lot of cars I suggest getting a dealership license, one of my friends has one. From what I remember you have to do a few test, which isn't that hard but it comes with yearly fees and you have to deal with taxes and everything else that goes with operating a business.
angelas111
Elite Member
- Jan 4, 2009
- 1,648
- 1,052
i am a licensed car dealer in ohio. if you want to sell them as a curbstoner you would have to do what's called "jumping titles". i don't condone this but that's how they get away with it in the states by never having the car titled in their name. they just flip it from the previous owner to the new one. you can make some nice $$ if you know what you are doing and have money to invest.
i've always managed to make money even on my personal cars and i go through many of them a year. its fun to sell as a private owner out of my house instead of a dealer. people have a totally different attitude when buying from a private owner.
i've always managed to make money even on my personal cars and i go through many of them a year. its fun to sell as a private owner out of my house instead of a dealer. people have a totally different attitude when buying from a private owner.
SpellZ...just spoke to my mechanic friend and here are the details...
There is a limit to the number of private sales you can make in Ontario and he believes that it is 6. He has sold more than that in the past and nothing has happened. Guess it depends on whether someone reports you? Not sure what the penalty is so that risk is yours.
To get around this, he knows he has 6 days to change the ownership over to the buyer so he will buy it from me, fix it, then flip it within the 6 days so the ownership is never in his name. This works if you can flip the car fast and the buyer trusts you. Obvious downsides to this though. (as angelas111 was saying)
Good luck man!
SpellZ
Regular Member
- Feb 8, 2009
- 358
- 317
Jagged55, I'm from Toronto so that information is awesome!
Can you please get into a little more detail about the '6 days rule'. So in those 6 days the car needs to go from the owner, to you, to the buyer? And the only two names that will be registered is his and the new buyer? But when you buy a car don't you put your name down right away? -- A little confused, sorry.
Can you please get into a little more detail about the '6 days rule'. So in those 6 days the car needs to go from the owner, to you, to the buyer? And the only two names that will be registered is his and the new buyer? But when you buy a car don't you put your name down right away? -- A little confused, sorry.
zenerchi
Regular Member
- Jul 13, 2009
- 322
- 296
Im from toronto also. Best thing to do is sell them under other ppls names and toss them money. I can help you out if you want to jv something out. I got ppl that have dealership lisences that you could bust out as much as you want no prob. send me a pm
sip_market
Newbie
- Oct 29, 2009
- 26
- 0
shit im looking for a car and located in Canada. Want to grab a newer bmw 330ci/m3 or cadillac xlr. Budget is about 20-25K canadian. Anyone that can help, lemme know.
The basic system is this:
1. I come to you offering to sell my car
2. You look it over and determine it needs 1 day and $500 worth of work.
3, You send me to get the seller's package and say come back tomorrow.
4. Paperwork is filled out by me etc, you give me cash, i go on my way.
5. You start promoting the car and find a buyer 6 days later
6. The ownership (in my name) is given to the new buyer without your name appearing anywhere on it.
*Note: technically you should sign the ownership as soon as you get the car but by law, you have 6 days to get the ownership signed and submitted to MTO. So if you know you are going to flip it, just don't sign or submit it within the 6 days. Buy your cars on a Saturday and that gives you until the following Monday to get it to MTO (more time to flip).
The new buyer obviously has to trust you because most people won't take an ownership in a name other than the seller. But if you deal with a lot of the same people, it is a very easy way to stay under the radar. Good luck.
liquidrage
Junior Member
- Mar 3, 2009
- 149
- 184
I've bought and sold many cars. Just have the guy you buy the car from sign the title. Then date it later when you are ready to sell the car. This way you never worry about the 6 day thing. Canada might have more rules or something but in the U.S it's easy. BTW I can get late model cars dirt cheap like half the retail cost My buddy owns several impound lot's in the area and they are full of nice cars. If you catch a felony and you are in your car the police seize the car and it ends up in one of my friends lots 9 out of 10 times the cops never come get the cars and he just pays a hundred bucks to get titles in his name. You would have to maybe buy 6 at a time and arrange a truck to drop them off to you. But the other thing is cars never rust here so a 5 year old Fl car looks better then a 1 yr old northern car.
aroyalflush
Newbie
- Jan 29, 2014
- 0
- 0
Very informative post..I'm quite interested in this myself just bought a car to flip, hope it goes well..
This is exactly what alot of people I know do, however, I believe that the person who sells you the vehicle may be under some legal responsibility for the vehicle as it's still in their name....
Liquidrage, can you send me a note? Interested in chatting about your buddy's impound lots.