What Are Skip Recovery Services, And How Can Your Auto Dealership Benefit From It?
Posted on: 22 February 2023
When you own and operate an auto dealership, sometimes your buyers might stop paying their lease or purchase agreement, or otherwise violate a contract for a vehicle they have purchased from your company. This includes dirt bikes, RVs, and other engine-operated things purchased on a lease or loan from your auto dealership.
Sometimes those who are indebted to your auto company just disappear, and the vehicles disappear too. This means not only are you not getting what is legally owed to you by your buyers, but you're also not getting the automobile or recreational vehicle they purchased so you can resell it, either. Rather than take the loss and hope to nail the buyer for theft or violation of their purchase agreement at a later date, consider employing skip recovery services.
What are skip recovery services and how can your auto dealership benefit from this service? Find out here.
What skip recovery is
Skip recovery is a play on the term 'skipping town', and is intended to catch the people who do just that. If someone quits paying your auto company, owes you money, and leaves town or otherwise lies low so you cannot find them, you can hire skip recovery services to locate the individual so they can be held accountable. More likely, however, the skip recovery company will find the vehicle so you can have it towed away and returned into your possession since the buyer or lease agreement has been broken and the property is legally yours.
How your auto dealership benefits from skip recovery services
If you cannot get a payment for your vehicle or recreational vehicle you sell to a customer, the second best thing you can get is the property back. You can then resell this property at auction to recoup some of your costs, sell the vehicle to another customer while going after the original buyer in a civil or legal case, or perform other measures to help regain some of what you have lost when your buyer skipped out on their agreement.
Your skip recovery services will take a percentage of what you recoup from your vehicle losses or they may charge you a flat fee for their services. In the end, it's up to you how you utilize skip recovery services, but if you decide to take advantage of this service you can benefit in big ways and have less loss within your business. This is a type of thing that does happen, and it's wise to be prepared.
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