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Old 04-17-2006, 07:16 PM   #14
rjdhomes
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Join Date: Feb 2004
Location: Huntley, Illinois
Posts: 143
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The mark-up on the conversions is probably less than most of you think it is. I've seen dealers sell for barely 5% over cost, not enough to stay in business if done very often. Many of the conversion dealers started out as trailer dealers making a few hundred dollars per unit, that may be one of the reasons for low margins. The conversions have traditionally been marketed towards racers, that may be part of the reason for low margins. If I make 10% margin, I think I did very good and I will be able to pay my bills and borrow enough to buy another unit for inventory. The best way to find out if you are getting a good deal or not is to educate yourself and compare numbers and options with some simple math. We do not get dealer hold back. I do not even look at retail prices, I start at cost and add what I think I need to make a profit and be here and still in business for my customers next year. If you think the conversion dealers are making 20% to 30% margin, you are wrong- try shopping around more.

Bob
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'18 Renegade 45'
Volvo Twin Screw, 500 hp I-Shift 12 Speed
30' Renegade Stacker Trailer
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