Archive for May, 2010

I have been working for my father at his boat dealership for five years now. When I got out of college he gave me a job doing sales clerk stuff: running titles, taking credit apps, I was a pee-on, but it taught me respect and I learned a lot before I was “cut loose. ” Then I started making the big bucks. I was th number one salesman 45 consecutive months in a row, and lost to another guy and he only sold 1 boat that month, but it was a million dollar yacht! Anyways, I was promoted to sales manager after about three years, and my income went down hill and because I was just on a base salary. After about a year and a half I told him I’d do all the managerial duties, but we needed to get rid of some dead weight, and I’d be back on the floor. Since then business has picked up and so has my income. However, we got in a huge fight, knock down drag out fight (outside of work) about the way he’s running things. My father is very talented, but his father is very wealthy and always invested money in my father’s enterprises, and my dad would either make them successful or run them into the ground losing millions. He’s a big gambler and risk taker. He’s an awesome guy, and I really look up to him. He’s a loose cannon and can close anyone at anytime if he feels like it.

After the fight I told him we can’t keep doing this, and that I can’t handle him micromanaging every single move I make. I said we’ve tried it your way and it’s not working, we’re not losing money, but not making much. I told him that I’d shut up forever if he’d let me have free reign for one month. (March, 2010). He agreed and I was allowed to take the deals I wanted to take, buy boats I wanted to buy, price the boats the way I thought they should, and redid the website to promote better business. My plan has kicked ASS!

Since March 1st, 2010 I have sold 22 boats at 674,000 volume and a gross profit of 150k. My gross isn’t great 20. 6% gross profit margin. The average “acceptable number” to him is 23% he won’t allow a deal below 23%. So he’s pissed about the gross and the way I’m pricing things. I feel that in an economy like this you have to give people a “reason to buy now. ” It’s never a good day to go spend 30-40k on a new boat, much less in a downturn economy. I’ve made all my pricing upfront, including trailers, freight, prep, and cleanup. I don’t want any “hidden surprises” for the customer. I’m only 26, but have made some big purchases in my lifetime, and have used the negative experiences I’ve had buying cars, boats, houses, etc and based my sales philosophy off of putting my self in the customers shoes. I want them to be confident they’re getting a good deal, confident in me, and confident in my dealership. I want everyone I sell a boat to leave with a positive experience so they’ll tell their friends and family how good I took care of them.

I’m probably going to sell 40 boats this month. It’s like shooting fish n a barrel. I will make my dad about 300k this month, more then he’s made the last two years. I got rid of all of his expenses and it’s just me selling the boats. I noticed that having other salesman was losing us money. They’d let people walk out pissed and unhappy. Never follow up with them. So I fired him, problem solved. His expenses we’re over 100k a month two years ago. My office and service manager and myself have got it down to a mere 30k a month. So we’re doing good.

However my dad and I aren’t getting along. He’s never once said good job or congratulations. He’s just complaining. He has a huge ego and would rather lose money doing it his way then make tons doing it mine. I asked if I could continue to do this, figuring he’d of course say yes! But. . . . he said no, he wants to raise the pricing and do it from a base price that will be lower then mine, but will be plus trailer, plus freight, plus prep. So you come into buy a boat from me that you saw him advertise for 18k. Then I tell you well that’s not with a trailer, or with a battery, or with a bimini top, or with a cover, or with a cd player, plus $995 freight and prep. Then that 18k boat is now 27k! How pissed would you be? Would you buy? More then likely not.

My dad is a good guy, and I really do love him. We used to be good friends. We’d go bowling every Tuesday night, go to ball games all the time. Hell I’d even go to the bars with my dad and pick up chicks together! My mom who’s divorced of course, said that he’s killing my potential and holding me back. She thinks I should leave, the problem is I have the coolest job in the world, and make pretty decent money as is. I’m content with my pay, but I want the dealership to be successful. I think my father feels inferior to me or something. He’s always yelling and being a dick now. What would you do?