Bay Auto Dealer Receives Top Bmw Honors, Reacts on New Act

There may still be a blazing debate on he effectsnot worth taking any risks.
of the new National Credit Act on a broad rangeHe has also been deeply concerned regarding how
of businesses. But the top metropolitan dealer ofdealerships add on costs from getting the vehicle
a luxury carmaker that manufactures BMW fuelon the road with a tank of petrol to special deals
pump gives the law his full backing.on add-on items such as paint protection and life
Des Soutar, the managing director of Portinsurance. He further said that these questionable
Elizabeth‘s Continental Cars, spoke after thepractices will be stopped as another effect of the
operation received the BMW metropolitanAct. The industry veteran continued that a more
dealership of the year award for 2006-2007. Thispositive effect is that private leasing is now
was the fifth time in six years that it has wonallowed, and again subject to the precise details
the distinction. The honors received is a first in thebeing provided up front.
German carmaker‘s dealership network inMoreover, Soutar said that the dealer of the year
South Africa.title had been judged on a range of factors that
Twenty-six-year-old Soutar, who is a veteran ofinclude sales volumes for new and used cars,
the motor industry, said in his speech his view onparts as well as service sales, customer
the new credit act that it is good for both thesatisfaction index research, facilities, and general
business and the consumers. He explained thatstandards.
because of the time that the act now takes toBacked by BMW SA and empowerment partners
get financial clearance and increased administration,Stephen Dondolo and Matthew Klaas in taking
there will be negatives from a business point ofover the operation in 1998, Soutar also said that
view but that will improve, while, the new law asvolumes had grown in that time from almost 22
a whole adds a lot of protection for all who arecombined new and used cars to nearly 35 new
involved. And coming from a consumer’sand 25 used cars a month, and the addition of 10
point of view, Soutar said the Act means thatmotorcycles.
they have to be provided with all the transactionStaff had increased from 60 to 80 and the
details that include the vehicle price, additionalcompany‘s move from Govan Mbeki Avenue
charges, installment payments, residual values andto the new R25- million premises in Greenacres
so on in writing up front.had paid off in a big way.
He continued that any dealership that does notFrom 60 to 80, staff had increased and the
provide that information correctly is subject to acompany‘s transferring from Govan Mbeki
fine at a maximum of 10 percent of turnoverAvenue to the new R25- million premises in
that could run into millions. He deduced that it isGreenacres had given something in a big way.