Jersey Posted October 5, 2006 Share Posted October 5, 2006 The friend of mine i mentioned here in a post a while ago - HERE has offered to fully financially support me to purchase and restore any vehicle that i believe will make money. The deal includes him taking 1/2 the profit which i feel is fair. He said he'd do this as many times as i needed (of course $ makes $) or just this once, it's my decision. Hopefully, it would only be once and i'd make some good decisions. I'm in a comfortable position at the company i've worked at for the past 9 years as Network Systems Supervisor and do make a healthy paycheck but, the finances are still tight, bills-mortgage-cars, 3 kids, wife at home...blahblah.. AND i do love working on cars. I've been thinking of doing this for a long time and have done noithing but sit on my a$$ and now think it's time to make a move and earn some extra $, hopefully building into the good fortune as he has someday. It will be long nights and weekends since i would start this off as a sidejob but as my last 38 years have taught me, nothing comes easy. So, i was thinking of what some possibile good money makers that wouldn't hang me out to dry for months on end with little profit. Here's my initial thought - Either target the 67-68 Mustang Fastbacks and/or the 67-69 Camaro's. Parts are pretty cheap, fairly simple to work on and the market is still pretty strong for musclecars. Finding them in halfway decent body condition here on the east coast will be tough so i may have to rely on a few HybridZ'ers out west to keep an eye out for me I figure if i start with a fairly inexpensive resto, i will build some cash and move toward bigger investments which could turn over bigger rewards, and of course bigger risk. I know hundreds of thousands are thinking and doing the same thing but i think it's my turn to get my hands dirty again. If you guys have any suggestions, if you think i'm nuts or, even on what cars you may think will turn best profit, all would be appreciated. Young guys, it's hard to make choices like this when your older and soaked with resposibility. Do it when your young if your able. (off soapbox) Quote Link to comment Share on other sites More sharing options...
Austenp405 Posted October 5, 2006 Share Posted October 5, 2006 Another option you may want to look into is the 67-72 Ghevy/GMC trucks. They have had a very strong market recently, but there are some good deals to be had on fixer-uppers. Literally any truck magazine you look through is full of them, and they came with a ton of different looks and options. The lines are classic, and even look good with a late-model shortbed on the back. The Camaros and Mustangs sell well, but even beat up examples are fetching a premium. Quote Link to comment Share on other sites More sharing options...
280Zone Posted October 5, 2006 Share Posted October 5, 2006 It seems there might be some money there, however turning a hobby into a business venture can take the fun out of it. I have seen a couple of businesses that build a specific car for a specific person (Coddington, Foose, etc.) The trick seem sto be finding the person with a desire to have a car done to their specs and with a fat wallet (I don't mean that in a bad way). Sticking with popular muscle cars does make the parts gathering easier. If you build a car to your specifications and hope you find a buyer it will make the task much harder. you also have the problem of finding cars with good sheet metal to start with. I would also agree with considering the 67 to 72 Chevy short box trucks. For your first attempt I would buy the best car you can to start with and see how it pans out. Starting out shooting for a smaller profit margin will give you an idea of how well your plan will work. Quote Link to comment Share on other sites More sharing options...
DavyZ Posted October 5, 2006 Share Posted October 5, 2006 Good luck, Jersey! If you have the idea, it'll probably make some good money if your friend thinks so too. Jump on it. I had a great idea (with my buddy at the time) to market colored flame cigarette lighters. Sounds funny? Now 20 years later I find colored flame lighters in stores now. Smoking was more popular in the 1980's and we could have made some cash with good marketing. I think we lost because nobody moved when we had the chance, not because the idea wa half baked. Just my $.02 If your idea is better, you better move on it... Davy Quote Link to comment Share on other sites More sharing options...
rags Posted October 5, 2006 Share Posted October 5, 2006 So when are we gonna start that restoration business? I figure the Patterson area to be a good central spot with cheap real estate. You know, right down there by the Horseless Carriage. All the big dollar boys could trailer their cars right to us. I'm only half kidding Len! Quote Link to comment Share on other sites More sharing options...
Clifton Posted October 5, 2006 Share Posted October 5, 2006 I would not be splitting the profit. If you can't finance the restore, you would be better off barrowing (home eq loan) and paying that back after the sale. Quote Link to comment Share on other sites More sharing options...
Phantom Posted October 5, 2006 Share Posted October 5, 2006 Jersey, A friend of mine used to be a auto shop supervisor for Sears. On the side he would by a Z car, fix it up good enough to sell and sell it. He started out putting them on his credit card but soon he was paying cash for them. He did this out of his garage at home. After a while he got enough cash flow to rent a small place where he could stash a few shells out back for spare parts for his cars and to occaisionally sell a few spare parts. At some point Sears reorganized and basically gave him the choice of an early retirement or a cut in pay to do the same job. He took the retirement and went full-time into the Z's. A few years later he took out a note and bought a larger place a few blocks away - about 2 acres - and started a serious Z salvage yard while he continued working on Z's for guys and flipping Z's he got at auction. He now owns the place outright and also a paint and body shop. If you'd like to talk with him PM me and I'll give you his name and business phone number. My point is - the restorations are glamorous and can make big bucks but you can fill in the cash flow by flipping less expensive cars and doing wrench work. Do a good job and your reputation will grow quickly. I envy you the strenghth of character it takes to do this now. I understand how tough the decision is. I just quit the place I've worked for 23 years and am taking a position with a new company nearly 2,000 miles away from my kids and grandkids. Quote Link to comment Share on other sites More sharing options...
Twoeightnine Posted October 5, 2006 Share Posted October 5, 2006 You want to know what the hot high profit turnaround bang for the buck auto is right now? Dont laugh...the VW Bug! They are easy to work on, have tremendous after market and OEM support. Parts are CHEAP! You can get a Bug that runs good but needs love for under a thousand. Fixed up they fetch 7000 to 15000 dpending on the "look". They sell quick and fix quick. Thats my two pennys! Quote Link to comment Share on other sites More sharing options...
veritech-z Posted October 5, 2006 Share Posted October 5, 2006 that's going to be the kicker right there. find a car you can buy for under a grand, restore to saleable condition for under $2000, and then turn around for around 4-5k to start. I would also think you would be much better off finding a buyer before the car, then you don't end up sitting on it for any lenth of time. Maybe you could convince this friend to let you just build him the car of HIS choice, and use that as some word of mouth? Quote Link to comment Share on other sites More sharing options...
cygnusx1 Posted October 5, 2006 Share Posted October 5, 2006 It's not easy making a profit in the car building/restoration biz. Run all your worse case numbers several times to make sure you are OK. Check ebay to see what the cars are selling for and how long it takes to sell them. Don't be fooled by Foose, Coddington, and Barrett Jackson those are "Hollywood" and not real world. It can be done but be careful. Good luck. Quote Link to comment Share on other sites More sharing options...
cyrus Posted October 5, 2006 Share Posted October 5, 2006 Are you sure? I remember fair SS camaros for $3500 bucks back in 1990 now they are $27,000-$56,000 and parts are not cheap at all. I have restored a 64 Stringray and can tell you that it was not a money maker. Everyone knows those cars are valuable, and they are hot, you need to get ahead of the curve to make money. Quote Link to comment Share on other sites More sharing options...
cyrus Posted October 5, 2006 Share Posted October 5, 2006 Furthermore your investor makes the same money you do for fronting the money......as in ZERO work on his part. I would think his end of the deal sounds sweeter. Quote Link to comment Share on other sites More sharing options...
Jersey Posted October 5, 2006 Author Share Posted October 5, 2006 Thanks for the suggestions guys. 280Zone - understand completely about turning a hobby into a business turning painfull and will feel that out when i get into it. I hope it doesn't go that way but will be aware. Thanks Davy. I've had so many ideas over the years that i've just sat on, sort of like your colored flame lighters, just to see someone else make $ on them years later. Just need to wander off the beaten path a little and take a shot. Joe - always have you in mind. If i do a few out of my garage and it seems to be going well, you know you're phone will be ringing for interest. How's 777 sound for location??? lol. Can't believe he's moving. About the $ and splitting the profit - It's a bit tough for me right now to part with around $10k when i don't have it as "extra" and would rather not take it out of the house and pay interest. Just how i'd rather do it. It's amazing the point he's at now - recently just bought a REAL 60's GT40, was having it shipped here, found out some info he didn't like and had it sold before it ever got to his house, making a $30k profit. Mind you, this is a side business he's been doing for the last 30 years. He's the CEO of the Testing facility i currently work at so, he's doing alright for himself. One day i just hope to be able to do his "side" business Again, thanks for all the insight. Quote Link to comment Share on other sites More sharing options...
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