With more than 21 million residents, Florida is a promising place for an auto dealership. While competition is intense in the state, it still offers plenty of opportunities for business owners and employees.
According to at least one industry observer, Florida ranks near the top when it comes to the best states for car dealerships.
Reasons for Florida’s high ranking.
Wards Auto places Florida third on its list of favorable states for car dealerships. One of the reasons is the high volume of sales and income generated from many dealerships. In 2018, dealerships averaged sales of over $92 million, an increase from the previous year. This number is not surprising since Florida has the third-highest number of vehicle registrations in the U.S.
When looking at the benefit for employees, the report found that the average employee at a car dealership earned $1,160 a week. This amount comes in close to the national average. The median payroll stood at $5.69 million.
Florida dealers saw little increase in expenses for licensing and bonding from the previous year. According to other sources, Florida ranks high as a state for business owners.
Reasons behind successful dealerships
Many factors go into enabling car dealerships to perform well at sales and profits. These include business climate, fees, taxes, surety-bond amounts, growth prospects and more. Average annual sales per store remains an important figure; this statistic pushed Florida to its high rating.
Oklahoma gained first place for car dealerships with average sales per dealership at nearly $184 million. The state is home to many fleet registrations. Arizona, California and Nevada rounded out the remaining top five states for car dealerships.