Volume 33 Number 3 • Summer 2012
r o F e m i It’s T
! n o i t n Conve A Word to the Wise (page 9)
Convention Activities (page 14)
2012 Convention Information (centerfold) Federal Advocates Inc. (page 18)
Once Again, Know Your Customer (page 28) SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
Symbol of Quality
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The Virginia Independent News A VIADA Publication © Virginia Independent Automobile Dealers Association 4700 Thoroughgood Square Virginia Beach, VA 23455-4043 757.464.3460 | 800.394.1960 Fax: 757.460.1346 E-mail: firstname.lastname@example.org www.viada.org Lois Keenan Executive Director email@example.com Peter Iaricci Trainer/Consultant firstname.lastname@example.org Tina Allman Auction Representative email@example.com Madison Ellis Office Manager/Bookkeeper firstname.lastname@example.org Stephanie Hand Publications email@example.com Kristen Lucia Membership firstname.lastname@example.org Vickie London Office Assistant email@example.com VIADA OFFICERS 2011-2012 Chairman of the Board - John Porter President - Gail Davis President Elect - LexaLynn Hooper Vice Presidents - Howard Kershaw Alivin Melendez Donald Boucher, Jr. Secretary - Bobby Steele Treasurer - Rodney Williams The statements and opinions expressed herein are those of the individual authors and do not necessarily represent the view of the Virginia Independent Automobile Dealers Association. Likewise, the appearance of advertisers, or their identification as members of VIADA, does not constitute an endorsement of the products or services featured.
It’s Time For
C o lu m n s
5 From the President: Gail Davis
5 David Boling Retires After 28 Years of Service to VIADA 7 Executive Director’s Notes: Lois Keenan 10 VIADA Ladies Auxiliary
10 VIADA’s Modernization Fundraiser (Thermometer) 12 Around the Commonwealth
Volume 33 Number 3 • Summer 2012
14 Convention Activities
16 Convention Schedule of Events
17 Convention Registration and Information 20 VIADA 2012-2013 Slate of State Officers 20 VIADA Honors Select Partners 21 Member Bulletin Board
Symbol of Quality
22 VIADA Member Renewals 23 VIADA New Members
25 Past Presidents Column: Wanda Lewark 26 VIADA’s PAC Contributers
26 Dealer Recertification Course 29 Tracy Myers Infomation
F e at u r e s
6 Unrepaired Recalls on Used Cars 9 A Word to the Wise
18 Federal Advocates Inc.
24 Five Items That Can Keep Your Computers From Ruining Your Business
28 Once Again, Know Your Customer 30 The Internet Corner
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
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By: Gail Davis; Davis Auto Sales
As my year is drawing to a close I want to focus my article on gratitude. The definition of Gratitude from Wikipedia is: “ thankfulness, gratefulness, or appreciation, a feeling, emotion or attitude in acknowledgment of a benefit that one has received or will receive.” As I have travelled around the state attending district meetings, meetings at Motor Vehicle Dealer Board, DMV, and other places involving issues concerning VIADA, I have been warmly welcomed as the current President. I have been very impressed with the quality of the meetings being held across the state and the wealth of information that is provided to our dealer members. I have such appreciation for the efforts of our District Presidents and their officers for the work they do to provide quality meetings to their district members. I am grateful to have had such a wonderful slate of State Officers working very hard taking time out of running their own businesses to help VIADA move towards the future. Thank you Lexalynn Hooper, Alvin Melendez, Howard Kershaw, Don Boucher, Rodney Williams, and Bobby Steele. You all made my job so much easier. You each bring special talents to the Association and I look forward to the years ahead as you move closer to being President. I am thankful, for our State Office staff for the work they do everyday to help the members of the Association. They are always only a phone call away to help with any issue that may appear during the course of a day. A special thank you to David Boling, our lobbyist who is retiring on June 30th after 28 years of faithful service to this Association. I will miss his cheerful voice on the phone always willing to answer any question put before him.
Another special thank you to JTZ Enterprises for taking our Recertification on-line class and making it more intuitive and getting it online in a rapid fashion. I want to thank our vendors that offer so much time, money and support to our Association. We are grateful for their support. This year has been filled with happy and sad times. This past January, my beloved 92-year-old father passed away unexpectedly. Thank you to Lexalynn Hooper as PresidentElect who had to step in and handle the January Board meeting in my absence. I appreciate all the visits to my father’s visitation, the cards, flowers, and donations in his memory. We truly have a very caring group of people in this Association. It has meant so much to me. As we are fast approaching convention and as I pass the gavel to our next incoming President, LexaLynn Hooper, I hope that you will give her the support that I have received this year. I appreciate the opportunity to serve the Association this year and even though I step down as President, I will continue to support and serve in any capacity needed. I look forward to seeing you at The Homestead in Hot Springs, Virginia, during our state convention, July 26-29th, 2012. It has been a rapid and fast year. It has been truly an honor to serve.
Retires After 28 Years of Service to VIADA
Shirlie Slack of Shirlie Slack Mitsubishi in Fredericksburg summed it up in her toast to David at a recent Retirement Dinner with the Board of Directors: “At the Board of Directors meeting held at Wintergreen on January 16, 1982, the search
committee, having interviewed several candidates, chose you for the position of Executive Director of VIADA. The motion was made by Shirlie Slack and seconded by Steve Gossett. That was twenty-eight years ago! What an exciting and extraordinary journey it’s been, David! Of your many accomplishments, you opened the home office on a full time basis, increased membership, became familiar face of VIADA in the halls of the General Assembly, introducing many of us to our legislators and lobbying for all causes dear to the heart of the independent dealer. Loving the automobile business as you did, you were always the man with the answers to all of our questions concerning our industry. The do’s and don’ts; the should and should
not’s; keeping us legal and bringing us the education we lacked to be totally informed. I personally remember and treasure the friendship and accommodations that my husband and I shared with you and Nancy during those early years, hosting the Friday night reception for the Board, and several of our members here will remember the Board Meeting at Smith Mountain Lake when a torrential downpour sunk our party boat, and we waded to the dock to change into dry clothes… and then, continuing on with the evening’s activities. On behalf of all of us here, we thank you for sharing your time with us, we wish you a happy retirement with sincere appreciation for your dedication and many years of service to VIADA. Congratulations!”
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
Unrepaired recalls A vehicle history report company recently claimed that it counted more than 2.7 million used vehicles for sale online in 2011 with safety recalls that were never performed. This raises a question: must dealers make sure that recalls are performed on the used vehicles they have in inventory for sale?
Unfortunately, a dealer who does so runs the risk of substantial liability, if there is a post-sale accident that can be blamed on the open recall. In that case, a dealer may face substantial civil liability.
Federal law prohibits the sale of a new vehicle with an open recall, but it does not do so with respect to sale of a used vehicle. Therefore, a dealer may sell a used vehicle with an open recall without necessarily violating federal law.
n U sed Cars o
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
Do not sell used cars with open recalls. If it is a vehicle of the brand your dealership sells, the franchisor will pay your service department to do the repairs. If you do not sell the brand, you can take it to another franchised dealer to have it done at the manufacturerâ€™s expense. You can tell whether a car has an open recall from a variety of sources including a vehicle history report, the vehicleâ€™s repair history through the manufacturer if it is a brand you sell, or an online site such as www. safecar.gov which gives information about specific recall campaigns. Why risk liability when the manufacturer will pay to solve the problem?
Notes If you have not read Ken Blanchard’s book WHALE DONE, you are missing a treat that can help you increase your employee production using the lessons trainers learned from the killer whales at Sea World. The concepts have had an effect around the world, and it could make a difference in your business! VIADA’s 52nd Annual Convention and Expo is designed to give you additional tools to help bring about a WHALE DONE experience for you.
Through VIADA’s mission; education, information, and representation, you will be exposed to •
Training: branding, marketing, sales, recertification, motivational
Networking: welcome reception, hospitality suite, breaks, around the table during meals, in the rockers on the front porch of The Homestead, playing golf, and so many other unexpected encounters
Relaxation with your family and friends, a much needed commodity to refresh the mind, body, and spirit – there’s hiking, golf, mini golf, bowling, horse back riding, pools, spas, and “oh” so much more!!!
…all of this at one of the most beautiful spots in Virginia at the lowest rate of any group hosted at The Homestead during July. ******************* VIADA has begun its staff transition with the retirement of David Boling on June 30. The Board of Directors has approved the hiring of a lobbying/attorney firm to handle the lobbying responsibilities under the direction of our Executive Director, Director of Education, and an advisory board from the Board of Directors. Second, we will be hiring an assistant to the executive director. VIADA’s Board of Directors, during its April meeting, discussed two questions; “Where do you see the independent auto industry in three years? And, what should be VIADA’s role to provide the necessary resource for members?” Our 2012-2013 President LexaLynn Hooper of Hooper’s Quality Cars in Stafford will use the results of this study to set her goals for the next Association year. Send us your thoughts on these two questions...
VIADA Annual Business Meeting Friday, July 27, 2012 8:30 am The Homestead Resort 1766 Homestead Drive Hot Springs, VA 24445 (866) 354-4653 Open to All VIADA Members You have a Vote in the Future of VIADA!
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
AWord tothe T Wise here has been an increasing amount of negative press about our industry lately. It started with a poorly researched article in the Los Angeles Times and spread across the country. Many of my clients are extremely upset over the mischaracterization of the buy here-pay here business and the portrayal of the stereotypical dealer. I feel your pain. You can certainly write responses to the editors or cry foul through your associations or just stew about it. Those approaches do little good when you attempt to illustrate a true picture of this business. Please consider the following as a far superior approach to your business and recognize that your actions speak far louder than just words. I ask that each dealer reading this article look in a mirror and ask yourself, “What kind of dealer am I?” Am I the type who repossesses vehicles multiple times? Am I a dealer who feels all vehicles should be sold “As-Is”? Am I a dealer who does not recondition my inventory because my customer doesn’t deserve it? Am I a dealer who treats my customer as a second-class citizen, undeserving of my concern? Do I charge the highest interest rate allowable in my state? Do I lie to my customer in order to sell a vehicle or to “trick” them into paying? Am I a dealer who sues for deficiency balances? If you answered yes to any or all these questions, you may want to rethink your business plan, mission, and consider a better way to reap the rewards of buy here-pay here. Despite conventional wisdom, we DO NOT make money selling a car over and over again. This approach requires that you pay (real money) to repossess cars, recondition cars and pay sales commissions over and over while NEVER collecting the profit. You also incur cash expenses to run the business and service the account. Secondly, it is unwise to be the “Repo King” of your market as you inevitably lose market
share when you run out of customers or as your repossessed customers share their experiences with family, friends, and neighbors. The old days of selling cars “As-Is” is long past. That strategy came from the fact that vehicles were once manufactured so poorly that the risk to cover them was far too great. Secondly, due to the lower retail prices and short-term contracts, it made little sense to stand behind those vehicles. Today, the average BHPH vehicle is purchased at auction for well over $5,000 and requires $1,000 more in repair and reconditioning costs. These contracts require three years or more to pay off. Warranting the vehicle pays off two ways. First, is that a formalized warranty is easy for your customer to understand and use and keeps the car running which is essential in your world. Secondly, it should give your customer comfort that we will back a product we did not manufacture and that we truly want to keep their car running. For all of you nay-sayers, please answer this question: What is the first thing you do when you repossess a vehicle for mechanical issues? YOU FIX IT! So fix that vehicle with this customer. It’s just good business. Proper reconditioning to vehicles is critical today as you write long-term contracts. The average contract requires 15-plus months to recover your cost of the car and an additional 3-6 months to recover the overhead associated with the vehicle. Do not cut corners or hope the customer will not care about the condition of the car. It is your responsibility to make the car safe and mechanically sound. It is a wise business move to do proper reconditioning prior to the sale so that your pricing will reflect the repairs and your customers will pay for those repairs over time. Repairs after the sale are troublesome for two reasons. The first is that any goodwill repair directly affects your bottom line and secondly, the bad will be associated with
broken cars, decreases the probability of the customer paying, and also the likelihood that they will recommend you to their friends and family. Your mark up to vehicles must be sufficient to cover your operating expenses as well the expenses for bad debt. Your vehicles are priced accordingly based on your costs. You need not be ashamed or embarrassed by that. You should offer services and programs to your customers that add value to the ownership experience. Long term warranties free vehicle maintenance, loaner cars, parties, giveaways, nomoney-down opportunities on their next vehicle and even lowered interest rates on second vehicles. These are services and programs nobody writes about. Each of you has a cost of capital to be in this business (whether you capitalize with your own money, private money or bank lines), it is finance 101 that you must charge more to lend than you pay to borrow. Every state has usury limits (okay some don’t) but ask yourself if you need to charge the state maximum on every deal? You may consider tiered interest rates based on customer contribution (down payment) so that you are not dictating the rate but allowing your customer to decide what level of financing they require or desire. Also, don’t “stuff” customers in vehicles. It is bad for business when you dictate the vehicle they can buy. Of course, you want to put them in an affordable vehicle, but give them choices. The collection process needs to be one that emphasizes customer service. The collection of the contract is paramount to your success. It cannot be your desire to take people out of cars but must be
(Continued on page 15)
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
Convention Auction! Symbol of Quality
It is that wonderful time of the year that we all look forward to and work so hard for, our Annual Convention and Expo. It cannot be held in a better place than at the beautiful Homestead Resort.
For the Ladies Auxiliary, this is the greatest part of our year, when it all comes together for us. We have our Charity Auction which raises the funds needed to do all the work we do throughout the entire year. All the charities we help, special needs children we provide to in our Fill - A - Wish program and college students who have received a scholarship, comes mainly from the funds raised during this auction. It is always a fun, crowd pleasing event, which reaps benefits that cannot begin to be measured through all of the lives that it touches. You won’t want to miss it, but better yet, if you really want to do something to give back and help others. Come join us!
Our Ladies Auxiliary meets on Friday at 9am at the convention to begin preparing for all of our activities. Once you have attended our meeting and get to know our members and see what it is that we are all about, you will want to become a part of this extraordinary group. We will also have a booth set up during the Expo, so please stop by and let us show you the work we do during the year. This year’s theme is sure to be a fun one so make it a point to get by our booth and check us out. We are looking forward to another successful year and having you join us and add to our remarkable association. See you at The Homestead! Carla Ann Keene Ladies Auxiliary President
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Contact your district president for tickets (1) Don Boucher- 757.424.6404 (2) Jeanette Bishop- 804.721.6398 (3) Barry Riddleberger- 540.309.4004 (4) Wanda Lewark- 703.849.0080
or contact VIADA’s State Office (800) 394-1960 / firstname.lastname@example.org **
(5) Sammy Wright- 276.656.1955 (6) Bobby Steele- 434.239.0288 (7) Jim Millner- 434.293.6900 (8) Rodney Williams- 276.669.3472
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A.M. BEST Financial Strength Rating: A+ (Superior)6 Eastbridge Consulting Group Inc., U.S. Worksite Sales Report Center Results for 2010. 2 “100 Best Companies to Work For,” Fortune magazine, February 7, 2011. 3 “World’s Most Admired Companies,” Fortune magazine, March 21, 2011. 4 “Largest U.S. Corporations,” Fortune magazine, May 23, 2010. 1
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District 1 Tidewater Virginia Congratulations to Carter & Jamie Davis of Davis Auto Center for being VIADA’s Quality Dealer of the year. Davis Auto Center has been in business for 63 years. They have an excellent reputation and have definitely stood the test of time. Our last meeting was held on April 26th at Frankie’s Place for Ribs in Virginia Beach. Thanks to our sponsors James Stallings with Beyond Marketing & Chris Lagey with Sinclair Communications. They both discussed how we can advertise without breaking your bank account. After the business portion of the meeting was over, we broke up into round table discussion groups. Rick Johnson with Earle’s Auto Credit & Eddie Falk with EF Motor Co led the discussion on best practices for the use of GPS devices & Starter interrupts. James Stallings & Chris Lagy discussed best practices for all types of advertising. This meeting was well attended & everyone had a great time. If you would like to improve your business, you should attend these meetings. They only last a few hours, the food is excellent, and, if you only learn one new idea to bring back and use, it is well worth your time. Weldon Whitehurst of Virginia Beach Truck Center will be the new President of District 1! This is great news for all of us, especially yours truly. Many of you probably don’t know that Weldon has been my Right Hand Man all along. He is a Quality person and dealer. He, unlike me, is organized and a very good listener. Please welcome and thank him when you see him. Weldon has been serving as a Vice President and once again I thank him for stepping up. I will still help in any way shape or form. Thanks to all the Dealers, Sponsors and Vendors that made our last meeting such fun and a success. Please feel free to call me or Weldon with any of your ideas to make our meetings more enjoyable
for us all. Weldon’s phone number (757) 406-2277 and mine is (757) 560-1866. One last note, please feel free to bring your spouse and/or a dealer that is not a member. Email – Weldon firstname.lastname@example.org Dondon@courtesyautosales. com. Don Boucher District 1 President District 2 Richmond Virginia Richmond and surrounding area dealers met recently with guest speaker Joe Pearson Agency Development Manager of Colonial Life. He presented an extensive presentation regarding “Taking Control of Group Health Care.” The group welcomed Bill Tally Automotive, Car N Go, Integrity Motors, S & F Auto Sales Inc., S & J Auto Sales Inc., and Unity Motors into the Association. There were further discussions on curbstoning problems, bills that were monitored by VIADA lobbyist and the end result of those efforts as they impact VIADA members, VIADA’s 52nd Annual Convention & Expo with guest speaker/ trainer Tracy Myers who is a best selling author, specializes in marketing and branding including social media and sells over 100 vehicles per month. Everyone was encouraged to attend. Elections of 2012-2013 officers for Distict 2: Chairman of the Board - Jeanette Bishop President - David Gripshover Vice President - Jeff Schuler Secretary- Lonnie Johnson Treasurer- Charlie Spencer Directors: Bill Moss Michael Howard Buddy Bishop Tommy Woodson Be a part of your next meeting to stay up to date on your industry. Jeanette Bishop District 2 President
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
District 3 Roanoke Virginia Our last meeting was held in Rocky Mount, Virginia. Our intention was to have our meeting not only in a different place, but one that would allow dealers that cannot make it to Roanoke an opportunity to attend a meeting closer to where their dealerships are located. The meeting was held at Glenn Firth’s apartment complex in the hall. The facilities were excellent as was Glenn’s hospitality. Everyone had Subway sandwiches that came from Glenn’s Subway in Rocky Mount. Glenn owns FSI in Rocky Mount. John Summers with JTZ Enterprises sponsored the meeting for the evening. John discussed VIADA’s new Dealer Recertification program administered by JTZ, to all who attended the meeting. We all appreciated John and what this program has to offer to the VIADA membership. Barry Riddleberger, our president, went over recent and old new letters so we all could revisit issues that we have had in the past and we were allowed to update our activities pertaining to these issues. Barry also pointed out the consequences of not having the correct paperwork files with the State. A dealer was mentioned in our area that had falsified documents and now is paying the price for his errors Our next meeting will be held in Roanoke on June 11. We will be electing our new officers that will serve for the coming years and a reminder that the state VIADA convention will be held at The Homestead in July. It is so close for all of us were encouraged to attend. See you at our next meeting. Barry Riddleberger District 3 President
District 4 Northern Virginia New members – new attendees at our meetings! We strive toward that very thing! We were not disappointed at our April 17th meeting at Montclair Country Club. It was great to be back at Montclair CC. We hadn’t been there for a while and, as usual, they provided a great evening for us. Our state PresidentElect, LexaLynn Hooper, gave an excellent update of association matters. Our district president for next year, Don Sullivan, spoke to the value of belonging to our great association and introduced Mariner Finance - one of our sponsors. Gary Oliver, our vice president, introduced Insidenova Network one of our sponsors for the evening. Federal Financial addressed our group, having been a sponsor in the past. Frazer Computing was a gracious sponsor and sent information related to their dealer management software. In addition Joe Verde Group had sent lots of books, CD’s and newsletters for our dealers. Special thanks to Jim Luehrs, treasurer and John Summer, vice president for how they always do the things necessary to make our meetings a success. Each of the products offered that evening were beneficial to our dealerships. Hopefully each of us left with new opportunities to improve our business operation. There was much discussion regarding, each of us, signing new members. This is the strength of our association. If even half of our current members would make a commitment to talk with a nonmember dealer, invite them to a meeting, and hopefully sign them into membership – our association would grow rapidly. Remember when you drive by a dealer, and can, stop to invite him/her to join VIADA or thank him/her for his current membership. VIADA is our lifeline in the automobile business!! Let’s do all we can to increase growth and guarantee our future.
Looking forward to seeing you at the Homestead! Wanda Lewark District 4 President District 5 Southern Virginia AutoZone, represented by Steve Taylor, sponsored our last meeting and Steve updated dealers on the new structure of the company to move toward commercial business. They are hiring employees with industry background to provide more support to dealers in identifying parts to meet their needs on specific projects. In addition they have developed a tiered program to give rebates to dealers based on their volume of business with AutoZone. Speaker Kenny Campbell, DMV Special Agent in salvage, spoke with the group about his responsibilities with the Department and answered specific questions from dealers in attendance. New member J & J Auto Sales of Gretna was welcomed into the association and certificate was presented to Sammy Wright for sponsoring the new member. New officers were elected for the 2012-2013 Association Year: Chairman of the Board- Sammy Wright President- Brent Toone Vice President- Tom Elliott Secretary- Margie Richards Treasurer- Richard Semones Directors- Brent Toone Sammy Wright Mac Ragans Sammy Wright District 5 President District 6 Western Virginia Speaker/Sponsor Jason Hughes, who is Manheim’s Regional
Representative enlightened members of the recent changes in Manheim’s structure for marketing to dealers throughout Virginia. Jason’s territory includes the District 6 geographical boundaries and he represents the interests of both Manheim Harrisonburg and Manheim Fredericksburg. He covered the on site sales as well as Simulcast and OVE to name only a few of the many services offered to dealers. An in depth discussion on the new all-weather temporary tags included the kind of printer needed to print on this special paper. Since the printer is critical, the tags will be available June 15 for those who have a laser “toner” printer. Additional specifications are required that have to do with the amount of heat generated by the printer. One of the Print on Demand vendors is researching this currently and the results will be announced as soon as they are available. Plastic sleeves will continue to be available until dealers can acquire such printer. All must be in compliance by July 1, 2013. In the interim, DMV and vendors have been working on “what happens when connection is lost between DMV and the vendor; between the vendor and the dealer, and lastly the dealer loses internet service or their computer crashes. Be sure to read your June issue of News in Brief for details. A new DSD 4 form is being devised by DMV for 30-day Temporary/5-Day Transport Plates. Go to www.dmvnow.com website to download these forms as you need them to be certain you have the latest version. Forms change periodically, especially following a General Assembly session. Convention is extremely important for all dealers to stay tuned to branding/marketing in changing times to meet new generational challenges. Meet us at The Homestead July 26 – 29 or on the 27th for training and expo only. Dealers will receive an autographed copy of Tracy Myers’ best seller YOU ARE THE BRAND, STUPID. New district officers will be decided upon by June 30. New
leadership will be welcomed as well as supporters who do not wish to be an officer but would be willing to work behind the scenes with the officers and be a helping hand. Call Bobby Steele or John Taylor and become active to advance your industry from the grassroots where you can have a stronger voice and experience the rewards of giving back to your industry. Bobby Steele District 6 President District 7 Shenandoah Valley Virginia District 7 enjoyed a most successful membership drive hosted by Karl Karicofe, General Manager, and Manheim Harrisonburg. Members enjoyed hot dogs and any one who joined or renewed that day were entered in a drawing for a wide screen TV and Kindle, all sponsored by the auction, plus one $100 and two $50 provided by District 7. The membership drive was followed by a lunch meeting sponsored by ComCast who talked about cable advertising at affordable prices for dealers. They gave away many prizes to the delight of members present. The group was updated on member benefits, the PAC fund, results of the 2012 General Assembly bills, print on demand update, curbstoning, recertification both online and classroom, and much more. New member Beverage Truck and Equipment was welcomed into the association. VIADA is currently selling $20 tickets for a 50/50 raffle to raise money to update computer hardware and software for the VIADA State Office. If all tickets are sold, the winner will receive $10,000. The drawing will take place at The Homestead on July 28. Call President Jim Millner for your ticket(s) today 434-293-6900. Watch your mail, email and faxes for info on your next
meeting, and plan to join us at the Homestead July 26- 29, 2012. James Millner District 7 President District 8 Southwestern Virginia April 12, 2012, District 8 met at Smokey’s Bar-b-Que in Wytheville, Virginia. The meeting was sponsored by GWC. Jim Gudger, of GWC shared with us how GWC helps dealers give customers the peace of mind of having protection if a break down occurs after purchasing a vehicle and how it gives the dealer a more positive image in the eyes of the customer. Senator Phillip Puckett, from District 38 was our special speaker for our meeting. He gave us an update on the status of the state budget still being fine tuned as it is making way thru the General Assembly. He also presented Donnie Keene of Don’s Auto Exchange in Cedar Bluff, Virginia, an award recognizing him as the State Quality Dealer in Virginia. Lois Keenan, VIADA’s Executive Director, gave us an update as to what is happening around the Commonwealth. It is amazing how fast the year is going, thinking by the time you read this article it will be Convention time. It has been great, and I have been honored, to serve District 8 as your President, and thank every one for your support to make this District what it is today. I close with a statement I shared with you being elected as your District President 3 years ago” I can do things you cannot do, and You can do things I cannot do, but together we can do great things” I hope to see everyone at the Homestead! Rodney Williams District 8 President
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
CONVENTION ISN’T ONLY ABOUT LEARNING, IT’S ALSO THE TIME TO
Don’t just bring yourself! Bring the whole family... From your significant other, your children, and even your grandchildren! There are a ton things to do at the Homestead Resort! Some of these are included in your purchase, but in addition to those you can also indulge in other activities at an additional price... listed below are few of those extra activities to do at
English or Western Saddles Available All rides are accompanied by guide Wear shoes with sturdy sole Jeans or long pants Must be 4’6” tall to ride Private Trail Ride - 1 hour $110 (Offering walk, trot and canter; pace to be determined) Group Trail Ride - 1 hour $85 Children (accompanied by parent) $70 Group Trail Ride - 30 minutes$50 Children (accompanied by parent) $40 (Various guests riding together as a group; pace will be set at a walk) Children’s Ride $30 Children’s Ride $30 10-15 minute hand-led ride, for children under 4 feet 6 inches tall. All trail rides will be accompanied by a guide.
Right and left hand as well as youth model bows available $35 per hour Designed for Recreational Archers
Homestead Kids Club
Supervised program for ages 3-12 Full Day with Lunch $67 Half Day with Lunch $47 Additional Child (family) $47
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
The Homestead Resort with pricing:
• Massage Therapies • Hydrotherapies • Body Therapies • Skin Care Therapies • Hair and Nail Therapies • The Men’s Spa • Spa Family Therapies • Kidspa & Teen Services Prices Vary | Ages 16+ on adult Spa
Homestead Gun Club
Skeet | Trap | 5-Stand Sporting Clays | .22 Rifle Range Year Round Sporting Clays (50 targets) $87 Sporting Clays (100 targets) $128 Skeet, Trap & 5-Stand $52 Rifle Range (50 rounds) $20 Introductory Lessons - skeet/trap $32 per person, per hour Sporting Clays Lessons - $72 per person, per hour
Bike & Equipment Rental Available $22 per day
200 Balls $70 Additional Balls (per 100) $12 Matches on Wooded Course Ages 12 & up
Kayak/Lake Canoe/River Children
$75 $100 $45
Stream Usage Rod Rental w/vest Fly Casting Lesson Guide, First Hour
$50 $37 $57 $50
0-3 years FREE 4-13 years $8 14 and up $12 Shoes are complementary
Shops are open all day!
(Continued from page 9) HAVE FUN WITH YOUR FAMILY! Listed below you’ll see what is included in the package for the Convention, free of charge! Also, if the weather is rainy and rainy day activities are being offered, there are usually a few activities at no additional cost!
The History Tour
The Deerlick and South Walking Trails Maps available at front desk Wear Comfortable Shoes!
10 am daily
Play various board games, Checkers, Chess and puzzles
The Fitness Center
3 p.m. - 4 p.m. daily
your desire to keep them in the car and paying. Collection of these contracts does not have to be a deceitful, adversarial, negative experience. If your collection department is run that way, it is because you accept that style. The best collection departments are operated with the intent to collect money for the company while serving the customers and their needs. The final word on collections is that when you sell these cars for significant profit, high finance charge rates, and long terms, then turn around and sue the customer for deficiency balances when they default, you are ripe for bad press, bad reviews, regulatory and statutory investigation, consumer lawsuits and possibility of losing your business. You may be exactly what some people say you are – predatory. I know you can “make” money suing people. I’ve done it. I only ask you, “Is it the best business practice to kick someone when they are down?” I hope you take what I’ve said to heart. Be a good citizen of your community. Help the un-bankable customer versus abuse them. Motivate and encourage your customers to improve their financial lives. Create value, trust and friendship. Offer world-class service. Do these things and you should sleep well at night not just for abiding by laws and regulations, but do so because you and the thousands of dealers out there, just like you, make a positive difference in the lives of thousands of people each and every day. Chuck Bonanno is the executive vice president and senior partner of the firm, Leedom and Associates, LLC. He is an executive Conference Moderator of Buy Here-Pay Here and Automotive Finance Twenty Groups. He is a nationally recognized speaker, author, industry trainer, and consultant. chuck@ twentygroups.com
7 p.m. and 9:30 p.m.
VIADA Golf Tournament This is NOT a free activity/event! (See page 20 for more details)
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
The Homestead Resort Hot Springs, VA July 26 - 29, 2012
Thursday, July 26 3:00 pm - 6:00 pm 7:00 pm 9:00 pm
Friday, July 27 7:45 am 8:30 am 9:00 am 10:00 am
Lunch with Exhibitors Session II - Make Millions and Dominate Your Competition
By Building Your Expert Brand
5:00 pm 7:00 pm 9:00 pm 10:00 pm
Charity Auction Dinner with Exhibitors Casino Night Hospitality Room Opens
Saturday, July 28 am am am pm pm pm
Sunday, July 29 8:00 am 9:00 am
VIADA Board of Directors Annual Business Meeting/Leadership Awards Ladies Auxiliary Meeting Session I - You are The Brand, Stupid! How to Get Noticed,
Gain Instant Credibility
11:45 am 2:00 pm
7:45 9:00 9:00 6:30 7:00 9:00
2012-2013 District President Retreat Welcome Reception Hospitality Suite
Breakfast Golf Tournament Recertification Class Meet and Greet/Golf Awards Quality Dealer Dinner Dessert/Chat Party
President Meets with State Officers Time of Sharing
- A M u s t A t t e n d ! â€” s tA rt P l A n n i n g t o d Ay ! Schedule of Events is tentative. Please watch for future information.
viAdA 52nd AnnuAl Convention & exPo July 26 - 29, 2012
A t t e n d e e R e g i s t R At i on F o R m (Exhibitors - please use exhibitor registration form)
ComPAnY inFoRmAtion _______________________________________________________________________ Company Name
the homesteAd ResoRt 1766 Homestead Drive Hot Springs, VA 24445
g Ro u P R At e :
_______________________________________________________________________ City, State, Zip
_______________________________________________________________________ Phone No.
R e g i s t R At i on i n F o R m At i on : Events
$145 plus 15% Resort Fee, taxes & fees per room, per night
R e s e R vAt i on s :
(866) 354-4653 Group: VIADA / Cut Off For Group Rate: June 25, 2012 NonMember
Full Registration (entry to all events) $225 each/$105 per Child $325 each Badge Name(s):____________________________________, _______________________________________ Badge Name(s): Child _____________________________, Child __________________________________ Welcome Reception Only $75 each $85 each Badge Name(s):____________________________________, _______________________________________ Badge Name(s): Child _____________________________, Child __________________________________ Friday Only (entry to all events on Friday, July 27th) $175 each $200 each Badge Name(s):____________________________________, _______________________________________ Badge Name(s): Child _____________________________, Child __________________________________ Grand Banquet (entry to banquet only - Saturday, July 28th) $90 each $110 each Badge Name(s):____________________________________, ______________________________________ Badge Name(s): Child _____________________________, Child __________________________________ Golf Tournament $90 each Attendee(s): _____________________________ Average Score: _______________ _____________________________ _______________
First Time Attendee qYes q No ____ # Years a Member of VIADA
Registrations received in State Office before June 25th, will be entered into a special drawing for ONE NIGHT FREE HOTEL STAY! 10% Discount for 3rd and each additional company registration
Office Use Only q Billed/Payment q Confirmation Mailed q Badge
PAY m e n t i n F o R m At i on TOTAL $ AMOUNT ______________ Check Enclosed (Please make payable to VIADA) VISA:____ MasterCard:____ Discover:____ Credit Card #: ______ - ______ - ______ - ______ Expires: ______ V-Code (3 digits on back): ______ Credit Card Billing Street #: ______ Credit Card Billing Zip Code: ______ In the event of cancellation, a $25.00 administrative fee per person will be charged on cancellations after july 20th. All requests must be in writing
4700 Thoroughgood Square Virginia Beach, VA 23455 Phone: 800.394.1960 Fax: 757.460.1346 www.viada.org/convention.php
Your convention name badge will indicate your participation in different areas of Virginia Independent Automobile Dealers Association. To ensure accuracy of your accomplishments please “R” each category that applies to you and your spouse/guest. Member Spouse/Guest Member Spouse/Guest Member Spouse/Guest q q VIADA Board of Directors q q Ladies Auxiliary Officer q q Eagle Award (Specify) q q VIADA Past President q q INDEPAC Contributor q q Ladies Auxiliary Member q q Honorary Life Director q q Member q q Ladies Auxiliary Board Member q q State Officer q q Guest q q Quality Lady (Specify) q q Exhibitor q q Committee Chairperson q q District President q q Sponsor q q Certified Master Dealer q q Quality Dealer q q Speaker 17 National/State/District (circle one)
1701 Pennsylvania Avenue Suite 300 Washington, DC 20006 Phone: (202) 351-6855 Fax: (202) 351-6855 www.federaladvocates.com
S.1449, the Motor Vehicle and Highway Safety Improvement Act S.1449 is the bill that had the onerous recall provision/process included in an earlier version of the bill considered last Congress. That provision would have prohibited the sale or lease of a motor vehicle for which there is a pending recall. In addition, it would have put the onus on dealers to “know” about pending recalls and to assume the responsibility for curing the recall defect. We lobbied for its exclusion and the language was not part of the July 2011 introduced version of the bill. Working in conjunction with NADA, Committee Members were contacted on December 13 to guard against any attempts to reinstate the language. No effort materialized. The bill does include other issues of interest: an increase in civil and criminal penalties for odometer fraud; a new NHTSA hotline for manufacturers, dealers and mechanics to report motor vehicle safety defects; whistleblower protection for manufacturers, part suppliers and dealership employees who report “problems”; and, rulemaking authority regarding brake override, pedal placement, electronic systems performance, pushbutton ignition systems, and child safety standards. Status UPDATE: S. 1449 was included in S.1813, the Senate-passed omnibus highway bill which extends the highway program until Sept. 30, 2013. In the House, jurisdiction over the “S.1449 issue” is shared between the Transportation and Infrastructure Committee and the Energy and Commerce Committee. There is no comparable provision in H.R 4348 (was H.R. 7), which passed the House on April 18 and extends the program until Sept. 30, 2012. Timing and resolution of the final bill is uncertain. The current program was extended until June 30 by Congress on March 29 to allow more time for final resolution of a highway bill. Federal Agency Regulatory Review Last year the President issued Executive Orders 13563 and 13579, which called upon
Federal agencies including independent agencies such as the FTC, to prepare plans for the periodic review of existing regulations in order to determine whether those regulations should be modified, streamlined, expanded, or repealed. On March 9, the FTC announced its updated 10-year regulatory review schedule. Other agencies of interest are EPA, NHTSA, and SBA. Working in conjunction with NADA, the relevant regulations will be identified for possible comment. Other Legislation of Interest S.474,
Small Business Regulatory Freedom Act of 2011 Senator Olympia Snowe (R-ME) introduced S.474 on March 3, 2011. To date, it has 12 cosponsors. The bill was referred to the Committee on Homeland Security and Government Affairs. The “Small Business Regulatory Freedom Act of 2011” amends the Regulatory Flexibility Act to revise the rulemaking process with respect to small entities (i.e., small businesses, small organizations, and small governmental jurisdictions). It defines “economic impact” with respect to a proposed or final rule to mean: 1. Any direct economic effect of a rule on small entities; 2. Any indirect economic effect on such entities, including potential job creation or job loss. It expands review of agency rulemaking to permit small entities to seek judicial review of initial regulatory flexibility analyses and to obtain an injunction of a proposed rule that is noncompliant with RFA requirements. It requires each agency to establish a plan for the periodic review (every eight years) of: 1. Rules that have a significant adverse economic impact on small entities 2. Any small entity compliance guide required to be published by an agency. It sets forth criteria for review of a rule, including the continued need for the rule, the complexity of the rule, the
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
and the impact of the rule on small entities. It terminates any rule if the issuing agency has failed to complete a required periodic review. In addition, it expands to all agencies the procedures for gathering comments on rules that will have a significant economic impact on small entities. Requires each agency to review on a periodic basis its policies or programs for imposing regulatory penalties on small entities; imposes certain additional requirements on agencies prior to the issuance of a final rule. Status UPDATE: unchanged from the March report. S.330, the Consumer Recall Protection Act of 2011 Senator Charles Schumer (D-NY) introduced S. 330 on February 14, 2011. To date, it has no cosponsors. The bill was referred to the Committee on Commerce, Science, and Transportation. The bill prohibits a person from selling to consumers any covered product that is subject to a recall. It defines a “covered product” to include a motor vehicle or replacement equipment, food, drugs, devices, cosmetics, a biological product, a consumer product, a meat or meat food product, a poultry or poultry product, and an egg or egg product. It defines “recall” with respect to a motor vehicle or replacement equipment when the Secretary of Transportation makes a determination that a motor vehicle contains a defect related to safety or does not comply with specified motor vehicle standards. The bill exempts from such prohibition the sale of a covered product that was subject to a recall because of a defect in such product if: (1) such defect was remedied prior to such sale; and (2) the seller of such product notifies such consumer of such recall, defect, and remedy. It treats a violation of such prohibition as a violation of a rule defining an unfair or deceptive act or practice described under the Federal Trade Commission Act, and requires the Consumer Product Safety Commission (CPSC) to establish, maintain, and make
available to the public a searchable list of covered products that are subject to a recall. Status UPDATE: unchanged from the March report. H.R.860 and S.110, “Promoting Charitable Donations of Qualified Vehicles Act of 2011” Senator John Ensign (R-NV) introduced S. 110 on January 25, 2011. To date it has no cosponsors. It was referred to the Committee on Finance. Congressman John Larson (DCT) introduced H.R. 860 (identical to S. 110) on March 1 with 183 (now 247) cosponsors. The bill was referred to the Committee on Ways and Means. The bill amends the Internal Revenue Code with respect to the charitable tax deduction for contributions of qualified vehicles (i.e., motor vehicles, boats, or airplanes) to: 1. Set forth revised acknowledgment requirements for vehicles valued at $2,500 or less and vehicles valued at more than $2,500 2. Revise the penalty for submitting a fraudulent acknowledgment. According to the Internal Revenue Service, as a result of Congress tightening the deductibility rules in 2005, the volume of used car donations reduced by approximately 67%. Specifically, under the 2005 rules, if the charity sells the automobile, the donor’s deduction is limited to the gross proceeds from the sale. This impacts the donor in two ways – 1. Proceeds are normally less than the private sale value of the car 2. A donor claiming a deduction of $500 or more cannot claim the deduction until he or she received a written acknowledgement from the charity showing the gross sales proceeds. In addition, if the charity uses the automobile in its programs, the donor can deduct the private party sale value of the automobile, and only needs an acknowledgement from the charity of that use. The major proposed changes in the legislation are as follows: 1. The charity won’t have to sell the automobile before it provides written acknowledgement to the donor 2. The gross proceeds from the sale of the automobile by the charity will have no bearing 3. For any car where the donor seeks a deduction of $2,500 or less, the donor’s deduction will be based on the value
of the car determined by the charity under rules set by the Internal Revenue Service (the existing rule suggests that this would be private sale value) 4. For a car where the donor seeks a donation greater than $2,500, the deduction will be based on an appraisal provided by the charity 5. The charity’s use of the automobile will have no bearing (the advantage for donating to a charity that will use the automobile in its programs – rather than sell it – will reduce significantly. Under the proposed legislative changes, because charities will now be responsible for providing a statement of fair market value or an appraisal, they are more likely to use commercial dealers to handle their automobile donation programs. Status UPDATE: five additional cosponsors added on House bill since the March report. H.R.1449, the Motor Vehicle Owners Right to Repair Act of 2011 Congressmen Edolphus Towns (D-NY) and Todd Platts (R-PA) introduced H.R.1449 on April 8, 2011. To date it has 33 (now 49) cosponsors. It was referred to the Committee on Energy and Commerce. The “Right to Repair Act” protects motoring consumers from vehicle repair costs by requiring that car manufacturers: 1. Provide to the vehicle owner and service provider all information necessary to diagnose, service, maintain, or repair the vehicle; 2. Offer for sale to the vehicle owner and service providers any related tool or equipment; and, 3. Provide the information that enables tool companies to manufacture tools with the same functional characteristics. The legislation further provides car companies with protections for their trade secrets, only requiring them to make available the same non-proprietary diagnostic and repair information they provide their franchised dealers. Lastly, the bill authorizes enforcement by the Federal Trade Commission and civil actions by the states. Status UPDATE: three additional cosponsors added since the March report. H.R.164,
the Damaged Vehicle Information Act Congressman Cliff Stearns (R-FL), Chairman of the House Energy and Commerce
Committee’s Subcommittee on Oversight and Investigations, introduced H.R. 164 on January 5, 2011. To date the bill has no cosponsors. The bill was referred to the Committee on Energy and Commerce. The bill directs the U.S. Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) to issue a regulation to require greater disclosure of information relating to the market value and safety of damaged motor vehicles. Specifically, it requires all persons who terminate a contract related to a motor vehicle due to flood or water damage, collision, fire damage, theft and recovery, or any other circumstance that adversely affects the fair market value of such motor vehicle, to disclose to the public, in a commercially reasonable, electronically accessible manner, the following: the vehicle identification number of the motor vehicle; the date of the termination of the contract; the odometer reading of the motor vehicle on the date of the termination of the contract; whether, as a result of the incident that resulted in the termination of the contract, one or more airbags in the motor vehicle were deployed; and, the cause of the termination of the contract, including whether such cause was flood or water damage, collision, fire damage, theft and recovery, or another cause. The proposed legislation also states that the private sector will be responsible to collect, aggregate and disclose to the public the fair market value and safety information with respect to the damaged vehicle and all such information shall be accessible by vehicle identification number. In January 2009, The National Motor Vehicle Title Information System was implemented, providing a national database of vehicles compiled from state, salvage and insurer reporting. It requires insurance companies and salvage yards to report vehicles that are severely damaged or totaled, giving consumers access to such information as odometer readings and theft records. The implementation stemmed from a 2008 court case in which Public Citizen Inc. filed the suit to fight for a used car database that was established by Congress in 1992 in the Anti-Car Theft Act. However, the U.S. Department of Justice had never made the system available to the public. Status UPDATE: unchanged from the March report.
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
2012-2013 Slate of State Officers
CHAIRMAN OF THE BOARD Gail Davis Davis Auto Sales Richmond, VA
PRESIDENT LexaLynn Hooper Hooper’s Quality Cars Stafford, VA
PRESIDENT-ELECT Alvin Melendez Melendez Motors Fredericksburg, VA
VICE PRESIDENT Howard Kershaw K’s Auto Sales Hampton, VA
VICE PRESIDENT Bobby Steele Steele’s Auto Sales Lynchburg, VA
VICE PRESIDENT Don Boucher Courtesy Auto Sales Chesapeake, VA
SECRETARY Weldon Whitehurst VA Beach Truck Center Virginia Beach, VA
TREASURER Rodney Williams Williams Auto Mart Bristol, VA
Golf Tournament The Homestead The Old Course Saturday, July 28, 2012 at 9:30 am Shot Gun Start $90/person Includes box lunch and range balls
VIADA HONORS SELECT PARTNERS Platinum Level ESG Insurance & Financial Services Manheim Auctions of Virginia Gold Level DealerTrack GWC – Guardian Warranty Corp.
Silver Level 1st Choice MBC Manheim Auctions of North Carolina Tidewater Auto Auction Bronze Level ComSoft (Commercial Software) JTZ Enterprise Preferred Warranties
*see registration form to sign up
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
VIADA wishes to thank these companies for their continuing support of VIADA and its members! For more information call 800.394.1960
Member Bulletin Board In Memoriam
Mother of Jeff Schuler of Richmond Auto Auction
David Walker, who became a VIADA member during the recent Membership Drive hosted by Richmond Auto Auction, was the winner of the $200 cash drawing!!
Father of Senator Chap Peterson Father of Dolphis Booher of Booher Auto Auction in Bristol
The brother of Mark Halseth, General Manager of ADESA East Tennessee Auto Auction
Upcoming VIADA Events July 2012 4 11 14 26-29
Thinking of You
District 2 Meeting
Independence Day State Office Closed August 2012 MVDB Meeting 5 District 3 Meeting/ District 3 Meeting Picnic 52nd VIADA Convention & Expo at The Homestead
Tracie Bowman of Superior Motors in Bristol Bill Allen of Allenâ€™s Auto Sales in Fredericksburg Wayne Spradlin of K&S Auto Stop, Inc in Concord
2012-2013 District Quality Dealers JACK BOSTAIN JakMax Richmond, VA District 2
CARTER DAVIS Davis Auto Center Inc New Church, VA District 1
PARKER TINGLER Car Shop Inc Covington, VA District 3
JOHN BALUCH Auto City Used Cars Fredericksburg, VA District 4
LARRY CHURCH Cardinal Auto Sales Bristol, VA District 8
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
Wells Auto Sales LLC Michael Wells Warrenton 15
st st Truck & Trailer Inc ,Ronald D Gibbs Ashland 15 VIADA Renewals - MarchVirginia 1 M aySales, 31 2012 Falls Church Motors Ltd Chris Maher Falls Church 15
40 Plus Years
Manheim Harrisonburg Karl Kiracofe Harrisonburg 42 Manheim Fredericksburg Steve Mason Fredericksburg 40
Elliott's Auto Sales Inc Thomas W Elliott South Boston 39 Courtesy Auto Sales Donald J Boucher Jr Chesapeake 38 Shirlie Slack Mitsubishi Shirlie G Slack Fredericksburg 36 R J Motors Ltd Richard L Jones Hayes 35 Jack L. Slagle Fire Equip & Supply Co Jack L Slagle South Boston 34 TJ's Auto Sales Inc John Robert Jones Culpeper 30
Keith's Auto Sales Inc Keith J Knupp Penn Laird 29 Pruitt Motor Corporation Harley E Pruitt Portsmouth 28 The Auto Superstore Dennis Minetos Charlottesville 28 A & G Auto Sales Andreas Loizou Virginia Beach 27 Newmarket Motors Inc Mark R Walker Newport News 27 B & H Auto Sales, Inc. Ernest C Bareford Tappahannock 27 Davis Auto Sales II James W Davis, Sr Richmond 27 1st Choice MBC Ronnie E Thomas Roxboro 27 Pete's Auto Sales George W Brooks, III Madison Heights 27 C & B Auto Sales LLC Cecil H Holler Edinburg 27 Williams Auto Mart Inc Rodney Gene Williams Bristol 25 Bennett & Butler Inc Emerson B Bennett Washington 25 Interstate Motors, Inc Gary H Brown Roanoke 25 J & J Autoville Inc Donald A Jarrett Jr Roanoke 24 Bill Turner Inc William D Turner Luray 23 L & B Auto Inc Paul Lynn Martin Rustburg 23 Cumberland Auto Service Inc Gregory T Atkinson Cumberland 23 Conway Motor Company Inc Conway Hutton Saltville 23 Snyder's RV G E Snyder Virginia Beach 23 Renner's Auto Sales LLC Gary Renner Winchester 23 Mark IV Suzuki Sales Inc Fred Brown Wytheville 23 Consumer Auto Sales Robert Watts Chesapeake 23 Glenn's Used Cars LLC Glenn Wood Staunton 23 Wamsley Service Center Neil Wamsley Colonial Heights 22 Baldwin's Auto Sales, Inc. William A Baldwin Crewe 22 Hood Brothers Garage, Inc. Glenn Hood Lunenburg 22 Select Auto Imports Inc Mohammad Hajimohammad Alexandria 22 Nick's Auto Supermart Nicholas N Tibbitt, Jr Hampton 21 C & R Enterprises James F Brewster North Tazewell 21 CBR Auto Sales Inc Charles M Reed Virginia Beach 21 Ragans Auto Sales Mac Ragans South Boston 21 Pete's Custom Auto Service Kyle Lynne Medlin Newport News 20 Key Truck & Equipment Inc Kenneth W Jones Keysville 20 Empire Auto Brokers Robert S Miller Jr Harrisonburg 20 Americar Inc Paul Jeff Stafford Virginia Beach 20
Abingdon Auto Auction Michael E Anderson Bristol 19 Dean Motors Inc Norman O Dean, Sr Ruckersville 19 Hess Family Auto Center Debra Hess Bower Winchester 19 Pelham Court Motors Inc Eddie F Tolson Culpeper 19 Andy's Wholesale Inc Loreen Anderson Virginia Beach 19 Community Auto Sales, Inc. Darryl W Lawson Glen Allen 19 Coleman Motor Co Cary G Coleman Fredericksburg 19 Nu-Wheels Harry E Hall, Jr Norfolk 18 Vinton Car Connection, Inc Gary Brammer Vinton 17 Hooper's Quality Cars Ltd Lynn C Hooper Stafford 17 G & M Auto Sales Inc Walter G Bunch Front Royal 17 Gary's Wholesaling Ltd Gary Wilberger Richmond 16 Shannon Auto Sales Joseph Harris Manassas 16 Virginia Mustang Supply Inc Robert Halterman Broadway 16 Pioneer Motors LLC Mehran Ebrahimi Arlington 16 Tidewater Motor Credit David Schrenk Virginia Beach 16 Auto Krafters Inc Ronald D Miller New Market 16 Kanode Motors Gary Kanode Christiansburg 15 Curtis Motor Company, Inc William J Curtis Christiansburg 15 Wells Auto Sales LLC Michael Wells Warrenton 15 Virginia Truck & Trailer Sales, Inc Ronald D Gibbs Ashland 15 Falls Church Motors Ltd Chris Maher Falls Church 15 Settle's Cars & Trucks LLC William R Settle Flint Hill 15 International Auto Wholesalers Davood Moghadam Virginia Beach 14 Bill Farrar Auto Sales William Farrar South Hill 14
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
Settle's Cars & Trucks LLC William R Settle Flint Hill 15 11-19 Years International Auto Wholesalers Davood Moghadam Virginia Beach 14 Bill Farrar Auto Sales William Farrar South Hill 14 Earl's Credit Auto Sales Richard W Johnson Portsmouth 14 Timberville Auto Sales Inc Curtis W Knupp Timberville 14 V & L Auto Sales Vasiliy A Yavny Harrisonburg 14 Forish Family Auto Sales Inc Brian D Forish Elkton 14 Cantrell Auto Sales Henry Cantrell Cedar Bluff 13 Eaton Motor Sales Gary F Eaton Front Royal 13 J & J Truck Sales Inc Jo Ann Atkinson Dry Fork 13 Eurotech Auto Service Inc Richard V McMullen Falmouth 13 J. D. Byrider Gary A Duncan Roanoke 13 CAR Financial Services Inc Brian Perryman Glen Allen 13 Roanoke Auto Auction, Inc Loren D Bruffey, Sr Roanoke 13 Warren Auto Sales Inc Warren V Fitzgerald Waynesboro 13 Blueridge Motor Works Inc Curtis L Kidd, Sr Charlottesville 13 MRT Manufacturing Inc T/A Forestry Equipment of VA Sharon K Orange Forest 13 Lewin-Yount Co Auto Sales LLC Steve R Sale Winchester 12 Sullivan Auto Trading Inc Donald J Sullivan Fredericksburg 12 Davis Motor Sales James R Davis Danville 12 J & M Auto Sales Inc Michael S Sites Harrisonburg 12 1 Stop Auto Steve Sivak Norfolk 12 Melendez Motors Alvin E Melendez Fredericksburg 12 Bel Air Auto Auction S Michelle Nichols Bel Air 12 Swope Auto Sales LLC Edwin Swope Linville 12 Morgan-McClure Chevrolet GMC Inc Jerry McClure Castlewood 12 A VolvoStore Terry Tichy Sr Virginia Beach 12 Auto Discounters Chris Steven Dimitris Richmond 11 H & H Truck Center John E Holloway Newport News 11 John's Auto Sales Inc John E Haynes Weber City 11 Riverside Auto Inc Robert Skeens Vansant 11 Halseys George W Halsey, Jr Covington 11 E-Z Auto Rental Inc J Henry Jones III Newport News 11 Cooper Corvettes & Performance Cars Robert L Arnold Jr Triangle 11 Roanoke Truck Sales Danny R Carter Roanoke 11 Gasoline Alley Auto Sales LLC Daniel H Sullivan Winchester 11 Regional Auto Sales John E Taylor Madison Heights 11
JakMax Jack Bostain Richmond 10 Carolina Finance Keith Sumrell Norfolk 10 Hooper's Quality Cars Ltd LexaLynn Hooper Stafford 10 Curtis Automotive Inc Jeff Curtis Lebanon 9 All American Auto Sales Charles F Clark Ivor 9 Auto Haus Hans Hohlrieder Yorktown 9 The Car Store Inc Iftikahar Khan Stafford 9 C & C Auto Sales Stephen S Craghead Wirtz 9 Joel's Auto Wholesale Inc Joel K Tosh Norfolk 9 Waynes Auto Sales Marvin Wayne Lester Pounding Mill 8 Elliott's Auto Sales Carroll F Elliott Ruther Glen 8 Toone Enterprises Inc T/A Lakeview Motors Brent K Toone Clarksville 8 Innovative Automotive Solutions Tom Wade Lynchburg 8 LA Auto Star Inc Vitali Livits Virginia Beach 8 Hayden's RV'S Charles Cheek Richmond 8 Chesterfield Imports Inc Norman Ta Richmond 8 Davis Auto Sales II Gail Davis Richmond 8 Mic Topping Auto Center Michael W Topping Emporia 8 CCS Auto Sales Lloyd Roger Counts Raven 8 Auto Brokers of Ashland Raymond P Keen Ashland 8 Region 2000 Polaris Adventure Center Michael W Hilbish Forest 8 Dollar Bills of Farmville Inc Ralph D Brightwell Farmville 8 Dunn-Rite Auto Sales Inc M'Lissa L Dunn Kilmarnock 8 Kenny's Auto Brokers Inc William K Cox Sr Fredericksburg 7 Cloverhill Motors Charles H Thorpe, Jr Richmond 7 Curry's Auto Sales Leon R Curry III Staunton 7 Auto Max of Gloucester Dianne V Niblett Ordinary 7 Super Auto Center Ray Fields Weber City 7 Premier Auto Brokers Inc Thomas A O'Gorman Virginia Beach 7 ESG Insurance & Financial Services Michael V Warren Toano 7 Atkinson Truck Sales JR Atkinson Chatham 7 Cars.Com Tawanda Falconer Chicago 7 Drive Away Motors Theresa C Vann Ruckersville 7 FSI Auto Sales Glenn C Frith Boones Mill 6 Student Auto Sales Joseph Scango Falls Church 6 Eastern Shore Auto Body Forest Drummond Onancock 6 AutoMax of Virginia Barry Adenauer Prince George 6 Rob-N-Son Motors Inc Donnie Robinson Christiansburg 6 Booher Auction Company Dolphis Edwin Booher Bristol 6 Millner Motors LLC James L Millner Charlottesville 6
Premier Auto Brokers Inc Thomas A O'Gorman Virginia Beach 7 ESG Insurance & Financial Services Michael V Warren Toano 7 Atkinson Truck Sales JR Atkinson Chatham 7 Cars.Com Tawanda Falconer Chicago 7 Drive Away Motors Theresa C Vann Ruckersville 7 enewals FSI Auto Sales Glenn C Frith Boones Mill 6 Student Auto Sales Joseph Scango Falls Church 6 5-10 (Continued) Eastern Years Shore Auto Body Forest Drummond Onancock 6 AutoMax of Virginia Barry Adenauer Prince George 6 Rob-N-Son Motors Inc Donnie Robinson Christiansburg 6 Booher Auction Company Dolphis Edwin Booher Bristol 6 Millner Motors LLC James L Millner Charlottesville 6 Executive Car Sales Donald Billings Kingsport 6 Crown Motors Inc David F Gripshover Colonial Heights 5 Johnson Automotive LLC Jeffrey Todd Johnson Woodlawn 5 Cars of West Point Roy R Collins West Point 5 M W Auto Sales LLC Matthew Williams Richmond 5 Hevener's Cars & Trucks Richard Hevener II Buena Vista 5 Woodstock Used Cars LLC Robert William Niesslein Woodstock 5 Universal Auto Sales LLC Ijaz A Malik Spotsylvania 5 Timberland Truck & Equipment LLC Jack K Lippett Bassett 5 Autorad Motors George Robert Gatti Roanoke 5
Federal Financial Services, Inc Cindy Lux Elkin 3 Bob's Auto Center, Inc Bob Mills Jacksonville 3 Blue Line Motors Robert Welch Warrenton 3 A+Price Is Right Auto Parts & Supplier Robert Cox Vinton 3 AFS Acceptance LLC Dov Szapiro Fort Lauderdale 3 st st Paul's Auto Service ay Kimberly Canakci Virginia Beach 3 arch Melendez Motors Tommie Melendez Fredericksburg 3 Village Auto Center Inc John M Serrell Harrisonburg 2 Abingdon Auto Specialist Inc Joe Scroggin Abingdon 2 1-4 Years (Continued) E Z Cruz Auto Sales LLC Susan Hart Woodbridge 2 Mostly Vans LLC Nelson A Carter Jr Fishersville 2 Benchmark Auto Sales John Hewson Fredericksburg 2 Auto Max of York County Inc Robert Jobson Yorktown 2 Ramey Chevrolet Inc James C Ramey, Sr Tazewell 2 Liberty Motors Hassen Allani Chesapeake 2 Bill Fary Auto, Inc William D Fary Gloucester 2 Ricks Auto Care & Tire Center Inc Winona L Henry Front Royal 2 Allen Hodge Motors Allen Hodge Bristol 2 ABC Auto Sales Inc Wayne P Mills, Jr Stephens City 2 Auto Master Auto Sales John R Bachorik Blacksburg 2 Chesterfield Auto Parts Troy Webber Richmond 1 Oskuie Service Center Inc Ali R Oskuie Fairfax 1 Long Island Motor Sales LLC Clinton B Hall Long Island 1 FC Auto Kian Nosrat Falls Church 1 Sterling Auto Sales Ali Ashraghi Sterling 1 Trucks-R-Us Richard White Virginia Beach 1 Dash Motors Inc Tom K Dashtaray Manassas 1 Top Auto Sales Brenda Tharp Petersburg 1 Boswell Motor Co Melissa Boswell Stafford 1 Kennon Auto Sales James C Kennon Concord 1 Dream Auto Group LLC Mansour Wassell Dumfries 1 Hartsel Auto Shop Jerald Hartsel Hardy 1 Motor Maxx Gabi Hirezi Front Royal 1 Stafford Auto Sales LLC Bobby Bakhtary Manassas 1 Select Automotive.com George E Loizou Virginia Beach 1 Instant Auto Sales Inc Nicholas J Gianakos Waynesboro 1 Lighthouse Truck and Auto LLC Robert Hart Dillwyn 1 E-Cars Sales Carlos R Lazo Manassas 1 Prime Drive, Inc Karim El Amrani Richmond 1 Loudoun Truck Inc Center Inc Tom Rust Roanoke Purcellville 1Arrington/B. Riddleberger Discount Motors Kenneth F Gibson S. Customer Retention Services, John Lee Bradshaw Roanoke 1Weldon Whitehurst Peoples Auto Auction Inc T/A PACInc Jack Wesley Peoples Chesapeake Dulles Cars Ayhan Aksoy IncStrasburg Beverage Tractor & Equipment Charles W1 Beverage Stuarts Draft James Millner Gray Servicenter IncSales Roy Gray Armstrong Galax R. Williams/T. Bowman Armstrong's Auto Travis Harrisonburg 1 Manassas Auto Truck Mike Aghili BManassas Wanda Lewark GAC Automotive Center Sandra Eates Portsmouth 1 Augusta Sales William HTrimble Waynesboro V. London/J. Homer'sAuto Parts & Accessories HomerWarren Covington 1 Millner Northside Auto Sales RobertTafreshi S FisherLos Manassas Auto Manager, Inc. Kami AngelesW. 1 Lewark/T. Allman American Pride Auto Automotive CharlesEMarcotte Yorktown Weldon Whitehurst Harriet Salley Sales Harriet Salley Richmond 1 Hott Wheels Lois LLC MilesThomas Pulaski S. Arrington/B. Wingo Automotive Steve Wingo NTazewell 1 Riddleberger Auto Expo Inc Auction/Richmond Abdullah Haidar Manassas T. Allman/W. Lewark Insurance Auto Dave Riggins Ashland 1 S AutoToys SalesInc Chauki Gail Davis Big& JBoys Greg Harris Aboul-Hosn Coeburn Richmond 1 All Cars Inc Rex Harper Norfolk J. Hubbard/D. Boucher Smart Cars of VA Bryan Buchanan Blue Ridge 1 Elite Motors Savvas Sakkadas Virginia Beach V. London/D. Boucher Maurertown Motors Patrick McMullen Woodstock 1 Starr Trading LLC Mathew Starr Sandston Jeanette Bishop Wholesale Direct Auto Sales Michael DeLuca Newport News 1 Bill Talley Automotive William Talley Richmond Tim Byrd CarLotz Montgomery Midlothian 1 J Michael Howard Car N GoAaron Mujahed Hazem Abed Richmond Best Source Buy Wheels AlecInc Jacob Virginia Beach 1 Tim Byrd Auto of Gloucester Gus Panos Gloucester Truban Motor Saini John WChantilly Truban Jr 1 Car Gallery LLCCompany Barinder T.Winchester Allman/W. Lewark
Park View Auto Sales Wade Arbogast Harrisonburg 4 Allens Auto Sales H W Allen Fredericksburg 4 Route 11 Valley Auto Sales Lee E Haley Jr Mt. Crawford 4 Classic Automotive Barry W Muzzleman Cedar Bluff 4 South Loudoun Auto Sales LLC Edward Spence Winchester 4 Mobility Center of VA Kaye Crenshaw North Chesterfield 4 Econo Auto Inc Rasaul Payker Chantilly 4 NorthBrook Auto Sales Thomas J Dunn Glen Allen 4 Ignite Automotive Drew M Powers Virginia Beach 4 Shoreline Auto Center Gary Christopher Wright Virginia Beach 4 H & S Auto Sales Jason Woodrow Hancock Chatham 4 Nexus Auto Sales Inc John A Adeli Chantilly 4 Cross Walk Auto David Dubberly Chester 3 J & J Auto Sales Charles Justus Hurley 3 ADS Management Group Carl Farris Suffolk 3 Auto City Used Cars John Baluch Fredericksburg 3 Autoplex Nader Kahorramshahgol Manassas 3 Steven Toyota Steven Sodikoff Harrisonburg 3 Piedmont Motors Mack Chehreh Warrenton 3 Campus Automotive, Inc Stephen G McMurray Radford 3 Anchored Auto Sales, Inc Richard L Kephart Chesapeake 3 Airport Auto Sales Steve Brown Stafford 3 Federal Financial Services, Inc Cindy Lux Elkin 3 Bob's Auto Center, Inc Bob Mills Jacksonville 3 Blue Line Motors Robert Welch Warrenton 3 A+Price Is Right Auto Parts & Supplier Robert Cox Vinton 3 AFS Acceptance LLC Dov Szapiro Fort Lauderdale 3 Paul's Auto Service Kimberly Canakci Virginia Beach 3 Melendez Motors Tommie Melendez Fredericksburg 3 Village Auto Center Inc John M Serrell Harrisonburg 2 Abingdon Auto Specialist Inc Joe Scroggin Abingdon 2 E Z Cruz Auto Sales LLC Susan Hart Woodbridge 2 Mostly Vans LLC Nelson A Carter Jr Fishersville 2 ew 2 embers Benchmark Auto Sales John Hewson Fredericksburg
31 , 2012
Concord Automotive LLC Jeff Case Concord V. London/B. Steele
S & F Auto Sales Aseel Alkhalisi Richmond D. Boling/J. Bishop st - March 1stInc-Aaron MOestreich ay 31 , 2012 Carsforsale.com Sioux Falls Don Boucher
Discount Motors Inc Kenneth F Gibson Roanoke S. Arrington/B. Riddleberger Peoples Auto Auction Inc T/A PAC Jack Wesley Peoples Chesapeake Weldon Whitehurst Beverage Tractor & Equipment Inc Charles W Beverage Stuarts Draft James Millner Gray Servicenter Inc Roy Gray Galax R. Williams/T. Bowman Manassas Auto Truck Mike Aghili Manassas Wanda Lewark Augusta Auto Sales William H Trimble Waynesboro V. London/J. Millner Northside Auto Sales Robert S Fisher Manassas W. Lewark/T. Allman American Pride Automotive Charles Marcotte Yorktown Weldon Whitehurst Hott Wheels Lois Miles Thomas Pulaski S. Arrington/B. Riddleberger Auto Expo Inc Abdullah Haidar Manassas T. Allman/W. Lewark S & J Auto Sales Inc Chauki Aboul-Hosn Richmond Gail Davis All Cars Inc Rex Harper Norfolk J. Hubbard/D. Boucher Elite Motors Savvas Sakkadas Virginia Beach V. London/D. Boucher Starr Trading LLC Mathew Starr Sandston Jeanette Bishop Bill Talley Automotive William Talley Richmond Tim Byrd Car N Go Mujahed Hazem Abed Richmond J Michael Howard Auto Source of Gloucester Inc Gus Panos Gloucester Tim Byrd Car Gallery LLC Barinder Saini Chantilly T. Allman/W. Lewark Concord Automotive LLC Jeff Case Concord V. London/B. Steele S & F Auto Sales Inc Aseel Alkhalisi Richmond D. Boling/J. Bishop Carsforsale.com Aaron Oestreich Sioux Falls Don Boucher P & N Auto Sales LLC Predrag Jovic Strasburg Wanda Lewark High Quality Motors Hamid M Kabiri Sterling V. London/W. Lewark Auto Finance Mike Reese Moore Donnie Keene UCMLink, Inc Allison Pittman Jackson Don Boucher
P & N Auto Sales LLC Predrag Jovic Strasburg Wanda Lewark High Quality Motors Hamid M Kabiri Sterling V. London/W. Lewark Auto Finance Mike Reese Moore Donnie Keene UCMLink, Inc Allison Pittman Jackson Don Boucher Unity Motors Larry Henshaw Petersburg Jeanette Bishop East Coast Auto Sales LLC Sante Deserio Virginia Beach Chris Reece Second Chance Auto Sales LLC Trevor Carrington Roanoke V. London/B. Riddleberger Used Cars of Fairfax David Petrocci Fairfax Station Wanda Lewark DS Automotive Eric Campbell Winchester V. London/W. Lewark The Penn Warranty Corporation Mike Toms Wilkes Barre Don Boucher Commonwealth Auto Credit Charles Lewis Hampton Mike Furchtenicht A1 Auto Sales Lina Alshamat Winchester P. Iaricci/W. Lewark Clouse's Auto Sales Michael A Clouse Pennington Gap P. Iaricci/R. Williams Rock Hill Motors Inc Chris Maher Front Royal Chris Maher Sunshine Sales Jeffrey A Horne Gate City P. Iaricci/R. Williams WGNT TV Linda B Moore Virginia Beach Cindy Perkins Eastern Auto/Shines International Yin Xiang Norfolk J. Hubbard/D. Boucher VHB Motors of Fredericksburg Victor H Beltran Fredericksburg Alvin Melendez Front Royal Auto Group Inc Asiem Abady Front Royal P. Iaricci/W. Lewark My Car LLC Michael King Virginia Beach P. Iaricci/D. Boucher Integrity Motors David Walker Midlothian G. Davis/P. Iaricci Lucky Line Motors Inc Farhad Saidi Fredericksburg T. Allman/W. Lewark TSPG Auto Inc Bruce Ki Park Woodford T. Allman/P. Iaricci/W. Lewark Noor Motor Inc Buzkrg Sayeed Woodbridge P. Iaricci/W. Lewark
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
That Can Keep Your Computers From Ruining Your Business
ack didn’t want anything to happen to his data, so every night he carried his laptop home where it would be safe. It had all of the bookkeeping for the dealership along with all of the inventory and sales information, plus all of his email. Driving home one evening, he stopped at the grocery store to pick up some ice cream for his daughter’s birthday. When he came out five minutes later, the left rear window was smashed and his laptop was gone. If you were Jack, would you be able to open for business the next morning? While having a computer stolen may never happen to you, could you imagine having a hard drive crash? What about a virus or malware? What if a crazy employee deleted everything? It happens… Here are five things to know to keep your IT system safe and make it a helpful tool for your business. 1. SECURITY. It’s a jungle out there. Everyone is trying to get in. Antivirus programs are needed, but they are rarely enough. Antimalware helps, but it doesn’t stop everything. Have you ever clicked a link to a funny site from a Facebook friend while at work? That is the easiest way to get hacked. One way to keep the bad stuff out of your network is to have a businessgrade firewall like a Sonicwall or a Watchguard. These aren’t terribly expensive and are much more secure than something you might pick up from Wal-Mart or Radio Shack. 2. PASSWORDS. Does everyone in your office know your password? Does your computer even have a password? Do you keep your password taped to the bottom of your keyboard? Is your password “password”? If the answer to any of these questions is YES, then you are going to have problems.
3. NETWORK. Unlike Jack and his laptop, if you have more than one computer tied together in the office, then you have a network. While convenient for file sharing, a loosely configured network can be like leaving the keys in all of your cars when you head home for the night. If you do not have a “domain” and a server, then your network is probably not even close to being secure. 4. BACKUPS. Backing up your data is HUGELY important. The days of plugging a tape into your computer and waiting an hour for it to run before you go home are behind us. With high speed, high capacity drives that can slip into a pocket or a purse, there is no excuse for not making a daily backup. You can even arrange automatic, offsite backups through the internet. If you do offsite backups, make sure that all of the crucial data is being copied. Another type of backup, a battery backup, is important as well, keeping your machines running during power fluctuations. 5. NEW COMPUTERS. Now that the recession is slowly releasing its grip on your customers, you really ought to upgrade your hardware. Just like the customer who still drives a ’96 Camry “because it runs OK”, your “OK”
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
computers are probably not OK. Can you even remember when you bought your computer? If it is still running Windows XP, it needs replacing. You will be amazed at how much more work you can get done with a fast, new computer. Oh, and get a second monitor while you are at it. You will wonder how you ever lived without it. If the thought of replacing your router, changing all of your passwords, joining your computers to a domain, configuring a proper backup process or updating your computer gives you the cold sweats, you might need some professional IT help. Back in the day, I used to do all of the work on my car. But now, I know what skill it takes to be an auto mechanic, so I leave everything to the professionals… even oil changes. You should consider having professionals look after your network. Money spent on good IT products and services is an asset, not an expense. Your business depends on IT to function. These five items can help you keep IT running. Randy Spangler is President of MERIT Solutions, a Chesapeake, VA IT service provider. MERIT Solutions has been providing support to VIADA for over 20 years.
residents C olumn P astP astPPresidents C olumn Wanda Lewark Auto Buying Service Fairfax, VA When Frank and I first began attending the VIADA board meetings – I made it a point to talk with members that had been around for many years. I was interested in the history of VIADA and how it had reached the level that it had. I remember being fascinated with the number of members Bud Smelley had signed and his collection of Eagle Awards. Then I spent some time with Ed Lyman and heard about his lofty and successful goal of 52 new members signed, by him, during his term as president. I watched Dick Keller as he, quietly and diligently, encouraged younger members to be involved and reach for the gold. Not to mention, the many programs written by him, that we continue to use today. I learned that the Ladies Auxiliary was started by Shirlie Slack, and I don’t need to tell you all the good that they have done, and continue to do each year. I heard the story of Jerry Simpkins and his part in providing our state office. I have only mentioned a few
of the many that have built the great organization that we know today, but each past president has contributed their part to get us where we are. As a past president – they have been a great example and encouragement to me. As a member I am very grateful to each of them for their ideas, their time, and their dedication to VIADA. I served as state president during the years of 1999 – 2000. We watched the millennium roll in – with all our fears of life changing as we knew it. Fortunately, our fears were never realized! During that year we worked hard to grow our membership and we were successful in that effort. We used mailings, phone calling, and a few car blitzes to accomplish our goal. We talked, and practiced, mentoring with dealers that were not involved in our meetings. While it was a successful year, I left feeling as though there was so much more I wanted to accomplish. The year flew by! The incoming president, Ted
Bowman, promised me he would allow me to continue some of the programs I had been working on and he was true to his word. I always want to do all that I can for our association. By helping VIADA I am helping my own business and other dealers as well. As I look to the years ahead I am very excited! Each year seems to get better and better. I encourage each member to participate in their local meetings and to get involved as an officer. We each need VIADA and they need you. You will never regret your investment of time in VIADA. In fact you will see that the benefit far outweighs any investment on your part. Remember united we stand and can accomplish all that we set our minds and wills to accomplish. Thank you for the opportunity to serve as your state president in 1999 – 2000. email@example.com
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
$$G I N I A I N D $ $$ T O D E A L $ VIR E$P E N D E N T AU E$R S PAC C O N T R I B U T O R S $$ $$ $$
The independent dealers political action committee was established in 1987 as “INDEPAC”. In 2010, to better identify the PAC contributions to Legislators, the name was changed to “Virginia Independent Auto Dealers”. Virginia Independent Auto Dealers, a political action committee, is licensed in the Commonwealth of Virginia to solicit funds from independent dealers for contribution to candidates for statewide elections. These include the offices of Governor, Lt. Governor, Attorney General, and candidates for the General Assembly. All contributions are voluntary. (Report includes contributions made September 1, 2011, through May 31, 2012)
PLATINUM ($1,000+ annually)
District 8 - Southwestern
Moss Motor Company
GOLD ($500 to $999 annually) Melendez Motors Steve’s Auto Sales Inc.
TK Hughes Auto Sales
SILVER ($250 to $499 annually) Ace Motor Acceptance Corp Airline Auto Sales - U - Save
Beverage Tractor & Equip, Inc Commonwealth Auto Credit Davis Auto Center Davis Auto Sales Don’s Auto Exchange Easy Ride Auto Sales, Inc
Auto Buying Service Inc Auto Center/Smoots John Talley Motors
BRONZE ($100 to $249 annually) Enterprise Car Sales Ellis Auto Sales, Inc Executive Car Sales Gary’s Wholesaling Limited Gene Gorman Auto Sales H. R. F. T. Finance Heritage Motor Co
BASIC ($45 to $99 annually) American Pride Automotive Auto City 1 BNH Auto Campus Automotive District 4 - Northern Front Royal Auto Group Inc Gary McCann Auto Sales Goldstar GPS
Handpicked Western Trucks, LLC JD Byrider of Richmond Larry’s Car Land, Inc Mechanicsville Auto Sales Nick’s Auto Supermart Pruitt Motor Company R & M Motors, Inc
Mike Duman Auto Sales Steven Farmer Auto Sales, Inc
Jakmax McGuire Motors, Inc Premier Auto Brokers Richmond Auto Auction Willow Spring Garage Your Kar Company
Royal Auto Credit S & S Auto Sales Limited Spencer Motor Sales Sunshine Auto Co Surfside Auto Co Virginia Truck & Trailer WGNT TV Wamsley Service Center
Dealer Recertification Course: Pre-
Saturday, July 28, 2012 at 9 am VIADA’s 52nd Annual Convention & Expo The Homestead Resort Hot Springs, VA
*VIADA will forward application fee & completion of courses work to MVDB
3 Options to Choose From:
Over 30 Venders will be present at the Expo!
1. Full Convention Registration: (Includes: Access to EXPO & Only pay an additional $25 2. Recertification Course Only: Dinner Friday Night, Saturday Breakfast & Recertification Pay $125 Course) 3. Recertification Package: **Lodging is not included in Pay $200 prices
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
KNOW Your Customer
he Federal Trade Commission’s Red Flags Rule requires a dealer to know its customer in a credit transaction. For a number of reasons, it is important that a dealer know its customers no matter what types of transactions are going on. Let’s take a recent example. Thirty used car dealers recently found out the unfortunate consequences of doing business with bad guys. On December 15, 2011, the federal government filed a 75-page civil forfeiture action, which stems from an investigation by the DEA and other federal agencies. The complaint filed in the United States District Court for the Southern District of New York alleges that from January 2007 until early 2011 persons working with Hezbollah, a designated Foreign Terrorist Organization, developed an elaborate scheme to launder money by transferring funds from Lebanon to the US in order to purchase used cars, which were then shipped to West Africa and sold for cash. The proceeds of the car sales were then transferred, along with proceeds from narcotics trafficking and other crimes, to Lebanon. The lawsuit seeks the forfeiture to the government of all property that is traceable to the money laundering offenses, including the assets of the thirty used car dealers. According to the complaint, nearly $250 million was wire transferred from Hezbollah to the dealers in Connecticut, Florida, Massachusetts, North Carolina, Maryland, Oklahoma, Georgia, Tennessee, Ohio, New Jersey, and Alabama. Through this forfeiture action, the government has frozen the dealer bank accounts, it seeks to take the dealers’ assets, and it essentially has shut down those dealers. The used car dealers’ assets and properties are alleged to have been involved in illegal money laundering transactions. What did these dealers know and when did they know it? At this stage of the case, it is hard for an outsider to know that. What we do know, however, is that without having to file criminal charges against these dealers, the government has put them out of business by freezing their assets. These dealers have learned | THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
the hard way about the awesome power of a government forfeiture action. The government’s forfeiture power can extend to many types of assets owned by a dealer. Real or personal property “involved in” a money laundering transaction may be forfeited to the United States. The term “involved in” has been liberally interpreted by the courts. Thus, property subject to forfeiture can include the land on which the illegal transaction occurred, a bank account to which the proceeds were deposited, vehicles allegedly purchased with the proceeds, and the like. While the United States Supreme Court has upheld various constitutional limitations on the government’s forfeiture authority, the ability still exists for the government to seize and forfeit an entire business based upon violations of the money laundering statutes which occur at the business. Do you think that the government has a heavy burden of proof to wield this awesome weapon? Think again. To support a civil forfeiture of property, the government need only show that there is probable cause to believe that there is a substantial connection between the property and the criminal activity. The burden then shifts to the owner of the property to demonstrate otherwise. This less rigorous standard of proof in civil forfeiture cases, combined with the government’s ability to seize or freeze assets pending a resolution of the forfeiture action, give the government tremendous power to shutter a business before it can even mount a defense. This case should be a cautionary tale to any dealer that sells vehicles to buyers outside of the United States that has ever asked the question, “Once I have the buyer’s funds in my bank account, what could go wrong?” The thirty dealers who are now out of business can answer that: “plenty!” 1. Franchised dealers who sell new cars to out-of-country buyers risk violating their franchise agreements and subjecting themselves to penalties from their franchisors.
2. But even for new car dealers selling used cars to foreign buyers, and for independent dealers, the dangers are very real. Make sure that your employees have been trained in cash reporting and the prevention of money laundering. 3. While following your Red Flags Rule compliance procedure with a foreign buyer may be complicated since US databases that you use may not help, you should nevertheless follow it to the extent you can.
DISCOVERED The 85-Year Old Secrets of a MuLTI-MILLION DOLLAR Family Business Empire!
4. Make sure that you know the identity of the buyer, and make sure that there are no signs of a suspicious transaction. Stop any deal that is suspicious. 5. An OFAC check is a must. You may not do a transaction with someone on the blocked persons list of the Office of Foreign Assets Control. 6. Make your parts department aware of the dangers. The same processes that landed these dealers in hot water can be used for parts purchases. There are markets for parts in foreign countries, so bad guys can buy parts in bulk for redistribution in foreign countries to launder money. Perhaps the evidence will show that the used car dealers involved in this case knew exactly whom they were dealing with and what they were doing. Or the evidence may show that they were careless in dealing with the foreign buyers that turned out to be bad guys. It does not matter. Through civil forfeiture, the government has put them out of business. Doing business blindly with someone whose money is transferred to your account is a bad practice that can cost you your dealership. Always know your customer!
FEATURING HIS NEW BOOK... “YOU Are The Brand, Stupid! How To Get Noticed, Gain Instant Credibility, Make Millions And Dominate Your Competition By Building Your Expert Brand” Attendees of the Convention will receive one book each for FREE!! (A $19.95 value)
Discover the Insider’s Secrets to Boosting Sales, Brand Awareness, and Credibility by Becoming a Sought-After Industry Expert
• Learn how to sell over 100 car per month • Learn to incorporate social media in your business • Become the local media’s go-to expert in your marketplace, gaining prestige and exposure for free • Effectively harness social-media tools like Facebook and Twitter to boost your bottom line • And MUCH, MUCH MORE!!! SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
The Internet Corner Which One Creates More Sales, Facebook or Your Cell Phone? By: John Summer, JTZ Enterprise.com, 877-286-1564
n the May, 2011 article titled “Is that an Internet Myth or Internet Magic” I gave my opinions on various forms of Internet advertising and whether or not they worked for car dealerships. One of the items was Facebook and my opinion really has not changed on that subject. Facebook is Social Media, not effective Internet advertising. We have all heard by now that Facebook went public with their Initial Public Offering in May 2012. The IPO was bungled from the start and has already resulted in several investigations now going on through Congress and the Federal Communications Commission. First, the number of stocks to be sold kept climbing leading up to the IPO. Then, the price per share became over inflated before it was put on the market. And finally, the handling of the IPO was bungled by investors and banks alike. Since then, the stock has been in a free fall down more than 37% from its high of 45 dollars a share on its opening day.
Some thought that the more than 900,000,000 users of Facebook would want to get in on the ground floor and thereby drive this stock up, but for the most part, no one was buying into this hype. Anyone who paid attention to the product would have never been stuck with this stock. To find out why this IPO has not been the overwhelming success it was once thought to be, all you have to do is analyze the service they offer.
Facebook is a great way to get in touch and stay connected with friends and family. Put another way, Facebook is just another form of communication. 48% of the almost one billion users are between the ages of 18 and 34. It has seen tremendous growth in even older age brackets. More than half of all users log into the site every day. When you are online you can find old friends, new friends and family members. When you find someone, you can connect to them and stay in touch with them with little or no effort. If you post something on your Facebook page your connections can see your posts, comment on them and share them with other friends. It is the new generation’s version of the old party phone lines.
With so many people using Facebook so often, it stands to reason it would make for an excellent advertising option, right? Well, no. First, you have to look at the move GM made just days before the IPO. GM pulled the plug on a $10 million dollar a year Facebook advertising campaign. Why? Because they did not see a significant return on investment. ROI is the Holy Grail to any form of advertising. If you spend more than you take in, it is not worth it, plain and simple. Second, if you advertise, you want people to see it. Ask any avid Facebook user if they see or pay attention to the ads and they will tell you “No”. Anyone can put small ads on the site that get displayed to users as they connect and communicate with friends and family but people ignore those ads. Users log on not to shop or buy things, but to communicate with others. They talk about their day, share their recipes, gossip about other friends and family. They do not compare prices, shop for goods and services or ask what others are buying.
This site is a tool for communication. It is not an advertising media. TV is a little different because it is an entertainment outlet. Today, though, network channels continue to lose market share because of all the advertising. Paid channels like HBO generate their revenue via subscriptions and thereby remove all advertising. Internet TV is something you will hear more about in the near future that will once again change the TV business model and take away even more viewers from the traditional networks. Still, if the show is entertaining enough, people will sit through the ads. That does not mean they see the ads or pay attention to them. An analyst recently said the real stockprice for Facebook should be about $7! That is almost 85% off of the initial stock price. It is more likely the price is somewhat higher than that but for Facebook to turn the ship, they have to do something they have never done before, focus on making money.
There are three ways they could generate new revenue. First would be sell more ads, but unless they make them impossible to miss, they will never offer the ROI needed
| THE VIRGINIA INDEPENDENT NEWS | SUMMER 2012
to sustain that business model. If they make the ads so obtrusive to users, they will drive away users to other Social Media sites. MySpace may not be dead, yet. A second way to generate cash would be to charge users a subscription fee. But, because it has been free for so many years it is not likely they will be able to convince the masses to start paying for something they have been getting for free and can get for free from other sources. The third way to generate revenue would be to sell advertisers the information about their users. When you sign up for a Facebook page you go through a survey that details your likes, dislikes, educational and employment background, etc. There have been a host of privacy issues related to Facebook users and if they were to start openly selling this information, again, they would drive away users.
Does all this mean you should close your dealership’s Facebook page? If you do, you should also consider throwing away your cell phone. Both are communication tools, nothing more and nothing less. It is hard to get along without your cell phone, but you have never sold a car because you carry an Iphone or have a Blackberry tethered to your hip. I have seen some large BHPH dealers maximize their Facebook page by getting all their clients to friend them. When a car buyer friends your Facebook page you get access to their friends and family. Instead of advertising, though, this becomes a valuable skip tracing tool. When it comes to spending advertising dollars, stick to what you know will work and do not buy into the hype. You would not use a screw driver to change the oil in a car. Using Facebook to sell cars is just as foolish. Visit VirginiaUsedCarDealers.com -- an affordable advertising tool, designed just for VIADA members -- John will have a booth at VIADA’s 52nd Annual Convention. Stop by and learn how you can benefit!
SUMMER 2012 | THE VIRGINIA INDEPENDENT NEWS |
VIADA 4700 Thoroughgood Square Virginia Beach, VA 23455 Symbol of Quality
5 2 nd A n n i v e r s a r y Convention & Expo
July 26-29, 2012 The Homestead Resort H o t S p r i n g s , VA