Way to go OP, glad you are out of that mess.

Why would you buy such a small bed truck if your main intent was hauling and towing?  I would have bought a used diesel longbed, but that's just me.

It isn't really a work truck. Saving on freight was just a psychological tool OP used to talk himself into 72 months of payments. This was never about sense or math. OP values his driving time at $0. OP doesn't account for wear and tear on his vehicle from driving thousands of miles.

Congrats OP. I'm glad it worked out fairly well in the end.

OP said it is products that are similar to what HOme Depot carries.  Not sure what that means, home depot carries a very wide range of things.  Why not hook up with Home Depot and order large quantities?  They purchase in bulk.  They have the logistics to get the product to locations somewhat cheaply.  Cheap than a person getting a couple pallets at a time. I imagine that it will be cheaper or at least similar in cost than all the expense of picking it up yourself.  Plus much much easier.

This. OP is doing what I have a bad habit of doing in my business: Easy stuff (like driving) that can be described as working that doesn't really produce any money but lets you tell yourself you're not slacking.

Of course, posting on Arfcom is even worse.

Square wheel-wells  
Other than that I like it

How did the showdown with Marco go
Did you ask for the leased car back and apply that pressure in getting the new / modified deal done

It's good to put this mess behind you.

Or it's $800/week (thoughts that's what he mentioned freight costs).  But even at only $800/mo let's say.  

So $9600/year towards truck/time wear and tear/etc so financed for six years as your scenario

$57600 towards all of the factors right there.  In addition, depending on his effective tax rates, using the depreciation it could be a benefit of anywhere from 25-50% of Vehichle purchase cost bringing the actual cost of the car down significantly.  

Rolling the lease into a business Vehichle like this was the best move in terms of tax advantage and reducing the impact

ETA:  not reading through all of this but what was the final otd price?

You get 1 pallet in a short bed truck. The other 6 will be 40 inches x 6 = 240 inches which is 20 ft. Where do you rent 20 ft trailers for 40 bucks? That is if they are 40 inch pallets and not 48 inch,,,,

Why the fuck all the secrecy about what your actual payment and term are? Fucking weird and suspicious.....

I walked out on an Acura dealer after they refused to throw in the floor mats. I told them it was their choice to let the deal go over $200 dollars.

he has a 12 foot enclosed trailer

It's not even worth your trouble arguing about leasing here.

For example, I can lease a AR Giulia for $548 including local taxes a month for 36 months. In the land of GD, that is stupid and you are throwing your money away. While it's perfectly fine to smoke cigars, drink booze, go shooting, go fishing, and other things which would cost more than $548 and don't have a duel purpose like getting you to work or helping your business grow because all of your clientele expect you not to show up in a crap box to work.


That's a big thing people don't get.

I show up to work in a shit box, people aren't going to want to do business with me.

my understanding is your paying more for vehicle than if you paid cash.

Any dealer out there confirm.

I hear they have 36 month loans on $2000 trailers this month only.

ETA: 0% is 0% you aren't paying any more or less over time


My input would be depreciation out paces equity. So in 3 years truck is worth less than you owe even though its 0%


Just my reasoning

Nice truck, glad you are happy.

No, if you buy vehicle on 0% the dealer sells you vehicle for 30K
If you buy vehicle for cash out the door you pay 26K

Just throwing out numbers for illustration

been watching this since day 1. i have 2 graduate degree's in business math. owned 2 business's in 7 digit size. never paid anything but cash for wheels.  wife is accountant

I STILL DON'T THINK WE KNOW ALL THE MOVING PARTS
1. dealer is well known crook
2. o/p makes bad math deals  so obvious
3. o/p wants to  WIN
4. lives outside of means

no way in hell i know if he got a good/bad/mediocre  deal  from   little Marco. they saw him coming.
he pull this in TEXAS,   it would go differently

L.O.L.

1texan

most rebates/incentives will not stack with 0% financing.  you get rebates or 0% but not both

Marco would be Hispanic vs Italian?

Marco would have worn a 25gallon hat when stuffing OP?

OP would have been able to weasel out of the anal fun because Marco would be wearing stupid cowboy boots and not get traction on the tile floor?

How would it have gone differently?

Is that the deal a specific dealer worked because its cash? If the final number is discussed and determined up front how does it change when it comes to cash vs 0%?

ETA: Saw answer from someone further down - promos dont stack etc.

AHHHHH makes sense.


So then the question is could you make more with your money over 5 years than sinking it in a depreciating asset. Answer would differ per person

Personally Id take the 4k hit and invest the 26K as opposed to dump it and loose a good portion as I drive out. Then again I am not ARFCOM rich

Sort of.

I bought a Ford a couple of years ago and it was 0% interest or get rebates/incentives.

Last Chevy I bought, the finance guy said it's better to take all of the rebates/incentives and take a 1% or 2% loan.

This make sense?????

Manufacturer incentives generally fall into two categories.  
1.  Discounts and rebates
2.  Special Financing


So you can't typically get all $6000 worth of incentives and use the 0% financing.

Sometimes, there's $1000 or $1500 of incentives that you can bundle with the financing.  This has NOTHING to do with negotiation on the price of the car.   Incentives are on top of negotiations...the dealer is the one who you negotiate with.  The Manufacturer rebates and incentives are ON TOP of that.

So what arfcom is saying is if you have the cash...then you can probably save more by using more incentives and paying less for the car.  However, some cars don't have much in cash incentives...so it could make more sense to go with the financing instead of the $1000 rebate...as $1000 rebate over 72 months is only $167 per year saved if you pay cash.  Is it worth it to you?  You decide.

excellent outline - What are the savings if you roll over your lease from a lease prior Just had to sorry

So how big of a value hit did that 17 F150  get since it is now a previously registered used vehicle with 1500 miles on it?

Then you're likely not nearly as proficient in your field as you think you are.

Takes arfcom advice, goes  to buy truck in CASH ONLY

Checks account

Buys 1971 Chevy C10 longbed, slight rust issues, 7 out of 8 cylinders work, new(ish) tires

Walks off triumphantly.....

It is liquidated merchandise. Will be unloading and stacking in the trailer. Full pallets aren't going into a 12 foot. Also, since it is liquidated marchandise i need to see it and be able to see in person what I am buying. A kid with a cell phone won't cut it. If I'm not there i'm not getting the best stuff unless I can arrange some of it ahead of time which I do. But being able to see and pull product out is where I make my best purchases.

The problem with GD and vehicles is that most of the folks who say, pay cash run it into the ground have jobs where you just use the vehicle and point A to B.

They don't bring clients anywhere with them, they don't have to uphold a business standard, they don't use the vehicles for commerce, etc.

Which is perfectly fine, That's how my dad did it, he always bought used and paid cash. He just needed the truck to bring him to work and back. Most of the time when the A/C would go out, he wouldn't fix it. His commute was very short, so it didn't matter,because once he got to work he used his company truck to do what he had to do.

Despite myself defending leasing and the likes, I actually did what my dad did but different.

I bought a used Navigator that is in good condition but had a shit load of miles, paid cash got it to Louisiana and then refi'd with the CU at 3%. I then took the money reinvested and now have 3 years of interest covered already.

In 3 years when the loans up, the navi is going to be used primarily for the fishing camp and I'll get another luxury car with a shit load of miles for cheap.

Good to hear you are happy with your purchase OP.

Since there has been quite a bit of lease bashing this tread and we are all just waiting for OP to get another call about his plates,  I have a couple good examples of how leasing can work to benefit the customer. Hopefully GD can follow along.

I worked at Cadillac. A lot of our customers like driving new cars. They trade every 2 to 4 years, some buy but leasing is common. When real estate was booming here it attracted all of the riff raff to the industry. Every swinging dick in town was a hot shot real estate "broker" (hot shots be brokers not agents yo). You can't be a HSREB with out a pimped out Escalade and we sold a metric shit ton of them. All was right with the world. Untill America found out that pulling the $300k in" equity" from the house you bought last month in order to put down payments on two more houses this month, that will surely double in value next month doesn't always work out the way thought it would. Some of the HSREB even used their new found equity to come down and pay cash for their pimped Escalade. Good for them.

Well then the economy tanked. Soon enough the former HSREBs no longer needed their pimped Escalades and the market was flooded with Escalades. Retail and trade in value on them was crap. People who bought were upside down. They couldn't sell for what they owed and ended up rolling negative equity in to their next rig.  A leasee just signed a doc and walked away or started fresh. Some former leasees even picked up a nice low milage Escalade for cash way under typical pricing.

Another example was the H2. During the same time frame H2 prices were starting to tank and fuel prices were rising. It was a pretty shakey market but if you need a hummer you need a hummer and there were deals to be had. I mean everybody loves a hummer, right?

Well we had that whole GM bailout and FBHO hates hummers so GM phased them out in '08-09. Well everybody still loves a hummer and they ain't makin' no mo' so prices went up. Way up! Them shits was hot! They were beating down our door for H2s before they all dried up. They be collector's items now, don't ya know.

Now if you leased the buyout price was predetermined. So you now had the option to buy that H2 for 3 years ago pricing rather than inflated today's pricing even though right now pricing is through the roof. Of course if you bought you would still be in a good position but leasees were able to capitalize on the leased car without any of the risk that buyers had put out. We were calling H2 leasees and offering to pay them $10,000 cash and pay off the remainder of the lease just to get the cars on the lot. It was crazy. People were being flipped out of their H2 lease a year or two early and walking away with more cash in hand than they ever put out for the lease.    

So what's the latest without reading through the past 20 pages.

around 2010-11 I recall, same thing was happening with G37s.

if you leased a g37 in 2010, the Infiniti dealers were calling you 24mths later,  they were offering to buy you out of your current g37 lease, and then put you into a 19mth G37 lease for less monthly payment and the same miles per month.

I have to assume the CPO market got hot or they needed to move some 2012's, don't know, either way they were calling and you were getting a new car for the next 19mth for less monthly.

For some reason Infiniti has an affinity for 39 month leases.

everything is resolved favorably and everyone is happy

right but OP isn't taking clients to lunch, he is hauling pallets of liquidated merchandise. He needs a beater truck (or commercial freight). leased acura would be nice for clients

I also wouldn't have been able to trade a negative equity leased Acura in for a beater truck. If I paid cash for the beater truck then I would continue to pay a lease on an Acura that I wouldn't be driving really and paying for insurance on it. I pretty much swapped payments and added a little, but now don't have to pay freight twice a month and can even up the amount I buy.

Some might not see it this way, but actually a win for me and makes sense for what I'm doing. What wouldn't make sense would be paying for a car to sit in a garage.

Nothing to add other than I just liked that turn of phrase. Well written, sir.

People make this argument all the time and it's dubious at best. I had a realtor showing me houses in her Cadillac who screwed up an offer I made and cost me the house. I fired her and the agency promised to give me the best they had. He showed up in a beat up minivan and is the best realtor I've ever met. I don't give a shit what you drive. Just do a great job and you're better off than 95% of the people out there.

Try this:

Calculator

Spreads the earnings over 4 or 5 FY no matter when you lease it?

liquidated Home Depot things

IM inbound

Except we did not get to hear about how General Sherman revised his scorched earth policy at the dealership
Typical safe thread let down once again

Deal was made... Everyone is close to being happy.
We're waiting on the loan to fund and plates to get registered, so the fat lady hasn't begun to sing.

Op, I'm one of your biggest fans in this thread despite my shit posting.

I am also glad you are happy with the deal and it works out.

Now I am putting my "sensible" hat on

This was the hand you were dealt before you met marco and his mignons.

Had two cars, wife's SUV (even money) your ILX(upside down and inside out), and the need for a truck.

Dollar wise, you should have made your wife take the ILX(tell her to suck it up) then trade the MDx/RDX for a truck that served your purpose and for cheap.

Or you could have used her SUV to make the small loads, and rent a van/truck for large loads.

Just speaking in terms of money, those were the best routes.