74Auto.com car wholesalers
Today’s post is an interview of a young, local business owner named Allen Rhodes. This story is about how Allen (27), growing up in a town with a population of 100, started and operates a growing vehicle wholesaling business at 74Auto.com .
Now into their sixth year in business, Allen has grown his small business into a winner: selling a volume of over 500 cars annually, while starting with zero capital.
74Auto sells higher end cars, finding their niche’ with brands like BMW, Lexus, Audi, Range Rover, Mercedes Benz, Porsche and Ferrari.
This is another example of how passion, dedication and ambition can propel you ahead of the pack.
The story is broken into sections, making it easier to follow.
1. The Early Years: Upbringing.
Allen Rhodes grew up in a very small town in Missouri with a population hovering around 100. His parents? Anything but wealthy. Allen’s dad is working his 40th year at a local plastics factory, while his mom is a housekeeper at a nursing home.
“They were never late for work, always early and they are thankful to have a job,” Allen says.
Rhodes goes on to praise his parents by saying:
“Growing up, they spent twice as much money on me as they did themselves.
They loved me more than anything, if I’m half the parent they were to me, I’ll be doing great.
My dad never missed a single minute of my sporting events from elementary through high school. They even borrowed money against their house to help me buy a few cars in the beginning. They are truly the best parents someone could ask for.”
Not born into riches, Allen began to explore his options as high school was coming to a close.
“I began to think more business like after coming into contact with a local family which operated many successful companies,” Allen said.
“This family was different than any I had been around. They weren’t arrogant, but confident when they spoke about business and I was like a sponge around them, trying to soak up as much knowledge as I could.”
Allen graduated atop his small class of 20, received a full academic scholarship to a Division 1 university but he had a feeling he was destined for something outside the local job market.
Rhodes says, “As far as opportunities in the town I grew up in…. there are none. It’s small town America with no new businesses or new developments.”
As Allen started college, he began to explore his future options.
2. Moving Foward. The Power of the Internet.
As Allen graduated high school and began college, he immersed himself in the Internet.
Allen recalls, “The Internet was very fascinating to me, I always had a quest for knowledge and you could find out about anything you wanted with just a few key strokes.”
eBay was gaining steam, Allen took notice and dabbled in online selling of anything he could get his hands on to make a little profit.
His focus quickly shifted from general merchandise, to cars, as he forged ahead with his college classes simultaneously.
Why cars, Allen?
“I was a car fanatic when I was younger and like anyone who is, it’s always a nice idea to try and make a profession out of it,” Allen says.
”For someone who sells wrecked cars, I am not much of a mechanic, nor am I body man, but I do know how to contract out labor and I know what it costs to have vehicles repaired.
As I always say- know what you can do, and know what you can’t do.”
Allen’s entire business started with the leap-of-faith effort of selling his personal vehicle - and buying his first car for resale.
Nothing happens without that first step — Allen trusted his instincts and forged ahead.
Allen began with that one car… he sold it, and bought another. Soon he had the cash to buy two cars, he sold those and bought 3… and it grew from that simple first step.
Do what you love! Allen had a passion for cars and turned that passion into a business.
3. The Business. The Concept.
“At 74 Auto we buy salvage cars and resell them to body shops, dealers, individuals and to overseas clients,” says Rhodes.
“We do not repair them, we sell them wrecked. We volume sell for a small business and move around 500 cars a year(hopefully even more next year).”
Allen is big on representation… over-representation actually.
“What we give our clients is piece of mind. For the minimal profit we make off of each car, we take ten times as many pictures as the auctions, we make sure the car is mechanically solid and we give them a better description than they will find anywhere else,” he states.
74Auto has aimed to take the risk out of buying a salvage car. No guesswork as to what they will pay, like an auction, and no suprises when they get the vehicle.
4.Changing and Adapting.
Business is constantly changing… constantly evolving.
The stagnant businesses are the ones that slip.
This is no different for Allen’s company.
His business has changed in the way they sell: their sales have moved from eBay, to their website, and now they wholesale a lot of cars through auctions and overseas.
“Like any business as you get smarter and learn the tricks of the trade… you learn a few more routes to take to make a profit,” Rhode’s says.
“We try to sell to so many different people in so many different ways, usually we can get a few cars sold each day in some direction.”
This is the same adaptation that .com owners are attempting as PPC declines, leaving domain owners brainstorming for solutions
Allen adds, “Things really started to come together when I married my wife, Ashley. She is a lot more organized than I am and she compliments me in many ways. She lined out our books and found which cars were profitable and which were not. I couldn’t do this job without her… she is a very valuable part of this business.”
Business, like automotive technology, is constantly evolving.
5. General Business Advice.
This section has some great advice and insight from Allen.
When asked to give some business advice to our readers looking for a start, this was Allen’s reply:
“If you want to succeed you have to make sacrifies.
I built my business up from scratch, no floor plans, no financing, just hard earned capital.
To this day I still don’t have a vehicle to keep and drive. I drive whatever we have on the lot and I make due.
People these days want to start taking money out of their business immediately. I see so many people buying new cars and spending money left and right and not investing a dime back into what they started.
It’s like a plant, you need to grow your roots as long as possible. Live under your means for as long as you can and then start reaping some rewards.
I don’t need a $50,000 luxury car or a half a million dollar house. Right now I need to grow my business as much as possible so it will be easier to run in the coming years.
I work pretty much non stop and it’s on my brain 24/7. I am always the first person at the shop and always the last to leave. If a load of cars comes in late… i’m the one who stays. It has not been easy and my family has had to bear a lot of the workload with me.”
6. Additional Thoughts.
Allen certainly isn’t bashful about giving glory where it’s due.
Allen says, “I definitely want to thank God for giving me this opportunity. I know for a fact I couldn’t do anything like this on my own. He’s been with me every step of the way. I’m not 100% sure this is what he’ll want me to do 5 or 10 years from now, but whatever he wants me to do… I’ll do it.”
He also has realized, over this journey, that there is a life outside the office.
”I know now more than ever, there is a lot more to life that working 12 hours a day, going to bed and doing it again the next day,” Allen said.
“I’m excited to make a difference and I strive to be a better Christian in 2010, living by example and leading people through my actions.”
Thank you Allen for taking the time to share your story with us.
It is quite an inspiration and encouraging to read a story of someone with little financial means, who grew a business from scratch.
What we love most, is that Allen has a great business head on his shoulders, yet knows that life outside of the office is where life really happens.
For more on this business, visit: www.74Auto.com
XF.com maintains no working relationship with 74Auto.com
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January 12th, 2010 
admin 
