FCA U.S. has launched a new program designed to provide high-potential dealer candidates with startup funding that is sourced from relationships with Chrysler Capital and Ally Financial.
FCA said that its new Dealer Market Investment program can assist potential Chrysler-Dodge-Jeep-Ram or Alfa Romeo-Maserati dealers who have limited funds and may also benefit from being matched with specific markets.
“This program places the support of FCA behind high-potential dealer candidates and tells them we have their backs as they enter the retail vehicle sales business,” FCA head of U.S. sales Reid Bigland said in a news release.
The Michigan-based automaker recently piloted the Dealer Market Investment Program at Northland Chrysler-Jeep-Dodge-Ram, the only African-American owned Chrysler-Jeep-Dodge-Ram dealership in metro Detroit, according to FCA.
“This is an area of the market that has tremendous growth potential,” said Bashar Cholagh, FCA senior manager of market representation, dealer network diversity and technologies. “We worked closely with Eddie Hall III and his partner Ken Thomas to provide them this opportunity through the program.”
Owner Eddie Hall III and partner Ken Thomas used the program to open the doors to the Northland Chrysler-Jeep-Dodge-Ram dealership in less than a month, according to Cholagh.
“My dad, Eddie Jr., was born and raised in Detroit. I was raised in metro Detroit, and Ken was born and raised in Detroit. So, owning this store, at this time when Detroit is making a comeback, is very important to us,” Hall said. “This is really a full-circle moment for us.”
In addition to a proven track record of exceptional sales performance, dealers must demonstrate leadership skills, financial acumen and customer satisfaction to join the real estate investment program.
Meanwhile, through its relationships with Chrysler Capital and Ally Financial, Chrysler Capital and Ally Financial will provide 80 percent of the funding, FCA will provide 15 percent and the potential dealer will bring 5 percent.
Furthermore, FCA said that it will also provide program dealers with 85 percent of the funds needed for a dealership's working capital using low-interest loans, while the potential dealer is responsible for 15 percent.