Rental Management 301: Advanced Rental-Module 3: Financial Management

Module 3: Financial Management - Part 2

Video Transcription

Video Summary

The success of the Rent-to-Rent department is crucial for dealerships today. While new and used machine sales, parts, and service businesses remain flat in terms of profit margins, the rent-to-rent business is steadily increasing. The gross profit margins from rent-to-rent can greatly boost the overall profitability of a dealership. Surprisingly, the gross profit from rent-to-rent can even rival that of the parts department. However, the service department still has the highest profit margins. It is important for dealerships to prioritize and invest in the rent-to-rent business to achieve the best profitability and ensure continued investment in this activity.

Keywords

Rent-to-Rent department

dealerships

profit margins

gross profit

invest