11
September
2025

Teamwork, Transparency & Tough Markets: A Real- World Perspective from the Northeast Auto Arena

Discover how fostering collaboration and sharing strategies within the dealership community can unlock new opportunities and drive sales growth.

Teamwork, Transparency & Tough Markets: A Real- World Perspective from the Northeast Auto Arena

The Northeast is, without a doubt, one of the most fascinating auto sales and financing markets I’ve had the pleasure of working in. Some days, it feels like a revolving door; other times, it’s a masterclass in constant evolution.

Almost daily, I hear dealers asking the same core questions:

“What’s new out there?”
“What are other dealers doing that I’m not?”
“Where’s everyone finding inventory?”
“Which banks are buying?”
“Who’s the best for warranty and service contracts?”
“And, most of all—how do we sell more cars?”

And let’s not forget the ever-watchful regulatory environment we face in the Northeast. Here, dotting our I’s and crossing our T's isn’t just good practice—it’s survival.

A Different Approach
When I was asked to write an article for the MidAtlantic IADA, I decided to take a different angle. I sat back and realized something important: the answers are already out there—inside every dealership I talk to.

The challenge? Sometimes we’re just too protective, too afraid to share what’s working.

That’s exactly why I joined the IADA in multiple states 25 years ago—to learn, share, and connect with others in our field. To be part of a network where we don’t just compete—we grow together.

It took me back to my college football days. I’d walk into the locker room every day and see the word “TEAM” on the wall:

T = Together
E = Each
A = Accomplishes
M = More

That mantra wasn’t just about sports—it’s about business, too. And today, I try to bring that same spirit into my work with dealers.

The Power of Shared Strategy
At CAR Financial Services Inc., we specialize in Buy Here Pay Here (BHPH), Lease Here Pay Here (LHPH), and floor planning for dealerships using these programs.

I’ve heard it all:

“We don’t do BHPH.”
“We tried it—hated it.”
“It’s not for our customers.”
“Our inventory wouldn’t work for those programs.”
“We don’t understand how it works.”

And that’s fair. BHPH and LHPH aren’t for everyone. But when I get the chance, I always try to educate and plant a seed. These programs can sometimes unlock new niches, add profit centers, and even help dealers regain control of their inventory and margins.

A Real-World Example
Let me share a quick story.

I recently spoke with a dealer who only does cash sales.

He said, “I bought a car for $7K, put $1K into it, and sold it for $11K cash.”

I asked, “What were you originally asking?”

“$13K,” he replied.

So I posed a simple idea:

“Why not get the full $13K? Offer in-house financing. Put a lien on the car. We’ll collect the payments for you. Even if the buyer defaults on the first payment, you still netted the $11K—but now you have a lien and potential repossession rights. That’s just one way to think differently.”

Be Wary of Chasing “Greener” Grass
Another dealer called me a few weeks back—he wanted to sell off all his BHPH notes and switch to subprime financing.

I asked, “Why?”

He said he thought subprime point-of-sale deals would generate more profit.

I asked if he had signed up with any subprime lenders yet or reviewed their underwriting standards.

He hadn’t.

Sometimes, it’s the simple questions that get overlooked. It wasn’t that I was trying to challenge him, it’s that I needed to understand his real needs. That way, I could help—either through our own services or through referrals in the IADA and MidAtlantic IADA networks to get them the help they needed.

Reality check:
Some lenders have paused onboarding new dealers.

Others have tightened requirements to the point where low FICO customers are effectively locked out.

And yes, some have exited the market altogether.

When he asked, “So what should I do?” my answer was clear:

“The very customers getting turned down by subprime lenders are coming back to BHPH—and they’re often your best payers. But to attract them, you need clean inventory, competitive pricing, and a standout lot. Many of these customers used to buy from franchise stores until credit tightened or their personal financial circumstances changed, not qualifying for Prime & Super Prime lenders.

That advice may have cost me a sale. And yeah, my boss might raise an eyebrow. But if we’re really in this for the long haul, giving the right advice matters more than making a quick buck. Heck again I get more referrals and respect for getting them to a lender that helps them with their immediate needs and YES, I usually get a few deals from these dealers because I shared with them, and I cared to help them. Even if they didn’t do business with them I have always been welcomed back into their office and on their lot.

Don’t Fence Yourself In
Too often, dealers look across the fence thinking the grass is greener.

In truth? You just need to water your own lawn.

If you take one thing from this article, let it be this:

Join a 20 Group. Attend MidAtlantic Convention & Tailgate or NIADA events. Talk to your peers. Share ideas. Listen. Network.

Sometimes, all your business needs is a little fertilizer; a fresh perspective, a new strategy, or a connection that changes the game.

Let’s stop trying to figure it all out alone. Let’s go back to that locker room mindset:

Together, Each Accomplishes More.

As seen in our Magazine

Categories: Dealer News Stories

Paul Hicks

Paul Hicks

Paul Hicks has extensive experience in management and finance, currently serving as Area Manager at CAR Financial Services since September 2011, where the focus is on customizing auto finance solutions. Previously, Paul held the position of District Manager at Wells Fargo Financial from January 2001 to October 2011, successfully restructuring the lowest performing district to achieve top rankings in sales productivity. Earlier in Paul's career, from November 1994 to March 2001, management responsibilities included leading the Home Fashions Department at Sears Holdings Corporation, where significant sales profitability was attained. Paul holds a BBA in Finance from Hofstra University, alongside an Associates Degree in Banking, Corporate, Finance, and Securities Law from Iona University.

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