How does the club work?
Firstly we purchase a car off our target cars list.
The car is then put into the ownership of the business and advertised on the site at the price we bought it for. You can then buy a percentage share in the any of the cars at our purchase price.
Once we have 100% of the cars shares paid for we will store the car for a period of time usually 24 months, in this time we will secure, insure, repair and generally protect the investment. At the end of the period of storage we will make the car ready for sale and liquidate it (probably to an investor).
After the sale we will deduct vat on the profit and 50% of the profit to pay for our services mentioned above. The other 50% of the profit will be paid out as intrest to each investor pro rata based on their share holding along with their initail investment amount. Below is a quick example.
BMW e46 M3 Cabriolet
Purchase price Nov 2015 = £10,750
1% Share = £107.50
Predicted Sell Price March 2017 = £14,500
Profit on full car = £3,750
Minus 50% managment fee = £1,875 (storage, insurance, repairs, selling costs etc)
Total profit on car = £1,875
1% of Profit = £18.75
1% of Profit and original stake £126.25 (equivalent to a 17.5% increase in just 18 months)
Now we can't gurantee any returns, like any investments prices can fall and you can stand to lose out. However this business is run by real 'pistonheads' who have spent the last 20 years dreaming about cars and contantly trawling Pistonheads, eBay and autotrader for quality cult cars. We also have a good knowledge of appreciating cars and enough confidence to purchase the cars firstly though the business without using your cash. Thats how confident we are on making a return on the investment.
We also belive that most of our investors, whether it be for a bit of fun or seriors income generattion will have knowledge, even passion for cars and be aware of the validity of our business.