In the latest episode of On the Ramp, we sat down with Jamie Caple of Car Quay, a used car dealer based in Derby, to discuss the realities of the trade, the lessons learned from financial struggles, and how resilience is the key to long-term success in the automotive industry.
YouTube – https://youtu.be/jzP0TRMGtU4?si=mSTcKsXnQFyGGleU
Spotify – https://open.spotify.com/episode/3aS0r0h4Muc49ZNTVEhWqf?si=rydvcaRqRx6WhsN9ovF-4g
The Journey into the Trade
Jamie’s story is one of sheer determination. After the collapse of his previous business, he found himself in a financial crisis, with a hefty debt looming over him. But rather than take the easier route of bankruptcy, he took the bold step of starting again from scratch—this time, with a renewed focus on stability and sustainability. Car Quay was born, and what started as a small, family-run operation quickly grew into a recognised dealership with a reputation for quality and reliability.
The Harsh Reality of Used Car Sales
Many garage owners toy with the idea of moving into car sales, drawn by the occasional high-margin deal on a part-exchanged vehicle. But as Jamie candidly explained, selling cars isn’t just about finding a buyer; it’s about managing stock, maintaining cash flow, and dealing with unpredictable market conditions. The used car trade isn’t always lucrative, and without the right strategy, it’s easy to end up stuck with depreciating stock and thinning profit margins.
One of the biggest challenges in the trade is the volatility of car values. Jamie reflected on how, between October 2023 and January 2024, used car prices fell dramatically—by as much as 15-20%. For businesses relying on stocking facilities, this kind of drop can be catastrophic. Dealers often find themselves selling cars at a loss just to avoid further financial damage. As Jamie put it, “You’re not just running a business; you’re managing risk like a stock trader.”
The Struggles of a Growing Business
With growth comes complexity, and Jamie has had to navigate the challenges of scaling his business while maintaining profitability. One major issue has been the efficiency of the workshop, which plays a crucial role in vehicle preparation. He admitted that, in times of high profitability, inefficiencies often go unnoticed. But when margins tighten, every wasted hour and unnecessary cost starts to bite.
Having built a team of over 20 staff, Jamie now faces a different kind of pressure—the responsibility of ensuring the business remains viable not just for himself, but for his employees and their families. “I feel more pressure now than I did when I was on my own,” he said. “Back then, it was sink or swim, but now I have a team relying on me to keep things moving.”
Lessons Learned & Advice for Others
Jamie’s journey offers valuable lessons for both independent garage owners and aspiring car dealers. Here are some key takeaways from his experience:
- Stocking Facilities Can Be a Double-Edged Sword – While they allow businesses to scale quickly, they also pose a significant risk if the market turns. Jamie advises that if you’re going to use them, you must have a plan to transition away from them in the long run.
- The Market is Unforgiving – Used car values fluctuate rapidly. If you don’t adjust pricing fast enough, you can quickly find yourself in trouble. “You have to be prepared to cut your losses when necessary,” Jamie explained.
- Preparation Efficiency is Key – A well-organised workshop is crucial for keeping costs down and getting vehicles ready for sale efficiently. Jamie is currently focusing on improving this aspect of his business to protect profitability.
- Stay Humble & Keep Learning – Jamie’s story is a testament to the importance of adaptability. The industry changes constantly, and those who fail to evolve will struggle. “The rules of the game change, and you have to change with them,” he said.
Final Thoughts
Jamie Caple’s journey from financial turmoil to running a successful dealership is a powerful reminder of why resilience matters in business. The used car trade is tough—unpredictable, demanding, and at times, unforgiving. But with the right mindset, the ability to adapt, and a willingness to learn from past mistakes, it’s possible to turn setbacks into success.
For anyone considering a move into car sales or looking to refine their current operations, Jamie’s experience serves as both a cautionary tale and a source of inspiration. If you’re willing to put in the work, stay disciplined, and accept that the market will always be bigger than you, success is possible—even in the toughest of times.
