KANSAS CITY, Mo. — Equipment Dealer Consulting, P.C., the certified public accounting firm affiliated with Western Equipment Dealers Assn. (WEDA), has released the results of this year’s Cost of Doing Business study. According to Curt Kleoppel, President of Equipment Dealer Consulting, a wholly owned subsidiary of WEDA, the combined gross profit margin percentage increased from a year ago and the net worth of the companies showed a slight increase, as well. Indications are that dealers are better managing inventory and debt.
WEDA works in cooperation with other state and regional equipment dealer associations to gain the involvement of association members throughout North America. To get the complete report, dealers must contact their state or regional equipment dealer association. The 2015 report will be sent free of charge to equipment dealers that provided their financial reports for compilation. Non-participating dealers can purchase the results for $200 if they are association members; the report is $450 for nonmembers.
The Cost of Doing Business Survey was established in the 1980s by the North American Equipment Dealers Assn. to analyze the financial picture of equipment dealerships in the U.S. and Canada.
The survey compiles data from independent dealers who provide detailed financial and operational information for their individual businesses, which is compiled in a template that creates average income statements and balance sheets, in addition to key financial performance indicators. The survey can be used by dealers to compare financial performance against other dealers in their region, or at comparable volume levels throughout North America, and to identify areas of needed improvement. Of equal importance, especially if a dealer principal is nearing an exit from the operation, it can also be used to value a business for estate planning or ownership changes.
Today, the Western Equipment Dealers Ass. (WEDA), in cooperation with other participating dealer associations and their members, compiles the survey. According to WEDA Chief Financial Officer Curt Kleoppel, who leads the project, “The report compiles information from 244 dealers representing approximately 700 locations. Five years ago, there were 500 dealers participating, representing about the same number of locations. Consolidation has reduced the number of owners.”
Call Lonnie Finch, CPA, at 800-762-5616 with questions or to learn more about how to access the survey results.
About Western Equipment Dealers Assn.
https://westerneda.com/ for more information.
WEDA represents approximately 2,200 farm, industrial and outdoor power equipment dealers in Canada — Manitoba, Saskatchewan, Alberta, and British Columbia as well as in the U.S. — Kansas, Missouri, New Mexico, Oklahoma and Texas. WEDA also represents 2,400 U.S. hardware retailers in the same U.S. states plus Arkansas, Louisiana and Nebraska. As the largest equipment dealer association in North America and the largest regional trade association of its kind in North America, WEDA offers members a comprehensive array of dealer-oriented legislative, educational and communications services, ranging from lobbying to legal, accounting and marketing support. WEDA also provides products and services that include industry and manufacturer relations, as well as industry information and intelligence. The association’s many programs are either available only to members or provided at a reduced cost for members. WEDA is one of 14 affiliates that make up the North American Equipment Dealers Asson. (NAEDA). Visit
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