I had a few questions reguarding creating an exotic car rental agency. What all is involved here?

Obviously we have the following:

1. The Cars
2. Insurance
3. Facility
4. Overall Maintenance (On cars, facility, utilities)

I would need some sort of business loan. I figured $500-$600k would be a decent amount to get me started. I could buy lower end exotics until the company could afford some of the higher end, such as the Gallardo, Phantom, F430 etc.

Assuming the bank requires 10-20% down, this would be 50k-100k. Being 22 years old, I do not have this kind of money yet. I am curious if there are banks that will loan full value for first time business owners (Kind of like a first time home buyer FHA loan). I think I have a great city picked out thats about 30 miles south of where im currently located, and I think it would be a great hit.

What more is involved? I am sure I will need a dealers license & more. I am here for ideas, and anything that will be said, will be taken as advice. Thank you for your time.

With the current financial turbulence, it will be very hard to get a business loan for a new business with no track record. I suggest you visit the banks or loan brokers and discuss with them your business plan. An equity partner might be your best bet. Just my 2 cents.

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2008 S63 AMG
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Agree. A silent / equity partner will be your best bet. If you are still in the stage of asking us for advice, I'd guess that you don't have a business plan written up yet, correct? IF a bank were seriously going to look at you, they need to get to know you first. Go to a local bank, because places like BofA, Citi, Deutche, won't even sneeze on you right now. Even if you can get a good relationship going with a bank, and you have an outstanding business plan, you will be very, very unlikely to get anything more than 75% LTV for this project (since it's a startup), probably even less since you are borrowing against quickly depreciating assets, and you probably will lease garage space (won't own real estate). Further, the longest loan you might get for the cars would be 12 years, but with 20% down, or more, which is what you'd get from the dealer. I don't know what you could do (financing wise) for operating cash. I'm also not so sure this is the best business climate to be doing this. Hate to burst your bubble.

Make sure you look into the insurance. I know its obvious, but my friend's cousin owns a major exotic rental company. I expected insurance to be through the roof, but I was blown away with the figure he told me. Make sure you get that squared away.

Get a job working at a current exotic car rental Co and learn everything you can and then determine if you have the balls to go it on your own. Good luck!