There will be no redundancies as a result of the integration of the two businesses.
The John Grose Group, which has showrooms in Lowestoft, Diss, Woodbridge and Ipswich, will take over the Ford dealership in Framlingham while AG Potter will continue to operate the Jet petrol station and other non-motor activities.
Allan Potter, managing director of AG Potter, said that the time had come to consolidate the Potters motor business into the John Grose Group so that they could enjoy the efficiencies and benefits associated with a much larger market area.
AG Potter has been a Ford dealership since 1913. The John Grose Group, which was founded in 1888 as a cycle business, now employs around 300 people.