Luscombe Motors will expand its used car operations and could be set to introduce a third franchise following the acquisition of a “blank canvas” site which adds 50% more retail space for the business.
Managing director Robin Luscombe took hold of the keys to the one acre site, which includes a 10,000sq-ft warehouse off National Road, Hunslet, yesterday (November 15) and his now weighing up his options for the acquisition.
Luscombe, who has recently returned to the business three-days a week following back surgery, said: “With the state of my health the priority was to acquire the site, which is a blank canvas for us and really broadens our options.
“In truth, all options are open and there is scope for another franchise or a used car super centre on the site, but we’ll see. There is room to get a new used car showroom, a workshop and still have room for a new franchise on there.
“One thing I do want to put in there is a used car imagery facility and obviously there is space to accommodate 100 more used cars, which is great news for us.”
Employees of both Luscombe Mitsubishi and Suzuki franchises were being invited to visit the newly acquired site – which lies to the North-East of the existing two-acres Luscombe site – between 10.30 and 11am today (November 16).
Luscombe, who is currently travelling to work on the train three days a week due to the restrictions imposed by his recovering back, told AM that his Mitsubishi and Suzuki franchises had been operating ahead of last year since the start of the business’s new financial year, in June, with the help of a strong aftersales offering.
Return on sales currently stands at 4.6%, he said.
In light of the strong performance, and in light of an approach to staff satisfaction which secured the business a AM Best UK Dealerships to Work For accolade, Luscombe Motors has recently raised the salary of those in the business on the national minimum wage.
April 2019 will bring the Government’s rise in the National Living Wage (workers aged 25+) from £7.83 to £8.21 per hour, and Luscombe took the decision to bring in the increase early.
He said: “It doesn’t affect many people in the business, but it is those who might struggle a little more through the festive period, so it was good to be able deliver what we knew we would have to deliver anyway a few months early.”