CarLotz Announces Vehicle for Change Program
RICHMOND, Va. – Mar. 19, 2013 – CarLotz, a Virginia-based used car consignment business, today announces the launch of an innovative new program that provides car owners a socially-responsible alternative to trading-in their vehicle.
CarLotz, a Virginia-based used car consignment business, today announces that it has launched Vehicle for Change, a unique new program designed to maximize private vehicle sales prices and drive donations to various charity programs. CarLotz is partnering with World Pediatric Project as well as other non-profits to charter the program.
CarLotz, launched in 2011, features a revolutionary new way to buy and sell used cars: on consignment. The firm enables sellers to receive the private-market sale value for their used vehicles without the traditional hassles of the sale-by-owner market, such as meeting with strangers, dealing with the DMV, and arranging for financing and warranties. Buyers, in turn, are able to browse a large inventory of sale-by-owner used vehicles and buy high-quality vehicles at discounts to retail pricing.
With the Vehicle for Change program, consumers who are considering trading-in their vehicle at a dealership instead bring it to CarLotz or arrange for CarLotz to pick it up. CarLotz then professionally markets the vehicle at its private party value and, upon sale, cuts a check for the trade-in value to the customer and sends the remainder of the proceeds to a non-profit of the customer’s choice. Using Vehicle for Change, car sellers receive the same value they would have received using a traditional trade-in plus a tax deduction for the additional sales proceeds, typically thousands of dollars, that are donated to their selected charity.
“The $3,000 to $5,000 of value above trade-in that we typically provide to CarLotz customers is a tremendous financial benefit,” said Michael Bor, CEO of CarLotz. “Many of our customers have told us they value the convenience our service provides even more than the financial benefit and have expressed interest in donating their additional proceeds to charities they support. For those customers, we have increased the convenience of our service offering by arranging a pick up of their vehicle and have created an easy way for them to donate a portion of their sales proceeds to charity. The beauty is that the consumer ends up with the same value they would have received on a regular trade-in plus a tax deduction, so everyone wins.”
As an example, if a customer receives a $10,000 trade-in offer from a dealer, CarLotz will help the customer sell that vehicle for an amount closer to its private party value, say $13,000. Upon sale, the customer will receive his or her $10,000 while the remaining proceeds, in this case $3,000 in this case less the CarLotz consignment fee, are remitted to a charitable organization designated by the customer.
“We are proud to partner with CarLotz,” says Dr. Chester Sharps, World Pediatric Project Board member and among the dozens of local pediatric specialists who contribute their time and expertise to help children in need. “Contributions made through this program will help surgeons like me and our teams reach and heal more children needing lifesaving or life-changing surgical care.”
“As a new business, CarLotz is constantly trying to find new ways to make our service more convenient and valuable for the community. Vehicle for Change is a great way for customers to use our service to benefit their favorite charities while still retaining the value for their vehicle that they would have received on a standard trade-in,” says Bor.
About CarLotz, Inc.
CarLotz (www.CarLotz.com) is a used vehicle consignment business that is driven to make the private party market the primary channel for used vehicle transactions. CarLotz enables sellers to achieve private market used vehicle values without the traditional hassles of the sale-by-owner market, such as meeting with strangers, arranging for financing and warranties, and handling burdensome DMV paperwork. CarLotz was founded in 2011 and has since helped hundreds of sellers and buyers save time and money by transacting safely and efficiently in the sale-by-owner market. The Company has been frequently featured in the media on NBC, Fox Business, Fox Interactive, in the New York Times, Fast Company, TheStreet.com, the Richmond Times-Dispatch, Virginia Business, Style Weekly, and others. The Company has also been recognized as a 2012 Greater Richmond Company to Watch, was voted a Best Place to Buy a Car by the readers of Style Weekly, and Best New Locally Owned Business by the readers of Richmond Magazine.