He you ever wondered why people are buying and selling private number plates? It isn’t the same as buying and selling a vehicle where you generally will lose money after you have had fun driving the vehicle. With a private number plate, you can buy it and have fun displaying it on your vehicle before selling it at a higher price. This is why people are buying and selling private number plates and why they are investing large sums of money in buying exclusive cherished numbers in particular. People that want a specific number are prepared to pay significant sums of money to have entitlement to a cherished number plate. There is an increasing market for private plates in the UK and there is an increasing number of brokers that are now providing a service in selling private number plates to an increasing number of customers.
However, it isn’t as easy as you might think to sell a private number plate and you need to be patient in order to gain the returns you would like. This article intends to help you to take the right steps and to help you avoid the pitfalls when selling your private number plate.
Step 1: Check whether you are Eligible to Sell the Private Number Plate
Some private number plates are non-transferable and the V5C document for the vehicle will state if the registration is categorized as ‘non-transferrable. There is an example of this with the registration 1 AN which is assigned to a Morris Minor in the UK. The number is categorized as non-transferrable meaning that you can only have entitlement to it by owning the vehicle. Therefore the first action you need to take is to check your V5C document before selling your private number plates. The V5C will use the term ‘non-transferrable and you need to ensure this term is not referenced on your document.
If ‘non-transferrable is not present then you can proceed to the next step in the validation process. The next step of the validation process is to confirm the registered keeper’s name on the V5C document is your name. If the registered keeper’s name is a Business Name then you need to ensure you are a legally recognized director, owner, or co-owner of the business and that you have the authority to act on behalf of the business.
Step 2: Value your Private Number Plates
The next step in the process will be to have your private number valued by a reputable and appropriately experienced 3rd party. Remember, the worth of your private number plate is what a buyer is willing to pay, and a 3rd party company with an experienced assessor will be able to value based on their experience and their knowledge of the market. You also need to carry out your own analysis of the market to see if there are other similar plates that will compete for the interests of prospective buyers. If there is competition then you should be cognizant of this when establishing a market value for your plate. If your plate is extremely rare and has initials that fit with the most common name combinations in your country, then you can be confident that there is going to be a strong demand for the plate even with pricing at the higher end of the range.
Step 3: Choose the Best Option for Selling the Plate
DVLA and other transportation authorities across different countries offer un-issued plates and allow personalization options within the range of un-issued registrations. This means you cannot sell your private number plates through the DVLA as your registration has already been issued to you whether it is on a vehicle or on a certificate.
The options available to you include selling the private number plate yourself or using a 3rd party in the form of a registered broker to market the plate on your behalf. In marketing the registration yourself there are a number of options available to you including online portals such as E-bay, Gumtree, or Facebook Market Place.
You can also utilize niche auction websites where you can put your private number plate in an auction with or without a reserve price. There are some 3rd party registration brokers that allow auctioning of private number plates but there is a seller’s fee which you need to take into consideration. By adopting an online auction approach to selling your plate you can gauge the level of interest in your private number and if you don’t achieve a sale you can auction it at a later date with the knowledge that there is either a high or low level of interest in your plate. There are some risks in that you won’t be able to guarantee a sale, and the price achieved may not meet your expectations.
If you don’t like the uncertainty of an online auction you will benefit from the services of a trustworthy 3rd party broker, where there is no charge for the marketing of your registration.
Step 4: Wait for the Right Offer
Before you can make your move and sell your private number plate make sure you don’t accept an offer from the first interested buyer, unless it is in line with your expectations, wait for other offers to be made. Keep the first interested buyer in the loop, and ask for some time to consider the offer. This will allow you some time for an increased offer to be made by another party or the original offer may be increased, so providing you with a greater return.
The approach we have detailed should allow you to maximize your return when selling your private number plates to their new owner. Ensuring that you consult with experts early in the process will ensure you don’t undervalue your private number. Choosing the right broker to market your registration will ensure you don’t have a poor experience. Selling the registration yourself can work for you providing that you market the registration in the right place(s) and at the right time.