2025 • Issue 1 Official Publication of the Louisiana Automobile Dealers Association A MESSAGE FROM THE PRESIDENT LOOKING AHEAD A Year of Opportunities for Louisiana’s Dealers
10543 South Glenstone Place, Baton Rouge, LA 70810 • 225-769-9923 • theldsgroup.com LADA'S ENDORSED F&I PROVIDER OF PRODUCTS, TRAINING AND INCOME DEVELOPMENT A FEW OF OUR 60+ TEAM MEMBERS: Keith Decell President Jason Rasti Executive Vice President Cole Miller Director of Training Shelley Cavin Client Relations Manager Sunny Mayhall General Counsel Lee Martinez Regional Manager Dan Stowers Territory Manager Curtis Loftin Territory Manager Edward Burnett Territory Manager Alfonso ‘Fons’ Augustine Territory Manager Mustafa ‘Moose’ Mohammad Territory Manager Nick Olsen Territory Manager Brandon Choina Territory Manager
A MESSAGE FROM THE PRESIDENT 4 Looking Ahead A Year of Opportunities for Louisiana’s Dealers By Coulter McMahen, President/CEO, LADA A MESSAGE FROM THE CHAIR 6 Reinforcing Strength, Resilience and Adaptability By Kristie M. Hebert, Chair, LADA 8 Renew Your Dues! 9 The Power of Personalization How Direct Mail Can Transform Your Marketing By Reynolds Document Services 10 LADA 86th Annual Convention 12 We Want To Hear From You! 14 Is Your Customer King? By Jason Rasti, Executive Vice President, The LDS Group 16 OSHA Increases Penalties for 2025 By Hao Nguyen, Esq., Senior Product and Regulatory Counsel, ComplyAuto 18 Navigating the Dealership Buy-Sell Process How a Broker Can Guide You to a Successful Sale By Jamie Farley, Partner, Mark Shackelford Sr., Partner, and Mark Shackelford Jr., Partner, Performance Brokerage Services 21 Bridging the Gap Successfully Managing a Multi‑Generational Workforce 23 LADA Annual Meeting & Dealer Day at the Capitol ©2025 The Louisiana Automobile Dealers Association (LADA) | The newsLINK Group LLC. All rights reserved. Up to Speed is published four times per year by The newsLINK Group LLC for LADA and is the official publication for this association. The information contained in this publication is intended to provide general information for review, consideration and education. The contents do not constitute legal advice and should not be relied on as such. If you need legal advice or assistance, it is strongly recommended that you contact an attorney as to your circumstances. The statements and opinions expressed in this publication are those of the individual authors and do not necessarily represent the views of LADA, its board of directors or the publisher. Likewise, the appearance of advertisements within this publication does not constitute an endorsement or recommendation of any product or service advertised. Up to Speed is a collective work, and as such, some articles are submitted by authors who are independent of LADA. While a first-print policy is encouraged, in cases where this is not possible, every effort has been made to comply with any known reprint guidelines or restrictions. Content may not be reproduced or reprinted without prior written permission. For further information, please contact the publisher at (855) 747-4003. 2023-2025 EXECUTIVE COMMITTEE Kristie M. Hebert Arceneaux Ford Chairwoman Patton Fritze Red River Chevrolet Vice-Chairman, District 7 Rand Alford Alford Motors Inc. Treasurer, District 15 Marshall Harper Harper Chevrolet GMC Immediate Past Chairman Robert A. Grace Southpoint Volkswagen Districts 11-12 John R. Young John R. Young Chevrolet GMC District 13 Mark A. Hebert Sr. Hebert’s Town & Country Ford Lincoln NADA State Director OUR TEAM Coulter McMahen President/CEO Katherine Carver Director of Events and Communications Alexandra Hughes Director of Membership Cecilia Shahrdar Member Services Coordinator Vivian Kirkpatrick Administrative Assistant CONTENTS 3
A MESSAGE FROM THE PRESIDENT As we step into 2025, I am optimistic about the opportunities ahead for Louisiana’s franchised dealers. The year brings a fresh start, a commitment to advocacy and a focus on critical issues that shape our industry. With a new administration in Washington and an upcoming fiscal session in Louisiana, LADA remains unwavering in its commitment to amplifying our dealers’ voices and safeguarding their businesses to ensure they continue to thrive. So, what’s ahead for LADA in 2025? THE MARCH 29 SPECIAL ELECTION: WHAT’S AT STAKE On March 29, 2025, Louisiana voters will decide on four constitutional amendments, with Amendment 2 being particularly significant for businesses, especially automobile dealers. Amendment 2 introduces critical tax reforms, including lowering personal and corporate income tax rates, increasing income tax deductions for citizens over 65, capping government growth, preserving the homestead exemption, securing a permanent teacher pay raise, and — most importantly — addressing the business inventory tax. This critical amendment gives the state the authority to pay parishes via the Revenue Stabilization Trust for those parishes’ agreement to no longer collect taxes on business inventory. Amendment 2 also establishes a “Local Revenue Fund,” which would be a constitutionally protected bucket of money to be distributed to local governments to compensate them for revenue losses they would incur by eliminating their inventory tax. However, the approval of Amendment 2 is merely the first step in this process of eliminating the tax on business inventory. Complementing this, Looking Ahead A Year of Opportunities for Louisiana’s Dealers BY COULTER McMAHEN, PRESIDENT/CEO, LADA House Bill 11 by Representative Daryl Deshotel outlines the statutory framework that parishes must follow. Under this bill, each parish’s key entities — the sheriff, school board and parish governing authority — must collectively decide by July 1, 2026, whether to opt into this exemption program. They do this by signing a written agreement to accept the state payment in lieu of collecting business inventory taxes. Once this decision is made, it is irrevocable. For instance, if the Bossier Parish sheriff, school board and governing authority all agree to accept the exemption, opting for a one-time $15 million payment from the state instead of ongoing tax collection, this decision becomes permanent as of July 1, 2026. Even if subsequent officials wish to reinstate business inventory taxes, they are legally barred from doing so. Following the decision to accept payment, the state treasurer will disburse payments to the local tax collector, who will then distribute these funds proportionally among the parish’s taxing authorities. Through LADA’s advocacy in the November special session, we were able to secure an important safeguard: If Amendment 2 fails — or if it passes but your parish does not accept the state’s compensation — automobile dealerships operating as pass-through entities (LLCs, S-corps, partnerships) will continue to benefit from the inventory tax credit indefinitely, while C-corps will retain the credit until July 2026. Without approval of Amendment 2 and, ultimately, a decision by parishes to no longer tax business inventory, Louisiana businesses will remain burdened by this anti-business tax, hampering economic growth and competitiveness. We encourage you and your employees to get out and vote YES on Constitutional Amendment 2. THE 2025 FISCAL LEGISLATIVE SESSION AND BEYOND This year’s legislative session, beginning April 14, will center on critical fiscal matters — including tax policy, budget allocations and economic development incentives — that could significantly impact dealership operations. Beyond fiscal policy, we are also pursuing opportunities to strengthen dealer-related laws to enhance operations across our industry, so stay tuned for updates. We encourage all members to join us for Dealer Day at the Capitol on May 12-13, during the session. This event offers a valuable opportunity to engage directly with legislators, advocate for key industry issues and showcase the strength and importance of Louisiana’s auto retail sector. Your participation makes a meaningful difference. 4
Additionally, our Legislative Roadshow this fall will bring dealers and legislators together across the state to discuss priorities and shape advocacy efforts for the 2026 regular session. Your participation is key — these meetings are an opportunity to engage with lawmakers and share the realities of running a dealership in today’s economic climate. A BIG WIN FOR DEALERS AND CONSUMERS: THE FTC’S VEHICLE SHOPPING RULE VACATED In a 2-1 decision, the U.S. Circuit Court of Appeals for the Fifth Circuit sided with NADA and the Texas Automobile Dealers Association (TADA), vacating the FTC’s Vehicle Shopping Rule (the “CARS” Rule). The court ruled that the FTC violated its own procedural rules by skipping a crucial step: issuing an advanced notice of proposed rulemaking. As a result, the rule is null and has no legal effect. This ruling is a monumental victory for consumers, dealers and the rule of law. From the start, we’ve been vocal about the dangers of the FTC’s rushed and poorly researched Vehicle Shopping Rule. If implemented, the rule would have added massive amounts of time, complexity, paperwork and cost to the car-buying experience for virtually every customer. This decision clears the path for dealers to get back to delivering an exceptional customer experience, streamlining transactions and making the car-buying journey as smooth as possible. However, while the rule’s administrative burdens, pointless paperwork and time-consuming delays have been eliminated, the fact remains that the misconduct the FTC aimed to address — such as bait-and-switch tactics, junk fees and false advertising — was already illegal and remains so. Together, we’ve defended what matters most: efficient, customer-focused dealerships that drive value for consumers. OPPORTUNITIES TO ENGAGE In addition to our legislative initiatives and Dealer Day at the Capitol, LADA has a calendar of events designed to keep you informed, connected and engaged. Our annual convention, scheduled for June 11–15 at the Grand Hotel in Point Clear, Alabama, will bring together dealers and industry leaders for insightful discussions, valuable networking opportunities and a collective vision for the future of Louisiana’s auto retail industry. Our charity golf tournament in the fall also offers a chance to further strengthen relationships while supporting the NADA Emergency Relief Fund, which supports auto and truck dealership employees who have been impacted by natural disasters. Here in Louisiana, we are no strangers to natural disasters, and the Emergency Relief Fund has provided significant relief to Louisiana’s dealership employees who have been affected by natural disasters over the years. This year, we are also proud to launch the NextGen Dealer Program, dedicated to developing the next generation of dealership leaders. The program will kick off with a fall retreat, providing emerging leaders with a platform to connect, learn and prepare for the future of the automotive industry. Many of you have seen the launch of LADA’s #LADealersDoGood initiative on our social media platforms, spotlighting the invaluable contributions Louisiana dealers make to their local communities. Now, more than ever, it’s essential to highlight why the dealer franchise model remains superior to the direct sales approach being considered by several legacy OEMs, including Scout/Volkswagen and Sony Honda/Afeela. We encourage you to share photos and stories of your dealership’s community involvement through our social media channels. Additionally, we urge you to invite your elected officials to attend these events to witness firsthand the positive impact your dealerships have on your communities and the state of Louisiana. YOUR INVOLVEMENT MATTERS As we move forward, I encourage each of you to stay involved. Attend events, engage with your legislators, and stay informed on issues that matter to our industry. LADA exists to serve and support Louisiana’s dealers, but our strength comes from the participation of our members. Thank you for your support. I look forward to a successful year ahead and to working alongside you to ensure a strong future for Louisiana’s auto industry. 5
As we step into 2025, I am filled with optimism for what lies ahead for our industry and for the Louisiana Automobile Dealers Association. The past year brought challenges, but it also reinforced the strength, resilience and adaptability of our dealer community. Now, we have the opportunity to build on that momentum and continue driving our industry forward. LADA remains committed to being your trusted advocate, ensuring that our voices are heard at the state and national levels. With the state legislative session approaching, our team is already engaged in critical conversations to protect and promote franchised dealerships across Louisiana. The LADA Annual Meeting and Dealer Day at the Capitol in May will be an essential platform for dealers to connect directly A MESSAGE FROM THE CHAIR Reinforcing Strength, Resilience and Adaptability BY KRISTIE M. HEBERT, CHAIR, LADA with lawmakers and discuss the issues that impact our businesses and communities. Your participation will be key to making this event a success. Beyond advocacy, LADA is dedicated to fostering a strong sense of community among our members. Whether through networking events, educational opportunities, or our annual charity golf tournament, we want to ensure that our dealers remain informed, connected and supported. The launch of #LADealersDoGood last year was just the beginning — we will continue showcasing the incredible ways dealerships give back to their communities. Your commitment to service and philanthropy is inspiring, and we look forward to highlighting even more of these stories in the months ahead. This year, I encourage you to stay engaged, stay informed and take full advantage of the resources and opportunities LADA provides. We are here to support you, and together, we will ensure that Louisiana’s auto retail industry remains strong and successful. Thank you for your dedication to this industry, and I look forward to a fantastic year ahead. 6
Anticipate every turn In an industry that’s always evolving, your dealership can rely on our Dealer Financial Services team’s 90 years of experience to see what’s around the corner, forward-thinking insights to prepare you, and technology to keep you ahead of the curve. What would you like the power to do?® Thomas Ballard, thomas.ballard@bofa.com business.bofa.com/dealer ©2024 Bank of America Corporation. All rights reserved. DFS-699-AD 6942528 Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value “Bank of America” and “BofA Securities” are the marketing names used by the Global Banking and Global Markets divisions of Bank of America Corporation. Lending, derivatives, other commercial banking activities, and trading in certain financial instruments are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., Member FDIC. Trading in securities and financial instruments, and strategic advisory, and other investment banking activities, are performed globally by investment banking affiliates of Bank of America Corporation (“Investment Banking Affiliates”), including, in the United States, BofA Securities, Inc., which is a registered broker-dealer and Member of SIPC, and, in other jurisdictions, by locally registered entities. BofA Securities, Inc. is a registered futures commission merchant with the CFTC and a member of the NFA.
RENEW Your Dues! You’re free to live your life out loud! Because you’ve got the compassion of the cross, the security of the shield, and the comfort of Blue behind you. 01MK2770 01/25 Stay connected and send in your dues today! Dues will be collected through March. If you have any questions, contact Alexandra Hughes at ahughes@lada.org. 8
The Power of Personalization How Direct Mail Can Transform Your Marketing BY REYNOLDS DOCUMENT SERVICES Consumers spend less time inside dealerships than ever, so your window to communicate value has drastically narrowed. Customers today begin their search for service online, forcing your dealership to engage in an online battle royale against countless competitors and making your digital presence more crucial than ever. So, how do you successfully deliver your message and retain valuable customers despite all the digital distractions? Believe it or not, the solution lies in a powerful, proven pre-digital marketing channel: direct mail. Forget the myth that direct mail is a relic of the past — start leveraging the treasure trove of data in your DMS to send targeted campaigns directly to your customers’ mailboxes. Automotive is currently the No. 1 industry using direct mail, proving the power this marketing communication provides your business. So, why does direct mail still outperform? Let’s break down three core direct mail benefits and how they could revolutionize your marketing strategy. CONSUMER PREFERENCE AND BRAND RECOGNITION Direct mail provides customers with flexibility in how and when they engage with your brand by offering a tangible, personalized connection. This kind of flexibility and personalization strengthens brand recognition and increases consumer spending. Studies show that those who receive direct mail spend 28% more than those who don’t. Imagine what that extra business could do for your dealership. Customized direct mail pieces offer a lasting impression that helps your brand stand out in your customers’ homes and keep your dealership top-of-mind. THE HUMAN CONNECTION It’s nice to receive a mail piece that feels like it was written just for you. The experience of seeing your name prominently displayed where you may not have been expecting can elicit excitement and curiosity. This curiosity translates into action, and by simply adding a person’s name and using full color, you can increase response rates by an impressive 135%. Personalization demonstrates a genuine connection, making customers feel valued and understood, which fosters loyalty and encourages direct mail recipients to return to your dealership for their future vehicle needs. BEYOND THE MAILBOX Have you considered utilizing both direct mail and email communications? These communications offer complementary benefits: Email delivers messages instantly, while direct mail provides a tangible reminder. This two-touch approach helps you reach customers at the right time with the right message that they can’t miss. By creating consistent, personalized messaging across both platforms, you reinforce your brand in multiple spaces, increasing the likelihood of engagement. This integration also enhances customer retention, as repeated exposure builds trust and loyalty, encouraging customers to return to your dealership for service or future purchases. Maximize your reach, influence and overall marketing success by utilizing both channels in a hybrid approach. Personalized direct mail campaigns offer you the opportunity to capture your audience’s attention in a unique and impactful way. By leveraging the power of personalization and combining it with targeted email campaigns, you can create a lasting impression, cultivate loyalty and drive tangible results for your dealership. Don’t let the myth of direct mail’s obsolescence fool you — it’s time to rediscover the treasure trove of opportunities that personalized direct mail campaigns can offer. For additional information, contact Reynolds Document Services at rds@reyrey.com or (800) 344-0996. 9
REGISTER TODAY! Steve Greenfield, Automotive Ventures “The Future of Automotive Retail” Scott Wozniak, Swoz Consulting “Customer Experience Engine” Join LADA at the historic Grand Hotel in beautiful Point Clear, Alabama, to explore the latest trends, innovations, and strategies shaping the automotive industry. JUNE 11-15, 2025 FEATUR ING 10
fisherphillips.com | 36 Locations attorneys can help you steer through the labor laws affecting the car ness. Since 1943, we have been the labor lawyers of choice for mobile dealers. Fisher Phillips is dedicated to helping the members e Louisiana Automobile Dealers Association with their labor and oyment legal matters. We’re driven to help you succeed. 201 St. Charles Avenue, Suite 3710 | New Orleans, Louisiana 70170 Phone (504) 529-3834 • Fax (504) 529-3850 Timothy H. Scott tscott@fisherphillips.com Our attorneys can help you steer through the labor laws affecting the car business. Since 1943, we have been the labor lawyers of choice for automobile dealers. Fisher Phillips is dedicated to helping the members of the Louisiana Automobile Dealers Association with their labor and employment legal matters. We’re driven to help you succeed. Timothy H. Scott Partner New Orleans | Boston 504.529.3834 tscott@fisherphillips.com fisherphillips.com | 36 Lo Our attorneys can help you steer through the labor laws affecting the car business. Since 1943, we have been the labor lawyers of choice for automobile dealers. Fisher Phillips is dedicated to helping the members of the Louisiana Automobile Dealers Association with their labor and employment legal matters. We’re driven to help you succeed. 201 St. Charles Avenue, Suite 3710 | New Orleans, Louisiana 70170 Phone (504) 529-3834 • Fax (504) 529-3850 Timothy H. Scott tscott@fisherphillips.com fisherphillips.com 201 St. Charles Avenue | Suite 3710 | New Orleans, LA 70170 FISHER PHILLIPS LLP With almost 600 attorneys in 41 offices across the United States and Mexico, Fisher Phillips is an international labor and employment firm providing practical business solutions for employers’ workplace legal problems.
WE WANT TO HEAR FROM YOU! Lake Charles Toyota Supporting the SEAL Legacy Foundation Paretti Mazda of Covington Sponsoring Cancer Awareness of Louisiana (CALA) Holmes Honda Holding a Toy Donation Drive Giles Nissan Opelousas Hosting a Car Clinic with Hope for Opelousas Navarre Auto Group Sponsoring St. Louis baseball Throughout the year, we’re shining a light on the positive impact Louisiana auto dealers are making in their communities. From charitable contributions to community service, these stories showcase how local dealerships go above and beyond to support those around them. Through #LADealersDoGood, we aim to share these inspiring efforts and highlight the meaningful difference our dealers are making across the state. Share your stories with us by emailing cshahrdar@lada.org. HERE ARE JUST A FEW WAYS THAT LOUISIANA DEALERS ARE SUPPORTING THE COMMUNITY! 12
ENDORSED BY: IMPORTANCE OF PROMOTING “SEE SOMETHING, SAY SOMETHING” CULTURE A "See Something, Say Something" Culture is a simple and effective practice that significantly contributes to maintaining a safe working environment. This means that employees are encouraged to speak up and report any concerning behaviors, safety hazards, or potential issues they witness to ensure a safe work environment. Proactive reporting will help management address hazards that have the potential to cause critical injuries or significant property damage. During safety meetings management should encourage employees to report any hazards or unsafe conditions immediately. Encourage employees to take ownership by making corrections if they come across a hazard that can be fixed easily and safely. PROMOTING A CULTURE OF “SEE SOMETHING, SAY SOMETHING” Lead by Example: Encourage Open Discussions and Address Concerns Proactively - Be Fact Finding Not Fault Finding Implement Effective Reporting Systems: Make it Easy and Confidential for Employees to Report Concerns Provide Training: Educate Employees to Recognize and Report Safety Hazards, Misconduct, or Behavior Issues Effectively Commitment to Action: Make a Commitment to Investigating Reports and Address Hazards in a Timely Manner HAZARDS EMPLOYEES SHOULD REPORT TO MANAGEMENT Slip, Trip, and Fall Hazards (e.g., Spills, Blocked Walkways, Poor Housekeeping, etc.) Obstructed Emergency Exits Unstable Ladders or Step Stools Defective or Damaged Tools and Equipment Unusual Behavior by Fellow Employees Nonfunctioning Fire Suppression Equipment Missing or Damaged Personal Protective Equipment (PPE) ENCOURAGE EMPLOYEES TO: Clean Minor Spills Eliminate Tripping Hazards Remove Clutter from Walkways (e.g., Tools, Batteries, Boxes, etc.) Secure Loose Cables or Cords (e.g., Power and Extension Cords, etc.) Alert Management if Another Employee is Acting out of Character If your dealership has Safety & Health or OSHA questions, please feel free to contact Risk Management Services’ Loss Prevention Department at 1-800-351- RISK (7475) or by email: LossPrevention@RMSLA.com.
Is Your Customer King? BY JASON RASTI, EXECUTIVE VICE PRESIDENT, THE LDS GROUP M y first day on the sales floor at the age of 22 was probably like most. “Sit in this office, listen to Jackie Cooper tapes and DON’T SPEAK TO ANYONE!” In the days that followed, I was inundated with best practices from the veteran “closers” who were circling like hungry sharks waiting to take half of my first car deal! I received a lot of “advice” in the beginning, but one piece that stuck with me was the old cliché, “The customer is king.” We have all heard this, and many of us have used this in training, but what does this really mean? I think most of us would say it means, “Treat your customers like royalty, roll out the red carpet and make them feel special.” Simple, right? CHASING EXCELLENCE Although the fundamentals of our business remain the same, consumer expectations have certainly changed. Today, we live in a world of Amazon, DoorDash and Venmo. Consumers want purchases to be fast, right and easy. In short, they seek excellence. Although an automotive transaction is more complex and much more expensive than an Amazon purchase, excellence is now our standard. For decades, the automotive industry dictated how the consumer was going to purchase a vehicle. We were certainly slower than other industries to streamline our process. This is not easy, considering how complex our transactions are. However, not long ago, we saw the consumers push back on the traditional process and demand something different. We were forced to change, become more transparent, provide more information on our websites, and use electronic menus and digital retail solutions. Companies like Carvana and CarMax were born, touting a more consumer-friendly experience. COVID happened. The pendulum swung heavily back in our favor. Profits were high, the business was easy, and processes got sloppy! Today, inventory is back to full capacity, OEMs are chasing market share, and dealers are forced to hit their volume incentives. The consumer is going to control the process now more than ever before. Are you ready? LEVEL UP YOUR CUSTOMER EXPERIENCE The First Touch Has To Be First Class! Does your website represent your business well? Does it tell your story? Is it easy to navigate? Are you providing the consumer with the information they want? Who is the first 14
Although the fundamentals of our business remain the same, consumer expectations have certainly changed. person they speak with or text with at your dealership? How well are they trained? Is your customer having to start over when they get to the dealership? First impressions set the stage for where that consumer will choose to purchase their vehicle. Many will defect from this first touch, and you may never know. Is Every Transaction a BIG Deal? Selling new cars every day can desensitize us to how “special” this experience truly is to our consumers. For most of them, this is a once-in-every four- or five-year purchase. For many, the purchase of a new car is the second most expensive purchase they will ever make. We must treat each transaction as such and not allow complacency to kick in. It’s the Carpenter, Not the Tool! Desking software, CRMs and E-Menus are great tools, but only in the right hands! Let’s use these tools to become more efficient and deliver a great customer experience, not as a crutch or something we mandate our team use. Let’s take the time to teach our staff why they are using these tools, how they help them and get the buy-in. Making changes isn’t easy, especially when you have been successful in doing it a certain way. However, small changes can lead to big results! Experience has proven that the magic lies in the fundamentals and making sure your team is well-versed in them. It’s not necessarily found in the new tech platform. LDS HAS SOLUTIONS! Although we specialize in F&I training, requests from dealers for sales and sales management training have increased tremendously. In response, we have recently updated our training offerings and content to reflect what your customers demand today. The new training is innovative, flexible and can be deployed to dealership staff according to your preference — whether that’s in our state-of-the-art training facility, by virtual platforms or by LDS coming to you and providing in-store training. Let’s talk soon to see how we can help you make sure your customer is KING! 15
OSHA Increases Penalties for 2025 BY HAO NGUYEN, ESQ., SENIOR PRODUCT AND REGULATORY COUNSEL, COMPLYAUTO W orkplace violations just got a bit more expensive this year. The United States Department of Labor published its list of annual increases. Starting Jan. 16, OSHA’s maximum civil penalties increased for all workplace safety citations issued by the agency. This includes those employers who have a pending investigation with OSHA. These penalties will increase every year. The Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (that wasn’t a typo) was meant to improve the effectiveness of the civil monetary penalties and maintain its deterrent effect as inflation increases. Our friends at Fisher Phillips created this excellent graphic that summarizes the increase across all of the various categories of violations. The dealers located in states where there is a State Plan should be cognizant of the fact that your civil penalties may differ. IS THERE ANYTHING I SHOULD DO? Dealers across the country should remain vigilant about workplace safety (dare I say, near obsessive about it) and know their rights during an OSHA inspection. Furthermore, dealers need to understand what their options are before they either accept or contest a violation. If you have any questions, please feel free to reach out to us at info@complyauto.com. If you have more specific legal questions, you can reach out to Travis Vance of Fisher Phillips at tvance@fisherphillips.com. Hao Nguyen, senior product and regulatory counsel for ComplyAuto, has spent his entire legal career in the automotive industry providing legal support and counsel in all functions at the dealership — from sales operations and registration to environmental issues and vehicle advertising. His experience spans from working with lobbyists and stakeholders at the California New Car Dealers Association to dealerships and their staff at Auto Advisory Services. He also serves on the board of directors of the California Automotive Business Coalition. He now uses his knowledge and expertise to help dealers comply with their privacy, data protection, cybersecurity, OSHA/EPA, and sales and finance responsibilities. He is admitted to practice law in the state of California. This article was originally published by ComplyAuto and is reprinted with permission. 16
When you sign up for Put the Brakes on Litter, Keep Louisiana Beautiful will provide the following to participating dealerships free of charge: A roadside litter reduction campaign that is positive and inviting to your customers. A vertical banner and counter sign to display in your dealership showroom. Litter prevention kits for distribution to your customers at the time of vehicle purchase. Kits will include a car litter bag, litter prevention tips, and a coaster with the litter hotline number. A digital toolkit, including a press release template to announce your partnership, digital ads, social media graphics, and sample posts. Questions? Contact info@keeplouisianabeautiful.org. Visit keeplouisianabeautiful.org to learn more about litter prevention. With your help, we can clean up our roadways. Scan to Sign Up! Supplies Are Free! The Put the Brakes on Litter campaign from Keep Louisiana Beautiful offers your automobile dealership an opportunity to help reduce litter along our roadways. Sign Up For Free Today! Why put the brakes on litter? Over 143 million pieces of litter are on Louisiana’s roadways. Over 79% of roadside litter is from motorists. The litter problem costs Louisiana over $91 million each year. 92% of Louisianans believe litter is a problem where they live.
Understanding the buy-sell process is important for dealership owners considering their future — whether planning to sell or grow through acquisitions. A professional broker, often called a buy-sell advisor, can help dealers navigate this process, offering expert guidance at every stage. Their expertise can simplify the transaction and help ensure a smooth, successful closing. THE ROLE OF A BROKER IN THE DEALERSHIP MARKET Selling a dealership involves much more than finding a buyer. It’s a complex, multi-step process requiring preparation, negotiation and careful management to protect confidentiality while maximizing value. A broker’s engagement can make all the difference in guiding you through this journey, ensuring your interests are protected from start to finish. Clients should expect a hands-on, personalized approach focusing on each dealership owner’s specific needs. STEPS IN THE BUY-SELL PROCESS Here’s an overview of the key stages involved in selling a dealership and how a broker can support dealers through each one: 1. Preparation and Valuation: A smooth sale starts with a well-prepared business. Buy-sell advisors work closely with dealership owners to gather financial data, clean up operational issues and determine a market-driven valuation. This ensures the dealership is presented to potential buyers in the best possible light. 2. Confidentially Marketing the Dealership: Brokers craft a tailored marketing strategy to present the dealership confidentially to a select group of qualified buyers. Their outreach ensures that only serious parties gain access to your sensitive information. 3. Negotiations and Letter of Intent (LOI): Once offers are generated, the negotiations begin. A broker helps navigate these negotiations to ensure both parties agree on key terms, such as purchase price, long-term contracts and real estate considerations. The goal is to create a win-win situation for the seller and the buyer. 4. Due Diligence: After signing the LOI, the buyer conducts a thorough review of the dealership’s financials, contracts and operations. This phase requires careful management, but with experienced oversight from a buy-sell advisor, potential issues can be addressed promptly, keeping the deal on track. 5. Definitive Agreements and OEM Approval: The Definitive Purchase Agreements outline the deal’s final terms. Brokers play a proactive role in expediting this phase, interfacing with both attorneys, assisting with obtaining Original Equipment Manufacturer (OEM) approval — a critical step for all dealerships — and keeping the transaction moving toward closing. 6. Closing: During the final stage, brokers remain fully engaged to ensure all documents are in place and that any post-closing requirements are met. This hands-on approach keeps the momentum going, guiding the deal to a successful conclusion. Navigating the Dealership Buy-Sell Process How a Broker Can Guide You to a Successful Sale BY JAMIE FARLEY, PARTNER, MARK SHACKELFORD SR., PARTNER, AND MARK SHACKELFORD JR., PARTNER, PERFORMANCE BROKERAGE SERVICES 18
What will tomorrow look like? hubinternational.com Scan the QR code to learn more. It may not be what you expected. With HUB, you have a partner who is committed to supporting and protecting you, assisting to align business and personal goals to protect your profits and drive organizational vitality and resilience. Risk & Insurance | Employee Benefits | Retirement & Private Wealth David W. Alligood, Senior Vice President Office: 225-218-2410 david.alligood@hubinternational.com UNDERSTANDING YOUR CONCERNS: CONFIDENTIALITY, EMPLOYEES AND CUSTOMERS Selling a dealership often brings concerns about confidentiality, employee well-being and maintaining customer relationships. These priorities are addressed with the utmost care throughout the process: • Confidentiality: Selling a dealership requires high discretion to protect business interests and avoid disruptions. Strict confidentiality is maintained throughout the process, and the flow of information is carefully managed so that staff, competitors, customers and manufacturers are unaware of the sale until the appropriate time. • Employees: Owners often worry about what will happen to their employees after the sale. The focus is finding buyers who share a similar culture and value the existing team. Negotiation terms prioritize employee stability and retention, ensuring team members are treated fairly and have opportunities for continued growth. • Customers: Maintaining customer satisfaction and loyalty during a transition is another key concern. Buyers who are committed to delivering excellent service to existing customers are prioritized, preserving the relationships that have been built. The goal is to ensure a seamless transition with minimal disruption for customers. A LONG-TERM PARTNER IN THE PROCESS The value of a broker goes beyond simply brokering transactions. Experienced buy-sell advisors build lasting relationships with clients, supporting them through significant business decisions. With a focus on tailored advice and confidentiality, they help dealership owners successfully navigate the buy-sell process. Whether you are considering selling or expanding through acquisitions, partnering with the right broker makes all the difference. Jamie Farley is a partner leading business development for the Texas and Midwest regions at Performance Brokerage Services (PBS). Mark Shackelford Sr. and Mark Shackelford Jr., partners at PBS, handle all buy-sell advisory services for dealers across West Virginia, Kentucky, Ohio, Indiana and Michigan. With decades of experience, Mark Sr. and Mark Jr. provide invaluable insights and guidance to help dealership owners navigate successful transactions. PBS offers complimentary evaluations to assess your dealership’s value and market potential. Learn how our experienced team can help you navigate your next move with confidence by contacting Mark Shackelford Sr. at (330) 352-5651 or mark@performancebrokerageservices.com, or Mark Shackelford Jr. at (330) 634-3825 or markjr@performancebrokerageservices.com. 19
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Bridging the Gap Successfully Managing a Multi‑Generational Workforce For the first time in history, we have five generations in the workplace, which also means dealerships are juggling the interests, needs and communication styles of members whose ages span over a half-century. Each of these groups has been influenced by the socio-cultural events that took place during the formative years of their lifetimes, including how each generation views its financial needs, goals and communication preferences. A generation is defined as “a group of people born around the same time and raised around the same place. People in this birth cohort exhibit similar characteristics, preferences and values over their lifetimes.” This generational melting pot presents an interesting puzzle for both owners and management teams because a one-size-fits-all approach is no longer an effective way to engage all employees. In order for employees to be fully engaged and participate, more and more, the feedback is to communicate with them how they want to be communicated with. Generations have differences in the values, beliefs and opinions of different groups of people. While some believe strongly in the differences, others believe they are a myth. Those believing in the differences assert they are important to recognize and accommodate, especially in settings with multiple generations in today’s workforce. • Traditionalists value workplaces that are conservative and hierarchical and have a clear chain of command and top-down management. • Baby boomers value workplaces that have flat hierarchies, democratic cultures, humane values, equal opportunities and warm and friendly environments. • Generation X values workplaces that are positive, fun, efficient, fast-paced, flexible, informal and have access to leadership and information. • Millennials value workplaces that are collaborative, achievement-oriented, highly creative, positive, diverse, fun, flexible and continuously providing feedback. • Generation Z values workplaces that offer security, are competitive and offer independence where they can multi-task and communicate face-to-face in an entrepreneurial environment. They are digital natives who want to be catered to. Leaders need to be adaptable and willing to negotiate compromises to effectively serve all generations. While it may not always be possible to find a middle ground, making an effort can create significant positive change. It’s important to work on bridging the generation gap without exacerbating it. Achieving this requires thoughtful conversations conducted in good faith, as well as effective negotiation. Let’s examine where intergenerational conflict may arise and the potential consequences if leaders fail to establish an inclusive path forward. COMMUNICATION Setting expectations upfront can help avoid any confusion while reaching business goals. • Set clear guidelines and expectations for communication channels and response times. • Offer training on effective communication strategies for leaders, focusing on bridging generational gaps. • Promote collaboration and communication across generations through group projects that develop intergenerational skills. • Provide cheat sheets during onboarding that include team communication preferences. Add personal details (pets, hobbies, etc.) to facilitate quicker interpersonal connections. • Train employees on scheduling emails for later to respect communication preferences, and not pressure them to respond outside of regular business hours, even if their colleagues are working during those times. THE WORK/LIFE BALANCE Different generations have unique expectations regarding work hours, flexibility and time off. However, preventing burnout is crucial for all age groups. Research indicates that an imbalance between work and personal life greatly contributes to burnout, leading to higher turnover rates and lower job satisfaction. To enhance work/life balance across generations 21
while maintaining high productivity and morale, consider the following strategies: • Provide flexible work arrangements, including options for hybrid, remote or adjustable schedules. • Encourage employees to prioritize self-care and well-being by implementing wellness initiatives. • Establish policies and guidelines that encourage work/life balance and clearly define expectations for all employees. • Offer resources and support for effectively managing stress and achieving a healthy work-life balance. EMBRACING TECHNOLOGY Different rates of technology adoption can hinder team collaboration and engagement. Training and effective communication are essential to bridge the gap between these varying adoption rates. Consider the following steps to help your employees embrace technology: • Implement training programs to enhance digital skills across all generations, including opportunities for cross-skilling. • Foster a culture of questioning where individuals from any generation feel comfortable raising their hand and saying something like, “I’m having difficulty understanding the new process. I know I’ve asked before, but could someone please help me?” • Develop a technology adoption roadmap that includes ongoing support and clearly outlines training expectations. • Engage employees in the decision-making process and address their concerns about changes in technology. BENEFIT OFFERINGS Each generation requires different benefits, however, it’s crucial not to make assumptions based solely on someone’s birth year. Instead, employers should ask employees about their specific needs and then offer them a range of options. This can make a huge difference in employee retention. Additionally, providing a wide variety of choices and benefits can distinguish employers in the competitive job market, helping them resonate with and attract talent from all generations. Failing to provide complete information about benefits or not communicating them clearly can hinder your ability to attract new talent. Job postings that explicitly mention various benefits, such as workplace wellness programs and flexible work arrangements, tend to receive significantly higher engagement rates from job seekers compared to postings that do not include these details. To enhance benefit participation, consider the following: • Regularly assess and revise benefit offerings to reflect changing demographics and incorporate employee feedback. • Clearly communicate the value and purpose of each benefit to ensure transparency and understanding. • Consider cafeteria-style benefit plans where employees can select the benefits that suit them best. • Ask the right questions to avoid overpaying for unnecessary benefits. For example, while some employees may express a desire for fully remote work, you might find that, upon further inquiry, they are actually comfortable coming into the office two days a week. CONCLUSION To maintain an up-to-date understanding of your workforce, establish feedback channels throughout the employee experience. Consider conducting stay interviews to gain insight into why employees choose to remain with the company and why others leave, rather than waiting for exit interviews after someone has departed. By approaching it this way, you can gather valuable insights that may influence your workplace strategy, lead to changes in policies and benefits, and help shape your plans for attracting and retaining talent. Remember, work cultures are dynamic and must evolve alongside your workforce. The suggestions in this article are not one-time fixes; instead, they offer ways to collaborate with your employees to find timely solutions tailored to your team’s needs. As you adapt and are transparent about your actions, the strategies you implement can go a long way in helping your business’s growth and success. After all, happy employees lead to happy customers. And isn’t that what selling cars is all about? DID YOU KNOW? Enjoy your association news anytime, anywhere. Scan the QR code to visit our online publication to stay up to date on the latest association news, share articles and read past issues. up-to-speed.thenewslinkgroup.org 22
Advocating for today, shaping tomorrow, & honoring tradition. Join LADA for this two-day event, now featuring the LADA Annual Meeting of the Membership. Network with fellow dealers and industry leaders in the heart of Louisiana’s decision-making hub, and gain exclusive insights into legislative updates and association milestones. MAY 12-13 | Baton Rouge LADA Annual Meeting & Dealer Day at the Capitol REGISTER NOW AT WWW.LADA.ORG 23
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