A dealer owned warranty company (D.O.W.C.) is a domestic warranty company owned by the dealer principal, with day-to-day operations handled by your provider.
The owner(s) control the program branding and select which F&I products are offered in their stores. The dealer has total visibility into all investments and transactions. A DOWC is taxed as an insurance company under federal tax laws, leading to significant tax efficiencies.
Dealer reserves, consumer contract coverages, and marketing materials, as well as the company name, and state of incorporation are some of the options managed by DOWC ownership.
A DOWC program offers tax deferral advantages of a non-controlled foreign corporation (NCFC) and the cash flow benefits of a controlled foreign corporation (CFC)
Underwriting profits and investment income are retained solely by the dealer owned warranty company.
With less restrictive investment allocations than traditional dealer participation programs, a Protective DOWC program offers the potential of a significantly higher risk-adjusted return on equity and assets.
Flexibility to receive current income or long-term capital appreciation.
The dealer is not the contractual obligor of service contracts.
EXPONENTIAL WEALTH POTENTIAL
Our Dealer Owned Warranty Company (DOWC) solutions lead the industry with the best in dealer controls, management, and more wealth-building potential...ever.
In a recent comparison between CFC and DOWC, one of our long-time Dealer Customers saw an increase of 148%.
Significant tax efficiencies without additional fees
Call the shots and know where every dollar is every day
Optimize income without being the contractual obligor
Exclusive, proprietary software and processes that enable us to track every dollar for every contract, for total transparency
WE KNOW YOU ARE IN A RELATIONSHIP.
WE ALSO KNOW IT'S WORTH WEIGHING THAT RELATIONSHIP WITH MISSING OUT ON MILLIONS!
Additional information to focus our conversation.
Required fields to get started.