KTIV NewsChannel 4 Sioux City IA: News, Weather and SportsSchuelke sells last new car as Chrysler dealer

Schuelke sells last new car as Chrysler dealer

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STORM LAKE, Iowa (KTIV) -  One of the five northwest Iowa dealers losing its franchise is Schuelke Auto Company, in Storm Lake, Iowa. Schuelke had to sell their new Chrysler vehicles by Tuesday in order to get paid incentives by the company.

At Schuelke Auto Company in Storm Lake Iowa there's many cars to choose from, except new products made by Chrysler.

"It is a good time to buy I hate to buy under these circumstances," said Customer Steve Berg of Storm Lake, Iowa.

Berg is the last customer to purchase a new vehicle at Schulke while they still operated under their Chrysler Franchise.

"It was just a timing thing we needed a new vehicle," said Berg.

"After today (Tuesday) we couldn't sell it to anybody else because we would lose our incentives. Chrysler would not pay us so that's the reason for the deadline," said Dealer/Owner Scott Schuelke.

Although the last three Chryslers Schuelke has sold have gone to retail customers, area dealers are also buying from his lot helping reduce inventory.

"The other side of the coin is that we're going forward with business, we're going to be an independent used car dealer. We're keeping the shop open and we're going to service our customers just like we have for 78-years," said Schuelke.

Schuelke says they may look into another franchise some day.

Schuelke is one of five northwest Iowa dealers losing their franchise.

The others include Motor Inn of Estherville, Motor Inn of Le Mars, McCormick Motors of Ida Grove and Ken Krause Motors in Emmetsburg.

A Chrysler dealership, in Spencer, Iowa, who didn't lose their franchise agreement bought three vehicles off of Schuelke's lot.

Business partners at Asher Motor Company say it's a "win-win situation" for them, and Schuelke.

For Asher, it helps them fill in their product line, and for Schuelke, it's an opportunity to sell inventory so they don't lose money on the new vehicles.

Bottom line those at Asher say they wanted to help in any way they could.

"We wanted to do what we could to help and we thought by taking some cars off his hands it would," said Co-Owner Clinton Jones.

"We did buy three from Schuelke, we bought three more from another dealer, and it was to help us fill in product, but to help them also," said Co-Owner Ken Kahley.

Kahley says they've bought cars from around the state in order to help out other dealers, as well.