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Moreover, as they grow, these large dealerships may also face scrutiny regarding their business practices and customer transparency. Regulatory bodies are keen to ensure that consumers are protected against potential pitfalls associated with used cars, such as hidden damages or undisclosed history. As a response, many big used car dealers have adopted stricter standards and enhanced disclosures to maintain their reputations and adhere to legal requirements.


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A special purpose vehicle is a subsidiary company created by a parent company to undertake specific projects or transactions. SPVs can be used for a variety of reasons, including asset securitization, risk management, or to circumvent regulatory hurdles. The fundamental premise behind SPVs is that they allow the parent company to isolate financial risk, ensuring that any liabilities remain confined to the SPV and do not affect the parent company's balance sheet.


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