ECSH51575 - Factors to consider when visiting a High Value Dealer

As the High Value Dealer (HVD) sector is made up of 12 sub-sectors trading in different types of goods, visits to these businesses will differ significantly.  

 

Type of goods

The range of goods traded by HVDs cover a broad spectrum and you will encounter many different types of trading premises.  Some HVDs deal in very expensive goods such as jewellery, luxury cars and boats and trade from up-market shops and showrooms.  At the other end of the scale, you could be called to visit a dealer in scrap metal, industrial machinery, alcohol wholesale, poultry farms or second-hand trucks operating from a scrapyard.

 

Operating times

The operating times for HVDs vary based on the business in question. Shops normally trade during retail hours; however, car auctions may operate once a month. Livestock and antiques auctions may trade at weekends or monthly. 

 

Customer base

HVDs customers, who are paying in cash, can be individuals who reside inside or outside of the UK. Within the UK there may be premier league footballers, entrepreneurs, collectors or wealthy individuals buying watches in cash. The travelling community also make payments in cash but typically will have no fixed address.

 

Types of records

The material you will see will depend on the type of business. The majority of HVDs will be VAT registered and need to keep business records, such as copies of invoices, a cash book, import and export documents, orders and delivery notes, purchase and sales books and records of daily takings such as till rolls. Most will operate computerised accounts.