James Frizelle’s Automotive Group founder recalls humble start in Sydney 50 years ago
THE founder of James Frizelle’s Automotive Group recalls his humble start in Sydney more than 50 years ago and talks expansion of the family business here on the Gold Coast.
Gold Coast
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GOLD Coast car dealership mogul James Frizelle admits when he started a two-bay Chrysler showroom in 1965 he “didn’t have a clue” about motor sales.
At the time, the-then junior mechanic had to borrow several thousand from his father and an uncle to do the deal.
“I started selling cars and I didn’t have a clue, hadn’t sold cars before,” he says of his beginnings in Sydney.
Fast forward 52 years and the vehicle dealership giant which bears his name — James Frizelle’s Automotive Group — is one of the Gold Coast’s and state’s most well-known firms.
Selling 15,000 new and second-hand cars annually with a growing footprint, it has also recently become part of one of the biggest private dealerships in the country.
NSW-based Peter Warren Automotive Group and investor Quadrant Private Equity have combined with Frizelle’s group to form a behemoth that will generate about $1.5 billion in annual revenues.
Not bad for a guy who says he pulled the pin on his Chrysler showroom and its associated Marshall Batteries depot in the late 1970s with little interest in ever returning to car sales.
At that stage he started small property developments, mainly some shops, with his brother in Burleigh Heads after a move to the Gold Coast.
“I didn’t intend to get back into the motor trade. I was happy with property,” he said, sitting at his desk in his Nind Street, Southport office.
Since the big merger deal two months ago, Mr Frizelle and his team are now solely responsible for overseeing the property side of the group, with all the dealership sites leased back to the new entity.
In essence, Peter Warren Automotive Group and Quadrant bought James Frizelle’s Automotive Group with Mr Frizelle’s son Brett and his wife Rebecca reinvesting substantially back into the new entity.
As James sums it up: “It was an offer too good to refuse and about time I retired. Personally, I went from 700 staff to seven. We just look after the properties, some that aren’t with the deal and others we leased out to them. We are landlord to the properties the group has purchased.
“I wouldn’t have done it unless they could take over all our staff, which they have.”
After his initial Chrysler foray in the 1960s and ’70s, he didn’t return to the car trade until 1985 aged in his 50s when he took on a Southport Mazda dealership at the corner of Nind St and Gold Coast Highway.
During the next three decades, the James Frizelle’s Automotive Group grew to six sites representing 11 motor vehicle brands across south east Queensland and northern NSW.
“I never would have believed it,” he said.
Looking back, he credits the success to having good staff, caring about them and the manufacturers plus ensuring a focus on customer service.
“I have got out at a great time. I’m not a youngster. It gives me time to relax. I’ve been a bit of a workaholic, not so much to make money but keep the whole thing under control,” he said.
He plans to have more time for boating on his new Riviera 54-footer but is excited about launching Frizelle’s ambitious new site at Gaven next month, a giant 6000sq m dealership and service centre for Isuzu trucks.
He estimates it’s a $45m development: “I probably had to have decent-sized whatsits to take on some of the punts I’ve done.”
The late Peter Warren’s Sydney-based son Paul will lead the new entity, with Brett on the board.
Brett said with 32 years of history as a family business, Frizelle’s made sure it chose the right partner and believes the two firms have very similar values.
The foundation of the merger was laid in September last year when Paul — who the Frizelles already knew well — came to the Gold Coast and met with Brett, Rebecca and James at the Audi Centre in Southport.
“We didn’t go for a big lunch, we just sat in here and had sandwiches. And one day we lent across the table and we shook hands,” Paul said.
“James, like my father was, is very straight, word is your bond. I saw him the other day and he said I don’t want to get too much in your road but I want you guys to do well — and he looked at me and meant every word of that.”
FRIZELLE’S IN SHORT
1965: James Frizelle starts with two-bay Chrysler showroom.
Late 1970s: Quits it, moves to Gold Coast.
1985: Re-enters car game buying Southport Mazda yard.
July, 2017: Six-site James Frizelle’s Automotive Group merger
with Peter Warren Automotive Group.