SOURCE: Sparta Commercial Services, Inc.

December 02, 2010 09:30 ET

Cyclechex and IronPlanet Online Auctions Form Strategic Alliance

NEW YORK, NY--(Marketwire - December 2, 2010) - Sparta Commercial Services, Inc. (OTCBB: SRCO) and its wholly owned subsidiary Specialty Reports, Inc. DBA Cyclechex, the first and only exclusive provider of online motorcycle history reports, today announced that it has entered into an agreement with IronPlanet, an online marketplace for used equipment and vehicles, to provide active mutual support for each other's websites and business activities.

Cyclechex is the initial online product offering from Specialty Reports, Inc., a wholly-owned subsidiary of Sparta Commercial Services, Inc., the New York-based financial services company dedicated to the powersports industry. IronPlanet is one of the world's leading online auction companies for used construction and agricultural equipment. Recently, IronPlanet added a range of automobiles, powersports and motorcycles to their online marketplace. For auction items, IronPlanet already provides detailed inspection reports and IronClad Assurance, IronPlanet's guarantee that the inspection report is an accurate representation of the item's condition. Management at both IronPlanet and Cyclechex believe that the addition of Cyclechex Motorcycle History Reports for the motorcycle segment of the auction website will enable buyers to bid with an even higher level of confidence.

Commenting on the new relationship, Anthony Havens, CEO of both Sparta and Specialty Reports, said, "Our arrangement with IronPlanet is exactly what Cyclechex is looking for as we reach out to an increasing variety of companies who are quickly recognizing the value of a Cyclechex history report as a true enhancement to their sales activities. Most important to us at Cyclechex is the fact that our product is generating a great deal of attention in the powersports marketplace, and in virtually every related segment of the industry."

About Sparta Commercial Services, Inc.
Sparta Commercial Services, Inc. (OTCBB: SRCO) is a New York-based, nationwide financial services company offering financing and leasing products to consumers and retail powersports dealers. Sparta also specializes in the financing of essential equipment and services for the law enforcement and emergency response communities serving municipal and governmental agencies nationwide with our Municipal Leasing Product. Additionally, through Specialty Reports, Inc., a Sparta subsidiary, the company owns and operates Cyclechex, the first and only source exclusively for Motorcycle History Reports in the powersports industry. The Cyclechex Motorcycle History Reports appeal to consumers, retail dealers, lenders, auction houses, and insurance carriers.

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements are valid only as of today and we disclaim any obligation to update this information. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, risks related to potential future losses, obtaining, satisfying terms of, and amount of credit lines, competition, financing and commercial agreements and strategic alliances, seasonality, potential fluctuations in operating results and rate of growth, management of potential growth, system interruption, consumer and industry trends, limited operating history, and government regulation. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company or any other person that the objectives and plans of the Company will be achieved. Further information regarding these and other risks is described from time to time in the Company's filings with the SEC, which are available on its website at: http://www.sec.gov

Contact Information

  • Contact:

    Dick Trotter
    COO
    Sparta Commercial Services, Inc.
    (212) 239-2666