7 Questions to Ask Before Choosing a Finance Company Blog Feature

By: GreatAmerica on July 14th, 2022


7 Questions to Ask Before Choosing a Finance Company

Updated 7/14/22. Originally published 1/28/2018

The most productive and beneficial business relationships are ones where both parties work together in concert for mutual success. Good relationships and collaboration with vendors allow you to focus on your core competencies and scale faster. According to a McKinsey & Company survey including more than 100 large global companies on supplier collaboration practices, the companies with advanced collaboration capabilities had EBIT (Earnings Before Interest & Tax) growth rates that were double that of their peers. 
 

Businesses who view vendors as partners, rather than a necessary operational factor, find these vendor relationships can serve as a strategic competitive advantage.  Strong partnerships throughout your business provide a higher quality experience for both parties. As this Inc. Magazine article notes, you must have, “long-term customers and good vendor relationships that will carry you through challenging times or tight deadlines…”  This idea applies to almost all industries. 

 

Think About your Goals Before Looking for a Finance Company 

You have a critical strategic decision to make when choosing a finance company; no two finance companies are alike. Think about the way you go to market and what your long-term goals are… do they align with the finance companies you’re considering?  Perhaps you’re looking to improve your current customer relationships and, as a result, looking for a finance company with excellent customer service. Maybe you are focused on increasing the enterprise value of your company and need recurring revenue, so a finance company with innovative programs and back-end expertise might be most important for you. 

RELATED: Use Technology Integrations to Level Up Your Billing & Invoicing 

No matter what your go-to-market strategy might be, ask questions that are going to determine if a finance company can align with your goals to determine if they are the right fit for your business. 

 

Here are 7 questions you should ask before choosing a finance partner:  

  1. Does your finance partner provide lease expectations in writing to avoid unwanted surprises?
  2. Can you reach a knowledgeable employee from your finance partner with ease?
  3. Are you confident your finance partner will help you quickly resolve any issues?
  4. Does your finance partner understand that the lessee is ultimately YOUR customer?
  5. Does your finance partner offer innovative products and programs, showing commitment to your long-term success?
  6. Does your finance partner speak "flexibility" or "independent decision making?"
  7. Does your finance partner represent your brand well? 

Use these questions to help determine which finance company is the right fit for you. A long-term relationship with a like-minded partner will help grow your business with confidence.  

 

Evaluate Prospective Leasing Providers with our Lease & Program Review Checklist: 

Ready to take a closer look at your current programs to ensure you’ve selected the right financing provider? Download our Lease & Program Review Checklist. You’ll find a list of items you should watch out for when it comes to your lease agreement and program as a whole. 

Thumbnail - Lease and Program Review Checklist 052621Download Now

GreatAmerica

GreatAmerica is the largest independent, family-owned national commercial equipment finance company in the U.S. and is dedicated to helping manufacturers, vendors, and dealers be more successful and keep their customers for a lifetime. A $2.4 Billion company, GreatAmerica was established in Cedar Rapids, Iowa in 1992 and has a staff of over 600 employees with offices in Iowa, Georgia, Minnesota, and Illinois. In addition to financing, GreatAmerica offers innovative non-financial services to help our customers grow. www.greatamerica.com

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