The Truth About Financing

posted by Dusty Kelchen on Wednesday, July 27, 2016 in Specialty Markets Group

As common as financing is today, it's surprising there are still industries, organizations, and sales professionals who don’t routinely offer financing to sell their products and services.  While financing adds a short step in the sales process, there are sales reps who always lead with a monthly payment option to achieve their goals. If you aren’t offering this option to your customer, here’s a list of truths that may help you reconsider.

TRUTH #1:  NOT EVERYONE PAYS CASH

Those who currently buy from you may pay cash, but what about those who don’t buy from you?  The truth is that 72%* of all equipment purchases in the US are financed.  If you’re not incorporating financing, you’re missing out on sales opportunities.

TRUTH #2: THE BEST SALES PEOPLE SELL SOLUTIONS, NOT PRODUCTS

In today’s competitive market, it’s not enough to have the best product. The best sales professionals sell solutions, not products. A complete solution offers ease and affordability to the customer. If you don’t offer a complete solution, your competition will!

TRUTH #3:  YOUR CUSTOMERS WANT TO KNOW THE MONTHLY PAYMENT

When your customers need new or updated equipment, software, or technology, they understand they must pay for it. They expect a monthly payment quoted during the sales proposal.  If your customers have to ask about monthly payments, the only person embarrassed might be you.

TRUTH #4:   FINANCING IMPROVES CUSTOMER PERCEPTION         

Customers perceive sales representatives that offer financing as more professional, and companies with finance programs as more financially stable than those that do not offer financing. When you offer financing, it tells your customers you are providing a complete solution.

TRUTH #5   NOT ALL FINANCING COMPANIES ARE THE SAME

To have an effective financing program it’s important you have the right partner. And while all finance companies fund deals, only the best help you sell.  Your finance partner should be an extension of your sales team to ensure an easy process, flexible terms, and readily available customer service.

To learn more about how an effective financing program can help you and your sales team, Contact Us at 800.234.8787 or visit our website: GreatAmerica Specialty Markets Group.

 

*Source: 2015 Equipment Leasing and Finance Association’s U.S. Equipment Finance Market Study

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About The Author

Dusty Kelchen is the Director of Strategic Marketing for the Speciality Markets Group at GreatAmerica Financial Services located in Cedar Rapids, Iowa.  Dusty is responsible for building brand awareness within the light industrial/construction equipment and business software solutions markets. Prior to joining GreatAmerica, Dusty worked in the publishing industry as a marketing manager focused on product development and targeted delivery strategies. Dusty has 13 years experience in the marketing field and a marketing degree from the University of Iowa's Tippie College Business.

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