You invest a lot of time and resources into building a high performing sales team. Chances are, no one understands your customers’ situation and buyer journey better than your sales manager. Yet, changes in the marketplace and buying habits have occurred over the past few years that have some companies lowering their sales forecasts as customers struggle with inflation, workforce stability and supply chain issues to name a few. Others are increasing sales numbers thanks to increased pricing on scarce products and/or customers’ shifting needs.
Either way, sales teams are navigating tricky times. By offering in-house financing through a partnership with a trusted lender, you cannot only better support your team in meeting sales quotas, but also be more attractive to buyers in all credit tiers.
Why are Buyers Turning Toward Vendor Financing?
Traditional lending and financing sources (banks) cater to excellent and good credit applicants, leaving lower tier borrowers empty handed. Should a customer qualify for traditional financing, banks require a lot of paperwork and time to move an application from submission to approval and funding. In today’s fast-paced business environment, time is a luxury that few business owners have. With vendor financing, you can offer your customers more flexibility, especially when you work with a lending partner committed to helping your sales team close sales, like Global Financial & Leasing Services, LLC (GFLS).
Also, vendor financing allows your customers to finance a higher priced piece of equipment rather than settle for a lower priced alternative to stay within an amount for which they know they can get approved by a bank. This is a win-win for your sales team because a higher sales price results in a higher revenue per sale and your customers since they gain the equipment best suited for their needs.
Should a customer decide to finance an equipment lease, there is the potential for tax benefits through Section 179.
Why are Companies Turning Toward Vendor Financing to Increase Sales?
In-house financing through a reliable, trusted partner is a sales conversation starter, as well as a way to continue negotiations. If your sales team has a difficult time selling equipment at sticker price, an in-house financing program opens the door to discussing what monthly payment is affordable.
It’s critical to your financing program’s success to partner with a lender who gives you control over how your customers’ purchases are financed. Global Financial & Leasing Services (GFLS) will tailor a financing program that works for you and your customers—one that includes all credit tiers, allowing you to offer a complete solution, which not only attracts buyers, but also helps retain them.
As we mentioned above, few of your customers want to waste time shopping around for essential business equipment. By having a financing program in place with a lender who is committed to quick turnarounds, your customers’ applications will be handled quickly. For us, that means two to 24 hours.
Talk to our team about how the right financing program can help support your sales team. GFLS works with you as a primary or secondary financing partner. Our strong connections to publicly traded financial institutions means you can expand your target customers from “A-type” credit applicant’s to “B-type” and “C-type” credit and startups. In the end, your sales reps can focus on closing sales, not finding financial solutions.
Submit an Equipment Vendor application today. If you have questions, contact our team for answers.