|
Vendor finance in Canada. It's of course the financial term for providing or assisting your customers with a financing program that allows them to purchase your products and services without many concerns arising such as budgets, total overall cost, cash flow depletion , etc. It's our version of taking you ' BEHIND FRENEMY LINES ', as those issues can make our break your sales goals and competitive success. Let's dig in. We are always reminding our clients that in order to provide effective customer financing you need not be a finance firm yourself. You just need to align yourself with a partner that will do all the work for your firm, and that's not a bad thing. In reality this method of customer financing exists everyday. Major retailers use credit card and finance companies to allow you to charge their product, car makers practically invented the model with the low down payment and fixed cost obligation of acquiring a car instead of writing a cheque for one. So why shouldn't your firm be the one participating in all this sales and revenue success? One of the key basics of a client finance program is that it takes your clients mind off the ball - and that ball is of course PRICE/COST of your products or services. You're often no longer debating clients on margins, total acquisition costs, etc - you're instead offering them with a simple method of acquisition that removes some of that OBSTACLES TO INNOVATION we mentioned - i.e. Sticker shock of total of cost, price, budget timing, cash flow, etc. Very few firms in Canada have the combination of financial wherewithal and skills to start their own internal client finance program. The capital and skill required in this industry make it a business for specialists only. So while your firm could benefit from increased profits of financing your products the technical expertise, management focus, etc required to run this business make it one for no participation from lightweights! Bottom line, leaves it to the experts, but still reap all the benefits of increased sales, profits and cash flow. A client financing program simply allows your sales team to close transactions quickly and remove client objections when it comes to price, timing of delivery, competitor issues, etc. If your competitors already offer customer financing you're behind the 8 ball already and didn't even know it - if they don't you're suddenly the front runner! Stan Prokop - founder of 7 Park Avenue Financial – http://www.7parkavenuefinancial.com Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 10 years - has completed in excess of 80 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing. Info re: Canadian business financing & contact details : http://www.7parkavenuefinancial.com/vendor-finance-customer-financing-program.html
Related Articles -
vendor finance, financing program,
|
