How Vendor Financing Works
Statistics tell us that the vast majority of your clients finance their equipment purchases. Whether they turn to a bank, a lease, or secure an alternative funding source, your clients are interested in learning about financing options for your equipment. Therefore, addressing these financing needs early and often in your sales process eliminates one obstacle to close a sale.
Equipment vendors who have not yet incorporated a monthly payment option into their daily sales routines may be leaving deals on the table. Regardless of whether or not they ask you, your clients are interested in equipment financing options. If you are not addressing your clients' financing needs on every deal, perhaps your competition is?
We will customize our financing options to accommodate your sales process & cycle. First Star can provide:
- Variety of terms and programs
- Extended credit lines for customers allowing them to increase their orders size
- Equipment upgrade flexibility
- Online and offline transaction processing
- Joint marketing & private label programs
- 1 page "application only" programs up to $50,000 - $100,000 with same day approvals
- Streamlined and concise documentation
- Prompt funding
Our existing vendor partners have reported annual sales growth of 30% - 50% due to the funding relationship with First Star. Successful vendor relationships are based on a thorough understanding of business processes, needs, and goals. Your First Star account manager will invest the time to understand your product and typical sales process in addition to your customers needs.
Did you know? According to the U.S. Small Business Administration (SBA):
- 85% of all companies lease some or all of their equipment
- 89% of those companies will lease equipment again in the future
- 75% of all companies that lease indicate that leasing is their average-to-best means for financing equipment purchases
According to the U.S. Department of Commerce:
- $800 Billion will be spent this year on equipment acquisitions
- $560 Billion (70%) will be acquired with financing
- $264 Billion (33%) of the financing will be done via leasing
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