When equipment dealers get a tougher deal done for a customer it’s a pretty great thing. You’ve helped a customer in a challenging circumstance get the equipment they desperately needed and built the road for a long term relationship. But far too often, dealers pass on tougher deals because it’s too much work and they don’t have a consistent funding source that can deliver the goods.
That’s just silly.
Dealers have to be able to accommodate a wide variety of credit circumstances, not just the easy application only customers. So when a tougher credit with a story walks into the office, what should you look for in a “challenged credit” lender? Here are 5 recommendations for success:
- Taking the work of the tougher deal off your desk. Working these deals can take time. They can require more documentation and a deeper look at business issues. A real professional, transparent system that gets the job done while freeing you up to help the next customer.
- Getting the story behind the application. To effectively underwrite and close challenged credits for dealers, the lender must make an investment in your story of your customer, before investing in the equipment of their business. The dedication to speak to the customer behind every opportunity is critical to success.
- No 2nd class citizens. Just because a business owner has had a few credit challenges, doesn’t mean they should feel judged, put down or in any way inferior. Most people and businesses have had a few bumps in the road, so freeing the owner of that derogatory feeling should be a staple of how a challenged credit lender goes to market.
- Leverage the assets. A great challenged credit lender can leverage a customer’s asset base to quickly get the deal done in some really challenging circumstances.
- Trust & Transparency. Dealers have to know that upon introducing their customer, their valued relationship will be protected, they will always know where things stand in the process and that they can trust the lender to deliver results in a way that enhances the customer experience.
Dakota Financial: Your most challenging deals…done.
We make the challenged-credit deal…not-so-challenging. In fact, we give you direct access to our experts as an extension of your team to help work with the customer, dig deep for the story/assets and create a solution. If you ever want to talk about a deal with strong assets and weak “everything else”, give us a call.