.jpg)
There's a good reason why sales pros in the automotive industry begin many sales conversations on the topic of financing—it just works. Solid financing empowers buyers.
And there's absolutely no reason why heavy equipment, commercial trailer, or semi-truck sales professionals shouldn't either—even if you don't have a financing source in mind (more on that a bit later).
Let's look at eight ways to use financing to leverage sales.
1. Initiate the Finance Talk Early
A buyer with increased buying power will buy more—and financing gives buyers confidence. According to a Business Wire study, 76% of buyers are more likely to buy if the seller brings up financing!
Lead the sales conversation about financing and you'll wind up with a more eager and empowered buyer.
2. Use "The 3 Questions" to Steer the Financing Conversation
Equip your sales team with these pivotal questions to smoothen their sales process:
- "Do you intend to finance this purchase?" — which can plant the seed of financing.
- "What's the expected equipment usage duration?" — sets the tone for usage/payment periods.
- "What do you do with old equipment when replacing it?" — a good way to gauge the need for fair market value financing.
3. Showcase Financing on Every Listing
Ensure every customer knows financing is an option right out of the gate. Stick an estimated monthly rate on the listing. Put it on every quote. This helps the buyer to further consider their budget in terms of monthly payments.
4. Know Your 36-month Rate Factor Inside & Out
Top sales reps are adept at providing rough monthly payment estimates even during initial discussions. It’s a valuable skill and a powerful tool to gauge customer readiness and eagerness.
5. Prioritize Monthly Payments Over Equipment Cost
Industries with high financing ratios often lead with monthly rates instead of the total price. And many equipment buyers already budget in terms of months or quarters. Because many business expenses function this way, this has the added benefit of simplifying budgeting an equipment purchase for buyers.
6. Seal the Commitment with a Credit Application
Encouraging a credit application solidifies the customer's commitment. Use an assumption of a good rate to motivate them to apply for financing and further their buying journey.
7. Anticipate Credit Issues with One Question
To avoid unpleasant financing surprises, ask clients directly: "Are there any financial history irregularities I should highlight to the finance company?" This can help members of your sales team soften the blow of potentially expensive rates for customers based on bad credit histories.
8. Assist with Financials for High-Stake Deals
Remove the unease of asking for financial statements. Offer to handle follow-ups related to credit info, making financing one less thing for them to worry about.
"But I don't have a source of buyer financing. How can I do all of this?"
Let Lenco Capital Simplify Your Financing Journey
Take the next step in maximizing your equipment sales. Discover how Lenco Capital’s innovative financing technology can transform your business strategies.