Being an equipment dealer means exploring financial options to secure ongoing profitability and lasting success for your dealership. Smart financial planning can significantly impact your dealership’s success.
We recommend these practical financial strategies to improve your fiscal approach so you can close deals and grow profits.
1. Master Your Financial Metrics
Knowing your numbers inside out is essential. Regularly analyze cash flow, profit margins, and inventory turnover. These insights empower you to make informed decisions, pinpoint improvement areas, and spot growth opportunities. Dealership metrics you should always monitor include but aren’t limited to:
- Inventory turnover
- Inventory value
- Conversion rate
- Pre-owned to new equipment sales ratios
- Reconditioning time of pre-owned equipment
The more you know about your financial metrics, the more information you have to make financial decisions that promote profitability and success.
2. Pay Attention to Your Inventory
Maintain a balanced inventory mix. Identify high-demand equipment, keep those stocked, and avoid excess inventory of slower-moving items. Efficient inventory management minimizes storage costs and maximizes sales potential.
Spend less time counting what you have and more time making deals that drive business. Invest in technology to streamline operations. Implement inventory management software, CRM systems, and digital tools to boost your management efficiency. Automation reduces errors and frees up time for strategic business decisions.
3. Evaluate Financing Options Carefully
Look beyond dealership industry standards when evaluating financing. Seek flexibility in repayment terms, consider prepayment options, and assess the overall long-term value from financing partners that offer comprehensive financing services.
This is where Equify Financial comes in. As a trusted financing provider, we offer tailored solutions and support for dealers and their customers.
4. Prioritize Exceptional Customer Service
Outstanding customer service builds loyalty and generates referrals. Your dealership should deliver knowledgeable, responsive, personalized service to every customer on every transaction. Taking the extra time to provide exceptional service creates repeat business and attracts new business when your customers talk to all their friends about how well you treated them.
Part of providing an extraordinary experience is the ability to offer customers equipment financing that fits their needs. Equify Financial helps dealers all over the nation secure sales by offering:
- Competitive rates
- Flexible terms
- Easy documentation
- Same-day funding in some cases
- Application-only processes for loans up to $500,000
- Quick credit decisions
Are you ready to create a lasting partnership that gives you the support you need to build a successful equipment dealership?
5. Partner With a Lender That Offers More
One of the best steps you can take to help your dealership succeed is partnering with Equify Financial. Our representatives understand the industries your dealership serves and the financial strategies your customers need to finance the growth of their businesses.
Equify Financial is committed to supporting your dealership’s financial goals. Find your local dealer rep today to create a partnership that gives customized financing solutions that complement your financial planning strategies. Let’s build a successful future together.