In the world of consumer financing, no matter what we’re buying or selling, knowledge is power and there are always risks. The truth is, whether customer financing programs are the right decision for us is going to be an issue of personal choice and resource availability. Listed in this article are a few key factors to consider and benefits for both the business and the customer.
The first and most important benefit is increased sales and revenue. Any business needs customers. For businesses that sell large ticket items like jewelry, firearms, or appliances, customer financing programs may be one of the only ways to guarantee that our customers will be able to afford the merchandise or services that are for sale.
Another benefit of wholesale financing…
The ability for our businesses to avoid offering merchandise and services at severely discounted rates. The customer is much more equipped to utilize a payment plan for an item that costs upwards of a few thousand dollars. Another aspect to be considered with regard to customer financing is that it enables us to cultivate a bit of a competitive edge. We can offer lower interest rates and even convince our customers to purchase more merchandise because now we have given them the space to afford another item or simply the ability to purchase their desired item from us. The final salient aspect that speaks in favor of consumer financing is that we will be able to receive funding within one to five days from the date of purchase.
Benefits for the consumer are equally great.
A business that enables its customers to utilize professional financing or customer financing allows the consumer greater payment flexibility. It provides customers with a better quality of life by allowing them to make purchases that they would normally be unable to do. This in turn, gives the customer greater purchasing power which is an economic boon. No customer wants to have to sacrifice bill payment or other necessities or luxuries because they are unable to afford to pay a large lump sum for an item that would truly improve their lives. Consumer financing allows each customer to sleep more peacefully knowing that they are able to make a purchase that they can reap the benefits of now while making comfortable payments over time. Essentially, customer financing can be an amazing tool for everyone involved.