JFife 14 Report post Posted June 12, 2005 Anyone have any knowledge on what it would take to offer financing to clients?? Often times, the work I do will involve 10K-20K necessary work on a home worth 150K, and usually those folks cannot exactly cut a check for 10K, but it doesn't change the fact that the work needs done, and the cost will rise exponentially until they fix it. So I normally don't like to finance stuff, but I got some furniture 1yr. same as cash and took the offer (Lazboy). Turns out, all they do is issue you a credit card from Wells Fargo with a balance of whatever you spent, and you have 1 yr. to pay for it. I know of local roofing co's, etc., that offer financing, and I am sure they are not carrying it (maybe they are??) So has anyone any knowledge of how these guys do this......is it through the small local bank or what?? For me, I know this would increase the amount of work I was able to do for people, and save them money in the long run as well, even if they were financed at 20%. Thoughts?? Share this post Link to post Share on other sites
RyanH 14 Report post Posted June 12, 2005 The way financing is typically done is just like you mentioned with the furniture store...they sell the loan to a financer. Actually, calling it a sale isn't exactly proper....The financer will get a portion of the payment and the store will get the remainder. They have to do this for those that actually pay off the loan in time and don't accrue interest. You would have to set this type of service up with the lenders in advance and they will have to approve the loan for each customer based upon the repair amount and their credit rating. You would also have to roll their cost of taking the loan into your selling price. I don't know the actual value, but based upon the financing I've done in the past on my own consumer goods it isn't too high. Share this post Link to post Share on other sites
JFife 14 Report post Posted June 12, 2005 Thanks Ryan, If one wanted to pursue this, would you have a starting point in mind?? Also, I wonder how big of a pain this would be......best i remember, I filled out a piece of paper and was approved in minutes....granted, they probably do that 30 times a day, as opposed to 30 times a year. Share this post Link to post Share on other sites
