How Contractors Can Help Their Customers Get Financing Options
Cost is the leading challenge in most contracted jobs. But even then, the high price isn’t a problem by itself. It’s the shock that your customers will get once they realise the cost of their project.
In most cases, they’re not ready to face a $20,000 or $30,000 or more. Such high costs may make you get second thoughts.
As a contractor, how do you deal with this? Well, you can assist your clients to appreciate the existence of different options to fund the contract. Even better, you’re able to help them choose one of these options.
For instance, rather than saying, this project needs $25,000, you can tell, there are different options to pay for this project. Then, list the monthly payments at a given interest rate, the deposit or the amount to part within a single payment.
In reordering this, the customers will be able to relax and focus on their options even better. So, do you know how your Contractor financing options will help your customers?
- Provide Information on Various Bank Loans
We all turn to credit unions, banks and other financial institutions to borrow money. A number of your customers don’t know how the process works. As their contractor, you can provide essential details on how the entire process works. While doing this, ensure your clients have other options to consider.
Provide critical information and estimates on how to secure a bank loan. Also inform them of the difference between home equity loans, personal loans, credit lines, term loans and revolving credit.
With the availability of various options, some will take longer to acquire than the rest. It’ll also make time and effort for you to obtain the best rates. Many buyers will not realise how important it gets the right loan from a financial institution. If this seems discouraging, don’t worry, proceed to the next options.
- A Guidance to Various Specialty Lenders
Some lenders will specialise in a particular type of loans. For instance, some will have a unique program that allows contractors to assist their client to finance their projects.
Here, you can create a financing page-branded- for your firm. The customers will get quotes and compare them to other options that they’ve been investigating.
Well, there are some reliable services that you can trust. However, find a reputable firm with some lenders to make an offer. You can co-brand your page to make it easier for your clients to navigate through the page. In this way, the customers will only be dealing with you, as you deal with the financing firm.
- In-house Financing
While you can decide to offer in-house financing, it’s not always a good idea. However, you’re better poised to work with a company that looks for lenders than handling the process yourself.
Checking credit, setting rates, and doing loan collections are well outside your contracting business.
Stick to your core competencies and allow business partners to offer services outside your core competencies.