PHPI gets the lowdown from Kanda on how financing could help you to build your business.
Growing your business is difficult enough, but how are small businesses supposed to be able to compete? By offering financing to your customers, you can compete with the other companies for a number of reasons.
Time
When that moment hits the customer that they need work done, they are the most likely to convert as a customer. Like any sales process, the customer’s likelihood to convert diminishes with time, so it’s important to sign the contract quickly. By offering finance to your customers on an opening quote, it eliminates their need for a big up front down payment, and they can begin immediately and while they are motivated. In short, a customer does not want to wait to start their project and, if they have to, they may delay, or end up not doing it all.
Urgent work
Customers may be in a position where they have no choice but to begin the project now, so will immediately seek out financing options. If you are not able to offer it, you could miss out. By being able to offer financing, you are in that pool of businesses available to them.
Possibility for extension
Customers often have no idea how much time or money their projects need. By offering them a manageable and affordable payment plan, they are more likely to extend projects, do more work with you, assuming you are a quality operation. You are offering them a manageable solution and, by allowing yourself to develop the customer relationship during any initial projects, they are more likely to become repeat customers.
They could be waiting for a big payout
A prospective customer might be expecting a big payout (a tax refund or from a car sale, for example) which they have mentally spent on already on home improvement.
More disposable cash
Maybe the customer doesn’t really need the financing but by taking up that option, it frees up their liquid assets to spend on other things, making the financing more appealing.
Kanda
Kanda.co.uk is a platform built by tradespeople for tradespeople. It enables you to not only offer competitive pricing plans at a great rate, but streamlines your business by going paper free and taking care of your admin tasks, allowing you to grow as a business.
