A Form To Fill Out For Financing..

ultimatetouch

Do any of you guys have a form for financing? I am going on a call where the lady wants financing, and I think I could seal the deal.
I have to find the financing for her, but right now I am looking for the form.

Thanks in advance.

__________________
Ultimatetouch
Illinois Remodeling Company, Kitchen Remodeling Chicago, Room Additions Illinois

marc

You might want to start by getting a finance company to work with you before you start selling financing. You need to be approved before you'll get any of your customers approved.

__________________
Marc

ultimatetouch

How does this work Marc, this is new to me. I dont get people asking to often.

__________________
Ultimatetouch
Illinois Remodeling Company, Kitchen Remodeling Chicago, Room Additions Illinois

Ed the Roofer

Check in with your local bank and discuss this option with the loan manager or preferably with a bank officer you know in person.

They may have some options available.

Certain finance companies have programs geared towards contractors for quick turn-around.

Beneficial Finance Corporation has a higher risk option available for customers with less than stellar credit, but the rate is higher than a standard loan.

You can option a short term payment plan from your own company, which includes interest, if you can wait for the full payment to get paid off. I like this for winter cash flow myself.

Ed

P.S. If Marc has any other advise, I would defer to his views before mine. He has significantly more experience in this field, and all around business operations as well.

ultimatetouch

I appreciate the advice from all of you fellows.
Thanks

__________________
Ultimatetouch
Illinois Remodeling Company, Kitchen Remodeling Chicago, Room Additions Illinois

Ed the Roofer

Suscribe to Professional Remodeler or Professional Builder or Qualified Remodeler and their are ads for contractor financing companies in one of those magazines.

I don't remember exactly which one though.

Ed

Second Look

Does anyone here offer financing themselves? It seems a little risky, after all if they have home equity why not use that? For the right interest rate / credit score / income combination I would consider it.

__________________
Second Look home improvement www.SecondLookHome.com
Handyman and Home Repair Specialist in Rhode Island
RI Licensed Lead Safe Remodeler/Renovator, RI Registered & Insured Contractor

Second Look

GMAC is big on this kind of thing. Try http://www.gmacmortgage.com/Home_Equity/financing.html, maybe call the toll free number and explain the situation.

I think it's possible to take a deposit but write the contract so that the work will begin when the homeowner provides proof of financing. This is not legal advice and you should consult an attorney.

__________________
Second Look home improvement www.SecondLookHome.com
Handyman and Home Repair Specialist in Rhode Island
RI Licensed Lead Safe Remodeler/Renovator, RI Registered & Insured Contractor

Ed the Roofer

I typically offer financing in house, especially for the extras when significant wood replacement is required.

It is only short term and the finance rates are adjustable depending on how I feel about the customers risk factor.

Ed

marc

GE Capital & Key Bank are probably the 2 biggest around. (both of these co. do unsecured loans)
Smaller companies are popping up though.
Capital One now has a finance program for contractors.
You should also look into some mortgage brokers. These guys can get your proble customers financed. We have a great guy here that we send all of our finance rejects to and he gets about 80% of them bought.You could easily triple your business when you offer financing. Let's face it...............Probably 95% of our customers are finance customers. They just did it themselves with a home equity line.

Do a google search and I'm sure you'll find hudreds of companies.

THINK like a car salesman. They don't ask you how much you want to spend on a car. They ask you how much you would like to spend per month.

__________________
Marc

john elliott

In the UK you have to be licensed to act as a broker for finance houses, I'm surprised that doesn't seem to be the case in the US.

Also, if you are offering extended payment terms, and adding iterest on to cover the cost of that, surely you would need to be licensed to do that?

John

__________________
Ed the Roofer said "John too, in his crass and blunt demeanor.............."

Second Look

Are you using written guidelines to avoid any accusations of profiling? Not published or shown to consumer, but guidelines you print out and file away. It may be a good idea to base that rate on subjective numbers like debt to income, FICO score, % of equity in home or whatever.

__________________
Second Look home improvement www.SecondLookHome.com
Handyman and Home Repair Specialist in Rhode Island
RI Licensed Lead Safe Remodeler/Renovator, RI Registered & Insured Contractor