At some point, most homeowners will need remodeling, renovation, or other handyman services. In turn, you have a wide variety of potential customers for your growing home improvement business. But are your current payment terms preventing you from expanding your offerings and your crew? Learn how you can use financing to grow your home improvement business.
How Can You Use Financing To Grow Your Home Improvement Business?
Reaching More Customers
Many customers could take on a home improvement loan or save up to be able to pay for services upfront. If you’re not offering payment plans or other types of financing, you could be closing your business off to customers who are happy to pay in full but don’t have cash on hand. Financing doesn’t only expand your potential customer base, but it can also give you an extra competitive advantage over other contractors who need payment upfront.
Increase Offering Capacity
A great way to use financing to grow your home improvement business is by selectively upselling your customers with services they may need. This means that your customers aren’t limited by what’s in their bank account today, but they can get the kitchen they’re dreaming of with a few more months to pay it off.
This is especially good if you’ve noticed more work that should be done in addition to what they’d like to have done. For instance, a customer really needs new flooring because of water damage, but they only want to replace the cabinets because that’s what they can afford right now. You can offer to give them the upgrade they need to make their home comfortable without assuming they have the total cost in their bank account.
Speed Up Sale Cycles
How many times have you given an estimate to a customer to have them come back with “it’s not the right time.” Usually, that means there’s some financial impedance for the client. This is another excellent way to use financing to grow your home improvement business: if you give them more time to pay, the overall cost will be worked into their monthly budget instead of their rainy day fund. This means they’ll be able to sign the contract for you to start work right away.
Pure Finance Group Is Here to Help You Use Financing to Grow Your Home Improvement Business!
Thank you for your interest in Pure Finance Group. We’re so excited you’re here. For more information on how our lending services can help you with your home financing needs, give us a call (410-401-4957) or fill out the form on our contact page today. If you have a question about any lending services we provide including home improvement loans, we are here to help answer all your questions. Just give us a call (410-401-4957) or contact us today. To keep up-to-date with the latest financing tips and solutions, keep in touch with us on Facebook and LinkedIn!