While studies demonstrate that technology spending is once again on the rise, there is a reason you have not heard the collective sigh of relief from the software industry. While numerous budgets are once again allowing for the purchase of enterprise software, hardware, & peripherals, there is no question which today’s purchasers are savvier, smarter, & more discerning than ever. Even though purse strings have untied, market competition is at an all-time high. It is no longer enough to offer a software solution that meets potential consumer’s requirements or even to offer it at the best price. Nowadays, smart vendors are continually exploring ways to stay one step ahead of the competition. While increasing sales is always part of the competitive business strategy, software development companies often overlook a simple method of accomplishing this objective – making it easier for customers to buy. One option increasing in popularity among software vendors is to establish a customized customer financing program that offers no-hassle financing solutions for your prospective clientele.

1). Request & get the deposit before even starting manufacturing, labour, shipping, & processing. It helps that you have at least some of the money accessible for your own expenses before you give your clienteles their orders.

2). Alternatively, you can get paid in full before you start things in motion. This is the hardest to get, of course, but it is the most suitable for your business to handle.

3). Sell the subscription. Instead of providing your information services or one session services at a time, offer the series of smaller or regular bits of information & service dates. This way, you will get more money at first, & you will maintain which customer for much longer.

4). Use direct mail to get individual’s orders, with payment in tow. It is basically payment in full, and upfront.

5). License the rights to use your information or knowledge, perhaps the one-time fee or a per time fee.

6). Get the retainer or monthly fee. Very much like a subscription. All this is a service contract that extends into a monthly retainer, rather than having to sign up every month. You would be surprised as to how many customer financing companies have retainers. Lawyers, for instance, are normally retained.

7). Multilevel marketing is an interesting way to help grow your business. The company makes money from people who join in the line, just about every time someone new joins. Plus, monthly fees and required orders always make up substantial portions of the company’s intake. Legitimate companies, not pyramid schemes, although payment systems do form pyramid shapes, can be considerably more lucrative for everybody, especially at the top of the pyramid pile, than it would be had the company been only the buyer and the seller, and that is it.

8). Factor your receivables. Receivables are always more valuable than so many people realize. Account receivables are classified as current assets, assuming they are due within one calendar or fiscal year. Of course, the customer would have to pay first, but just having their promises of impending payments is enough to make your assets look considerably better.

9). Franchise your business. You can often buy the land, and sell the franchise rights to somebody.

Taking the Next Step Forward

After identifying an interest in offering flexible consumer financing options as part of the sales process, the next step is to develop the customer financing services. By partnering with experienced companies that offer customer financing to develop a finance program for your customers, you can transfer all of the uncertainties of extending terms to your customer to the finance company. Partnering with an experienced customer finance company means you can concentrate on what you and your company do best while letting the finance expert handle all intricacies of the customer finance program. Put simply, by working with a third party, your company will obtain all the benefits without any risk. Whether you choose to refer your clienteles directly to your financing program partner or to work with the third-party finance partner to develop the in-house program, it is vital to choose an experienced equipment finance partner. During sales procedure, the finance expert will be working closely with your clientele and his or her actions & service levels must reflect your organization’s ability to meet your customers’ expectations.

In summary, the benefits of offering customer financing are very obvious, & proven true by some of the largest & most successful companies in the world – but all you have to do is to do it right! Ensure your firm is aware of the risks and challenges & monitor your customer financing program on an ongoing basis to ensure you are not straying from your core business model.