Who Needs Financing?
As any home improvement expert knows, those big projects can often be a tough sell when it comes time to talk money. Sure, the plans look beautiful, and your client is excited to have a fresh new look to their home. But then you hand over the estimate, and that happy spark in their eyes fades. The problem is, 50% of projects over $5,000 requires some sort of financing. Most people just don’t have that much cash lying around. Plus, getting a loan to pay the contractor can be hard. But they also don’t want to resort to the high interest rates of credit cards. So how can contractors get around this problem, and what solutions are there?
Well, at Smart Home PRO we have the perfect solution. But before we talk about that, let’s take a look at why you, as a home renovation professional, need your customers to have financing.
As we already said, half of all projects over $5,000 require financing. That fact alone should be enough to convince anyone that financing is hugely important to contractors. Without it, you’re cutting off a major portion of your customer base. In fact, in 2016 the average amount spent on home improvements was $5,157, according to Home Advisor. That means about half of potential clients will be above the “financing line”. If half of those customers need financing but can’t get it, you can say goodbye to 25% of your potential clients.
That being said, you may be thinking “can’t the customer get a loan?”. Yes, they can, but that adds an extra barrier to getting their business. You want to make it as easy as possible for them to get their projects done. And if you can’t provide them with an easy way to finance their projects, someone else will. Now, if you don’t have the means to finance your customers’ projects (which is completely understandable), then it is always good to have a go-to service for your customers to use.
"In fact, in 2016 the average amount spent on home improvements was $5,157, according to Home Advisor."
Smart Home PRO vs. Other Financing Options
If you want your customers to have the best chance at getting their projects done at a reasonable price and interest rate, you should be able to provide them with your select financing program. This is where Smart Home PRO comes in. We can finance any kind of home improvement projects, from small jobs to big home renovations. Unlike credit cards, we don’t slam our clients with high interest rates. And unlike traditional loans, the process to getting the money is not long and drawn out. It’s the best of both worlds.
As a contractor trying to sell a customer on a big your job becomes a lot easier when you show them the quick and easy financing solution that we provide, rather than leaving them to their own devices and hoping they can find a way to pay.
- Posted April 4, 2018 by Charles Silberman