Cash in-hand Customers and Financing: How do they fit together? 

When a potential Customer informs you that they intend to pay for their project with cash, it can be tempting to simply skip over the financing options and move toward the close.  

After all, if they have the option of cash, then why would they want to know about financing?  

The answer to that is they may not know all the options available to them, and providing the full picture, is the first step toward delighting your Customers.  

The fact is, at the beginning of the process, you don’t know anything about your Customers finances and they won’t know about the payment options you can provide if you don’t market and communicate them. Even a committed cash buyer may reconsider when they have the opportunity to examine all the options. There can be a range of scenarios. They may be digging into their savings to avoid paying interest, without knowing that you offer deferred interest plans that enable them to take more time to pay at no additional cost, if they pay the balance in full before the end of the promo period. An offer like that can be a great relief and make the Customer more confident about their decision to proceed with project.  

A few of the reasons for utilizing financing when there is cash in-hand:  

1.) Your Customer may feel more comfortable retaining their cash reserve, and paying over time during the promo period, which still allows them to avoid paying interest, if a deferred interest loan is approved.  

2.) Your Customer may want to build their credit score. Paying with cash doesn’t help in this way, but by making on-time loan payments, they may be able to work toward their credit score goal. 

3.) Your Customer may want additional upgrades to their project, and by tapping into the right loan plan, they can increase their buying power to achieve the project they desire.  

It’s all about the Customer, and in the same way that you wouldn’t leave product options and service contracts out of your discussion, financing should not be omitted either. It’s part of your well-rounded presentation so you can let your Customer decide which of your offerings works best for them.  

This enables you to work with them in crafting a home improvement project that meets their needs. It’s all about awareness. When thoughtfully applied, financing can become a powerful tool that enables Customers to create the outcome they desire.