Are you afraid of the dark? Things that go bump in the night? Perhaps not since you were 6 years old. However, I have a pretty good idea of what makes BHPH dealers quake in their boots. Let’s talk about the five fears that are inherent to the business – fears that can be overcome with the help of the right technology.
- Not Enough Cash in the Bank
It’s no secret that cash is king, so the thought of not having enough is sure to send shivers down the spine of any BHPH dealer. As you know, when a customer drives a vehicle off the lot with an ACV of $5,000 or more, the only cash you get up front is in the neighborhood of $1,000. Now, let’s say you only collect around 75% of your accounts in full. This all adds up to needing more cash to add inventory or recondition recovered vehicles. But, what if your bank account was nothing but cobwebs? Now, that’s a scary thought.
- Not Enough Customers & Sales
What if your lot became a ghost town? Long stretches with no buyers, just dead silence. How’s a BHPH dealer supposed to hit their sales goals without customers? The fact is that there are a ton of buyers who are ready and willing to buy, but don’t qualify for traditional financing. That’s big opportunity but with a ton of risk. The key is arming yourself with the right tools to protect your bottom line, such as payment reminders. Then you’ll be ready to take on more subprime buyers.
- Not Enough Profitability
You’re not in the sales or lending business. As a BHPH dealer, you’re in the collections game. And the profits you think you’ve secured are worth zero until you’ve collected. That’s why it’s vital to put policies and procedures in place to ensure the investment you’re making in your customers comes back to you. Be ready when a customer stops paying because of a sudden change in income or other personal situation. Decide if you’ll take partial payments or adjust arrangements. And have peace-of-mind by knowing that GPS vehicle tracking can assist you if customers decide to stop paying and ignore your inquires. Your business can’t afford to have customers ghosting on you.
- Not Enough Risk Protection
Even with a security company, cameras and blazing spotlights to stop those thieving vampires, you may still be a target for night robbers. In fact, according to the FBI, a car is stolen every 44 seconds. If vehicles were stolen from your lot, what would you do? Maybe you’d think, ‘If only I could open an app and locate every vehicle in real-time.’ Sounds pretty nice, right? GoldStar GPS provides real-time tracking with the click of a button so you can protect yourself from losing inventory in the dead of night and save yourself down the road by not having to make an insurance claim.
- Not Enough Control
As a BHPH dealer, you need control of your dealership. Meaning, when a customer comes in wanting to test drive a specific vehicle, you know where that vehicle is located on your lot and it’s ready to go with a full battery, fueled gas tank and sparkling windows. You don’t want your customer turning into a bag of bones waiting forever. If you’re operating in a constant panic or on the edge of your seat, it’s time for a change.
When it comes to conquering your fears, remember Zombieland’s Rule #8: Get a Kickass Partner. With the help of best-in-class technology from GoldStar GPS and Spireon’s world-class customer service, you can keep more cash in the bank, finance subprime buyers with less risk, collect paper in full, protect your lot from thieves and take control of your operation. Now that’s putting zombies to rest!
Spireon has invested in the technology needed to protect BHPH dealers. So partner with us, and we’ll take on anything the BHPH world throws your way. There’s no need to have any Halloween horror stories.