Wheeler Business Consulting:
Small and medium size businesses are showing their resiliency and the commercial equipment leasing and finance industry is continuing to support businesses throughout the US economy.
Never bet against the entrepreneur and his ability to adapt and thrive.
The impact of the Covid-19 pandemic is not over. There is still plenty of uncertainty. There will be winners and losers in every industry, including the commercial equipment finance and leasing industry. However, to date, the impact has not been nearly as bad as many had projected back in March or April. Below are just a few examples of optimism that are notable:
- An independent company seeking new bank lines in February closed on two new lines in July providing the company with 125% more availability than its original request.
- A sales professional, with five years of experience, had his best two months of production in June and July of 2020. He has already exceeded his annual production from 2019.
- A credit manager stated that applications are stronger over the past three months than they have been over the past five years. Weighted average personal credit scores are up over 40 points. Average weighted time in business has improved by 6 years over the averages of 2018 and 2019. The company's funding to approval ratio is at the highest level over the past 10 years.
- A collection manager stated that his August delinquencies were lower than his February delinquencies. 100% of his deferred accounts are now fully paying their monthly obligations. The company significantly increased its bad debt reserve in June. He is confident that, without another wave, this reserve increase may be partially reversed before the end of the year.
The good news is not universal, but many companies and professionals are doing well - significantly better than expected. The commercial equipment finance and leasing industry is resilient. The best management teams had the data and ability to institute change quickly and gain efficiencies at the onset of the pandemic. These companies are outperforming their competitors and strongly participating in the recovery. Wheeler Business Consulting is proud to be a part of the recovery and to be engaged by participants in the industry that are planning for the future and maximizing their production and profitability.
Wheeler Business Consulting has been providing consultative services to companies and individuals to help them prepare for "what comes next."
Wheeler Business Consulting has facilitated over 150 individual coaching sessions with seasoned professionals over the past five months. These remote sessions focus on individual strategies to sell in the new economy and positioning professionals and companies to succeed.
Wheeler Business Consulting works with banks, independents, captives, origination companies, and investors in the equipment leasing and finance arena. We provide training, strategic planning, and acquisition services. Scott Wheeler is available to discuss your long-term strategy, to assist your staff to maximize outcomes, and to better position your organization in the market.
Wheeler Business Consulting has been engaged by a name-recognized participant in the industry to purchase portfolios in various equipment and industry niches. If your company is looking to rebalance its internal portfolio and/or sell a portion of, or its entire portfolio, contact Scott at 410-877-0428.
Comments and suggestions are always welcome.
Scott A. Wheeler CLFP
Wheeler Business Consulting LLC