In an economy like this, one of the biggest problems business owners face is the cash crunch. Customers are slower to pay and some have even filed for bankruptcy. Just when you were expecting a check, you get a Chapter 11 notice from some courthouse. Cash is king in any economy, so how do you get the cash during shortfalls in cash flow?
Financing vehicles
Lisa Key, from Diamond International in Kansas City, Mo., says it isn’t significantly more difficult to get a loan for a major item like a truck these days. “Things haven’t changed all that much,” she says. “I can still get customers financed through Navistar in pretty much the same routine. If a customer has good credit or other criteria appear to make them worthy, they can still get financed.”
“In terms of credit score, we’ve gone as low as 500 in some cases if the customer has a track record and we understand what has happened to put them in that rating bracket. We don’t exclude anyone because of a relatively low credit score. Other factors come into play, such as how long the company has been in business, how much business they have done with us, and what the likelihood is that they’ll be able to pay the loan off.”
So in terms of trucks, the truck dealership may be your best bet for a loan. Manufacturers remain anxious to sell vehicles and have the latitude to work with buyers.
