Finance Products: Outsourced services for equipment suppliers

At Hexa, we’re all about making business finance easier to understand for our supplier customers.

There are huge benefits to using finance, but there are also potential challenges associated with it. The right finance options for your clients at the right time could transform your business and unlock new levels of growth and sales opportunities. But managed in the wrong way, it can be all cost and little benefit. This means it’s critical to understand what you’re looking at – and we’re determined to help equipment suppliers do just that.

As part of our ongoing mission to make business finance approachable and accessible, we’re exploring the different products and services we offer in this blog series. Today, we’re looking at the outsourcing of finance for equipment suppliers. So, let’s dive straight in and explain what we mean by that!

What is outsourced finance?

Imagine you run a car dealership. In that sector, finance is very common. You’ve probably leased a car yourself. Now, at your dealership, you’d have two options. Option one is that you employ staff to manage the end-end finance process for your clients directly, and option two is that you outsource that important function to a trusted third party.

At Hexa, we help businesses with option two! It’s not just car dealerships either, but a huge range of businesses that offer finance options on the products they sell. The benefit is that this critically important function is looked after by experts, freeing your time up to focus on growing your business and driving more sales opportunities.

Outsourced finance is an example of what’s called indirect finance. Let’s have a quick look at what that means.

What sorts of suppliers benefit from outsourcing finance? 

The short answer? Pretty much any supplier that sells equipment to business customers. Classic examples include businesses that sell one-off, high-cost assets like cars and plant machinery. However, there are many others.

For example, we help a lot of business-to-business technology providers. These include IT and Telecoms suppliers, whose customers often prefer to pay monthly for equipment rather than invest large amounts of ca

What are the benefits of outsourcing finance?

This goes to some core principles that apply to any business. Put simply, there are things you specialise in and things you don’t. On top of that, there’s only a limited number of things you have time for.

It’s common to outsource services like marketing, accounting or IT support for one or both of those reasons – either you lack the resources, or expertise, or both. Finance is exactly the same.

1.      Expert support

We’re determined to make finance more accessible, but we’re under no illusions – it can be complicated. Managing multiple sales opportunities at different stages is challenging enough, but  managing multiple funder relationships with different underwriting criteria, portfolio expectations and rate changes can be complex.

If you outsource to experts like us, we’ll get the details right – but it’s about so much more than just good paperwork. You’re leaning on more than 50 years combined experience and relationships built working for a variety of funders in the UK . We know the market, and we’re able to find the most scalable and efficient finance arrangements for your business, the products you provide, and your clients.

2.      Save time

On one level, this is a simple point that applies with anything you outsource in your business. If you don’t do something yourself, you can focus yours and your staffs workload on more profitable areas of your business.

There’s more to it than that though, and it comes from our previous point. We have the expertise to be able to provide finance in the most efficient way possible. That means you’re not seeing deals held up by the financing. Which brings us to …

3.      Better service for your customers

With an expert service, efficiently delivered on the best possible terms, your customers benefit too. We can talk to them on your behalf, answering any questions with the authority and friendliness they expect. Overall, this makes for a better service all round – so you benefit, and your customers do too!

4.      Peace of mind

And finally, this is the sum of all the benefits we’ve spoken about. If you outsource to a trusted provider like Hexa, you no longer have to worry about every detail of finance and the challenges that it can present. It’s in the best possible hands, and you can focus on the rest of your business.

Final thoughts

We hope that’s a useful overview of the what and why of outsourced finance. It’s a great option for any business that uses finance to sell and doesn’t have in-house expertise. Next up, we’ll be looking at some of the specific types of finance products that are available for customers. Keep an eye out for that, and if you’d like to learn more about any of our services then get in touch!

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