6 mistakes to avoid when selling with financing

Steve Weyl knows how to grow a home improvement business.

In the first 10 years, he took his company Able Roofing from zero to $10 million in annual sales. During the next 10 years, Steve grew his company to $105 million, making it the largest residential roofing company in the United States.

Today, Steve is a nationally renowned sales trainer. In this exclusive blog post, he shares the 6 biggest mistakes contractors make when selling to clients -- and ways to avoid them.

header.png

Mistake #1: Not having a money conversation prior to the quote

The first and biggest mistake you can make? Not having a conversation about money before you give a quote. Some customers pay upfront with cash, and others use payment plans -- there’s a difference between a cash buyer and a payment buyer. When you understand which bucket your customer falls into, you can better present the cost of the project.

Tip: Say something like: 

mistake 1.png

 

Mistake #2: Not understanding your buyers payment comfort zone

In general, your client will have a price they want to pay for their project. But they’ll also have a price they will pay, and a price they can pay. All of these numbers factor into the price they do pay in the end. If your customer is interested in financing their project, knowing their payment comfort zone will help you give a quote that will stick.

Tip:  Say something like: 

mistake 2.png

Mistake #3: Not pre-qualifying your customer before quoting

Want more of your quotes to become deals? Don’t waste valuable time on someone that can’t afford your product or service. Pre-qualifying your client for financing BEFORE giving the quote ensures that you’re spending your time on a project that can actually happen.

Tip: Your client can get pre-approved for financing options in 60 seconds through Hearth, without affecting their credit score.

Mistake #4: Not knowing how much is available for the project

How can you give a realistic quote to a customer you just met? If you don’t know how much your client has available for the project, your quote might end up being more of a guess. When your customer pre-qualifies through Hearth, you’ll know their payment limit and can better tailor the quote to that individual.

Tip: You’ll receive a notification with their credit limit and payment options when your customer gets pre-qualified for loan options.
 

Mistake #5: Not having multiple financing options

What’s better than getting a financing option from one lending partner? Getting multiple offers from a dozen different lending partners. Offering multiple financing options is an easy way to increase your approval rate and close more deals.

Tip: Hearth works with 11 lending partners and is adding a new one every month. These financing options cater to different project sizes and credit scores, making it more likely that your client will receive funding.

Mistake #6: Engaging with someone who won’t -- or can’t -- make a decision

Ever find yourself frustrated with a client who can’t make a decision? Often, there’s another person who needs to have a say in the decision-making process. If you know who you need to win over in order to close a deal, your job will be  much easier.

Tip: Early on in the process, ask your client:

mistake 6.png

Make sure to cater your presentation to all of these people.

With Steve Weyl’s expert tips and Hearth as a sales tool, you’ll be on your way to growing your business and increasing sales. Give us a call at 512-686-4141 to learn how you can incorporate Steve’s advice into your sales process.

You can also learn more about Steve’s sales training by contacting him at steve.weyl@sandler.com.

How Ecosource Roofing & Solar used Hearth to get 3 new projects in 2 weeks

How Ecosource Roofing & Solar used Hearth to get 3 new projects in 2 weeks

Introducing accounts for your sales team