6 questions to ask when choosing a financial provider

There are several factors you should consider when deciding on a financial provider for your business. That’s why we’ve put together what we believe are the top six questions you should ask, and why they are relevant. Committing to a financial obligation is an important consideration, so you want to make sure you choose the right financial provider for your business.

1 – What do you know about our industry?

The more your financial provider knows about the market with regards to your industry, the better they will be able to understand your needs. You want a provider that can give you true value when it comes to managing your assets, terms and structure. You also should look for a provider that comes with innovative ideas that can benefit your business too.

2 – What level of service do you provide?

Commitment is also an important consideration to make when choosing a financial provider. This can be measured by longevity, through all market conditions or by establishing what they offer on top of the actual financial agreement itself. Your asset finance provider SHOULD act as an additional resource working on your behalf during any buying process, whether that’s from placing an equipment order to ensuring correct commissions.

3 – Do you offer a complete finance solution?

You don’t want to be dealing with individual financing sources for different assets or professional services, etc. The hassle of multiple payment schedules can create far more complexity than is necessary. Instead, you want a provider that can combine all elements and produce you a total financial solution.

4 – Do you offer flexible payment terms?

Depending on your business, it may benefit you to have a payment schedule that suits your business structure. For example, seasonal organisations would find a flexible payment reschedule far more appealing than a typical monthly agreement. The more flexibility your provider can offer you, often, the more value it brings to your business.

5 – What different levels of projects have you worked on in the past?

Each organisation is different, as is every financial solution. That’s why it’s important you pick an asset financial partner that has worked on projects of all scopes and sizes before. Similar to the complete financial solution we mentioned above, you need to know the provider you choose can meet all of your financial requirements.

6 – Do you support a multi-supplier approach?

There may be an occasion where you wish to use different services to equipment and rather than being locked into one provider, you may wish to use different providers for your project. You want an asset financial partner that understands and supports a multi-supplier approach and can account for this in the financial solution they offer you.

These six questions should help you establish what different financial providers can offer you, and give you a foundation of what to look for when choosing your own. If you are interested in knowing more about asset finance, what providers such as ourselves can offer you and the other key elements, download our Management Guide to Asset & Structured Finance