Case Study: creating additional revenue for your business.

May 25th, 2018

Nick Kakalis, MD of Finance Unlimited, started broking in 2003 and joining Connective in 2004. Before broking, Nick was a chartered accountant at KPMG, which meant a lot of his clients were in small business and needed more than just home loans.

Nick has had success with Connective Asset Finance and BOLT in three ways:

1) Increase revenue

Nick discovered that he could often get a better hourly rate from an asset finance deal than from a home loan. For example, Nick found that a car loan would often yield double that of a home loan.

“We track how we spend our time, so we can determine which activities are not profitable. For example, we can identify which product ranges are a waste of time to work with.

Through this process, we discovered that a lease only takes two or three hours. On a car that costs about $50,000 you make $1,500 upfront. For two or three hours work that’s not bad! You’re making between $500 and $750 per hour.

Whereas, a home loan takes at least six or seven hours. For an average $300,000 home loan you might be making $1500 – $1800 upfront – so you’re making about $250 – $300 an hour”.

2) Provide excellence customer service

Nick has been able to provide solutions for customers using Connective Asset finance and BOLT where other providers haven’t!

The vintage car “I had a very tricky lease recently – a client bought a 35-year-old car – a vintage Australian classic. The car was bought just assuming the finance would go through. But as it was a vintage car and not a standard model, this put him in a difficult situation. I spoke to a major lender about finance but I was told they just couldn’t proceed                           with the finance. So, I turned to the team at BOLT and and went above and beyond to find lender who would finance this. There was no way I could have done it without BOLT and they made the entire process extremely easy and seamless!”

 

Equipment Finance                          “We’ve also had a few situations with equipment finance that were a bit tricky. Equipment finance lending is more challenging because every situation is unique. For instance, I had a client who was looking at equipment for taxis. The piece equipment he needed cost $200 each and he needed hundreds of them for all the drivers who used his depot. So, I rang the BOLT Scenarios Team, and to my surprise, they came up with a couple of options really fast – including boutique lenders I wouldn’t have thought of. Problem solved!”

3) Customer retention

“With Connective Asset Finance I have access to over 20 lenders on the panel, this means my customers don’t need to go to other providers!

All the lenders we might want to use are on the Connective Asset Finance panel, and they seem to cover every scenario our clients may have. I don’t think there’s anything we can’t do with BOLT.”

 

How much money does your business generate from asset finance? To find out how you can grow your bottom line and boost your profit, get in contact with your local Connective Broker Support Manager.