As equipment finance professionals, you are in a constant cycle of obtaining new business to replace contracts that are coming to end of term. While these cycles are a part of the daily operations associated with the equipment finance business, there are tools that can be employed to make the process more efficient and help you accelerate growth. It has been our experience that firms focusing on innovation, both in their financial products and in embracing technology to help support these solutions, see the most sustained long-term growth.
As you develop your plan for strategic growth, have you been thinking about new ways to boost your business? Are you considering investing in tools that can help your business grow? Are you looking to add additional asset classes to your portfolio? Are you searching for ways to increase efficiency and reduce costs associated with origination and portfolio management throughout the lifecycle of a contract? These are just a few of the questions that we hear on a daily basis as equipment finance firms look for a competitive edge. This is really at the heart of why technology providers exist and thrive within our industry. The market and leasing firms alike are pushing to maximize returns making technology decisions critical for growth. But unlike the early days when software solutions were generic and required significant customization, the rise of specialty equipment finance software coupled with cloud-based delivery makes these solutions more accessible than ever before.
Software Technology Is Changing the Game
This statement may seem a bit obvious, but even the word software is becoming dated. Software refers to a product, a collection of code designed to deliver value to the user. The challenge with this term is that we think of this as one software application designed to address one business concern when, in reality, what we are looking for is technology that provides added value for your business and your customers. The rules of the game are changing, and it is easy to see that they are making a positive impact on improving business operations. The technology you select to support your business should do exactly that … support and help grow your business today and in the future. This means technology providers need to understand your business and provide best practice knowledge on how to best use the technology to achieve your overall business goals. This is why we enthusiastically support the Certified Lease & Finance Professional (CLFP) foundation. This past year we added nine additional CLFPs within our organization.
Software Technology is Creating a Competitive Edge
When implemented in line with your business processes, technology can provide significant benefits and competitive advantage. For example, if you have manual steps in your contract origination process that can be automated, both your cost of origination and speed to decision can be improved. Similarly, ensuring full integration between your front-end origination system and your back-office portfolio management solution connected to your general ledger is critical for both efficiency of data movement and accuracy of data entry. In these examples, speed, accuracy and efficiency become the key differentiators in a competitive market.
As you evaluate which technologies are right for your business, it is good to stop and think through your overall business process or partner with a vendor who can help with this analysis. This will help you identify which aspects of your process could benefit from automation/integration into your base technology platform. This will also help identify areas of potential efficiency gains where you can have greater control over your operational costs.
Curious about how leading companies are using technology to help drive business transformation? Watch this short video to learn how North Star Leasing moved to IDScloud improve operational efficiency and their customer experience.
Connect with us to talk about your business and how we can help you grow.
Eldon Richards, Chief Technology Officer