According to a recent report provided by Experian in 2015, buy-here, pay-here (BHPH) dealers have lost about 40% of market share to subprime finance companies, credit unions and franchised dealers. This market disruption is leaving but one choice to BHPH dealers: in order to survive today you have to have financial flexibility and capital availability.
In a recent interview by the autoremarketing.com team with Ken Shilson, the president and founder of NABD at the 18th annual National Conference for BHPH hosted by the National Alliance of Buy- Here, Pay-Here Dealers (NABD), he commented: “I urge operators to stay the course, to get their capital and financial flexibility in order to continue in the highly competitive environment of today. I urge them to reconnect with their customers, which will help them regain market share.”
A large percentage of the American population are car dependent. Buy-here, pay-here dealers are a critical piece of the American transportation system, without the buy-here, pay-here industry, millions and millions of Americans would not have access to buying a vehicle, hence posing as huge obstacle for working and living. Therefore, at AutoNote Solutions we work with BHPH dealers to help them beat the subprime finance companies, credit unions and franchised dealers trying to steal their customers. By working together, we can help dealers assess their note receivable portfolio to structure deals where the right vehicle is matched with the right customer and reduce the risk of default. But we do not stop there, With the loss in market share, BHPH dealers NEED to reduce your costs and operate more efficiently in order to become profitably.
Selling your auto notes with AutoNote Solutions will make your dealership financially liquid, profitable and ready to contend with subprime finance companies, credit unions and franchised dealers in this highly competitive marketplace. When BHPH dealers sell their auto note paper in bulk, they get to focus more on selling cars to their customers and less time collecting payments. Because they have more capital, dealers use it to keep buying great inventory and keep selling and making more money.