Beginner's Guide to Offering Finance on Furniture

Who Can Benefit From This Guide?

If you run a furniture shop, sell home decor online, or own a local store bursting with sofas and vases, this guide is for you. Maybe you’ve thought, “Can I really offer finance like the big retailers?” The answer is: absolutely!

Whether you’re established or just starting out, we’ll break it down together.

What Does "Offering Finance" Actually Mean?

Put simply, offering finance means giving your customers the chance to pay for their furniture or home accessories in affordable monthly chunks, instead of all at once. It’s like turning a big price tag into smaller, more manageable steps.

Why Bother With Finance Anyway?

• Make big-ticket items accessible: Sofas, beds, and dining sets are big buys. Finance helps make them less daunting.
• Boost sales and average order value: When customers can spread the cost, they’re often ready to buy more, or upgrade to that dream item.
• Build trust and loyalty: Flexible payment options show you’re listening to your customers’ needs.

Hey, offering finance isn’t just for retail giants—it’s for everyone!

How Does Furniture Finance Actually Work?

Here’s the lowdown. When your customer finds the perfect piece but doesn’t want to pay the full cost right away, you connect them with a finance provider or broker (like Kandoo!)

1. Choose finance at checkout: Your customer selects finance as their payment option online or in-store.
2. Quick application: They fill out some basic details. (Just a few minutes!)
3. Decision time: The finance provider runs a quick check and gives a yes or no—usually on the spot.
4. You get paid: After approval, you’re paid upfront. Your customer pays monthly, according to their plan.

Everyone wins: happy customer, smooth sale, and cash flow for your business.

Real Example: Meet Tom, The Local Shop Owner

Tom sells pine tables and velvet chairs on the high street. He partnered with a finance broker to offer pay-monthly options. Within three months, his sales grew by 30%, and customers started buying higher-value pieces. Sarah, one of his regulars, finally got the designer lamp she wanted because she could spread payments over a year.

Jargon Buster: Key Terms Explained

• Broker: Someone (like Kandoo) who matches you with the right finance providers.
• APR: Annual Percentage Rate—the cost your customer pays to borrow money, shown as a percentage.
• Soft search: A credit check that won’t leave a mark on your customer’s credit file.
• Deposit: An upfront payment your customer may make before spreading the rest of the cost.
• Repayment term: The time your customer has to pay everything off—could be 6, 12, or 24 months.

Got Questions? Here Are the FAQs

Is furniture finance just for big businesses?
Nope. Brokers like Kandoo make it possible for small and local businesses, too.

Will I get paid straight away?
Yes! Once the finance is approved, you get paid and your customer pays their monthly instalments.

Is it complicated to set up?
Setting up with a broker is usually straightforward, with no complex paperwork or headaches.

Does my customer need good credit?
Finance providers look for customers who can afford the repayments, but there are options for varying credit histories.

Ready to Unlock Finance for Your Shop?

Offering finance is simpler than ever, and your customers will thank you for it. If you’re thinking, “This could work for me,” why not explore what Kandoo can do?

Get started today or contact us to learn more!