How to Offer Finance for Professional Power Tools

Understanding Finance Options for Power Tools

Financing professional power tools can transform your sales strategy. By offering customers the ability to pay over time, you open your products to a wider market, boost sales, and increase customer satisfaction. Whether you sell drills, saws, or heavy-duty kits, providing finance options is a proven way to stand out in a competitive field.

Why Offer Finance to Your Customers?

• Increases average order values
• Attracts new customers who might hesitate at high upfront costs
• Encourages repeat purchases
• Helps manage stock levels, as you sell more efficiently

"Offering finance isn't just about making sales—it's about making professional power tools accessible to every serious user."

What Types of Finance Can You Offer?

• Interest-Free Credit: Customers can pay in instalments without extra charges.
• Buy Now, Pay Later: Ideal for cashflow-conscious buyers.
• Standard Interest-Bearing Loans: Flexible repayments over a longer period.
• Rental or Leasing: Especially useful for professionals looking for temporary upgrades.

Steps for Retailers to Set Up Customer Finance

1. Partner with a Retail Finance Broker (such as Kandoo): They connect you with the right lenders and handle compliance.
2. Select Products Eligible for Finance: Typically, high-value items like power tool kits.
3. Integrate Finance into Your Checkout: Train staff or update e-commerce platforms so customers see finance options clearly.
4. Display Clear Terms and Conditions: Transparency builds trust and meets regulatory requirements.
5. Promote Finance Options In-Store and Online: Make sure customers know finance is available before they make a decision.

What to Look for in a Retail Finance Partner

"The right broker will not only protect your business, but also help it grow."

Legal and Regulatory Requirements

Dealing with finance in the UK means acting within the rules:

• Ensure your finance provider is FCA-registered
• Clearly display finance terms and APRs
• Use approved marketing language
• Provide pre-contract information to customers

Callout:
Always check that your finance partner offers support and ongoing compliance reviews. This keeps your business safe and your customers happy.

How Does Customer Finance Affect Your Business?

Benefits:

• Improved cash flow: You get paid upfront from the lender
• Bigger basket sizes and better conversion rates
• Higher customer loyalty

Consider:

• Setup and admin costs from providers
• The need to train staff
• Ongoing compliance monitoring

Marketing Finance for Professional Power Tools

• Promote available finance in your shop windows and online banners
• Highlight finance in product demos and at checkout
• Share case studies of customers who've benefited

Frequently Asked Questions

Who is eligible for finance?
Most finance providers use soft credit checks and basic criteria (UK residency, over 18, regular income). The provider will handle approval.

Can buyers settle early?
Yes, most providers allow early repayment without penalties.

Do I assume any risk as a retailer?
Generally, no—the finance provider carries the lending risk, not you.

Final Thoughts

Offering finance on professional power tools is a powerful way to grow your business, increase customer retention, and stand out from competitors. It's straightforward, safe, and highly effective when set up with the right partner.

Ready to start offering finance to your customers? Contact Kandoo today and unlock new sales opportunities for your business!