Brenda H., Author at Global Financial & Leasing Services, LLC

Yes, Virginia, Companies Really Do Believe in Vendor Financing

December 20, 2021

by Brenda H. Financing

From startups to global corporations and from cash-flush to cash-strapped companies, they all take advantage of and benefit from vendor financing. In fact, the Equipment Leasing and Finance Association (ELFA), reports nearly 8 out of 10 U.S. companies rely on some sort of financing to obtain equipment, which is used to grow their businesses and thus contribute to our country’s growth and employment numbers.

Global Financial & Leasing Services (GFLS) partners with vendors to offer their customers equipment financing in the following industries:

Healthcare/Medical
Restaurant
Construction
Machinery/Manufacturing
Forestry/Logging
Automotive
Printing

Why Do Capital-Rich Companies Finance Equipment Purchases or Leases?

There are many reasons. Financing equipment purchases or leases often is a part of a forward-looking, strategic financial plan. Keeping a large amount of cash on hand is attractive to banks and investors, plus dramatically increases the odds a company will survive an unexpected event, like a pandemic, natural disaster, etc.

The question arises, “If a company is in an attractive financial position, why don’t they seek traditional bank financing?” The answer is simple: big banks require a lot of application paperwork and can take weeks or months to decide whether they are approving or rejecting the loan. Companies don’t have that kind of time to waste, especially if they win a project, find a super deal on equipment or need to act quickly for any other reason. Not to mention, bank financing is just another added step. Vendor financing streamlines the process and can even remove any barriers your customers might have in the purchase or lease decision.

Financing an equipment purchase or lease comes with numerous benefits compared to making a large outlay of cash. And, by partnering with GFLS for vendor financing, your customers can:

Typically get 100% financing without a down payment via ACH or wire
Keep their working capital to fund other business objectives, such as expansion or increasing their workforce
Benefit from tax considerations, like Section 179 associated with purchase financing
Generate revenue with the equipment they finance
Add additional costs such as sales tax, delivery and installation to the financed amount
Build their Business Credit profile

LEARN MORE: How Venders are Becoming an Attractive Source of Equipment Financing

What About Companies with Less-Than-Perfect Credit or Little Cash on Hand?

For these types of businesses, having the ability to finance the lease or purchase of the equipment they need can make or break the company. While they are not big banks’ target customers, they can be your customers when you partner with GFLS, which ultimately grows your sales numbers.

GFLS works with all credit tiers. Our financing decisions are based on a company’s story, not just the credit score. Our team gives decisions in 48 hours or less. This is very attractive for your customers who don’t have the time or desire to jump through big bank financing hoops or the credit score to make them creditworthy in big banks’ eyes.

With the Right Partner, Vendor Financing is a Win-Win

Your customers are going to finance their equipment purchases and leases. Rather than lose out on sales opportunities to competitors who do offer vendor financing, partner with GFLS and bring your financing in house or offer financing to your customers who aren’t or won’t be approved through traditional means.

Together, we can provide essential equipment, quick credit decisions and convenience with a streamlined application process. In the end, you’ll be providing a better customer experience for all, resulting in more sales and higher customer retention rates when it’s time to buy new or upgrade.

Bottom line: if anyone questions whether companies are interested in vendor financing, yes, Virginia, they really are.

Submit an Equipment Vendor application today. If you have questions, contact our team for answers.

Think Equipment Financing Before Dipping into Cash Reserves

November 18, 2021

by Brenda H. Benefits of Leasing Business Advice

We’re heading into the home stretch of 2021, a popular time of year for business owners to acquire essential equipment. Fourth quarter is an opportunity to take advantage of end-of-the-year sales, deduct the expense on this year’s taxes, be better prepared for business in the coming year, and upgrading or replacing equipment that is becoming obsolete or doesn’t meet your needs any longer. Even though supply chain issues have created shortages of some equipment, if you can find what you need, consider financing equipment buys or leases before dipping into your cash reserves.

Keeping Cash on Hand is More Important Now Than Ever

What a year it has been. There’s not a company that the pandemic hasn’t affected in one way or another, good or bad. Either way, a lesson was learned that you can never be prepared for every scenario and ramping up or riding out the bad requires having sufficient capital reserves on hand.

Keeping cash on hand (experts recommend six months’ worth of expenses) leaves you better prepared for emergencies. Not just unexpected events like the pandemic, which took pretty much everyone by surprise, but also events that might occur that threaten to close your doors should you not have the cash to “handle business” until profits return to normal operation levels.

Maybe you’re thinking you can get a line of credit or loan in the case of an emergency. Maybe is the key word. Typically, big banks want to see sufficient cash reserves before approving a line of equity or loan. Worst case scenario, making the loan payment digs your business into a deeper financial hole. Business owners can dip into their own personal savings to keep the company afloat, but that might leave you personally at risk.

There is a better option for getting the equipment your business needs without draining your cash reserves: equipment financing.

Equipment Financing Lets You Keep or Save Cash Reserves

Your cash reserves might be drained by purchasing essential business equipment upfront, leaving your business at risk should the unexpected happen. Financing equipment over time keeps your cash liquid. Should the equipment financed be used to expand your business, you’ll have the opportunity to increase cash reserves.

LEARN MORE: Your Approach to Financing an Equipment Lease Matters

Financing Essential Equipment Can Reduce Your Tax Liability for 2021

When you lease or finance equipment, you can take advantage of tax benefits. Double check with your accountant and/or tax attorney to ensure your business can use equipment financing as a tax reduction strategy. In many cases, you can write off part of your monthly payments if you lease or finance essential business equipment.

If you finance, all of your interest payments will be tax-deductible as a business expense. You can write off the full cost of your payments if you lease your equipment, and you can also choose to write off the full cost of the equipment in a given tax year. This can come in handy during high growth and profitability years when you want to reduce your tax liability.

Browse our spa and heavy equipment for sale.

Apply for Equipment Financing with Global Financial & Leasing Services

While it’s important for a company to have a healthy level of cash reserves, it’s not the only thing on which a lender should base a financing decision. Global Financial & Leasing Services (GFLS) works with many business owners who have don’t have the credit history, score or time to waste on big banks that can take weeks or months to make a credit decision. At GLFS, we strive to keep our application process as quick and painless as possible. We evaluate your business’s overall financial picture and respond as soon as possible (often in 24 hours or less) with equipment financing solutions that meet your company’s needs. Our team understands that time can be of the essence, especially at this time of year when special year-end deals might be available and the end of the tax year looms for companies that follow a January to December tax year.

If you’re ready to finance equipment and retain cash reserves, contact us or begin your application.

Do You Have Skeletons on Your Business Credit Report?

October 20, 2021

by Brenda H. Business Advice Financing

The Time to Find Out is Before Applying for Equipment Financing

For small business owners, your personal credit history plays a role in obtaining essential use business equipment financing. However, lenders also draw a correlation between your personal credit history and your business credit report—the belief being that people tend to treat their business accounts much like they do their personal accounts. If you’re a new small business owner, your personal credit history will take precedence over any business credit history you’ve yet to build. But, if your business is established, your business credit report pulls more weight on an equipment financing application.

Before Applying for Equipment Financing is the Time to Find and Clean Up Any Skeletons

A lender can certainly review your business credit report prior to approving credit. Lenders use this report to verify the information you provide on your credit application. You’ve probably heard stories about applicants being caught off guard by what a lender finds, especially if the finding(s) is inaccurate. Business credit bureaus have been known to make mistakes, and it falls on the business owner to review his or her report to ensure it is accurate.

LEARN MORE: How to Improve Your Personal Credit Before Financing Business Equipment

Dun & Bradstreet is the largest and most common source for business credit reports. The firm receives its information for credit reports from various sources, much like individual credit reporting bureaus, including Equifax, TransUnion and Experian. Before a lender orders your business credit report, you should obtain a copy to verify all data it contains is correct. Doing so gives you the opportunity to remove inaccuracies and time to repair any credit blemishes as much as possible.

Request a Copy of Your Business Credit Report

Dun & Bradstreet offers a free business credit report. You can order it online.

10 things to review for accuracy on your business credit score are:

Your official business name, as well as any trade styles (DBAs).
Your physical business and website addresses.
Your business SIC/NAICS code.
Your business ownership entity (corporation, LLC, etc.) and number of years in business.
The name(s) of your business’s officer(s) and work experience.
Any data regarding business history, company events, ownership and/or location changes, etc.
Any financial information you’ve opted to list.
Your payments score. You can challenge late payments if you have proof they were made on time.
Any business liens, lawsuits and loans.
Public record information, such as UCC filings, tax liens or legal judgments. You can dispute any inaccurate public record information with the credit reporting agency.

How Often Should You Check Your Business Credit Report?

Protecting your business credit history is just as important as reviewing your personal credit report from time to time. Regular reviews not only ensure accuracy, but also can alert of identity theft if you notice accounts open in your name that you did not open.

Have a question about how business and personal credit reports affect your equipment financing application? Talk to one of our staff members. We’re happy to help.

Taking the Mystery Out of Applying for Equipment Financing

October 11, 2021

by Brenda H. Business Advice Financing

With the Right Lender, the Process isn’t Scary

Our team at Global Financial & Leasing Services (GFLS) has heard some pretty scary stories about the process for applying for equipment financing with other lenders, not to mention awaiting credit decisions. The stories range from applicants filling out pages upon pages of tedious financial information to lenders stringing them along only to deny credit. In the end, applicants are left without the equipment they need for their business or starting the entire process over again with a different lender in hopes of a different result. Either way, time and frustration can be avoided if you have a clear understanding of the application process and work with a lender willing to work with you.

Look for a Simplified Financing Application

Take a look at GFLS’s equipment financing application. Beyond basic contact information, such as name and email and phone, you’ll notice there just five additional questions directly related to your business and equipment you’d like to finance—your industry, the finance amount, gross annual sales, years in business and intended use.

That’s all we need to get the ball rolling. Not so scary at all, and it’s worked for us and our customers who need financing for essential use equipment since 2009. How does it work? Global Financial is a direct lender able to finance almost any business seeking to acquire equipment. Even applicants who have been denied credit by the big banks due to prior bankruptcy, student loans, tax liens or bad credit can be approved via our in-house funds or relationships with more than 200 private label and public banks.

Choose a Streamlined Application Supported by Personal Customer Service

Whether this is your first or 15^th time applying for equipment financing, there’s bound to be some anxiety associated with waiting for a credit decision to be made. Our simplified application process aims to decrease that anxiety, but it’s our team that truly makes a difference. We understand that nothing makes the experience smoother than simply staying in touch and keeping you up to date with where your application stands.

What makes applying for credit so scary with big banks is the lack of communication and lag time between submission and either approving or denying credit. GFLS’s entire equipment financing process is transparent. Once you submit your financing application, our team reaches out to you. Then, expect to receive daily updates on your application’s status, and more importantly, feel free to speak directly to our credit decision makers.

In the market for used heavy equipment? See what we have for sale.

Work with the Right Direct Lender

Your financing application only reveals part of the bigger picture of you and your business. If you have B- or C-tier credit or a startup company, working with a direct lender who’s willing to listen and look beyond numbers is important. Along with credit scores, we believe in character and treating every applicant with respect and kindness.

As a direct lender, GFLS is able to approve credit with our in-house funds, and the typical turnaround time is 24 to 48 hours, not weeks or months. When other lenders say no to financing essential use equipment, GFLS can often say yes, so tell us about your financing needs.

Work with a financing partner who takes the mystery of our equipment financing for small and mid-sized business. Contact us or start with your application.

How Vendors are Becoming an Attractive Source of Equipment Funding

September 29, 2021

by Brenda H. Benefits of Leasing Financing

Borrowers are Seeking Vendor Financing, and Vendors are Seeking Reliable Partners

Consumers today expect financing options. Long gone are the days when banks were the sole source of funding. In fact, some would argue that big banks have held on so tightly to the old ways of financing business equipment that they have become consumers’ least favorite source. Whatever the reasons, there is an opportunity for vendors to move into that space where banks once ruled. Vendors who don’t are leaving money on the table.

Why are Consumers Turning to Vendor Financing?

Banks are notorious for hoops through which applicants must jump. And, many applicants won’t meet banks’ stringent requirements for a loan. With vendor financing, consumers have more flexibility, especially when the vendor works with a lending partner committed to closing sales.

Consumers can explore financing a higher priced piece of equipment rather than settle for less expensive machinery priced within the bank’s approved amount. This is a win-win for both vendor and consumer since a higher sales price results in a higher revenue per sale for the vendor and the customer obtain the equipment best suited for his or her needs.

Why are Businesses Partnering with Reliable Vendor Financing Companies?

With the right partner in place, there are several ways vendor financing benefits your business.

Expanded customer base. By offering in-house financing, more consumers across a credit score spectrum will be able to finance directly through you.

Control over your financing program. An in-house vendor financing program lets you control how your customers’ purchases are financed. Partner with a company, like Global Financial & Leasing Services (GFLS), who will tailor a financing program that works for you and your customers.

Be more competitive in a competitive marketplace. Consumers shop around, and when all things are equal, will choose the best offer. Having a finance partner in place means application decisions are made quickly, helping consumers get the equipment they need faster.

Choosing the Right Financing Partner is Key to a Successful Vendor Financing Program

Talk to our team about how you can increase your sales without taking on financial risk. GFLS works with vendors as a primary or secondary financing partner. Thanks to our streamlined processes, your buyers will have a financing decision in less than 48 hours without any extra burden on your team’s shoulders.

Our strong connections to publicly traded financial institutions means you can expand your target customers from “A-type” credit applicant’s to “B-type” and “C-type” credit and startups. In the end, your sales reps can focus on closing sales, not finding financial solutions.

Five reasons vendors choose GFLS:

They can sell more equipment and help increase profit margins.
They can close sales quickly because we are a motivated credit team who provides fast approvals.
They can expand their sales offers to buyers who don’t have capital on hand.
They get a tailored program at no cost to them.
They receive 100% payment of the invoice via wire or ACH.

Our team works with vendors in a variety of industries and can help you provide the financing your customers need to keep your financing in house and your customers happy.

Submit an Equipment Vendor application today. If you have questions, contact our team for answers.

A Two-Step Approach to Heavy Equipment Financing

September 27, 2021

by Brenda H. Benefits of Leasing Business Advice

It Can be Easier Than You Think to Get the Heavy Equipment Your Business Needs

The construction job calls for heavy equipment, maybe a backhoe, skid steer, dump truck or any other type. Perhaps you won a contract, you’re growing the business or you’re replacing or upgrading equipment. Getting the heavy equipment your business needs right now might mean shorter timelines (a competitive advantage), hiring fewer sub-contractors (a cost-saving measure) and the ability to bid on more or different types of projects (a path to grow business). However, heavy equipment either new or used, carries a steep price tag.

Many construction companies and contractors don’t have the financial liquidity to purchase heavy equipment, but they don’t let the cost stop them from reaching their goals. Heavy equipment financing is the solution, allowing you to avoid a huge cash layout and still get “the job done.”

LEARN MORE: It’s Not the Interest Rate That Counts When Financing Equipment

Here’s a two-step approach that makes it easier than you think to get the heavy equipment your business needs.

Step 1: Determine your financial requirements.

Financing options are more tailored to the borrower’s needs today. Even car companies jumped on board, starting with how much a buyer can afford to spend monthly instead of selecting the vehicle. You know the type of heavy equipment you need, now’s the time to determine how much you can budget for it each month. Unsure?

Ask yourself the following question: How long do you intend to use the equipment?

Your answer helps determine whether short- or long-term financing is best or what type of lease makes sense for your company’s finances and future.

Do you plan on keeping the equipment for the long haul? Long-term financing can result in lower monthly payments.

Will you use the heavy equipment for a single or a few contracts? Short-term financing or renting might be a smart solution.

Is the equipment used on a seasonal basis? Work with a financing provider who is willing to vary the payment amounts based on the time of year.

With all the options available, it’s critical to work with a lender who is willing to work with you to find heavy equipment financing solutions customized to your needs.

Browse GFLS’s Used Heavy Equipment for Sale

Step 2: Get ready for the heavy equipment financing application process.

Step two is where the differences between big banks and lenders, like Global Financial & Leasing Services (GFLS), become obvious. With big banks, expect a lot more paperwork, and make sure your financial statements are buttoned up. Also, build in enough time between the time when you submit your application and when you actually need possession of the heavy equipment. Big banks can draw out the process for weeks or months, and even if eventually approved, funds aren’t made immediately available. This creates a huge problem for business owners who need their equipment to start a project.

We can’t speak for other lenders, but GFLS follows a streamlined process, aiming to keep our application process as quick and painless as possible. We take a look at your business’s overall financial picture, and we respond as soon as possible (often in 24 hours or less) with heavy equipment financing solutions that meet your company’s needs.

GFLS does not require a perfect credit history and goes beyond looking at the numbers when making our credit decisions.

Ready to Apply for Heavy Equipment Financing?

Work with a financing partner who understands small and mid-sized business and the construction and manufacturing industries. GFLS can be your partner for the long run, financing your equipment as you grow. Contact us or start with your application.

Why Your Business Should Switch to EMV

August 30, 2021

by Brenda H. Business Advice

EMV Protects Your Company and Your Customers

Over the past decade, a small microchip has been added to the right side of bank and credit cards. Instead of swiping this card, users insert the microchip into a reader to pay, or they may also be able to simply tap their card on the reader.

This technology is called EMV or “smart cards.” It was designed to make credit card payments easier and more secure for both buyers and sellers. EMV cards are more difficult to replicate (counterfeit) than traditional cards, and they allow merchants to more easily verify the card’s authenticity.

If your business still has not upgraded to EMV, then making this transition should be on your radar for the immediate future. Here’s why:

Customer Satisfaction

Customers are used to inserting or tapping their cards to pay, and during the pandemic, contactless payment became even more important to customers. Offering EMV will therefore increase your guest satisfaction by giving them the experience that they are used to at other businesses.

Upgrading to EMV will also give you the capability to accept payments from apps like Apple Pay and Google Pay. These apps became more popular in 2020 as contactless payment became more in-demand, so many customers will appreciate being able to use these features.

Increased Security

Adopting EMV also increases the overall security of your transactions. EMV cards are substantially more difficult to replicate, so your POS terminal will be more likely to detect a fraudulent card before you accept it.

EMV-enabled systems also produce more secure transaction data. With EMV, all of your business transactions will be encrypted, making them useless to potential cyber attackers. This helps ensure that your business won’t suffer from a massive data breach.

Also, the real and perceived sense of security that using EMV brings customers cannot be underestimated.

Decreased Fraud Liability

In the past, liability for fraud where a card was present fell back onto the issuing bank or payment processor, depending on the terms of the card agreement. However, since 2015, major credit card companies have changed the rules so that the liability for fraud falls on the party that is the least EMV-compliant.

So, if your business doesn’t have EMV, then you would be liable for the fraud since you were the least EMV-compliant party. Switch to EMV to ensure that your company doesn’t take a financial hit due to fraud.

How Do I Upgrade?

If your company has not yet adopted EMV, it’s time to upgrade your infrastructure. To do so, you will need to ensure that you have the right software and hardware to process EMV transactions. The software part is easy – most payment processors, such as square, already have those capabilities available. However, you will also need to upgrade your POS systems and card readers.

While this is a business investment, you can ease the financial aspect of it with a trusted financing partner like GLFS. We’ll help you come up with a financing plan that works for your business, and you can reap all of the benefits of upgrading to EMV.

Can You Ever Prepare Your Business Enough Against Cyberattacks?

August 27, 2021

by Brenda H. Business Advice

Trends and What You Can Do

Cyberattacks are a small or medium-sized business owner’s worst nightmare. They can slow or bring to a halt productivity, and they can incur other unexpected losses, such as equipment replacement, reputation damage control and even paying a ransom to get your data restored.

Recently, HP announced its forecast for cybersecurity in 2021, and its report noted how cybersecurity attacks are becoming more complex and targeting individual users instead of systems. Ransomware, email corruption and message hijacking have all become more common in 2021.

How do you protect your business against these threats? You first need to understand new trends and threats in cybersecurity for 2021 and implement effective strategies to protect your company, employees and customers from them.

Cybersecurity Trends to Know

To defend against cyberattacks, the first step is understanding modern trends in cybersecurity. Understanding how IT systems and cybersecurity threats have changed over the course of the pandemic will allow you to more effectively implement a company-wide cybersecurity policy.

Working from Home

When the pandemic struck, workers moved out of their offices and into their homes, and many companies are continuing to allow them to work remotely.

Working from home has weakened cybersecurity protocols for many workplaces. In the office, all computers are wired to the same network that can be easily protected by IT staff, but when people work remotely, they must connect to company servers using their home networks. This leaves larger vulnerabilities in data transfer, especially when employees are not aware of or not following security protocols. Even opening a compromised email on their personal accounts could now jeopardize a company’s entire IT infrastructure.

Sophisticated Phishing

Phishing scams have resurged with a vengeance in 2021. Hackers are using bots like Emotet to send nefarious links through email and social media. These scammers can even hijack corporate email servers, sending out legitimate-looking emails from senior management to entrap unknowing employees.

While phishing has always been a major cybersecurity threat, it has taken on new importance with more employees working remotely. Even if the threat arises with an employee’s personal accounts, it can still threaten remote networks if those accounts are linked to the employee’s work computer.

Ransomware

Another threat is ransomware. As the Colonial Pipeline incident illustrated, ransomware can shut down network and business operations until an individual or company pays the attacker a specified sum of money. However, even if you pay up, there’s no guarantee that the attacker will release your system, and that they have not already used your data for criminal activity.

These attacks are usually transmitted through email using malware such as Emotet, TrickBot and Dridex. Many times, unwitting victims open an email, click a link, or download software that allows attackers to install the ransomware on their computer and/or server.

How You Can Help Protect Your Business Against Cyberattacks

Now that you know what kinds of threats are out there, you’re in a better position to:

Educate Your EmployeesCyber criminals know that the easiest way to break into a company’s network isn’t through sophisticated attacks. Instead, they take advantage of individual users who don’t understand modern cybersecurity threats.Educating your employees about modern threats is therefore a critical part of maintaining your company’s cybersecurity. Your employees should know what phishing emails and websites look like, and they must be taught to evaluate threats and report them to your IT person or department.
Implement a Zero-Trust PolicyIn addition to educating your employees, you should also implement a zero-trust policy. In the cybersecurity sphere, a zero-trust policy entails implementing a variety of authentication, authorization and validation protocols throughout company networks to ensure that only credentialed users can access their information.Think of it this way: when you log into a financial service, you will often be asked to verify your identity through a code sent to your phone number on file. When implemented throughout your network, these tactics can be an effective way to deter and prevent cyberattacks.
Upgrade Your IT EquipmentFinally, you can also defend your business against cyberattacks by upgrading your IT equipment to meet the needs of your remote workforce. Whether you need to modernize your internal infrastructure or revamp employees’ work-from-home setups, upgrading your equipment can help your IT department better combat cybersecurity threats.Upgrading network-connected equipment can be affordable if you finance with the right partner. If you’re interested in equipment financing, contact us or start with your application.

What are Workers Waiting for?

July 30, 2021

by Brenda H. Business Advice

Droves Quitting Their Jobs, Employers Scrambling to Hire

Despite millions of jobs going unfilled as the economy rebounds, unemployment has remained stagnant, sitting at roughly 5.9% since the start of 2021. Over 4 million workers have quit their jobs for a variety of reasons, and employers are struggling to replace them.

Many states have been quick to blame extended unemployment benefits, which are set to end in September, for the worker shortage. Some have chosen to end these CARES Act payments in hopes that lower benefits will drive recipients back into the workforce. However, states like Iowa and Missouri, which stopped paying federal benefits on June 12th, still have low job search rates. In fact, job searches in those states are still nearly 4% below the national average.

Why Aren’t Workers Going Back to Work?

The answer is complicated. Some workers have increased childcare responsibilities while others have gone back to school. People moved away from urban centers’ higher living costs, and some who became unemployed are biding their time to search for a job that fits their current needs and their schedules.

At GLFS, we want to help your small or medium-sized business succeed, and we understand how a labor shortage can impact your bottom line. Here are a few ways your business can help attract and retain workers.

Flexibility is Key

When COVID-19 pushed workers out of the office and into their homes, many workers embraced the remote work lifestyle. Long commutes and uncomfortable offices became unnecessary, and workers could now better balance their personal and work lives. It’s no wonder, then, that workers who have been asked to return to the office have decided to quit for jobs that allow them to work remotely.

Working remotely, however, is not the end-all-be-all for job flexibility, and sometimes, it is not ideal for certain positions. Flexible hours, increased paid time off, and a more understanding and inclusive work environment can also provide the work environment that employees desire.

Analyze Your Turnover

Another way to attract and keep workers is to analyze your turnover rate and uncover reasons why employees may be leaving your company. Are your employees finding higher salaries elsewhere? Do they dislike working for a certain manager? Do they feel overwhelmed or burnt out?

The answers to these questions will provide you with suggestions for how to improve your working environment. Talk to your employees to find out what they want and need, and act on those suggestions to improve areas where your company may fall short.

Raise Wages or Offer Sign-On Bonuses

One of the easiest ways to garner the interest of top applicants is to offer a higher starting salary or a sign-on bonus. The news is full of images of “Now Hiring,” the starting pay and big sign-on incentives in industries ranging from service to healthcare. Be diligent in your research before offering financial rewards that impact your bottom line. Your company may already be competitive in this area.

Remember: There’s Still a Pandemic

For what seemed like a split second, it appeared the states were opening up and we were turning a corner with the pandemic. Currently, statistics show vaccination rates are stagnant, and some experts are raising a red flag about increasing cases due to the Delta variant. Some areas are re-instating masks. The point is: the pandemic isn’t over. Many people are still concerned that returning to an office or workplace full-time could put their families at risk.

Encourage your employees to take reasonable precautions to make sure that everyone in your office feels comfortable.

What are workers waiting for? They’re not waiting for one certain thing, but it’s a safe bet that when an employer meets their needs, they will return. If there is anything our team can answer or do for you, get in touch.

How to Retain Qualified Employees

July 26, 2021

by Brenda H. Business Advice

Meeting Employees’ Professional and Personal Needs

Going by what we hear from our clients, hear in the news and see on social media, workers are quitting their jobs, especially in the service industry. Hiring skilled and reliable new employees is more difficult than ever, which makes retaining your current staff more important.

At Global Financial & Leasing Services (GFLS), we understand how this hiring crisis is impacting small and medium-sized businesses. Our team wants to help you make it through any labor shortage you’re experiencing—like most things, this too shall pass. But, in the meantime, here are a few great ideas to help you retain qualified employees.

Stay Competitive

One of the most common reasons why employees leave their current workplaces is because they have found higher salaries and better benefits elsewhere. Therefore, you should periodically check job listings to see whether your company’s compensation is competitive.

While your business may not always be able to compete with bigger companies in terms of pay and benefits, there still is much to be said about a work culture and environment. Few employees will leave a job and team they enjoy over a few dollars. If you find you’re at risk of losing a valuable team member, talk to the person and see if you can negotiate terms that will persuade him or her stay. Remember that replacing a seasoned employee will always cost more than giving him or her a raise.

Encourage Professional Development and Growth

Good employees want to grow alongside your company. New hires will want to learn as much about their positions as possible, and seasoned employees will want to update their skill sets and move up the ladder. If possible, offer training and opportunities that lead to advancement.

No one understands your business better or is invested in its success more than your long-term employees, which is why so many companies tend to promote from within. Encouraging professional development and growth is a smart strategy to create a dynamic and motivated team.

Upgrade your Equipment

Another chief complaint of workers is that they have to fuss with outdated equipment at the office or on the shop floor. Brick-like laptops or machinery that needs constant repairs can be a major source of frustration for dedicated and productive employees.

If upgrading your equipment seems like overkill to retain employees, think of it this way… the less down time due to outdated, slow equipment the more uptime and productivity gained. Plus, if you work with an equipment financing partner like GLFS, obtaining new equipment can be surprisingly easier than you think.

Show Appreciation

Whether it’s a simple “thank you” for a job well done or giving public shout-outs to those who go above and beyond, employees notice and appreciate when management commends their hard work.

You can also create a culture of appreciation by offering rewards for outstanding work. For instance, giving a team a bonus for finishing a project early will not only motivate them, but will also incentivize them to stay with your company. If financial appreciation isn’t possible, host a company-wide lunch, sponsor giveaways or even branded items. Efforts that show employees they are valued in a real, tangible way goes a long way.

Listen to your Employees

The most important part of any retention plan is to simply listen to your employees. Exit interviews, post-training discussions, company or department meetings, and periodic one-on-ones allow you to gather feedback from current and departing employees about their role, their supervisors and your company as a whole. You can use that feedback to make improvements to your work environment.

The labor market is tough right now for employers. We hope these ideas help you retain your best employees, and if there is anything our team can answer or do for you, get in touch.