Tagged With "Dealer Sales Reps Owners"
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Re: Post-Virus We Must Defeat The Zombie Companies!
Although I am 60% on board with your move to A4 strategy, most of the rest of the stuff you are posting is "knocking it out of the park"! I would like to see a poll. As a business owner, during COVID-19 would you prefer? 1). No lease payments for 90 days 2). 1/2 price lease payments for one year The auto industry is pushing no payments for 90 days but I think business owners are more concerned about cash flow for the next year. I think the correct strategy is to offer as part of your...
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Re: Post-Virus We Must Defeat The Zombie Companies!
We generally do not build in prepaid copy/ print blocks into our leases. We do give away free copy prints up front but only intended as a short term bonus. We do normally charge a $25.00 minimum monthly maintenance fee but have waived that until the economy rebuilds momentum. I am in Canada, lease vendors are currently offering 90 day payment deferrals added back on at the end of term for those customers who request them. Leases expire every month and customers are happy with the equipment...
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Re: 7 Deadly Topics from 7 Deadly Sinners at Top 100 Summit (Part One)
Is it just me, it seems that the general rule of thumb for the copier industry to end users is "the take or leave approach". Meaning, come hell or high water we're not going to change the way we bill, the way we support, or the financial solutions that we offer. While I was at the Top 100 conference, a rep from Wells Fargo spoke about the billing options that they now have in their leases. One of the options was for seat billing for managed IT services. My thought is that if it's available...
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Re: When is Net New Business not Net New Business?
Interesting perspective. We constantly have the talks about competitive machines we took on service, especially brands we don't carry. I tend to consider is taking a Konica on service and then a year or two later upgrading it to our equipment net new business from the sales side. Obviously we had net new business on the service side but not net new for "x" with the equipment sale. I'd be interested to hear how others see this. I hear a lot of people say it doesn't matter but if I bring a...
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Re: When is Net New Business not Net New Business?
I was wondering if the subject of those customers who were acquired through service was going to come up, & Jason's comment is certainly "food for thought"... In his example, he brought on the service customer (with the obvious intention of upgrading them at the first opportunity) & the dealer gets a contract & machine sale that they otherwise wouldn't have. Sounds like net new to me. In my experience, though, most of these service to machine sale conversions are from customers...
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Re: When is Net New Business not Net New Business?
Jay, We typically go after about any machine other than a Xerox. If someone wants us to service their machine and its not a complete piece of junk we will take it on and will get parts and supplies from dealers etc. until we can upgrade to one of our lines; Savin, Canon, or Samsung. We expect our reps to go out and take service agreements and we pay them the first months billing. Most don't like to mess with 30.00 agreements but they add up and eventually you find a big one. We had a rep who...
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Re: 6 Reasons Why Flat Rate Service Program Will Change the Copier Industry
Art, a terrific take on the changing forces in the business model of the industry. Moneyball has arrived in the imaging business.
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Re: 6 Reasons Why Flat Rate Service Program Will Change the Copier Industry
Thank you Tom, writing it brought back some awesome memories
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Re: Are Copier Sales Reps Asking the Right Questions
As you said, this blog wasn't meant to cover all the bases but your comments about brand loyalty and brand/service provider loyalty are only true if the decision maker has been the same for each decision. If you aren't talking to the owner, you may be talking to a totally different person than the one that made past decisions. You need to know that before you decide whether to pack your bags and walk away. Also, in a leased equipment environment, the decision to stay with the same brand and...
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Re: Why Social Selling Stinks for Most Copier Sales Reps
Art, love this! You know my take on the integration of social into the sales process. Sales requires hard work as most will not put forth the effort. The reason why ones social anything stinks is their effort, plain and simple. Operating with an analig mindset in a digital world = death blow to a sales rep.
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Re: Copier Parts & Accessories China Tariff Starts in 9 Working Days
I suspect that you are retired from the copier industry and do not have to earn commissions each month to support your family. As an active sales rep, I do not have the luxury of hoping that things will run their course when I have budgets and quotas to meet each month. The people who are going to be adversely effected will be US copier sales reps with a higher cost of goods.
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Re: Top Ten "Why Copiers Should Have Warning Labels"
Ty Jason! Had fun with this!! Ty for the email about your rep, that was very humorous sale!! Maybe post in on the forums?
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Re: Sales And Branding Must Get Married, And Larry Levine Is The Priest
What is a recovering copier rep?
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Re: Sales And Branding Must Get Married, And Larry Levine Is The Priest
Art, you will figure it out one of these days!
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Re: Sales And Branding Must Get Married, And Larry Levine Is The Priest
Do you mean former copier rep? The only way I can see myself as former is when I retire. Recovering almost sounds like selling copiers was a "bad thing"?
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Re: A Halloween Tale of an A3 Copier’s Death
What is even more scary is how your commission cheques will fall in $ value if you only sell A4 copiers. The copier/printer market is not getting any larger and if a commission sales rep focuses on selling lower $ value A4 boxes, they are going to have to make a lot more sales calls and sell a lot more boxes to earn the same money.
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
If anything you should be bumping outright purchase prices and discounting leases. The customer who purchases their equipment outright keeps their equipment too long and may go elsewhere when the time comes to upgrade anyway.
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
Maybe not such a bad thing. This makes shorter term leases with less interest more attractive and therefore leases can be turned faster as long as your not padding your leases to begin with.
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
This bill may not apply to Fair Market Value leases. There is no mention of establishing the residual value of the asset which makes the interest rate impossible to calculate. Is a .0278 rate on a 36 month FMV truly -0- interest? Of course not. If you don't end up with title to the equipment, you really haven't financed anything. What is the interest rate on a Hertz Car Rental? What is the difference between that an a 36 mth FMV other then the length of term?
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
Hello Art and the rest of the P4P members - Our industry association (ELFA), along with several independent law firms that represent many of our industry members are reviewing this legislation to determine the actual effects it will have on the industry as a whole and to provide guidance so that our members will be in compliance with the legislation. What we know at this point is that is you are involved in offering financing to businesses in California, you will be subject to this...
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
Padded lease rates are used to "pad" the pockets of dealer principals who are taking commissions away from their sales people. It's a dishonest but standard practice that should be eliminated, so this sounds like healthy change in the right direction.
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
In some cases, more is made on the lease padded rate than the salesperson makes in commissions. Others may tell you that they use the "padded" rates to create promo's for the reps. Do I look like I need an incentive to sell? Frak that, if you need an incentive to sell then you need to get a job at Mickey D's
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
Here is a report from leasingnews.org. One of their legal editors is doing a three part review of this legislation. Leasing News Exclusive: State Senator Steven Glazer and the genesis of CA SB 1235 (Part 1 of 3) By Tom McCurnin Leasing News Legal Editor This is important not only if you are doing commercial business in California, but this may affect other states. If you are new to this, here is legislation passed both the assembly and senate, awaiting California Governor Jerry Brown’s...
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
Part Two: Leasing News Exclusive: The Opposition and How Senator Steven Glazer Got SB 1235 Passed (Part 2 of 3) By Tom McCurnin Leasing News Legal Editor The bill was "Engrossed and Enrolled" and presented to the Governor at 5 p.m., September 12th, awaiting his decision to sign or veto. How He Pushed It Through the Legislature What are the takeaways from this interview and SB 1235? â–ª First , I Was Surprised at the Overwhelming Support of Trade Groups for the Bill. When he rattled off the...
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
Part Three Leasing News Exclusive: Is the Disclosure Too Complicated? State Senator Steven Glazer Position on CA SB 1235 (Part 3 of 3) By Tom McCurnin Leasing News Legal Editor The bill to require full disclosure of interest rates is awaiting Governor Jerry Brown's signature. It was reviewed to be recorded and sent to his office late last week. It seems unlikely he will not sign it as it passed the State Assembly 72-3 and in the Senate 28-6 .It then will be up to the California Department of...
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Re: Is This the Beginning of the End for the Padding of Lease Rates?
from today's Leasing News. Ralph Petta Reaction to Tom McCurnin's "Is the Disclosure Too Complicated? of SB 1235" [ http://leasingnews.org/hires/petta_ralph2018.jpg ] From: Ralph Petta President and CEO Equipment Leasing and Finance Association 1625 Eye Street, NW * Suite 850 Washington, DC 20006 "Allow me to take exception and set the record straight with respect to Mr. McCurnin's statement in his September 21 article(1) about passage of disclosure legislation in California, SB 1235 that...
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Re: The A4 Challenge or Opportunity
In my experience A4 machines are as much or even more hassle than an A3 machine to install and train which I do myself for the customer but my income off of the sale of the A4 device is a fraction of what it would have been had I sold an A3. Beyond that most A4 machines lack a document feeder built to handle the page volumes of walk up copying and scanning my customers do. At the end of the day I have to make a living so I spend my time on A3 opportunities.
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Re: Assume My Copier Lease....What?
I love the idea! I've tried this in the past with Kijiji or Craig's List with little success. I was wondering if you had any stats that this worked or that the leases were successfully transferred? Thanks!
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Re: Assume My Copier Lease....What?
Seems simple and I would guess most of questions such as shipping of equipment, fee's for shipping, dealer support in the area unit is transfered etc. can all be answered?
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Re: Assume My Copier Lease....What?
Tried this recently but haven't found anyone to take it up, issue I have had is often the remaining lease is above the market rates at the time. But its a fantastic concept.
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Re: Assume My Copier Lease....What?
Originally Posted by Kiwispike: Tried this recently but haven't found anyone to take it up, issue I have had is often the remaining lease is above the market rates at the time. But its a fantastic concept. I agree when the market rate is above what you can buy it for, however, but you just never know. Recently we had the Sandy disaster here in NJ. Many companies moved in for one or two years to help with the rebuilding process. They would be viable candidates to assume a lease that may have...
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Re: Assume My Copier Lease....What?
Thanks for all of your questions and comments! To answer the first question by @AOSGROUP, we've had some success in our local area of Toronto, Canada. The transactions were completed manually before launching the marketplace. The current version of the marketplace was only launched this past January, so you guys are the early adopters. Transactions can take the form of either a lease assumption (where one credit-approved client assumes the lease of another as-is), or a split-buyout (where...
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Re: Assume My Copier Lease....What?
@Kitz: Dealer support is also a great question. Currently we approach this on a case-by-case basis. New transfers would go to an affiliated partner in the geographical territory that is qualified to service that equipment. Ultimately, we are building a network of independent dealers not unlike what the direct channel already has access to. This way, independent dealers can leverage the network for new contracts as well, such as when a sale is made to a head office that includes installations...
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Re: Assume My Copier Lease....What?
How does this square with the fine print on every lease doc I've ever read regarding assignment or transferring the lease by the lessee??? Who goes to jail if the lease doesn't get satisfied????
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Re: Assume My Copier Lease....What?
Originally Posted by fisher: How does this square with the fine print on every lease doc I've ever read regarding assignment or transferring the lease by the lessee??? Who goes to jail if the lease doesn't get satisfied???? Fisher: The assumption process is one that I've seen leasing companies do from time to time. You have to get the blessing of the leasing company first, and credit approval for the new leasee.
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Re: Is it Frowned Upon if you Join a Competitor?
If you were unsuccessful where you are, but are unhappy with the company or the product, then moving should not be a problem. But if you were successful, and happy, and only the money was the inducement to move, then I suggest you have a good chat to your current dealer/manager before jumping ship, as "the grass is never greener" in most case. And if that turns out to be the case, then you will very quickly become dissatisfied and move on once again which could easily become the descent into...
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
Art, it's a part of the industry that I doubt you will get rid of. I would like to add my own "observation". I don't think that 99.9% of dealers do a good deal. If 99.9% was the case these instances would not even be noticed because they would be unheard of. I think the reality is that around 60-70% of dealers are OK. Another point is that the leasing companies do not give a damn about the state of the copier at the end of a lease. As long as the customer has made all the payments they're...
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
Grant: Thanx for the comment, here in the US there is the trade agreement also but it varies from dealer to dealer. If the customer opts to return the system then the dealer has the option to buy the equipment.
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
Sorry Grant but I have to call you out.It is a big mistake for salespeople to assume that what is true in their case, is true across the board. It causes the salesrep to make mistakes in judgement and may cause them to unintentionally misinform their prospect. Anything that isn't required by law is negotiable and therefore will vary from lease company to lease company and dealer to dealer. So two dealers using the same lease company may have negotiated different terms.
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
Even if the contract with the supplying dealer specifically has a clause that says the dealer will NOT buy the kit back, the lease co don't want it. I have never heard of a leasing company actually asking for the kit back at the end of a lease, they aren't interested. It's not part of their business plan. What is required as a condition on every lease is that the lessee is responsible for returning the equipment to a destination of the lease co's choice. If it does come to that it will go to...
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
That's not really the point I was trying to make. The point is that a salesrep shouldn't assume anything as fact because the facts vary from dealer to dealer and lease to lease. That having been said, you are missing a big part of the lease equation and that is the "alternative forms of revenue" that comes at the end of the lease. Anytime a lease is ended effectively, the lease company loses the chance of an automatic renewal (evergreen clause), in some cases they lose the chance to sell the...
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
It's easy to work out where the lease co's make their money. Every time a deal is upgraded early the early settlement discount is a paltry sum (3%). The effective interest rates are therefore huge. This settlement is then more often added to a new lease and interested lumped on top of that. There's no factoring in of a residual kit value for the lease companies, too little money for too much effort and management. That's why they don't handle the kit and insist the customer or dealer does...
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
Again, you are stating as fact things that are only true for you or possibly only true in the UK. Over here, I haven't seen an early settlement discount in years. Many companies actually have a pre-payment penalty. The settlement added to the new lease that you speak of is only a benefit to the lease company when the new deal goes to the incumbent. And if there is no residual, why isn't the equipment free to the dealer at the back end? The price to the dealer whether contracted in advance or...
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
I did a search on the web for the company I was speaking about and I found out that there is a law suite pending against for 25 missing copiers!! Where there is smoke there is fire!
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
" Many companies actually have a pre-payment penalty". Any clause which is an attempt to penalise a party if they try and terminate a contract early is illegal in the UK. This is not the same as liquidated damages clauses, where the injured party is entitled to compensation. I'm pretty the same legislation applies in the US?
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
How is it that you are familiar with the laws in the U.S.? Tell me what this is if not a pre-payment penalty? "...You may not payoff this Agreement prior to the end of the Agreement term without our consent and We may charge You, in addition to the other amounts owed under this Agreement, an early termination fee equal to five percent (5%) of the total amount We paid for the Equipment. 9. USE AND MAINTENANCE. You agree that the Equipment is owned by Us and will be used for business..."
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
I do a lot of "contract disassembling" and am very successful at it - It's kind of like a fun sport or hobby to me. US & UK contract law are almost exactly the same. That would be an unenforceable penalty in both UK & US. Here's a reference to "Penal Damages" on Wikipedia that refers to US law. http://en.wikipedia.org/wiki/Penal_damages Most of the people I know who work in the copier industry are of the belief that these clauses are legal and enforceable. That works to my advantage,...
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
I've almost never seen a disputed copier lease where the lessee wins. I'll admit I'm no expert in leasing however most of these agreements are rock solid.
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Re: Copier Scams Part Deux "Dude Where's my Copier"?
I will never understand why Business Equipment Leases do not fall under the Truth In Lending laws that apply to everything else.