Financing is an important part of the sales process, and EZ Process Pro makes it easy to do financing both through external options and directly In-house. In-house financing means you provide the product to the customer and arrange a payment plan that begins after the product has been delivered. The benefits to your company include:
- The ability to close a deal that might not have closed otherwise closed
- The ability to collect interest on a deal
- The opportunity to set up a reoccurring automated draft from the client's checking and/or credit card on a monthly basis to ensure payments are made on time.
- You can print monthly bills from your receivable reports complete with a return payment slip, and addressed to fit in double windowed envelopes.
Set-Up
- Login to your EZ Process Pro system
- Go to Main Menu > Getting Started > System Settings > Page 1
- Under Financing Companies, click on Reactivate to the right of In House
- Once complete click on In House as seen in the above picture. This will take you to the following screen.
- On this page, the Name will be "In House", and the abbreviation will be "IH". In the contact information, fill out your company information. Make sure this is accurate, as this will show up on contracts with customers
- When you have filled this out, click the "Configure IH" link at the top of the screen. A new tab will open up with the In-House Financing Contract Configuration settings, part of which you can see in the following image. You will need to fill out these settings as described below.
- Once You have completed this form click "Update" and then click "Close" to exit out of the window.
Instructions for FIlling out the form in step 9
When creating an in-house financing contract for a client only the terms that you set up in this area will be available to your clients through your company representative.
Enter maximum number of payments: Enter the maximum number of payments you will allow a customer to extend their payment plan. Your company representative will be able to type in any number of payments equal to or less than that which you set up.
I offer term loans and have a default Annual Percentage Rate for Term loans: If you want to offer term loans, ensure this option is checked. Then, type in the percentage that you want the system to fill into the contract terms automatically.
Remember, In-house financing is a higher risk than external financing, so some companies charge a higher-than-average rate.
I offer revolving loans and offer a default Annual Percentage Rate for Revolving loans: If you want to offer revolving loans, make sure this option is checked. Then, type in the percentage that you want the system to fill into the contract terms automatically. Finally, fill in the minimum payment for the revolving balance as either a % of the balance or $ amount.
Remember, In-house financing is a higher risk than external financing, so some companies charge a higher-than-average rate.
I want the contract writer to be able to change the APR: Choose this option if you want the contract writer to be able to change the preconfigured terms*.
I want to offer "Same As Cash": This refers to the offering of a no-interest financing package if the client pays according to the terms set in the contract. Maximum allowed days is the maximum number of days you will offer to your clients without them being charged an interest charge. "Same As Cash" financing requires the client to pay off their balance within the allowed number of days set in their contract.
If the client does not pay off their balance on time, full interest will be charged based on terms starting from the date of the initial contract. By checking the box next to the same as cash statement you will be allowing your company representative to offer this to your clients.
Note that this option is similar to "No Payments and No Interests". You can make both options available, or select one or neither depending on what suits your business best.
I want to offer "No Payments and No Interests": I want to offer "No Payments and No Interests" is offering a certain period of time to overlap before your client is required to start making payments on their contract. It also states that no interest will accrue during this time frame regardless of whether or not the contract is paid off within the "Maximum allowed days". Maximum allowed days is the maximum length of time you will allow your company representatives to extend a No Payments and No Interests offer.
Note that this option is similar to "Same as Cash". You can make both options available, or select one or neither depending on what suits your business best.
I allow trade-in (s) towards financing: By checking "I allow trade-in (s) towards financing" you will be allowing your company representative to offer a certain dollar amount discount on the finance contract based on an exchange of goods on the part of both involved parties.
For term accounts, if a payment is not paid within X days of the due date: This explains that for term accounts, if the client's scheduled payment is late by more than the certain number of days you entered into the box, then full interest is added in ( all special offers are null and void), and a late fee you choose will be applied to their next bill.
For revolving accounts, the due dates will be X days from the billing dates: For revolving accounts, you can select how many days away from the billing date the accounts are due. Then, select how many days after the due date all special financing becomes void and full interest is added in, as well as what the late fee will be.
On top of the bill print address of: Here, you can choose what location you want specified for the contract.
its own location - the location where the sale was made
one specific location - a location that you will specify in the field below
all locations - all locations active in your system
Specify Location: If you chose "one specific location" in the field above, select the location you want specified here.
Term Contract Fine Print: This is the fine print that will show up on the Term Contract.
Revolving Contract Fine Print: This is the fine print that will show up on the Revolving Contract.
Bill Fine Print (Term) Loan: This is the fine print that will show up on the Term Loan.
Bill Fine Print (Revolving) Loan: This is the fine print that will show up on the Revolving Loan.