Vendors Who Offer Financing Discount 23% Less Often

Today’s big thought: You can ditch the discounts and still close the sale.

• Too many B2B equipment sellers fall into the habit of lowering their prices to get to a “Yes.” But in an era of rising inflation, uncertain supply chains, tariffs, and razor-thin margins, can you really afford to go any lower, even for your best customers?

There’s a better way to seal the deal and hit your sales targets: Offer financing.

• The proof is in the stats: Equipment vendors who provide financing discount their equipment 23% less frequently than those who sell cash-only. They don’t need to trim prices as often, because monthly payment options provide the same relief.

Behind the curtain: Price objections are often affordability objections in disguise. Customers say, “too expensive,” when they mean, “too much cash all at once.”

• Vendors without financing options have only one lever to pull—lowering the price. Vendors with a financing partner have many more tools in their toolbox to get to “Yes.”
• At TimePayment, we offer multiple financing products with a variety of term lengths and end-of-term options, so customers can choose the equipment that meets their business goals and the monthly payment option that fits their budget.

Further insights for equipment sellers: Remember…

• Financing reframes the objection. “I understand—$27,000 is significant. But at $729/month, does that fit your budget?” shifts the conversation from total cost to monthly cash flow and ROI.
• Financing is customer- and dealer-friendly. Frequent discounting devalues your stock in your customer’s eyes and sets high expectations for future discounts that you may not be able to fulfill. Financing maintains your price integrity while still solving the customer’s very real affordability problem.
• Margin protection compounds: Avoiding 10% discounts on every deal compounds to significant profit over a year. Financing costs you nothing while protecting the revenue you’ve earned.