The first mistake is: Ask for the wrong informationI receive this call often:
I have a board meeting tonight and need to show the board it's time to buy. What is the payment for an $X amount loan?
Here's why this is a mistake
The caller is trying to use financing information to help with the justification question.
There are 3 distinct financial phases to a fire truck purchase. You can read more about this by clicking here.
Most callers think that showing a payment instead of a $300,000 or $400,000 all at once truck price will improve their chances for justifying the purchase. In fact, the exact opposite is true.
When you ask for a payment, you are providing information to the board that compares "Not buying" (which seems free) with "Buying" (which has a high cost).
Here's how to avoid this mistakeIf you are still justifying the purchase, use justifying financial tools to compare the costs of buying versus not buying. When it's done correctly, it becomes simpler to justify the purchase.
SummaryIt's important to know which financial phase of the purchase you are in. If you are still trying to justify the purchase, don't ask for financing payments.
Download your free Fire Truck Justification Kit today.
Just click here.
John R. Hill