Today’s New Normal Calls for New Financing Options

Unless you just launched your MSP practice this year, you’ve probably experienced how much the industry and your customer’s needs have shifted since the pandemic. Most of your customers have likely had to retool their IT strategies to address the requirements of remote workers. At the same time, economic constraints have added pressure on you and your customers. Those economic constraints call for similar consideration and retooling of your financing model. Research conducted by Forrester during the pandemic indicated that more than half of solution providers are offering clients alternative payment or financing models. If you haven’t yet considered giving your customers access to creative financial solutions, now is the time.

Ingram Micro’s Financial Solutions group has conducted its own research, which shows just how important it is to offer creative financial solutions. For example, 61% of clients reported that they now expect finance options or monthly payment plans, while 71% of solution providers said their customers acquired more products and services when they had monthly payment options. Similarly, 77% of solution providers say it’s easier to close deals with monthly payment options. Finally, 85% of solution providers saw a margin increase of 5% or greater with financed deals versus those paid for with cash.

While all the indicators underscore the value of creative financing, most solution providers can’t go it alone. This is where the value from a value-added distributor like Ingram Micro is earned.

Ingram Micro has an entire group dedicated to creating, offering and managing flexible payment solutions (soon to be accessible through the company’s new Xvantage Platform):

• Technology-as-a-service offerings through Ingram Micro give you multiple options to adopt an as-a-service model that matches your go-to-market strategy, providing you with stable, predictable refresh cycles and improved cash flow. At the same time, your customers enjoy a predictable expense and a convenient way to keep up with technology.
• Ingram Micro can also help some partners land deals that exceed their credit limit. If you’re a partner in good standing with a financially strong customer that represents a significant opportunity, it’s in everyone’s interest to make the deal happen. Ingram’s Direct Express program can supplement your credit line to increase your buying power and win projects that will enable you to reach new levels of success.
• Ingram Micro also offers its Agent Model Program (AMP), whereby you assign the end user purchase order to Ingram Micro, eliminating all the credit risks to your business. Ingram Micro takes care of all details, including fulfillment, invoicing and collections.

These programs are just a few examples of how Ingram Micro’s Financial Solutions group can help. For example, one solution provider recently landed an $8 million security deal with a large healthcare organization by working with Ingram Micro to accept three payments. The bottom line is that if you or your customers have unique financing needs, contact Ingram Micro. There’s absolutely no reason not to ask.

This guest blog is part of a Channel Futures sponsorship.