Plumbing emergencies can be expensive. When it comes to financing those repairs, there are a variety of options. Some are better than others.
Personal home improvement loans can help with plumbing repairs or upgrades. Typically, these are unsecured loans that are based on creditworthiness rather than collateral. A home equity line of credit (HELOC) may also be an option. It works similarly to a credit card but uses the equity in your home as collateral. While this type of loan has lower interest rates than some other types, the potential for a home foreclosure should be considered carefully before pursuing this option.
Some plumbers use working capital loans to cover gaps in their business’ cash flow. These loans are backed by unpaid accounts receivable and can be processed in as little as a few hours. These are a great solution for plumbers who experience seasonal fluctuations in their work volume or need to purchase new equipment.
Using an SBA express loan can be a great way for plumbing companies to grow their businesses, refinance existing debt, or help get through a rough patch. This type of loan requires a strong business plan, solid financials, and good business practices. It’s important for plumbing business owners to shop around and find the best SBA express loan for their needs.
There are a variety of different loans for plumbers available, including personal and small business loans, home equity lines of credit, and unsecured personal loans. In addition, some large plumbing companies offer customer financing options directly. Choosing the right plumber financing option for your business can make or break your profits.
Many homeowners struggle to afford big-ticket plumbing repairs, such as replacing a water heater. These repairs can run into thousands of dollars. While it’s possible to finance plumbing repair costs through a credit card, the high interest rates and credit card limits should discourage this from being your primary method of financing.
Some plumbing companies offer their customers payment plans or plumbing financing through third-party providers. These loans have different terms, conditions, and interest rates. Getting the right plumbing financing can help you maximize your profits and grow your business.
Invoice factoring is another type of plumber financing that allows you to finance your business based on the amount of unpaid invoices you have. Unlike most loans, this type of financing is not backed by your home or business and has lower interest rates than traditional bank loans.
Offering plumbing customer financing is an easy way for plumbers to boost their profits. However, some technicians are nervous about mentioning customer financing to their customers. ServiceTitan Mobile’s integrated customer financing removes the awkwardness for plumbing techs, by automatically displaying customer financing options when they show customers any of their “good,” “better,” or “best” options. This helps your plumbing company generate more revenue and makes it easier for your customers to choose you for their next job.