Rent Now, Pay Later: How DOZR Customers Receive Better Payment Terms
As a contractor-founded business, we know all about the cash flow challenges that contractors face every day. These business owners have the hard task of balancing high up-front costs while waiting anywhere from 30 to 90 days to be paid for the job they've already finished. For many contractors, this challenge can be the difference between having the cash flow to be in business in the next 3 months or not.
That's why we recently partnered with Flexbase to make credit applications easier for contractors renting on DOZR. This Rent Now, Pay Later solution, available only in the United States, is powered by Flexbase Pay and removes a significant barrier for contractors renting on DOZR by providing 0% interest for 60 days.
Why Flexbase?
Like DOZR, Flexbase is a company that was founded to support contractors specifically. We're customer-obsessed and want to continue delivering solutions that make the lives of our customers easier.
What Contractor Challenges DOZR Is Solving
Currently, the industry standard for invoice payment policies is dependent on the credit card contractors use to run your business or on the supplier they rent their equipment through. This can cause many challenges for contractors, especially those that are small-to-medium-sized enterprises and struggle to get paid on time. We will highlight some of those challenges below.
Access to Cashflow
The Problem: Contractors are not getting paid on time.
Contractors have a lot of upfront costs before they even get their boots in the dirt. And much of this happens before they see a dollar from the client. For many contractors, the payment cycle can be split between the initial down payment and the final payment when the job closes.
This payment cycle works great for the customer but contractors typically end up with the raw end of the deal. Receiving payment at the beginning of a project is pretty easy as the incentive is there for the customer to pay contractors to start and finish the job. However, receiving payment when the project has been completed is much more challenging.
The Solution: Increase the payment terms on your equipment rentals.
When renting equipment on DOZR, select "Flexbase Pay" as the payment method to gain access to 0% interest on equipment rentals for 60 days. Not only are the contractors accruing no interest over a longer term, but they're able to use these payment terms across any supplier they rent from on DOZR. By using DOZR, contractors can book equipment now and pay later to extend the cash they have in their account and do so without harming their credit as much as standard payment terms.
Limited Credit Access
The Problem: Because of bad payment terms, contractors have bad credit.
Going hand-in-hand with not getting paid is having bad credit. This is because the less likely contractors are to get paid on time, the more likely it is they will not able to pay their debts on time. This leads to a negatively affected credit score which will make them more likely to be denied credit from a supplier. We see this all the time.
The two ways of paying for business expenses in the contracting industries are credit cards or on credit accounts. Standard credit card rates are decided by the bank whereas account terms are different depending on the equipment supplier. And while creating accounts is typically better than using a credit card, contractors often have to apply for credit terms at each supplier. This results in a lot of paperwork which is incredibly time-consuming.
Renting equipment from DOZR using Flexbase Pay removes these challenges and pain points.
The Solution: Standardize payment terms and build better credit.
By using Flexbase Pay on DOZR, contractors are able to apply for credit very easily and use the same payment terms of 0% interest for 60 days across all suppliers in the DOZR marketplace. That's right. Contractors can limit their paperwork to just one credit application that can be used across all suppliers. With Flexbase Pay, contractors can apply for up to $150,000 in credit in just a few minutes.
How It Works
Getting Flexbase Pay through DOZR is a very simple process.
- Search rentals in your area.
- Add equipment to your order.
- Select Flexbase Pay as your billing preference at checkout.
This is a win-win solution for contractors. Not only does it give them more power over their money but it also simplifies and streamlines their payment processes while removing their liability.
Watch the following video for more:
Start Renting Using Flexbase on DOZR Today
At DOZR, we want to deliver valuable solutions to contractors throughout the equipment rental process. Our collaboration with Flexbase is the latest in a long line of products we've launched to demonstrate our passion for helping contractors overcome common pain points and challenges.
Contractors can book equipment through DOZR using Flexbase Pay now and read more about the collaboration in our press release.
