Simply reselling hardware used to be the norm for MSPs and other technology Solution Providers. Then along came the millennial mindset that technology should be consumable, followed shortly by cloud and as-a-Service models. Companies didn’t want to spend their cash on something that would need to be replaced down the road.
Some Solution Providers, like NuWave Technology Partners, met the transition in technology buying patterns by offering monthly payment financing options to their customers.
Chad Paalman, CEO of NuWave, weighed in on the impact this had on his business. Prior to offering financing, NuWave faced challenges with cash sales. They had to battle for their customer’s CapEx dollars and often negotiations ate into their margin. In addition, Paalman said customers often delayed their decision-making and when it came time for payment, NuWave had to track down checks and payments.