An innovative used car finance provider has defied a saturated marketplace - and the challenges of COVID-19 - to reach a third year anniversary milestone with record sales figures.
Solihull-based V12 Vehicle Finance (V12VF) has put its success down to a 'brave' business model and a disruptor mind-set, challenging household name lending firms with a set of bespoke solutions for dealerships and motorists.
Despite only being founded in 2019, V12VF posted £65.4 million in Stock Funding to used car dealers in 2021. This total exceeds the amount recorded in 2020 at £12.7 million. And this month (August 2022), V12VF reached another milestone when it surpassed the £150m Stock Funding finance mark since its launch three years ago.
The successes were achieved amid some of the most challenging trading conditions on record and have been attributed to some bold decisions, unlike any other used vehicle finance lender.
These include:
- A unique proposition of streamlining operations for dealers by ensuring technology and finance solutions are fully integrated and connected to any other IT infrastructure.
- V12VF's Stock Funding helps used car dealers' cashflow by funding 100% of the hammer price at auction including any refurb costs, VAT and fees (compared to a market standard of 80% with dealers having to pay the remaining 20% plus fees). Dealers can start to market and sell that vehicle as soon as they have purchased without losing days doing their own refurb.
Ciara Raison, V12 Vehicle Commercial Director, said: "Our dealer feedback is that they really like how we treat them as individual businesses and can offer commercial solutions which match their business model.
"The easiest way to sum up how we help our dealers is that we save them money, we make them money, we save them time, we take away hassle and we give them peace of mind."
When V12VF designed its full proposition, it decided to make some brave decisions to truly set it apart in the market, as Ciara explained.
V12VF also has one eye on the future to ensure that the good times keep on rolling after three years of growth. Online sales and the rise of electric vehicles are just two advances in the marketplace that Ciara is already planning for.
She added: "The pandemic has forced dealers to look at their models and service their customers remotely. This in turn has given customers confidence to buy online, a trend that is likely to increase.
"And finally, there is an acceptance of Government direction away from fossil fuels."
In order to win looking forward, lenders will need to be able to support these changes both in terms of their technology and culture.
"Our programme does this. We have built the capability to underpin our future growth and have an established culture of innovation."
For more information about V12 Vehicle Finance, visit the link below