Products & Services Issue | Jan/Feb 2017
National Equipment Finance Association
nefassociation.org
CONVERGING POINTS – Products & Services Sharpen Productivity
Also inside... Executive Outlook: Equipment Finance in 2017
Newsline's 2016 Post-Election Survey
Jan/Feb 2017 Volume 9 Number 1
National Equipment Finance Association
FEATURES
BIG14 DATA: NAVIGATING QUANTITY AND QUALITY Vision Commerce’s Stephen Lundergan and Kyle Jung couldn’t agree more with the following statement: “The problem with big data is that it’s too big.” As equipment finance solutions providers, both take a moment to discuss the topic further. By Stephen M. Lundergan & Kyle Jung
BOXING20 OUT RISK - BACKGROUND CHECKS SHOULD NOT BE TAKEN LIGHTLY Today, personal misrepresentations and embellishments of accomplishments and credentials through social media and other forms of technology are elevating the importance of background checks. By Sue Bury
ADVANCING22 YOUR BROKER BUSINESS WITH EFFICIENT AND EFFECTIVE SERVICING PARTNERSHIPS Joe Andries at GreatAmerica Portfolio Services Group notes a solid relationship between a broker and its servicing partner not only provides efficiency in day-to- day operations, but also conveys stability to funding sources and clients alike. By Joe Andries
SPECIAL SECTIONS
NEWSLINE12 2016 POST-ELECTION SURVEY With the Republican Party celebrating a clean sweep in the White House and both Houses of Congress, Newsline launched its own Post-Election Survey to gain a sense of NEFA members’ views on the outcome.
201716 INDUSTRY OUTLOOK Newsline begins the New Year with a roundtable discussion that brings together four equipment finance and leasing executives who share their outlook for 2017.
This year’s Industry Outlook participants include David Normandin at Hanmi Commercial Equipment Finance; Andrea Zana at Amur Finance Company; Robert Ingram at Lakeland Bank and Ted Reynolds at TEAM Funding Solutions. The Newsline staff wishes to extend its gratitude to Andrea, David, Robert and Ted for their participation in this year’s roundtable.
Jan/Feb 2017 NEWSLINE 1 DEPARTMENTS
14 25 BROKER INSIGHTS Saying NO… The Why, When and How! Whether it’s within the first few minutes of reviewing a transaction or after hours struggling with a vendor or customer, there comes a point in time when the decision must be made to continue on, or walk away. This process can be cut and dry or gut-wrenching. By Bette Kerhoulas
27 HUMAN INTEREST A Friendship Launched in Leasing, Destined to Last a Lifetime When GreatAmerica Financial Services' Cindy Fleck and Strada Capital’s Melissa Fisher met as equipment leasing professionals, something just seemed to “click.” Newsline caught up with Fisher and Fleck to find out more about their unique friendship which launched in leasing and quickly escalated to “BFF” status.
ALSO INSIDE... 3 From NEFA’s President 20 4 From NEFA’s Executive Director 5 In the News… 11 Association 24 neFACTS
NEFA Headquarters Newsline Design & Production Design & Production P.O. Box 69 Equipment Finance Advisor, Inc. Eliza Whitney Northbrook, IL 60065-0069 d/b/a Advisor Publishing Group www.elizawhitney.com 847.380.5050 Main 975 Mill Road, Suite G 847.380.5055 Fax Bryn Mawr, PA 19010 www.NEFAssociation.org NEFA Newsline ©2017 is published Editor-in-Chief [email protected] bi-monthly by the National Equipment Finance Michael Toglia NEFA Executive Director & CEO 484.380.3184 Association. All rights reserved. The opinions Gerry Egan [email protected] and views expressed in this publication including 847.380.5052 all editorial and advertising content are not Executive Editor [email protected] those of the National Equipment Finance Stuart Papavassiliou NEFA Senior Association Coordinator 484.380.2964 Association and/or Equipment Finance Advisor, Kim King [email protected] Inc. Reproduction, duplication or redistribution 847.380.5053 in whole or in part is not permitted without Director of Sales & Marketing [email protected] express written permission of the National Denise Finegan 484.380.2968 Equipment Finance Association and Equipment [email protected] Finance Advisor, Inc.
2 NEWSLINE Jan/Feb 2017 2017 BOARD OF DIRECTORS
EXECUTIVE COMMITTEE president STEPHANIE HALL, CLFP BRYN MAWR FUNDING A Message from vice president NEFA’s President MIKE COON AXIS CAPITAL, INC. treasurer It’s likely that just a couple of months ago I’m certain that you MARC KEEPMAN, CLFP you completed your annual budget for CAN provide affordable KLC FINANCIAL, INC. 2017. How much of the budget was allo- education to help close cated for education and training? Was it the capability gap. You secretary more than the year before? It’s estimated CAN expedite the devel- DENNIS DRESSLER that in 2015 companies spent 10% more opment of your profes- DRESSLER & PETERS, LLC on training and education than they did sional staff beyond the in 2014, which in turn showed a 10% tipping point into full immediate past president increase over 2013. productivity. This is the GARY SOUVEREIN type of education the PAWNEE LEASING I recently read an article in Forbes that National Equipment CORPORATION focused on corporate education and Finance Association offers through its training. It stated that more than 70% spring Summit and fall Funding Sym- of organizations have reported “capa- posium. Education is one of our primary board of directors bility gaps” as one of their top five chal- values, because we know how important DARYN LECY, CLFP lenges, adding that it takes three to five it is to organizations like yours. These STEARNS BANK years to take a seasoned professional and events are packed with education that is make them fully productive. What if you yours for the taking. So when you regis- ERIC ALLEY could affordably offer education to your ter for the spring Summit this year, take LEASETEAM, INC. employees to help close the capability gaps advantage of what the NEFA can do to and expedite the timeframe for develop- help your organization and bring a few GABE JARNOT, CLFP ing a fully-productive professional in your folks from your staff who are ready to NORTHLAND CAPITAL organization? What if you could immerse move to the next step. FINANCIAL SERVICES, LLC your employees in a sea of seasoned pro- fessionals, who are willing to help train I hope to see you in Long Beach in JOE LEONARD, CLFP your staff by offering their wisdom based March, along with some new faces from OAKMONT CAPITAL on decades of experience running organi- your company who are ready to grow in SERVICES zations like yours? Wouldn’t it be wonder- our industry! ful to have your collections staff learn best KRISTIAN DOLAN, CLFP practices from a handful of experts in the TAMARACK industry? What if the person who handles your company’s marketing could receive an hour of free legal advice on acceptable Stephanie Hall LAURA CARINI, CLFP NEFA President FINANCIAL PACIFIC marketing tactics? LEASING, INC.
NICHOLAS ROSS, CLFP BANK OF THE WEST
SHANE DAVIS DEDICATED COMMERCIAL RECOVERY INC.
Jan/Feb 2017 NEWSLINE 3 A Message from NEFA’s Executive Director
Happy New Year, one and all! I hope of our educational outreach program is a huge opportu- everyone is off to a good start for 2017! I’m nity for us this year. We’ve extended our online commu- happy to report, that both personally and nity website with the addition of a state-of-the-art online as Executive Director of NEFA, 2016 was learning platform. This means the kind of timely, top- a very successful year and 2017 promises to notch educational programs our conferences are known continue with that good fortune. for can be accessible 24/7, every day of the year, from wherever you are. By the time this issue of Newsline is pub- lished, registration for NEFA’s 2017 But we still need help with it. We need members willing National Equipment Finance Summit will to share their knowledge and experience both for adapt- be open. But even today, as I write this ing some of the classic material we already have as well as pre-opening, it’s already off to an early start and promises outlining new potential courses for delivery online. once again to be one of our best conferences ever. I say this because this year’s Summit returns to the site of a For those of you with employees to train or develop, very, very successful Summit in 2015, the Renaissance this is a great investment of your time as it will pay back Long Beach Hotel, in Long Beach, California. many times over and for years to come. If each member company would designate one person to spend an hour Long Beach is within driving distance of a large num- a week with us working on this project, we’d have the ber of our members and other industry professionals. It’s industry’s leading knowledge base in no time at all. also served by three major airports making it one of the easiest cities for others from outside the area to travel to. Community is what makes NEFA work and we also have Of course, it’s also Southern California in March - a other ways to get involved with other members and to whole lot of members and industry friends will be ready help NEFA plan for the future. Reach out to any NEFA for that! Board Member and tell them what you like most about NEFA and they’ll direct you to a way you can have a big I’ve been keeping up with Summit chairperson, Frank impact on it. Peretore, and his very enthusiastic team of volunteers. Together they have organized a really great lineup of Again, I wish everyone a prosperous 2017 and I look for- educational programs for the Summit. So, in addition to ward to seeing you in person, March 15 to 17 in Long the fun that Southern California always offers, there’s real Beach. business value there too. This year’s Summit runs from Wednesday, March 15 through Friday, March 17.
Education is a pillar of NEFA’s identity of Community; Gerry Egan Education; and Professionalism; and the modernization NEFA Executive Director & CEO
4 NEWSLINE Jan/Feb 2017 in the NEWS PERSONNEL ANNOUNCEMENTS Ernie Morales and Jennifer Specht joined Key Equipment Finance as technology finance Vice Presidents based out of the San Fran- Bunnell Promoted to President of cisco Bay Area. Morales and Specht bring extensive experience in Arvest Equipment Finance technology sales and financial services and will be responsible for Arvest Bank announced that Eric Bunnell growing and building Key Equipment Finance’s technology ven- has been promoted from Senior Vice President dor relationships in Silicon Valley and the Bay Area. and Sales Manager to President of Arvest Equip- ment Finance (AEF). Bunnell,National a Certified Lease Equipment& Finance Kevin Quarantello Finance joined the Key EquipmentAssociation Finance technol- Professional who is a member of the CLFP Board of Directors, ogy sales team as Vice President, service providers. Quarantel- has been with Arvest since 2012 and in the commercial lending lo’s responsibilities include delivering finance solutions to large industry since 2001. He also serves as a member of the National IT and telecom service providers and global systems integrators, Equipment Finance Association. In his new role, Bunnell will many of whom are making a shift toward providing and financ- provide leadership and overall day-to-day direction and adminis- ing managed services solutions for their end-user customers. He tration of Arvest’s commercial equipment finance division, among brings more than 25 years of technology sector experience to the other duties. role and will be based in Norwalk, CT.
“Eric’s industry experience and track record here at Arvest made Key Equipment Finance also promoted technology finance vet- him a natural choice to lead AEF,” said Craig Rivaldo, president eran Shawn Arnone to Vice President, Wholesale Sales Leader for and CEO for Arvest Bank in Benton County. “We are excited the technology team. Arnone brings more than 25 years of sales, about what Eric will bring to his new role, and know that AEF is customer relations and managerial experience to this position. In in good hands as that segment of our business continues to grow.” his new role, he will lead a team of program management and account executive professionals focused on delivering best in class Pawnee Leasing Names Business Development Manager wholesale vendor finance products to manufacturers, captives and Pawnee Leasing named Paul J. Phillips as its Business Develop- independent finance organizations throughout the U.S. ment Manager. The role is new to the organization and will pro- vide enhanced tactical and strategic focus towards the Company’s development and expansion of the Com- pany’s originations with its existing and new broker partners. Phillips brings over ten years of third-party finance business development expertise including five years with Pawnee as its East Region Business Development Representative from 2009- We Want 2014.
Gary Souverein, Pawnee’s President stated, “Paul’s talent and abilities in relationship To uy development will further strengthen and B lead our successful business development team which has achieved growth of over 60% in 2016. Paul has an exceptional Your uLeases! understanding of our broker customers PORTFOLIO PURCHASES EQUIPMENT & BUSINESS FINANCING having started his career as an equipment finance salesperson in addition to his five years with Pawnee.” Key EF Expands Technology Finance 1.800.247.1922 Team, Offers Managed Solutions Contact Mikki Henkelman, CLFP, or Kayla Perlinger, CLFP Today! Key Equipment Finance announced the [email protected] | [email protected] expansion of its technology team and inno- vative technology finance products as the company rolls out a comprehensive strat- egy to meet the equipment finance needs of the technology sector.
Jan/Feb 2017 NEWSLINE 5 in the NEWS for the future and affirms the core values which customers have grown to appreciate and trust.
National Equipment“Reflecting Finance the characteristicsAssociation of the distinctive Amur leopard in First Foundation Bank Adds VP Sales & Service in our new logo, the Amur Equipment Finance brand now show- Equipment Finance Department cases our best qualities as a business,” said AmurEF’s Marketing Director, Jacklynn Manning. “Our new brand represents the curi- Lisa Whitehead, CLFP joined First Foundation Bank as Vice osity to learn about our customer’s specific needs, the agility to President/Sales & Service in the Equipment Finance Department. grow and change as their requirements change, and most impor- Whitehead's primary role will be to service the primary growth tantly, the tenacity to do what it takes to serve our customers.” engine for the department – Third Party Originator Partners. Manning continued, “The rebrand to Amur Equipment Finance Additionally, she will work with the bank’s Private Banking Offi- coincides with a period of strong growth in our business … it cers to service the equipment finance and leasing needs of First epitomizes all that we stand for, all that we can achieve together Foundation Bank’s customers and prospects. while reinforcing our overarching mission.”
Whitehead most recently served as Operations Manager for Paci- The rebrand to Amur Equipment Finance includes a newly designed, fica Capital in San Juan Capistrano and has also been a Docu- robust website that provides a customer-centric experience. Full mentation & Funding Director as well as holding several other product offerings are now available to site visitors, including vendor customer service, loan processing and credit positions within the and origination program information along with customer video tes- commercial finance industry. timonials and success stories. Specialized tools, such as a Section 179 Calculator, are available to assist customers with understanding and INDUSTRY NEWS accessing the full range of AmurEF’s equipment finance products.
Axis Capital Rebrands as AMUR Equipment Finance Malia K. Du Mont, AmurEF’s Co-President and COO stated, Axis Capital has unveiled a new company name, logo and web- “Our new name appropriately reveals our long-standing mem- site – rebranding as Amur Equipment Finance (AmurEF). As bership in the global Amur family of companies.” She added, “It’s part of the company’s 20th anniversary celebration, the corporate an affiliation that provides us and ultimately our customers with rebranding initiative reflects Amur Equipment Finance’s vision world-class financial expertise and products.”
6 NEWSLINE Jan/Feb 2017 American Lease Insurance Introduces Equipment experience with higher approval rates, lower interest rates and Insurance Direct improved deal close rates. American Lease Insurance Agency Corporation (ALI) introduced Equipment Insurance Direct (EID), an online insurance resource Vernon Tirey, co-founder and CEO of LeaseQ, will serve as CEO for small-business equipment lessees throughout the United of the combined businesses. Scott Harmon, founder and CEO of States. Through EID, lessees can easily obtain property and lia- Noesis, will assume a position as strategic advisor. bility insurance required on their leased equipment at affordable monthly charges from A+ underwriter AGCS Marine Insurance Advantage Funding, Jerr-Dan Launch New Financing Company. Program Jerr-Dan Corporation, an Oshkosh Corporation Company and Navitas Expands Electronic Document Offering a leader in the towing and recovery business, has introduced Navitas Credit Corp. announced the corporate expansion of its first-ever financing program, Jerr-Dan Financial Solutions EZ-Docs, its electronic documents service, which completely (JDFS). Through this program, distributors can now provide digitizes the entire transaction delivery and management process. financing directly to their customers from Jerr-Dan on new and The technology was initially deployed in the fourth quarter of used Jerr-Dan equipment. 2015 and enables equipment sellers and business borrowers to expedite financing transactions by delivering a paperless process- In an effort to streamline and consolidate the current financing ing environment. Executing documents is automated and there is process for both dealers and their customers, Jerr-Dan has part- no need to print, scan, fax or provide wet-ink original signatures. nered with Advantage Funding to form a “one-stop shop” for leases and loans. This partnership will enhance Jerr-Dan’s lending The second phase of the Navitas EZ-Docs initiative was com- solutions in order to help customers meet their goals. pleted in the third quarter of this year and has now been deployed to the user community. The new functionality transformed the “Advantage Funding was the ideal partner to Jerr-Dan in this product from strictly an electronic document delivery system to groundbreaking program,” said Jeff Irr, Senior Director of Sales supporting the entire transactional workflow. Once documents at Jerr-Dan. “Not only are they familiar with our industry; they are returned, internal users now have the ability to amend or add understand our customers’ needs.” The partnership combines to the “electronic envelope” and then resend to the customer. Jerr-Dan’s tow industry expertise with convenient access to lend- New operational processes have been added that reduces man- ing support at the point of purchase as part of Jerr-Dan’s ‘Full ual intervention while expediting service delivery. As part of this phase of the project, additional business divisions and users were ‘ added, resulting in the majority of the organization being able to offer the electronic document service. How well are you resting with your LeaseQ Announces the Acquisition of Noesis approach to managing business risks? LeaseQ announced the acquisition of Noesis, the leader in com- mercial building equipment financing, based in Austin, Texas. Noesis, now a business unit of LeaseQ, will serve as LeaseQ’s Aus- tin presence.
“To succeed in a vertical market, you need deep industry expertise, and we’ve found that in Noesis,” said Vernon Tirey, co-founder and CEO of LeaseQ. “By acquiring the leader in building equip- ment financing, we are able to better serve building equipment manufacturers, distributors, contractors and their customers. Noesis has also developed powerful proprietary sales tools that Rest very well helps equipment sellers articulate the value and benefits of pur- ...with specialty coverages, powerful technology, chasing new equipment, and LeaseQ can leverage those tools and industry experience to help protect your business against: across other equipment vertical market categories to grow com- Non-compliance with insurance Gap between book value and bined business more rapidly and efficiently.” requirements stipulated loss value Unexpected exposure during the Defense cost of vicarious liability lease/fi nance term lawsuit Noesis is the premier source for financing commercial build- Residual value risk ing equipment, like LED lighting, HVAC systems, commercial refrigeration and building controls. With deep expertise in com- For more information, contact us at mercial building and energy equipment, Noesis brings a strong, 866-676-5677 unique set of equipment sellers to the LeaseQ platform, includ- or [email protected] GAIG.com/EquipmentInsurance Great American Insurance Group, 301 E. Fourth Street, Cincinnati, Ohio 45202. Coverage description is summarized. ing leading manufacturers of energy efficiency equipment, and Refer to the actual policy for a full description of applicable terms, conditions, limits and exclusions. Policies are underwritten by Great American Insurance Company, Great American Alliance Insurance Company and Great mechanical service and LED lighting companies. LeaseQ’s American Assurance Company, authorized insurers in DC and all 50 states; Great American Spirit Insurance Company, an authorized insurer in DC and all states except NH; and Great American Contemporary Insurance Company, an robust network of more than 300 lenders, instant quotes and authorized insurer in AZ, CA, FL, IL, IN, KY, MD, MS, NY, NC, OH and WA. The Great American Insurance Group eagle logo, and the word marks Great American® and Great American Insurance Group® are registered service marks of real-time credit approval will enhance the Noesis customer Great American Insurance Company. ©2016 Great American Insurance Company. All rights reserved.
Jan/Feb 2017 NEWSLINE 7 in the NEWS "Our partnership is designed to make financing solutions seam- less and flexible to further enhance customer experience,” said Al Damiani, CEO of Advantage Funding. National Equipment Finance Association Quality Leasing Selects LeaseTeam’s ASPIRE Circle Program’ for dealers. Designed to facilitate business growth and improve customer relations, the program offers tailored LeaseTeam announced that Quality Leasing Co., Inc. has selected finance plans, and strategies to enhance brand loyalty, among ASPIRE as its end-to-end lease and loan management solution. other benefits to both tow-truck distributors and buyers. Financ- ing is competitive for dealerships of various sizes and credit rat- “Because of their well-known and respected industry reputa- ings. Jerr-Dan also provides servicing to buyers through the name tion, LeaseTeam and ASPIRE were a natural choice for Quality of the originating dealership, helping dealers build and maintain Leasing,” said G. Paul Fogle, general manager at Quality Leas- better relationships with their customers. ing. “ASPIRE will help streamline our processes, our marketing efforts, and our performance tracking; improving our overall effi- ciency. Most importantly, ASPIRE will contribute by shortening the application to close time frame, allow- ing us to provide a better customer experi- ence – which is our number one priority.”
Alabama - Marks & Associates, P.C. Having a Problem with Arizona - Jennings, Haug “We are excited to be working with such & Cunningham, LLP an experienced team at Quality Leasing,” Arkansas - Hood and Stacy, P.C. said Jeff Van Slyke, President at Lease- Lease Enforcement? California - Los Angeles - Hemar, Rousso & Heald, LLP Team. “It is always a pleasure to work San Francisco - Cooper, White & Cooper, LLP with a company whose customer’s mean as Colorado - Harry L. Simon, P.C. much to them as ours do to us. Partnering Not Anymore. District of Columbia - Weinstock, Friedman & Friedman, P.A. with innovative companies provides an Florida - Miami Beach - Mitrani, Rynor, opportunity for growth for both parties.” Adamsky & Toland P.A. If you need Georgia - Higgins & Dubner Hawaii - Kessner Umebayashi Bain QuickBridge Offers Direct-to-Busi- & Matsunaga ness Smart Working Capital Loans experienced legal Illinois - Ashen/Faulkner LTD Indiana - Lloyd & McDaniel, PLC Quick Bridge Funding LLC announced counsel to help Iowa - Witt Law Offices its expansion into the direct-to-business Kansas - Young, Bogle, McCausland, market with a new organizational iden- you tackle today’s Wells & Blanchard Kentucky - Lloyd & McDaniel, PLC tity. Quick Bridge Funding, now Quick- challenges, Louisiana - McGlinchey Stafford, PLLC Bridge, intends to grow its presence as a Maryland - Weinstock, Friedman leading provider of working capital for & Friedman, P.A. call us for a Massachusetts - Cohn & Dussi, LLC business owners nationwide. QuickBridge Michigan - Jaffe, Raitt, Heuer & Weiss, P.C. offers short-term loans of up to $200,000. complimentary Minnesota - Messerli & Kramer, P.A. Missouri - Jenkins & Kling, P.C. New Jersey - Sparta - Peretore & QuickBridge was built on the idea that an referral at Peretore, P.C. alternative lender could create a culture Voorhees - Howard N. Sobel, P.A. of integrity, professionalism and transpar- 877-LEASE-LAW, or New York - New York City - Foster & Wolkind, P.C. ency while offering small businesses seam- visit our directory Syracuse - Barclay Damon, LLP less access to working capital. Through its North Carolina - Charlotte - Poyner proprietary, award-winning lending plat- & Spruill, LLP of LEAN firms at Raleigh - Smith Debnam form, QuickBridge designs loans to fund Oklahoma - Hood and Stacy, P.A. a business’s unique needs and goals. More Oregon - Farleigh Wada Witt than 8,000 customers have made Quick- Pennsylvania - Pittsburgh - Bernstein - Burkley, P.C. Bridge their choice to help sustain and Philadelphia - Montgomery McCracken grow their businesses. Rhode Island - Cohn & Dussi, LLC LEASE ENFORCEMENT ATTORNEY NETWORK South Carolina- Robinson, McFadden & Moore, P.C. President Ben Gold said, “We’re excited to Suite 2200 Texas - Padfield & Stout, LLP share QuickBridge’s vision for the future Gulf Tower Utah - Ray Quinney & Nebeker, P.C. with the launch of our new brand. Rest Pittsburgh, Pennsylvania 15219 Virginia - Weinstock, Friedman & Friedman, P.A. assured, our funding process will remain www.leasecollect.org Wisconsin - Quarles & Brady, LLP fast, seamless, and transparent. We will www.leasecollect.org Murphy Desmond, S.C. continue to build on our expertise to CANADA Quebec - Lavery, De Billy, LLP ensure our customers get the right loan at the right term. We are committed to pro- viding world-class service to our custom-
8 NEWSLINE Jan/Feb 2017 ers and will continue to enhance the relationships we have built with our trusted partners, affiliates and vendors.”
D&D Leasing Selects LeaseTeam’s ASPIRE LeaseTeam announced that D&D Leasing has selected ASPIRE as its end-to-end lease and loan management solution.
“ASPIRE allows us to combine our Canadian and UK lease and loan management solutions into a single end-to-end solution,” according to Rev. Dr. K. Bill Dost, President and Managing anted: Director of D&D Leasing. “Working from a single system will W add transparency, efficiency, and business intelligence into our operations. It will also help us to improve out dealer access, which High Riskod ay! will provide our customers with a better experience.” EquipmentT deals! Dost continued, “Another big consideration for us was to select Call a system that would scale with our growth. As we expand our business, we need the security of knowing we have a system that can support our endeavors, and faith in a technology provider Equipment Leasing to continue their commitment to the product and the industry.” $75,000 to $3,000,000
“D&D Leasing is noted for their commitment to serving SME’s to help them grow and thrive,” said Jeff Van Slyke, President 617-267-2900 of LeaseTeam. “We are honored they selected LeaseTeam and ww w .bfec.com | [email protected] ASPIRE to help them build upon their success and expand into additional regions and new markets.”
ECS Financial Services Announces A+ BBB Rating As of September 13, 2016, ECS Financial Services is accredited by the Better Business Bureau. The accreditation comes with an A+ rating for the financial company and highlights their commit- ment to providing excellent service to the leasing industry. Quality Service “Our BBB A+ rating reflects the excellence in customer service Innovative Products that our ECS principals have always embodied. For over 50 years, Strong Relationships we have been providing exceptional customer service to our cli- ents, including those in the leasing industry,” said CEO Sam Oliva, “Needless to say this BBB A+ accreditation further exhibits our commitment to our customers.”
With the new accreditation, ECS promises to be guided by the BBB Business Partner Code of Conduct that outlines business Your trusted partner for over 40 years! practices the bureau has deemed important. ECS’ commitment to the code ensures that clients will be served by a trustworthy Financial Pacific Small Ticket company with honesty, privacy, and integrity at its core. A - B - C Credits $5,000 - $100,000 In order to become accredited, ECS Financial was required to Risk Based Pricing meet, maintain, and agree to the BBB Code of Business Practices. Start-ups Accepted to $45K The code describes what advertising, selling, and customer service practices a business must meet to be considered for accreditation. Financial Pacific Commercial $100,000 - $500,000 A Credits Competitive Pricing
Financial Pacific Leasing Inc. is a subsidiary of Umpqua Bank Products offered by Financial Pacific Leasing Inc. are not FDIC insured
For more information contact us at: 800.447.7107 | www.finpac.com
Jan/Feb 2017 NEWSLINE 9 in the NEWS As part of the transaction, the Bank acquired the CSF portfo- lio consisting of $209 million of equipment leases diversified across the U.S. with concentrations in California, Georgia and National EquipmentTexas and Finance represented Association by more than a dozen industries. An addi- tional $25 million of equipment leases should be transferred to Lease Corporation of America Provides Financing Hanmi in three to four weeks. The Bank will retain substantially Programs for Envision Solar all existing CSF employees led by a seasoned management team Envision Solar International announced that it is now offer- with deep industry relationships and experience. As part of the ing innovative leasing and financing programs to its custom- Bank, the CSF team will continue to operate from their current ers through Lease Corporation of America. The new financing headquarters located in Irvine, California as Hanmi’s Commercial options include 36- to 72-month terms and low interest rates that Equipment Leasing Division. The acquisition is expected to be deliver fast, cost-effective opportunities for capital constrained immediately accretive to Hanmi’s earnings per share. customers to take advantage of the many benefits delivered by Envision’s suite of solar-powered EV charging, media and energy CSF originates leases through a national network of vendor and security products. third-party originators. As Hanmi’s Commercial Equipment Leasing Division, it will also market commercial equipment leases Banc of California Sells Commercial Equipment Finance internally to Hanmi’s business clients. Division Hanmi Financial Corporation, the holding company for Hanmi Ascentium Capital Closes $271MM Securitization Bank (the “Bank”), announced the Bank has acquired the Com- Ascentium Capital issued a $271 million small ticket equipment mercial Specialty Finance (“CSF”) unit of Irvine, California-based securitization of Ascentium Equipment Receivables LLC, Series Banc of California. Operating as a division of Banc of Califor- 2016-2. nia, CSF is among the top-50 U.S. bank leasing franchises, with 2015 origination volume exceeding $170 million. The transac- “This securitization provides our organization with additional tion, which closed on October 27, 2016, expands Hanmi’s C&I opportunities to meet our growth initiatives,” commented Tom originating platform to include commercial leasing to small and Depping, Chief Executive Officer at Ascentium Capital. This mid-sized businesses nationwide. securitization represents the company’s sixth securitization since 2012 and includes both Moody’s Aaa and Fitch AAA ratings. The ratings are accredited to key performance indicators including the overall quality of the finance contracts, strong performance, as well as the tenured experience of the Ascentium Capital’s Making Businesses Grow executive team. for over 50 Years Evan Wilkoff, Executive Vice President of Capital Markets, stated, “It is rewarding to impact our capital strategy and receive continued validation on our asset quality There is only one and servicing performance.” right direction Please send your company's news items Providing business solutions and financial advisory services to [email protected]
Lease Portfolio Management ECS Financial Services, Inc. is focused on equipment lessors’ needs, and making critical contributions to their success. Alleviate stress, save time, and money on your portfolio management today. Call: 800.826.7070 MISSION-CRITICAL SERVICES TO HELP YOUR COMPANY SUCCEED Nancy Geary, CPA, CLP Services Shari Lipski, CLP 3400 Dundee Rd. • Lease Portfolio Management • Sales / Use Tax Filing Northbrook, Il 60062 • Tax and Accounting • Personal Property • Advisory Services Tax Compliance www.ecsfinancial.com
10 NEWSLINE Jan/Feb 2017 ASSOCIATION
National Equipment Finance Association At the National Equipment Finance Summit, Work Can Be a Real Beach By Gerry Egan
Just because you can walk along the beach while thinking Angeles International Airport (LAX) in about a great new business idea you just learned or a connec- Los Angeles. Each of these airports is less tion with a new funding source, it doesn’t mean you’re not than 25 miles away offering the widest working! It just means you’re working “smart” by attending possible array of direct flights and con- NEFA’s 2017 National Equipment Finance Summit in Long venient connections to NEFA Summit Beach, California to be held on March 15 – 17, 2017. attendees from across the U.S. and Can- ada. Whether you’re touring the Queen Mary, the Aquarium of the Pacific or Catalina Island; or maybe you’re shopping at Of course, NEFA Conferences continue The Pike Outlets or exploring the trendy neighborhoods of to demonstrate the difference between Gerry Egan Belmont or Naples; or just enjoying the many restaurants and mere connections and real and valuable NEFA Executive bars within walking distance of the NEFA Finance Summit; relationships. NEFA is a true community Director & CEO none of it means you’re not also getting the most up to the of professionals at once both close knit minute street-level industry intelligence; connecting with the - and extraordinarily welcoming. What’s more, our members industry’s leading-edge suppliers and funding sources; and share a passion for what they do and a passion for doing it well. networking with the industry’s most successful professionals There are few secrets at a NEFA Conference. It’s more like a and entrepreneurs. cauldron of hot, new and evolving ideas everyone is a part of. If you’ve never experienced it you need to … you’ll be lit up by The 2017 National Equipment Finance Summit is chaired by both the openness and the energy. Frank Peretore, Esq. of Chiesa Shahinian & Giantomasi PC. Frank, a long time NEFA Member, is working with a carefully selected team of active NEFA Volunteers and has put together an educational program that’s focused and timely … one that will give your business solid ideas and information you can put to good use.
Two years ago, the Renaissance Long Beach Hotel hosted one of NEFA’s most successful con- ferences ever. For 2017 we’re returning to this compact and upscale Marriott brand hotel with its popular lobby and street-side bar. The hotel is located at the corner of Ocean Boulevard and Pine Avenue - the very center point of every- thing that makes Long Beach a popular confer- ence destination.
Long Beach is served by three major airports - its own Long Beach Airport, as well as nearby John Wayne Airport in Orange County, and Los
Jan/Feb 2017 NEWSLINE 11 With the Republican Party celebrating a clean sweep in While the overall survey results reflect favorably on the the White House and both Houses of Congress, Newsline GOP victory, the comments varied in sentiment, ranging responded swiftly by launching its own Post-Election Sur- from one member “feeling more optimistic than over the vey to gain a sense of NEFA members’ views on the out- past eight years” to another stating the result is “the worst come. We also offered survey respondents the opportunity thing that has ever happened to our country.” Wherever to freely express their thoughts concerning the results. your political ideologies may fall, Newsline invites you to take a moment to review the results that follow.
Generally, do you consider yourself to be a Republican, Democrat, Independent or other? I am excited and look forward to having a business-centered administration leading us ... it has been a long time since our coun- try has had this advantage. 58% 18% 18% * Six percent of survey respondents answered "other" or declined to answer.
Consumer confidence is critical to the stability What impact do you believe the new Republican of the U.S. economy. What impact do you administration and Congress will have on small- to believe the results of the overall Republican medium-sized business CAPEX in the coming year? win will have on consumer confidence? Bolster CAPEX 64%
Negative Impede CAPEX 13% 20% No measurable 23% Positive change No 61% Change 19% What position do you expect the new Presidential administration and Congress will take toward governmental oversight and regulation over banks and financial institutions?
Increase oversight and regulation - 4%
Global instability is going to be the deciding factor. Trump will No measurable change - 18% add to that. Any growth will be short term. Isolation and pull- ing back trade will put a brake Decrease oversight and regulation - 78% on long term growth.
12 NEWSLINE Jan/Feb 2017 How do you believe the Trump administration will influence the speed at which the Federal Reserve will increase interest rates in 2017? 38% 15% 47% The speed of Interest rates Interest rates interest rate will increase will increase increases MORE LESS rapidly will NOT be rapidly impacted by the election results
What impact do you believe the results of the election will have on the "gridock" in Washington among lawmakers overall? I believe some of the recent pol- Gridlock will icy changes increase the burden REDUCE 68% on the small business - e.g. chil- in intensity dren on insurance to 26, exempt salary level increases, minimum Gridlock will wage hikes. I think these get INCREASE 13% eased a bit which fosters both in intensity growth and development of small businesses. The CAPEX increase may not happen in year one, but No measurable 19% it should happen. change
What stance do you believe the new administration will ACTUALLY take towards tax ABOUT THE SURVEY rates for individuals and businesses (regardless of campaign promises)? The 2016 Post-Election Survey was Regulation and increasing sent to all members of the National small business has to be Equipment Finance Association. the priority. The last eight The staff of Newsline is pleased to years has stifled business report we received a 16% response creation and we have lost rate to the seven questions asked on the majority of our man- the survey. ufacturing jobs. Until busi- ness creation and good We thank all NEFA members who participated in the survey. Your par- job creation (not baris- ticipation is greatly appreciated. tas and minimum wage jobs) happen, demand 7% 73% 20% As always, Newline welcomes feedback for financial service prod- from its readers. Please send your ucts will continue to be Increase Decrease No Change- comments to our editorial depart- sporadic. taxes taxes it was all ment at [email protected]. campaign rhetoric! Jan/Feb 2017 NEWSLINE 13 BIG DATA: Navigating Quantity and Quality In late 2016, monitordaily.com ran an article by Frank Bussone and Tom Toton at AmeriQuest that began with the following statement: “The problem with Big Data is that it is too big.” Vision Commerce’s Stephen Lundergan and Kyle Jung couldn’t agree more and take a moment to expand from the perspective of a solution provider active in the equipment finance industry since 1978. By Stephen M. Lundergan & Kyle Jung
We live in the Information Age. The With respect to financial industries, this often means analyz- most significant technological advance- ing data from both traditional and non-traditional sources on ments of our time involve the delivery both consumers and businesses. This includes data from social and receipt of information. We started media platforms, as well as email data and information from by perfecting the speed of information other real time sources that may not be available on a credit transmission, and then began to expand report, bank statements, tax returns or financial statements. the scope. Diaries used to be the only One exhibitor at the LendIt conference proclaimed, “Enter Stephen M. Lundergan way to record the minute personal a name and address, push a button and every piece of data Vision Commerce, Inc. details of day-to-day life. Now, social available on any individual or company will be available to media outlets have allowed humans to render a decision.” Like most elevator pitches, there’s a lot immortalize even the most banal infor- more to it. The idea is that by casting a wider net for informa- mation … your dog stopped being cute after the third outfit, tion, you will inevitably achieve a clearer understanding of the you’re on outfit forty, and so on. initiative at hand. This concept looks excellent on paper, but results often go unrealized in practice. This is because many Why do we focus so intently on our ability to exchange infor- companies focus too much on implementing Big Data and mation? Because this is how we make decisions. We act based not enough on implementing the Right Data. on the information – the data – we have been able to gather, process, and apply to the decision we currently face. The more What is the Right Data? relevant data you have, the more appropriate your decision will Big Data versus Right Data can be conceptualized in terms be. Tom Brady is more likely to hit the open receiver if he of quantity versus quality. Big Data simply means more data knows the receiver’s route ahead of time. His chances of mak- from more sources, whereas Right Data refers to data that is ing the correct decision increase even more if he knows which relevant to your purposes. There is always overlap between the defenders on the opposing team are the weakest. Furthermore, two. More data is a good thing of course, but only if the data Bill Belichick can leverage this knowledge before Brady even continues to be relevant and accurate. Tom Brady practices takes the field by creating an offensive game plan that targets routes with his receivers so he knows where they will go in a these known weaknesses. This principle readily extends from game. This is useful, relevant information. He gathers more sports to finance. data by studying the tendencies of defensive backs around the league. This is helpful because he has more knowledge about Those attending the LendIt conference in San Francisco last the routes his receivers run – namely, how defenders typically April could not avoid the term “Big Data.” While today it react to wide receiver routes. One Sunday, Brady notices that seems to be an overused buzz word people use to relate to tech a defender is wearing a black wristband. This defender guards trends, the concept has been around since 1941 and publicized Brady’s wide receivers on the left all day, forcing Brady to as the “Information Explosion,” this according to the Oxford make an adjustment by throwing to the right of his receivers. English Dictionary. “Big Data” refers to a system by which Brady notes this new data and determines that all defenders mass amounts of structured as well as unstructured data from wearing black wristbands guard his receivers on the left. The various resources are collected and analyzed by a powerful pro- very next week, Brady leads his receiver to the right and has cessing engine. his pass intercepted by a black-wristband-wearing defender that was guarding the receiver’s right side. Brady incorporated
14 NEWSLINE Jan/Feb 2017 more data into his decision-making process, but it didn’t help initiative result in greater insight for your sales team? Will you because the information he gathered was irrelevant to his deci- be better able to predict fraud or default rates with the new sion. This illustrates the importance of putting Right Data information sources you integrate? Can you leverage this data before Big Data. to structure deals that target specific demographics? How will you analyze this new data? These are just a few of the ques- Many finance companies lose sight of this important fact. tions you should be asking yourself as you prepare for a Big They are quick to outsource Big Data initiatives to companies Data investment. In addition, it helps to have a provider that that dictate to them which data will help their organization. is willing to work closely with you to determine how your They end up with an expensive integration project that mud- Big Data initiative will integrate with your solutions. Look dies the waters of their workflow. They struggle to teach credit for a provider that will deliver a custom solution to fit your analysts how to interpret the exabytes of new information operations, not one that will force you bow to the almighty they have, only to abandon the project and return to conven- power of advanced analytics using solutions designed for gen- tional analysis. eral boilerplate business processes.
A number of things can go wrong when Big Data is prioritized Conclusion ahead of Right Data. One pitfall is ineffectiveness. If you don’t Digital space provides an endless canvas and anyone with a already have personnel within the organization that know brush can paint on it. Considering everyone has a brush, the their way around alternative data, you may struggle to apply canvas can become a bit cluttered. Countless brushstrokes pile your newfound analytics to workflow in any meaningful way. on top of one another in seemingly chaotic fashion, and it You run the risk of misleading yourself instead of enhancing becomes difficult to make sense of the picture. But what if you your already effective decision-making process. There are also could reorganize or discard some strokes after they’ve been regulatory concerns when implementing Big Data initiatives. made? What if you could add new context to brushstrokes Obviously, social media accounts store a great deal of personal from one side of the canvas by comparing them to those on information. Some of this information may be suitable for the opposite side? If you could do these things, you could marketing purposes and onboarding, but be inappropriate for create a picture that’s entirely different from the one the artist use in decisions to approve or deny an applicant. If enough intended. A new picture that was previously unseen. This is red flags are raised in an audit and databases used in credit what Big Data seeks to accomplish. And it certainly can if decisions are found to contain this information, the organiza- lenders embrace Right Data as a subset of Big Data. When tion could be held accountable for things like unintentional Right Data is carefully culled and judiciously applied through discrimination and digital redlining regardless of a credit a custom solution, lenders will improve both operational effi- ciencies and portfolio performance. managers’ personal knowledge of the data. National Equipment Finance Association
How Should Big Data Projects be Implemented? ABOUT THE AUTHORS | Stephen M. Lundergan is Presi- Big Data initiatives impact equipment finance companies in dent at Vision Commerce, Inc. Kyle Jung is Business Analyst two major arenas: customer engagement and risk manage- at Vision Commerce, Inc. ment. When considering a Big Data investment, ask yourself how you can put this data to work in those two areas of your organization. Consider how you will be able to use alternative data sources at various junctures in your workflow. Will this
National Equipment Finance Association
Jan/Feb 2017 NEWSLINE 15 2017 INDUSTRY
OUTLOOKNewsline launches 2017 with a roundtable discussion that brings together four equipment finance and leasing executives who share their outlook for the coming year.
David A. Normandin, CLFP Andrea Zana Robert Ingram Ted Reynolds Managing Director Co-President & Chief Risk Officer Senior Vice President President Hanmi Commercial Equipment Amur Finance Company Lakeland Bank TEAM Funding Solutions Finance
16 NEWSLINE Jan/Feb 2017 Newsline: In terms of new business volume, how will the in 2017. Based on recent conversations I had with others at equipment finance industry perform in 2017? NEFA’s EXPO in Teaneck, New Jersey, I find my peers in the industry equally optimistic in terms of new business activity in David Normandin: I expect that 2017 will be a growth year. the coming year. A significantly divisive election cycle is behind us that has caused reflection and uncertainly. I have found that “change” Ted Reynolds: There are many factors which point to a strong elections generally will slow capital equipment investments year for 2017. Due to regulation and stricter underwriting until there is either confidence that the perceived change is standards, banks have lent less to small businesses over the past positive to business or acceptance that we must move forward five years. This has created an enormous opportunity for direct and make the best of the situation -- depending upon the side lenders to fill the gap and supply small businesses with financ- of the fence from which you view the market. Additionally, ing. Additionally, the fundamental industries of construction, we have seen more normalizing of portfolio performance in transportation, real estate development and technology have 2016 and lenders are embracing the move back to center with grown during this time frame. Therefore, many of the small thoughtful growth that should sustain future performance. businesses that our industry lends to are doing fine. The small business ecosystem should be further supported by a pro-busi- Andrea Zana: We believe industry origination performance ness President in 2017. will depend significantly on business confidence, which has yet to follow the uptick in consumer confidence in 2016 (itself I will also note that I have been in the leasing industry since a medium-term swing factor). Recent GDP data indicates 1987 and have experienced three recessions. It does give that behind the steady national real growth rates, significant cause for concern when there is much too optimism in the variation remains, with some states still to exit the recession marketplace. I believe we are due for a strong year ahead but and some sectors facing a downturn; we believe that 2017 per- should be careful not to become overly aggressive due to this formance will similarly vary significantly at the regional and optimism. The first thing to dry up in a tighter economy has sector levels. We also remain alert to the risk of an economic always been the secondary market to syndicate portfolios and contraction, potentially precipitated by a drop in consum- access to bank funding. er-led demand. In addition, we expect a gradual increase in delinquencies and bad credit, as marginal or late-coming obli- Newsline: What are the top priorities for you and your man- gors enter markets. On the positive side, yield compression is agement team in 2017? expected to taper and eventually stabilize as credit conditions tighten. Normandin: The top three priorities for Hanmi Bank Com- mercial Equipment Finance are: integrated relationships with These variances by sector and geography will favor indepen- our partners – we are always looking for ways that we can pro- dent equipment finance companies with a long-term strategic vide additional value to our customers. It could be product originations plan and ready access to capital – nimble enough offerings, reporting, warehouse lines, residual sharing, port- to develop the right products and services to grab market share folio acquisitions, UNL structures or retained servicing. Inte- and to meaningfully benefit from it. Large companies whose grated partnerships that are built for the long term serve both portfolios reflect the overall market profile will instead most parties – thus a key priority. We recently changed bank spon- likely just end up following it. sors of our business and through this shift we have retained 100% of our customers. I believe that happened because of the Robert Ingram: When I look at our equipment finance busi- relationships we have developed with our partners. Secondly, ness at Lakeland Bank, 2016 was a strong year for us. Our new achieving continued portfolio performance, as success in lend- business volume increased more than 20% and we had a solid ing is measured in the long term by portfolio performance. fourth quarter in 2016. I expect this upward trend to continue Our business was very attractive to move to our new sponsor bank because of our portfolio performance. Since inception
Jan/Feb 2017 NEWSLINE 17 in mid-2012 this same team has originated over 6,500 con- Lastly, there’s growth. Fueled by our new technology invest- tracts for $380 million and has written off 64 basis points in ments, we believe we can achieve a moderate to high level of primarily app-only small ticket business. We take pride in our growth in 2017. In addition, we have expanded our credit box portfolio and are very focused on active portfolio management to capture new opportunities. to ensure we are here to serve our partners for the long term. Another priority is continued growth of the business while Each of these improvements will allow us to grow originations retaining margins. Growing a finance business is easy; growing in a disciplined and efficient manner. one with solid profit margins and better than market port- folio performance is extremely hard. We focus on building Newsline: From a broader perspective, what are the factors and growing a profitable business in specific targets where we and/or scenarios that concern you most? believe we can add value and in turn retain margins. Normandin: The regulatory environment is a material chal- Zana: Our top priorities include hiring new sales reps on a lenge for banks and independents that specifically lend to targeted and specialized basis to allow us to enter new mar- small businesses. Aggressive non-business friendly proposed kets and equipment types with the objective of diversifying regulations at federal and state levels can truly harm the cus- our portfolio. We will also prioritize leveraging IT as a sophis- tomer experience with fewer product offerings, higher pricing, ticated tool to automate all those processes that truly do not more cumbersome processes and make small business lending require human intervention. This way, our personnel can focus less profitable so that fewer lenders will participate. their time and talent on providing a high level of customized service to our client base that can really make a difference. We I am also concerned about how long we have stayed at com- continue to build our business to be driven by capable and pressed margins due to historic rate levels continuing. I believe engaged humans; software offers amazing processing capabili- that rates need to rise which should broaden margins in order ties, but has no personality. for the continuing normalization of portfolio performance to occur. Without this, I am concerned that some lenders will Finally, we will look to refining the flexibility and scalability of find themselves under-reserved. our transaction underwriting and execution process to accom- modate a diverse obligor and vendor base as well as seasonal Zana: Even though we consider the U.S. equipment finance and cyclical ebbs and flows in workload. market mature, the industry itself will continue to evolve. Our key concern is to make sure we invest resources and capital Ingram: As a bank-affiliated finance company, our biggest pri- in value-adding and leverageable initiatives to better serve our ority is maintaining the credit quality of our portfolio. If we’re markets, not in overhead or administrative expenses to cope going to make a loan, we expect to be paid back … so risk with exogenous requirements. management is important. Another priority is gaining a full understanding of what the new administration and Congress From this standpoint, regulation often rises at the top of our will implement this year and how those changes will affect the concerns. We hope that the entire commercial equipment overall economy. finance industry remains disciplined enough to escape the flurry of new regulations that often accompanies the unravel- Reynolds: Our top priorities include employee retention as ling of certain business models after a downturn. We will also one of the biggest “Elephants in the Room” for all businesses do our best to underscore the commercial orientation of our is retaining quality staff. Just imagine what your company industry and draw a clear distinction from the personal finance could accomplish with low employee turnover. For the first industry. Creativity in dealing with the cost of indirect regula- time ever, we introduced a formal bonus plan for employee tion (for instance, in commercial banking) will also represent a retention in 2017. competitive differentiator for independent finance companies.
We will also prioritize technology improvements. There have Ingram: While this isn’t necessarily a concern in the short been some amazing advancements in technology during the term, interest rates will certainly be going up. They actually last five years. We made a large commitment to spend on tech- have since the beginning of November. The Treasury will nology in 2016 and will continue to do so in 2017. begin to raise them little by little. I think for the most part,
18 NEWSLINE Jan/Feb 2017 our industry has performed better in a slightly higher interest financing energy efficient lighting systems as well as HVAC rate environment. As I said, I don’t see this as an immediate upgrades and other energy management opportunities. concern, but this is certainly on the horizon. Reynolds: Except for oil and gas related machinery, we think Of course, we’ll be watching regulatory issues and how any the demand for construction equipment, medical equipment, changes to Dodd-Frank and the Affordable Care Act will affect trucks and trailers will continue to be strong in 2017. How- the overall economy. ever, the most prosperous brokers and lenders tend to be those who have carved their own niches. Find one or two things that Reynolds: I think regulation is the single largest concern for you do well and focus your time there! our industry. The rapid expansion of alternative lenders in the SME space has drawn attention from regulators at the federal Newsline: How will the need to bundle software, services and and state level. If done correctly, some regulation could create equipment impact credit risk underwriting going forward? a better lending environment for both lenders and borrow- ers. However, history has proven this rarely to be the case. I Normandin: In certain asset classes the industry is moving fear overly burdensome regulation will hamper innovation and more towards pure credit-based underwriting models. This is ultimately create more hurdles to supply capital to small busi- the case with funding bundled solutions or monetizing service nesses. contracts. The opportunity with these solutions is that they are so integrated into the core processes of their customers that Newsline: From an equipment sector standpoint, what are the the risk moves more towards catastrophic business failure and bright spots on the horizon for 2017? away from single asset utility. We are aggressively funding these solutions and hope to increase our market position in this area. Normandin: I believe investments in infrastructure will con- tinue to grow in 2017. I expect construction assets to be in Zana: We do not currently offer a managed services product. greater demand, the service providers that support infrastruc- We will consider it again if our target sectors start demanding it ture growth will also be investing in capital equipment. This and we can build a solid business case for the additional invest- could include contractors, engineering and architectural firms, ment in resources and processes. Underwriting a bundled ser- rental companies and the like. vices transaction adds multiple counterparts and dimensions to the credit analysis – not to mention structural and transac- Zana: We seek diversification across multiple dimensions – tional complexity. To manage this additional complexity while asset type, geography and obligor profile – to maintain the staying focused on the real credit issues, we would simply fol- portfolio as stable as possible across economic cycles and lever- low some of the highest – and most basic – principles of our age our institutional knowledge and vendor relationships. Our underwriting philosophy: work only with obligors, vendors bright equipment spots for 2017 include vocational trucks and industries we know well, which together can offer long- and construction equipment in infrastructure-intensive states term revenue visibility and stability. (for both growth and maintenance); productivity-enhancing manufacturing machinery in SME clusters; material and inter- Ingram: We actually have some built-in reserves for construc- modal handling equipment in distribution-intensive areas; and tion and installation … we’ve built this into our credit risk, sophisticated equipment that naturally draws an accomplished although this is not a big part of what we do. We finance more and experienced user base. We also continue to monitor new hard collateral than software. We understand that there are technologies as they evolve into the commercialization stage bundled services – or what we would call soft costs involved and develop a financeable track record. in the financing – and we have built certain caps based on the level of equipment costs of what we’ll finance. National Equipment Finance Association Ingram: At Lakeland, our growth industries have been con- struction, office equipment and energy management. Those are our three bright spots. In terms of construction equipment, the New York and New Jersey markets were very active in 2016 and that should continue this year. As some of our custom- ers have been focused on cutting energy costs, we have been
Jan/Feb 2017 NEWSLINE 19 BOXING OUT RISK– Background Checks Should Not Be Taken Lightly “Whoever is careless with the truth in small matters cannot be trusted with important matters,” wrote Albert Einstein. Today, personal misrepresentations and embellishments of accomplishments and credentials through social media and other forms of technology are elevating the importance of background checks. By Sue Bury
We live in a dynamic world where the Off-Balance Sheet Risk -- Contingent Liabilities rampant skill of “social fabrication” has There has never been a more important time than now to be lowered the bar on society’s acceptance of concerned with a borrower’s contingent liabilities. The take- lying. Enhanced information technology, away for lenders now is to view contingent liabilities as more including social media, has fashioned the than just an insignificant footnote on the balance sheet, if art of fabrication as the new normal. Peo- they’re even disclosed at all. Paralleling the Five-C Due Dili- ple embellish their life on Facebook, and gence Assessment with a background check will uproot poten- those fabled threads do trickle into vari- tial contingent liability risk. Sue Bury 1STWEST ous areas of life including inflating past Background Due accomplishments and skills, misrepresen- Background Checks: Not All Are Created Equal Diligence tation of education, certification, degrees The emergence of background checks has spawned a compet- and even fraudulent claims of military itive arena. The National Association of Background Screen- service and awards. This redefined culture has elevated the vig- ers estimates there are approximately 650 background search ilance for background checks. companies in the U.S. Today, for most business leaders, back- ground checks are standard procedure. While this is a compet- Lenders More Vigilant Today Than Ever Before itive industry, treating a background check like a commodity Lenders and business leaders face many extraordinary chal- is not advisable. Completed reports that reside on a desk may lenges in today’s business environment. Brand reputation, appear to have some type of relevant content, but not all back- narrow margins, and bottom lines hinge on good decisions. ground reports are created equal. There is no substitute for Those decisions are powered by prudent due diligence in the excellence in proven processes, methodology and compliance underwriting process. Lenders are educated to assess their bor- in the research process by experienced research specialists. rowers, and traditionally follow these five key elements to pro- vide credit: Reports Differ Based on Scope of Search Features on a Subject There are many variations in report types and pricing seen • Character (integrity) across the board when considering a background check. Two • Capacity (sufficient cash flow to service the obligation) basic types include: • Capital (net worth) Preliminary Screenings. There are preliminary screen- • Collateral (assets to secure the debt) ings that will confirm the subject’s background information • Conditions (of the borrower and the overall economy) as well as highlight potential adverse information in order to help you make a more informed decision. This informa- tion could be critical to know before you enter into a busi- ness or financial relationship, investment, or other transac- 20 NEWSLINE Jan/Feb 2017 tion with the subject. A search of information at this level Background check companies that utilize “off-shore” call centers with an experienced eye would include criminal and civil Cutting costs has resulted in overseas contracted call centers litigation histories, research of numerous data intelligence for employment checks, education verification and reference sites, public records, and government repositories. A typical checks. Savings comes at a cost. The potential for identity search history is up to ten years in this scope of due diligence. theft and cyber-fraud is increased. In addition, information gathered from domestic reference verification may be a valu- Comprehensive Deep-Dive Investigation Reports. A com- able insight and catalyst to unveil additional information to a prehensive background investigation digs deep into an indi- trained risk intelligence specialist. vidual’s background. It includes criminal and civil litigation histories, research of data intelligence sites, public records and Compliance is a major focus in reporting information government repositories, analyses and reviews of business affil- The scope of a background check should not be taken lightly. iations, tax lien/judgments, real property, court filings, global Compliance is more critical today than ever in avoiding poten- news media and extensive internet footprints. Reports can tial legal action resulting in how information is reported in include a credit report (with written consent of the subject), accordance with the Fair Credit Reporting Act and other state references, UCC filings, education and certification verifi- and federal laws and regulations. cation. Thorough analysis of all data by an experienced pro- fessional research analysts helps lenders and business leaders The Takeaway on Background Checks make informed, intelligent decisions. Search history is usually I am asked all the time if it is better to do something rather than between 10 and 20 years on this scope of due diligence. nothing. I think a quote by Warren Bennis sums it up very well. “Leaders are people who do the right thing; managers are people What differentiates the good and bad of background who do things right.” Background checks provide the backbone checks? of truth to provide you and your team with the most accurate With market maturity, there are trends to cut costs that have and intelligent information possible to make an informed deci- developed that do differentiate background checkcompanies and sion. Defend your brand and bottom line at all cost. National Equipment Finance Association there are some practices of which the buyer should beware: ABOUT THE AUTHOR | Sue Bury is the CEO and Chief Homogenized reports automated by inexperienced Marketing Officer at 1STWEST Background Due Diligence. processors to cut costs Speed and volume expectations have automated the process so much that a report can essentially be a data dump. The data is ordered and assimilated into a report template by industry unexperienced processors rather than experienced, tenured research risk specialists that gather, analyze, and prepare infor- mation. This is due to high volume, frequent turnover of the employees processing reports (either direct employees or over- seas call center workers). They need to keep their procedures very basic in order to accommodate inexperienced processors and keep costs down.
Human judgment and intuition play a big part in accuracy How you start is how you finish. In a volume-based automated report environment, it is a plug-and-play model and this can lead to misdirected searches. Databases also can be conflicting, inaccurate, or incomplete or may not offer the most recent and up-to-date information. There are many factors that can dictate the scope of the search. Most background search com- panies separate the search features into groups, having a pro- cessor focus on that one search feature. It is important to think through each search feature and compare all data from all con- tributable online and onsite data sources. Having one set of eyes of a seasoned professional from start to finish investigat- ing a subject helps to ensure the most accurate and compliant report possible.
Jan/Feb 2017 NEWSLINE 21 Advancing Your Broker Business With Efficient and Effective Servicing Partnerships Joe Andries at GreatAmerica Portfolio Services Group notes a solid relationship between a broker and its servicing partner not only provides efficiency in day-to-day operations, but also conveys stability to funding sources and clients alike. By Joe Andries
Success as a lease broker comes in many The decision to start a business and develop contacts with different forms. For some, it means not financial vendors and customers takes confidence and an abil- holding paper and collecting fees when ity to sell. These are very capable people who have a solid grasp deals close, then moving on to the next of selling financing options. However, building an operation to transaction. For others, it’s a focus on service a lease portfolio requires additional skills and resources. flow business from a vendor program, Some are eager to begin building their own servicing platform holding paper, and making their money while others feel it is much more efficient and economical to Joe Andries over the longer term. And in rare cases, it outsource the billing and collecting of their transactions. GreatAmerica Portfolio Services means having regular access to the secu- Group LLC ritization market and self-sufficiency. Most brokers will attest, servicing the customers’ needs through today’s financing products can get complicated quickly. Often Some brokers may start out with a personally guarantied small there are specific customer invoicing requests, some custom- bank line or friends and family money to fund deals and hold ers require more of a loan product than a lease product while them on their books. Initially, it diversifies their fee-based rev- others have some form of variable billing structure. For high enue recognition by deferring their income. As they get their volume funding sources, implementing broker specific solu- footing, there is potential to graduate to more self-funding. tions can be challenging. Brokers also often have a customer It’s really a matter of personal preference in terms of how far a who has leased multiple pieces of equipment and receives sep- broker wants to work their business plan and how resourceful arate invoices from the different funding sources that bought they are at soliciting funding. the paper. Through the desire and need to service customers, brokers are often times forced to hold the servicing of the con- 22 NEWSLINE Jan/Feb 2017 When a broker gets to be a certain size, the spreadsheets and manual procedures in use just plain “don’t work” anymore. Business continuity not only becomes an internal issue for the broker, it can dampen the enthusiasm of would-be repeat customers… tracts internally – either through a built infrastructure or out- Perhaps the most time consuming, tedious and frustrating sourcing partner. Ideally, maintaining their current funding part of managing a serviced portfolio is billing and collecting. sources and retaining the servicing internally is a very attrac- A broker should look at how much time their administrative tive option. The challenge is that most funding sources will team is spending on invoicing, delinquency control, tax com- not be comfortable allowing that unless there is an established pliance, payment processing, and reporting to determine if it company with strong financials and portfolio performance. A makes sense to use an outside source. There are some processes multi-funder single servicer concept could be more acceptable such as invoice aggregating (the customer gets one invoice through the use of an established outsourced partner who the and the payment can be applied to multiple funding sources), broker controls, but manages the cash on behalf of the funding private label billing, email invoicing, phone payments, tax source. resources, and end-of-term management (renewal payments, buyout quoting, upgrades, equipment returns) that might not There are opportunities that present themselves as customer be feasible depending on the operational focus of the broker. relationships deepen and expand with vendor-based programs, large distributors, or manufacturers. Regarding those situa- As previously introduced, in some cases, broker funding tions, there often is a “graduation” from a fee-based structure sources may allow for servicing to be retained or banks may to holding the paper. Initially, many brokers manage their even require it. In either circumstance, funders are reassured accounts using a labyrinth of excel spreadsheets and manual by a qualified outsourced partnership that provides turnkey billing and collecting systems. access to experienced employees and systems with proven lease processing practices. Brokers with a small portfolio managed When a broker gets to be a certain size, the spreadsheets and on spreadsheets with ready access to capital are probably the manual procedures in use just plain “don’t work” anymore. most ready to make the outsourcing leap. The question to ask Business continuity not only becomes an internal issue for the is: “Will my outsource partner provide future continuity for broker, it can also dampen the enthusiasm of would-be repeat new customers and create instant capacity to keep pace with customers who suspect a capacity or capability issue within the my expected speed of growth?” broker’s business. The broker suddenly finds himself/herself at a crossroad and must decide whether to the seize opportunity How do outsourcing companies view smaller portfolio ser- or continue doing business as usual. vicing opportunities? The simple answer is they are attracted to those growth companies because of the value proposition The biggest decisions to be made are around headcount and they can deliver. It is much more logical to initially transfer a operations. Do you allocate time, staff and financial resources small in-house portfolio and then be instrumental in helping to implement an internal and more robust servicing platform? the broker grow their business to bigger and broader horizons. Or do you explore an outsource option that will allow you Although it may be an easy path to client loyalty, servicing the freedom to do what you do best – grow your business? partners cannot take the retention for granted. Partnering with a company that specializes in portfolio ser- vices can not only grow a broker’s accounts and free up time to As brokers grow and the portfolio grows, the efficiencies and secure new business, it can make you more visible and credible effectiveness of the servicing partnership must scale also. A to banks and other funding sources. It can address continuity long term relationship is more likely to occur if it is a win/ questions with an infrastructure that handles billing accurately, win scenario for both parties. A solid relationship between you pays taxes correctly, and provides essential reporting. Critical and a servicing provider is seen as a sign of stability by funding
to the decision process is determining if your staff is ready to sources and your primary clients. National Equipment Finance Association maintain a solid platform with minimal fail rates. Finding a reliable recruitment base to feed lower salary positions is a key ABOUT THE AUTHOR | Joe Andries is Vice President and to feeding this block-and-tackle side of the business. If this is General Manager of GreatAmerica Portfolio Services Group not your path, make sure whomever you outsource with has LLC. the requisite experience and skill sets to support your portfolio the way you want it supported. This means being comfortable with them touching your customers on a daily basis. Jan/Feb 2017 NEWSLINE 23 nefacts
2016 NEFA PARTNERS AS OF 12-15-16 WELCOME NEW MEMBERS!
PLATINUM GOLD Main Street Business Capital Bank of the West Beneficial Equipment Finance Corp. • Broker/Lessor Channel Partners Capital Bryn Mawr Funding American Leasing Company LeaseTeam, Inc. Great American Insurance • Broker/Lessor Pawnee Leasing Corporation Navitas Credit Corp. Lease 1st Credit Corp. North Mill Equipment Finance • Broker/Lessor DIAMOND Rapid Advance SLS Financial Services • Funding Source ECS Financial Services, Inc. Financial Pacific Leasing, Inc. Commercial Loans Solutions SILVER • Broker/Lessor Marlin Business Bank Arvest Equipment Finance Bizline Capital Group, LLC Stearns Bank Dakota Financial, LLC • Broker/Lessor Dedicated Commercial Recovery Inc. Bluechip Asset Management Orange Commercial Credit • Service Provider To learn more about the benefits of NEFA membership, contact Gerry Egan at [email protected]
For Sponsorship / Exhibit opportunities, contact Kim King at [email protected]
INDUSTRY EVENTS CALENDAR Minnesota Ice Fishing Kansas City Royals February 9, 2017 Baseball Networking Lake Minnetonka, MN August 3, 2017 NEFA Kaufmann Stadium Atlanta Networking Kansas City, MO Luncheon WORKS February 16, 2017 Angels Baseball Ansley Golf Club Networking Atlanta, GA Summer 2017 Because of people Angel Stadium National Equipment Anaheim, CA like you. Finance Summit We need more people like you. March 15-17, 2017 Atlanta Networking Renaissance Long Beach Luncheon Get someone you know involved, Hotel August 17, 2017 and make NEFA work even better. Long Beach, CA Ansley Golf Club Atlanta, GA Start with the Equipment Finance Summit. Atlanta Networking Get a friend to come with you! Luncheon Funding Symposium May 18, 2017 October 4-6, 2017 Mar 15-17, 2017 Ansley Golf Club JW Marriott Buckhead Renaissance Long Beach Hotel Atlanta, GA Atlanta, GA www.NEFAssociation.org Baltimore Crab Feast Atlanta Networking June 2017 Luncheon Details TBD November 16, 2017 Baltimore, MD Ansley Golf Club Atlanta, GA
24 NEWSLINE Jan/Feb 2017 BROKER INSIGHTS
Saying NO… The Why, When and How! By Bette Kerhoulas, CLFP
We all have a basic business model we follow when • If a vendor’s price point is so small that you can’t making decisions regarding which relationships to make enough of a spread to cover your process- cultivate and which transactions to go after. The ing costs, then it really doesn’t matter how much overall profitability of an individual transaction, or volume you get from that relationship … does it? a long-term customer and/or vendor relationship has to be calculated and considered carefully when Sub-Brokers deciding how and when to move forward. Below If you are a third party originator (TPO) or “dis- are some scenarios where it might not make sense counter,” you may be contacted by smaller brokers to continue with a vendor or a sub-broker - or who would like to run business through you. It may Bette Kerhoulas move forward with a specific customer: seem like a great way to get additional volume in Pacifica Capital the door without hiring another sales person, but Vendors beware of these possible pitfalls: Developing referral relationships with qualified vendors is an excellent way to create a consistent • Most lenders have specific language in their flow of incoming business. But there can be inher- Assignment Agreements that prohibit “Bro- ent drawbacks to this type of prospecting: ker-to-Broker” submissions – or at least require their TPO to disclose up front that there is • If you reach out to a vendor and the first thing he/ another broker involved in the transaction. she asks you is how many points he can get on the side, you’re starting out on the wrong foot. First • If you do business in California, there’s a myr- of all, you have to decide as a company if you’re iad of issues with accepting broker business, and willing to pay a vendor at all! If you are, then how I don’t want to get off track. Just be aware of the much? You’ll need to factor in your own profit- strenuous regulations. ability based on the amount of net profit you’ll • In many instances, the sub-broker may be get- receive from each transaction and how much vol- ting referrals from vendors, but those vendors are ume you expect to get from that vendor. And the also “shot-gunning” the same transactions out to following is undisputed: If a vendor’s motivation other brokers. It’s difficult to control where the for working with you is based primarily on what sub-brokers are getting their deals - and as a kind of “kick-back” they can get, they’ll most result, the closure rates may be very low. In addi- likely take their business elsewhere as soon as one tion, you can’t know for sure what the sub-bro- of your competitors comes along who is offering ker is telling the customer and/or vendor. In my to pay more points. opinion, it’s a slippery slope to take business from • If the majority of a vendor’s customer base is made sub-brokers, unless you know them personally, or up of Fortune 500 or public companies, then most have some sort of business connection with them of that business will slip through your fingers, that gives you comfort. because you can’t compete with the rates they can get from their bank or other direct lending sources.
Jan/Feb 2017 NEWSLINE 25 Customers • An approved customer, during the documentation phase, Dealing directly with customers can be very rewarding. If you demands constant equipment revisions, changes to the terms treat them with integrity and don’t overcharge them, they will and conditions, or haggles about every single aspect of the generally contact you again and again when acquiring additional deal. Often that type of customer will eventually back out capital assets and become one of your regulars. However, there of the transaction at the last minute or refuse to execute the are instances when enough is enough … and the imminent final Delivery and Acceptance form (D&A) for weeks, creat- monetary reward is either just not worth it, or the likelihood of ing a nightmare situation with all parties involved, including closure is extremely low. Below are a few examples: the lender and vendor(s).
• A potential customer contacts you repeatedly over several Occasionally, you just get a weird sense that something is months, asking you to provide an approval for an upcoming wrong! Maybe it’s nothing specific you can point to, but the acquisition, but then continually defaults back to existing transaction just doesn’t feel right. Listen to your instincts. bank lines, pays cash, or goes with another lender or TPO because their rate is slightly below yours. Basic Red Flags: • No website • A prospect repeatedly makes statements about his company that prove to be false upon review of the application or finan- • Company street address is a PO Box cial information (i.e., time in business, ownership percent- • No listed phone number age, gross revenues, cash in bank, retained earnings, etc.). • Can’t find company in Secretary of State corporate status • A potential customer has no idea what they want to finance • Vendor is new in business or selling something that’s outside or lease, they just want a “line” so they can be ready when their normal business model. something comes up. • The initial lead is from a cold call-in, it’s not from your sales • A prospect comes to you with a large list of capital assets efforts or a referral from a vendor or previous customer. they want to finance/lease, totaling in the hundreds of thou- sands, but they don’t want to provide a commercial financial Okay… so you’ve decided to end the misery and walk away package which includes reviewed or audited financial state- from a vendor, sub-broker or customer. But how do you do ments, or at the very least, tax returns. Instead, they want it? Do you just stop taking their calls? That would be the least you to set up several “application-only” financings, but the painful process, but certainly not very professional. Do you information you are able to obtain is vague or there is con- send them an email or text? A letter, perhaps? Do you call them flicting data that you uncover during your review. Be careful! at their business number after hours so they are sure not to pick I know you’re excited about the possible additional income up? That way you wouldn’t have to deal with their questions that several “app-only” transactions can bring, versus one and/or any possible hostilities. All those methods will convey commercial transaction that is rate sensitive. But, if the cus- your sentiments, but in my opinion a real live conversation is tomer is willing to pay higher monthly payments rather than the only viable solution. You should have your talking points provide a financial package, there may very well be cause for ready, you should be thoughtful and present specifics as to why concern. In addition, your lender’s Assignment Agreements the relationship isn’t working, or why you’ve chosen to back will invariably require disclosure of additional exposure lan- away from a particular transaction. Be honest, be direct, and guage. In my experience, there are instances where more don’t waiver. You’ve already made the decision or you wouldn’t than one “app-only” transaction with a customer is accept- be making the call. Move on … it’s time! able and proper, but it must be under specific circumstances National Equipment Finance Association with full disclosure to all parties involved. ABOUT THE AUTHOR | Bette Kerhoulas, CLFP is the Founder/Managing Director of Pacifica Capital.
26 NEWSLINE Jan/Feb 2017 HUMAN INTEREST
A Friendship Launched in Leasing, Destined to Last a Lifetime
When GreatAmerica Financial Services' Cindy Fleck and ried to her husband Mike for 24 years as well. Fisher notes that Strada Capital’s Melissa Fisher met as equipment leasing pro- Mike, a computer consultant by profession, is a “really smart fessionals, something just seemed to “click.” Newsline caught guy and thank goodness he can fix nearly anything… since I’m up with Fisher and Fleck to find out more about their unique always breaking everything!” The similarities continue. The friendship which launched in leasing and escalated to “BFF” Fishers also have two children – a daughter Abby (15) and a status quickly. son, Zachary (13).
Ask “besties” Cindy Fleck and Melissa Fisher what they most To date, the Fishers and Flecks have taken numerous family appreciate about one another and their responses mirror one vacations together. Fleck notes, “Our first family vacation with another. Fisher describes Fleck as “a person who is engaging to the Fishers was back in 2004. We made the trip to California everyone … she loves people and genuinely cares about oth- and spent some time in Huntington Beach. It was such a great ers. She’s warm, generous, thoughtful and fun.” Fleck values time that we quickly scheduled our next vacation to Disney Fisher’s positive outlook on life, her strong commitment to World. The best part is that when we get together, our kids faith and family and the easy and comfortable nature of their pick up right where they left off. We’ve made several trips to friendship. California and the Fishers have ventured to Minnesota as well … but never during the winter months.” Fisher quickly points The parallels don’t stop there. Both Fleck and Fisher have spent out however, that the next Fleck and Fisher family excursion their entire careers in the equipment leasing industry. The involves a ski trip to Utah. The Fleck and Fisher families enjoy two first met professionally in the late 1990s when Fleck was a Regional Sales Manager for Manifest Funding Services and Fisher’s firm at the time was a Manifest client. For the two, something just seemed to click. Fisher explains, “We were both at the same stage in life … kids at the same age, we had common interests and values. We’ve been best friends ever since.”
What makes this friendship even more special is that it tran- scends the nearly 1,900 mile physical distance that separates them. Today, Fleck is a Vice President of Sales at GreatAmer- ica Financial Services. She and her husband Steve have been married for 24 years and are the proud parents of two sons - Macrae (16) and Easton (13). Steve is by his wife’s account an “amazing sixth-grade teacher - the most requested in his school.”
Fisher is the Chief Credit Officer at Strada Capital Corpora- tion, which is based in Laguna Hills, CA. Fisher has been mar- Jan/Feb 2017 NEWSLINE 27 many outdoor activities including hiking in Sequoia National Park, coastal kayaking in Santa Barbara, and playing foot- ball and volleyball on the Southern California beaches. Both agree…“our time together always goes too quickly!”
As for the spouses, Fleck points out that they share a common thread of being married to “leasing ladies” and are both very active in their kids’ lives and enjoy working with youths of all ages.
While not vacationing together the kids stay connected through Snapchat and Instagram.
With busy professional and personal schedules, what’s the secret to sustaining a long distance yet enduring friendship? We asked our two experts. Fleck responds, “Melissa and I have an easy and comfortable relationship, but it’s not one that either of us take for granted. We find the time to stay con- nected – phone calls, texts, exchanging birthday or Christmas gifts. Our family’s friendship with the Fishers is a blessing to all of us. My kids have grown up loving their California friends!”
Fisher agrees. “Cindy’s friendship is truly a blessing to me. It amazes me that we can have such a deep friendship being miles away from one another. We just ‘get’ each other and we truly care for one another. That makes the distance disappear. I just love that our families are so connected – we all get along so well. Cindy is family to me.” National Equipment Finance Association
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