OEM Commercial Credit Reports collect information that details financial and credit history and provides a risk assessment for prospective dealers, operators, invested principals and/or general managers.
Unlike many reports, an Enhanced Commercial Credit Report goes even further, helping you draw more sophisticated conclusions while identifying any worrisome patterns that could have an adverse effect on your business.
It’s often the case that companies feel that their size does not justify this level of risk management, or that the costs associated with in-depth credit reporting are too high.
However, once you compare the cost of an enhanced screening process against the saving opportunities, it becomes apparent that enhanced screening is more advantageous than you may have thought.
By choosing Quality Credit Reporting, you will soon discover that the costs and losses that result from poor dealer/operator selection far outweigh the investment required to implement our enhanced screening and selection processes.
Enhanced Screening Answers Questions that may have Otherwise been Unanswered
Sophisticated dealer/operator screening offers a number of benefits, most important of which is providing details about your applicant that your standardized interview process may not otherwise have uncovered.
Specifically, an enhanced screening report can answer these important questions:
- Has your candidate made full disclosure on their application?
- Does the candidate have the financial stability to operate and maintain the dealership?
- Has your applicant had other failed business ventures?
- Does your applicant have a history of delinquent payments, legal actions or judgments?
- Does your applicant have negative media or criminal records?
Enhanced Screening Minimizes Dealer/Operator Failure and Turnover
Risk management plays an important role in the success of any company and the best way to mitigate risk is to be well-informed. Without it, you may find that you select a poor candidate that is unable to take on the responsibilities of your brand, resulting in failure and turnover.
Enhanced Commercial Credit Reports will provide you with a clearer picture of your applicants, ensuring you partner with the best of the best, maximizing the likelihood of success and decreasing your turnover rates.
Enhanced Screening Improves Your Brand Image
The people that you choose to own/operate your dealerships can influence how your company is perceived. If they do something that negatively affects their image, it can impact the reputation of your entire brand.
Screening your prospective dealer/operators will minimize the likelihood of partnering with someone who will tarnish your brand name.
Enhanced Screening Allows You to Better Allocate Resources
Poor dealer/operator screening can have a detrimental effect on the allocation of your resources.
Every dealership has different goals, but it is safe to assume that the ultimate goal for many is growth and profit. It is no surprise then that, as an automotive manufacturer, you want to leverage your resources (financial and non-financial) for business planning, strategy and ongoing success.
If you work with the wrong dealer/operator, you could be exposed to liabilities that would not have otherwise been incurred. This would force you to re-distribute resources to dispute resolution, problem-solving and legal fees.
By implementing an enhanced screening and due diligence process, you can help mitigate these potential risks.
Our Prospective Operator Report will help you uncover this information by confirming your applicant’s financial stability, background, and history of delinquent or criminal records.
For more information on our Prospective Operator Report, or to request a credit report, contact us today.
Tags: OEM Dealerships