BCA has formally launched its new Buyer Stock Funding service.
The first customers of BCA Vehicle Finance were a southern-based LCV specialist and an East Anglian based car dealer who both purchased vehicles in early November.
BCA Vehicle Finance Limited offers an exclusive line of credit to independent car and van retailers, small car supermarkets and individual dealers who struggle to secure financial support from the banks and other traditional lenders to fund their purchases from BCA. When BCA researched its buyer base it found that nearly a third of smaller independent dealer customers fell into this category.
The offer includes up to 120 day terms on vehicle purchases at BCA up to an agreed limit and funds 100% of the purchase cost plus fees.
The company is headed up by Andrew Shaw who joined BCA from autoXP, the specialist automotive service provider to manufacturers’ Corporate Demonstration and Press Fleets where he was Financial Director.
BCA managing director Spencer Lock said: “Even at a time when the used vehicle sector is experiencing a lot of demand, lack of access to finance is still a major concern for a number of smaller independent motor retailers. Many simply cannot get funding because business lenders do not understand the specific requirements of the motor trade and underwriters are wary of the exposure. BCA has addressed this issue with the launch of BCA Vehicle Finance Limited, a move that has been welcomed by our customers.”
Lock added: “We know many of these dealers exceptionally well as they have trading accounts with us – often of many years standing. As the scheme is linked into the vehicles that are effectively the lifeblood of the industry we see this as a win: win situation. Small dealers can take advantage of the buying opportunities at BCA to meet the needs of their retail customers, while our sellers will benefit from enhanced buying power at the point of sale.”