Photo by Hillary Ehlen
(Left to right) Dave Groshong, Executive VP and CCO; Bob Prowse, VP of Leasing and Fleet Management; Lucinda Goetz, Business Development Officer; Todd Fisher, President and CEO; Roger Hayenga, VP of Leasing
Scenario: You need new equipment.
What you would normally do: Take out a loan and purchase a crap ton of equipment.
There’s another way.
Let’s look at a scenario. You have a great idea. There’s a new type of gym that you want to open. There’s nothing else like it in Fargo-Moorhead and you can corner that section of the fitness market. But, there’s a caveat. You need a LOT of equipment. Traditionally, you would go to a bank, purchase all that equipment, find money for a down payment and pledge your business assets as collateral to the bank.
What if there was another way? There is and FF Fisher can help.
For more than 28 years, FF Fisher has been helping other companies achieve their growth potential. However, if you drive by their office and their lot full of cars at 500 40th St. S, Fargo, you’d be mistaken to think they just sell vehicles.
In fact, FF Fisher provides fleet leasing, fleet management services and equipment leasing. FF Fisher has provided commercial leasing options for anything from computers to large cranes.
“We operate in over 50 different business segments and have leases in 34 states,” said Dave Groshong, Executive VP. “We’re generalists. We can lease just about anything. We take the time to structure a lease that fits the customers’ needs and financially benefits them. Do they want to take the depreciation benefits, expense the lease payments or look for tax savings? We will help them.”
It’s often an age old question in business whether to lease or buy. There are numerous reasons to lease versus buying, including that you can acquire additional equipment and upgrade equipment, you can free up working capital, the fixed payments/terms makes it easier to plan, budget and much more.
One of the most appealing aspects for leasing is that it frees up cash flow.
“We offer fixed rates so it’s easy to tell our customers, ‘You might want to stretch the term out a little bit because rates are increasing today and you can take advantage of that environment,” said Groshong. “Rates are going up. Our rates are fixed. Our payment schedules are flexible and match your cash flow.”
Another appealing aspect, especially for companies just starting out, is that they can structure lease payments to increase over time, which allows you to get the equipment you need to grow your business. If you own a seasonal business, they are also able to structure your payments to your cash flow.
However, this isn’t just a good option for companies just starting out. It’s also a great option for companies that are expanding or have seasonal cash flow. President and CEO Todd Fisher gave an example of a local manufacturing company that’s growing quickly that they worked with recently.
“The customer just picked up a substantial contract with a very large regional company so they need to expand,” said Fisher. “What happens is that all of a sudden, they’re going to expand quickly and they need to keep their bank line open. They’re moving into a larger building and they’ve got over a million dollars worth of equipment that they need to have. We’ve become a financial partner to help them grow.”
The work they’ve done
You name it and they have probably leased it out. Below is a list of some of the industries and types of equipment they have leased out.
- General Contractors: Cranes, heavy construction equipment, vehicles
- Mechanical Contractor: HVAC cutter, vehicles
- Gym: Fitness equipment, TVs, sound system
- Engineering: Technology equipment
- Hospitality: Hotel IT, fit up, room furnishings, signage
- Private Practice: Medical equipment and fit up
- Lumber company: HD delivery truck/trailer, vehicles
- IT firm: Computer equipment for customers around the country
- Wholesale supply company: Delivery vans, vehicles
- Distribution: Warehouse shelving, forklifts, inventory management system
- Transportation: Fuel trucks and trailers, vehicles
- Heavy Construction Equipment: Vehicles, trucks, shop equipment
- Retail: Delivery trucks, vehicles, Signage, POS system
- IT Firm: Office furniture, IT, phone system
- Private Practice: Medical software, IT, vehicles, furniture
- Tattoo Removal: Tattoo removal equipment
- Transportation: HD trucks, trailers, IT equipment, vehicles, logistics system
- Agriculture: Management vehicles, tractors, combines, short line equipment
- IT Firm: IT equipment, asset tracking equipment, vehicles
- Floral Company: Delivery vehicles
- Municipalities: IT, Bobcat, buildings, equipment
- Co-Operatives: Vehicles, sprayers, IT, buildings
Over 30 percent of all equipment in the U.S. is leased and over 80% of all U.S. companies lease.
That ability to work with a business adds value and is what really separates FF Fisher from their competitors.
“There’s a ton of flexibility,” said Groshong. “The fun part for us is we have all these different types of businesses to learn about. We’ll spend more time on the front end with a customer saying, ‘How do you make your money? Where are you going? What are your goals?’ We can structure our transactions to follow that plan where there’s a lot of leasing companies that will just send you a document through your email, you’ll sign it and send it back and you’ll find at the end of the lease that there are terms not necessarily in your favor.”
Another one of FF Fisher’s unique offerings is their fleet management service. If you have company vehicles, you might want to consider working with FF Fisher. They will listen to your needs and then go out and acquire the vehicles at the right price with the right options that match your planned usage.
“We have the expertise to be your fleet manager,” said Fisher. “We can buy them right. We can cycle them right. We can manage them right so we can get the customers on the right programs. Also, there’s some tax advantages. At the end of the lease term, we put the customer first with the goal of keeping the total cost of ownership down and working in their best interest.”
They will go far beyond just finding the right vehicle for you. They can handle everything from fuel management, maintenance and repair management, accident management, license and title services and driver risk management programs.
“Whether it’s a vocational truck for a contractor or whether it’s an executive vehicle for the owners or management of the company, it’s structured in a way that comes back in the owner’s control at the end of the lease,” said Groshong. “Our guys do a wonderful job with vehicles.”
“I would be willing to say that from Minneapolis to Spokane, you won’t be able to find any more qualified independent fleet people than what we have here,” said Fisher. “I don’t think I’m exaggerating from that perspective. It goes back to our values and visions when the company was started with my dad Fay and brother Tom.”
500 40th St. S, Fargo