Skip to main content

Who will step up with wholesale dealer financing?

Happy New Year everyone. Let’s make one wish for a cure to the biggest problem in front of us this year: credit, or actually the lack of it.

Senator Dodd and friends bailed out the banking industry with some impressive checks, but they forgot to attach any strings to them. So the banks said “thank you” and promptly purchased their competitors. Meanwhile, the dealers, with inventories that are not moving, are now receiving letters from those same bankers and floorplan institutions, discussing the higher rates they must now pay for their inventory and how they must now look for other financing sources. Seems the bailed-out banks are now casting the dealers away for other investments.

Without wholesale dealer financing, most dealers see a very bleak future. The manufacturers need to recognize this chain of events before it reaches its conclusion. If a dealer can’t finance his own purchases, there won’t be an inventory to sell from. No sales, and there is little chance that dealers are going to order anything, so it might be very important for manufacturers to consider how they might support their dealer network with inventory financing.

Key Bank and Textron have both announced exiting the industry, leaving GE as the largest player in that field. Let’s hope someone steps up to support the dealers and get credit back into the sales game. Without available credit — retail and wholesale — the recreational marine industry is facing the most difficult years ahead.

Grant W. Westerson
Executive Director
Connecticut Marine Trades Association Inc.
captgww@snet.net

Related

BOB-CONFERENCE

MMTA Sets Date for Conference

The educational Business of Boating Conference will be held in Foxboro, Mass., with in-person and remote attendance options.

AKZONOBEL

AkzoNobel Nominates Board Member

Ben Noteboom is expected to be elected chair to succeed the retiring Nils Andersen.

MARINE-MARKETERS

Neptune Awards Adds Category

“Boat Show Marketing” will recognize promotional efforts for shows, and entries will be accepted until Dec. 18.

WOMEN-SAILING

Sailing Convention for Women Returns

Postponed during Covid, the event will include on-water training, networking opportunities and workshops.

Norm

MBIA Names Board Members

The Michigan Boating Industries Association elected four new directors and named the officers who will serve next year. Also, the 2023 schedule for “Ladies Let’s Go Fishing!” is taking shape.

CL.YACHTS

CL Yachts Expands Dealer Network

The Hong Kong-based builder added retail locations in Australia, Dubai, Singapore and Macau.

LEGEND.BOAT.FIX

Legend Boats Partners With Boat Fix

The Canadian builder will offer the telematics system, which provides tracking, monitoring and 24-7 service, on new models starting next year.

MARINEMAX

MarineMax Establishes Technology Division

The company’s Boatyard and Boatzon units will operate under the new entity, New Wave Innovations.