A Rising Market: Funding Growth in 2013

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• 20+ years in building supply industry• Focus on financial services

John KavanaughNational Accounts Rep

We are new members of MSLBMDA

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Signs

Funding

Navigating

GROWTH

Discussion Agenda Today

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Growth is here

+28%

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A steep growth rate is predicted

Projections through 2016 mirror rates last seen in the 1970’s

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Remodeling will steadily increase by 20%

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You will need $3 in Cash for every $1 in Growth

*ProSales Magazine Online; “Five Steps to Funding Tomorrow’s Growth”; Hallie Busta; September, 5, 2012 www.prosalesmagazine.com

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Reduced lending squeezes independent dealers

Lending

Housing

-25%

+28%

$Alternative Financing

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Options to Consider

Equity Investment Debt

Leasing Factoring

3rd Party Trade Credit

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Diagnose a Cash Flow Gap

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Let someone else manage your trade credit

• Guaranteed Cash Flow• Increased Sales• Reduced Risk

Customized to you

Golden Rule: Get the cash flow you need while staying in control of the way your customers are treated

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Comparison between plans

In-House Program

• 100% risk • Wait 48 days for payment• Self-source your credit checks• Staff your own back office

3rd Party Trade Credit

• No risk• Guaranteed payment every 30

days• Customizable by customer• Complete services front-back• Stay in control

Better Cash Flow = Healthier Business 2013+

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