End of Lease Management
End of Lease Management? Somewhat of a vague description and likely a buzz-phrase used within all financial institutions with differing intentions and meanings. At Maven Management, End of Lease Management describes the service we provide where we are able to expertly handle every aspect of your Lease Turn-in process. Our partnership can start 6 months before the lease maturity date and culminate with the sale of the asset. Every step along the way, Maven looks out for your best interest by controlling costs, ensuring accuracy, validating invoices/expenses, and overseeing each leased construction and agriculture equipment asset delivering you the lowest end of lease processing cost possible.
Allowing Maven to become your end of lease management partner allows your current employees to focus on core functions and decrease your overhead costs.
Our End of Lease Management Services is divided into the following segments:
- 3rd Party Independent Inspection
- Inspection Review
- Prep for sale management
- FMV Pricing
- Seamless Transition to Remarketing
- MADX – Maven Asset Data Xchange
During the communication stage, Maven Management will send written letters and correspond with the lessee to determine their intentions at the lease conclusion.
- Do they intend to turn in the asset?
- Do they intend to purchase the asset and need to speak with someone from your company to begin financing process?
- Are they unsure and would like to speak with someone from your company to discuss their options?
Choosing to outsource the initial communication attempts to establish your lessee’s intentions at the end of the lease term does not mean that you lose control of the process. Our customer-centric software and personnel place the highest level of importance on your customer’s experience. You continue to control your customer communication — you will just change how it is managed.
MADX provides the ability to seamlessly replicate your procedures within the communication process in regards to the content of each letter, the timing of letters sent, and the steps that occur within. You will be updated electronically with the progress and results during the communication phase along with a detailed log of all action taken and conversations in regard to that asset.
Allow us to present how simple, seamless and profitable it can be to outsource this phase of your end of lease process while maintaining control of your customer communication and retaining the ability to know the details of each transaction and progress of each asset.
When your asset is going to be returned at the lease conclusion, our Communication/Coordination Managers will manage this process as well.
We will ensure that the lessee is aware of the details and processes such as: The date and location your asset is required to be delivered – Person of contact at the dealership – Expected condition of your asset per your lease contract to avoid wear & tear, excessive use, and/or abuse charges.
We will communicate with you when the asset has been received by the turn-in dealership. All communication and documents used during this process are logged within the asset file and stored for future record.
3rd Party Independent Inspection
After your asset has been received by the turn-in dealer, a qualified construction or agricultural inspection service will visit your asset and perform a thorough inspection. Inspection by Maven and our qualified inspection process provides:
- Uniform inspections across the entire country.
- Use of Maven make/model inspection forms. This is beneficial during the remarketing process as buyers will realize the significance of the consistency and value of a construction skid steer form not being used to inspect an agriculture combine.
- We employ experts to perform the inspections. When we ask, “Have the pins been turned?” on our track-type dozer form – they know what that means. When a measurement can be taken, we list that measurement and what it means in terms of “life remaining.” The descriptions of “Good, Fair, or Poor” will not be used to measure the useful life of track or tire remaining on an asset. If you have tire or track life limitations written into the contract, this is also an opportunity to recover “excessive wear” monies from the lessee.
- Impartial analysis and reporting. By performing our inspections with an unaffiliated 3rd party, we remove the possibility of “worse-than” results if a service shop is seeking repair business and also remove the “better-than” results if the dealer-based inspector doesn’t want to note a defect and charge the customer for the shortcoming.
- Our inspectors will operate and download/upload all information through MADX. All information will be centrally located for all involved to view/use.
Our Return and Valuation Managers will review each inspection report and determine:
- Opportunities for the leasing company to charge wear & tear/abuse to lessee. Example: If window glass is broken or remaining tire life is insufficient, we will present you a list of potential opportunities to recover monies owed to you per your contract with the lessee.
- Our expert opinion on any repairs or maintenance that could be done to improve the marketability of the asset and improve the sale price potential of the asset. We will only suggest items where our experience has proven them to be beneficial. For example: We will not suggest a repair for $500 where the potential increase in sales price is only $500.
A “Needs Attention” notification will be sent electronically that this report is within the asset file and accessible through MIAMS. You will review and determine which, if any, repairs or maintenance you would like done.
Repair/Prep For Sale Management
If there are repairs or maintenance that need to be performed, we will manage this process for you as well. Our staff consists of professionals that have significant field experience of working in and managing the parts and service departments within equipment dealerships. All work will begin only after the repair facility has provided a written quote that meets industry standards and pricing.
FMV – Sale Price Established
Our Return and Valuation department will electronically communicate to you our expert opinion as to the Fair Market Wholesale Value of your asset. Our presentation will show the importance of this step and how it’s beneficial use within our unique remarketing process. Our FMWV suggestion considers current market conditions and potential wholesale sale price potential. With your approval, this benchmark is established for the asset and used by Maven Equipment during the remarketing process.
Seamless Transition to Remarketing
Once the asset is ready to be sold, the transition to maven-equipment.com is seamless. All of the specifications, the detailed inspection report and pictures are within the asset file. A “News” notification will be sent verifying the status change and your asset is being actively marketed.
One of the most significant differences between us and nearly every other construction and agriculture equipment remarketing company and “for sale” website is that our staff consists of experienced used equipment representatives that actively market your assets to the marketplace. Our used equipment sales team have spent their careers selling used equipment and understand and know the market. While we certainly do have a “For Sale” webpage, we do not simply post your equipment online and then wait for the phone to ring.
Because we have been managing your asset for six months leading up to the lease maturity date and throughout the turn-in process, it is likely that our sales professionals has already found a home for the equipment. Our growing network of buyers significantly assists in the speed and market price for which your asset is sold.
MADX – Maven Asset Data Xchange
Our number one goal when creating MADX was to bring a tool to market that increases your company’s business process automation and efficiencies. Read more about our revolutionary asset management software.