Independent leasing companies represent the “DNA” of the industry, said David Wiener, a director with The Alta Group, speaking to members of the National Equipment Finance Association (NEFA) in a keynote address on March 18 at this trade group’s meeting in Scottsdale. He said the independents were the founders of the equipment leasing industry, and they have been the most innovative and efficient over time. It was their ability to adapt and maintain customer intimacy that enabled many independent financing companies to survive the recession, he said.

During his keynote address to more than 100 leasing and finance executives attending the NEFA Summit, he revealed some key findings that The Alta Group uncovered in its research for the Equipment Leasing and Finance Foundation. This included a graph showing that the independents’ net spreads were not as compromised as in other segments “even at the darkest time –2009.” Another slide showed peaks and valleys in new business volume with the highest point in 1997.

“Most successful Independents consider themselves to be more than simply a source of financing, with the financing component simply one aspect among the palette of client solutions offered,” he said. From his own experience and his role in the research for “The Place of the Equipment Leasing and Finance Company,” Wiener pointed to six areas of inquiry that must be addressed to sustain growth: niche, value, funding, organization, scale and leadership.

Also in March, Alta Director Michael J. Fleming, a co-author of this report, presented his account of the consulting firm’s research into the independent segment to executives who attended the ELFA/IMN Investor Conference in New York City.

For the full research study, visit the Foundation Library.