Looking for a Loan?

I am aware that obtaining a bank loan today can be rather difficult. But we read in the newspapers that banks are currently sitting on many dollars and they appear to enjoy counting them every day! It has now become difficult for a DME/HME provider to get a loan from a bank. In their minds, many dealers may fail or reduce the size of their operation because of “Obama Care.” (I use the term “Obama Care” since that is what it is called on the TV or in the newspapers). The loan officers are hesitant and think it will be very detrimental to small business. I have studied this and have also watched what has happened in Massachusetts. I now feel this presents a major opportunity for DME/HME providers. “Obama Care” is far from perfect. It has many problems, but I believe they will be  corrected. Look back to when FDR established Social Security and note the many changes made over the years. Then think about LBJ and Medicare. This legislation is going through all types of alterations, but by and far, it has done much good. So with the economy starting to return back slowly, but optimistically, the real entrepreneurs are featuring new OTC cash sales in their operations. Smart business people developing more over the counter cash sales opportunities! These DME/HME providers are all looking for new ones when they go to Medtrade this October. But what we seem to be missing is co-operation from the banks. I wonder why? Having spoken to several loan officers, both at big and small banks, I want to tell this to you. When you recognize that your direction must change with this new economy, then you will be taking a giant step in the right direction. That is what they like to hear. You are going to after a large piece of the burgeoning new market. Your plan is to hire another employee or two! They will be out selling emergency and first aid supplies everywhere people gather or shop in your town. It’s the law! It is important to keep your company name in front of the community. To  accomplish this you will need additional funds. Where should you find them? From your bank!  You sell medical supplies, the banks sell money. I spoke with a number of loan officers. What should you tell them? Keep it simple and short. Ask for a sufficient amount of money. Prepare a good business plan showing exactly how the money will be used. Be sure you bring a current financial statement, prepared by your CPA. What the bank officer will  see is how your company has fared the past few years. They want to be satisfied that when they provide the requested funds there will be sufficient new income to meet your goals and repay the bank. There is a lot more, but this is usually how negotiations start.  Make that first step and get your plans for the future launched. Come to Medtrade prepared to locate every new opportunity that is offered and will fit within your operation. www.medtrade.com Let me know your thoughts on this topic!  I would love to hear from you!  shelly.prial@att.net

Make Your Cash Register Sing

I was chatting with a neighbor at the supermarket this morning. He pointed to the checkout stations and said, “Listen to the music”. The lines were long and the ringing up of the sales really played a beautiful melody. I recognized the tune, I am an old retailer.

One of the driving forces when I prepare these blogs is to help our readers build more cash sales. Yes, make your cash registers sing.

How? When you shop or visit any of the major marketers there are signs identifying every area. First-aid, incontinence, diabetics, wheel chairs, scooters and as many titles as products they offer. These departmentalizing signs do not have to be very large. I visited a local Walgreen Pharmacy and found every section clearly identified. You can do the same!

I was in a rather interesting location in Rochester, NY. This dealer went one step further. Every section had a sign mounted. However, he also developed two “rooms” displayed along one wall: a bathroom and a bedroom. These were brightly lit and every item on display had an attached price tag. He made the rooms look so realistic because he framed in each what appeared to be window with a view.

After preparing these displays he went a few steps further. He changed the items displayed on a rotating basis. Then, he arranged to have a sales person from one of the manufacturers whose items were featured every Saturday from 9:00 AM until noon.  Their job was to demonstrate, answer questions and provide literature. The entrepreneur was very pleased when he saw how many new sales were made.

To promote these demos, every Thursday an announcement was sent to the local radio stations and newspapers. He proudly posted this announcement in his showroom window.

You can develop similar music in your showroom by promoting these programs. At Medtrade you can discover a myriad of items suitable for this type of promotion. Become the bandleader and make music and new profits.

Attention DME Manufacturers

Attention DME Manufacturers

The interest level for OTC sales is growing daily. New items to show dealers and how to better market existing items by matching what they display more effectively to their clientele is key. You have to lead the way. This blog is being directed to the manufacturers and exhibitors who will be displaying at Medtrade in Atlanta this fall. 

My e-mail and phone calls have been filled with requests to know:

“How many new products are currently available?” 

“Which exhibitors are bringing excellent OTC items?” “Will we find many new opportunities this year at Medtrade?”

“Which vendors will show me how to develop new sales?”

These are the questions that I am constantly hearing today and the volume keeps growing. This is a direct challenge to you, the manufacturer and the exhibitor. When answered, it will open many new doors of opportunity for both your company and the dealer! I have attended every Medtrade since its inception and never have seen this much searching for help and seeking new items to market. This is why the Medtrade Exhibition this year is more important than ever. The attendees are reaching out to you.

The providers and dealers realize they can no longer depend on CMS or Medicare. They want to develop more cash sales! You have the products, so come prepared to attract many new customers. This year the DHME attendees will be in Atlanta trying to identify the many new items which will be introduced.

As a manufacturer, showing your wares at Medtrade, this becomes a golden opportunity. I urge you all to take advantage of it. Every DME/HME provider wants the ability to tap more deeply into OTC cash sales. They all feel they are really more effective than the giant stores. They know their clientele, the patients and the family caregivers and are best positioned to move products.

This Medtrade, bring with you aggressive programs for building sales. Offer the opportunity to have your reps make joint calls with their staff.  Hold “dog and pony” demonstrations for all the providers' employees to introduce and expand your line of products. When this happens, everyone wins! You win, the dealer wins and so does their customers.