Stride Capital has designed a business model to tailor transactions based on the uniqueness of each customers’ requirements. To get a better understanding of how Stride Capital’s financing and leasing work, we sat down with Karsten Idland, Stride’s Credit Analyst who recently was granted a credit initial by the Stride Partners.
Can you give us an overview of your industry experience?
I entered the equipment finance industry in 2012, working for a chartered bank right after graduating from university. During my tenure in the equipment finance industry I have worn different hats including sales, underwriting, credit analyst and management.
How long have you been with Stride?
After completing four years in the industry, I was presented with the opportunity to come work for Stride Capital in the summer of 2016 as their Credit Analyst.
What are your key responsibilities?
As the Credit Analyst, I have been tasked with the adjudication of credit applications that have been originated at Stride Capital. Depending on transaction size, I can either use my credit initial to approve an application or I recommend it to one of the senior credit initials for final approval if the deal falls outside of my credit initial. Another primary responsibility is continually updating our credit manual as Stride adapts to stay competitive.
What are some of the benefits of your newly acquired credit initial?
As a small company, we know that speed and efficiency are a competitive advantage for Stride Capital. With my new credit initial, I can now adjudicate roughly 80% of all transactions that are submitted to credit without having to pass the application along for a second initial. Our mandate is to provide a four hour turn around time on transactions under $250,000 and one business day on application over $250,000. With my new credit initial it helps to ensure we hit these service targets.
How will the new credit initial make you more efficient?
Having the ability to adjudicate the majority of heavy equipment financing and leasing applications that come across my desk provides predictability to the originations team. With the applications that fall outside my credit initial I am now able to recommend for approval to a senior credit officer, which allows for a quick review and second sign off.
Will the new credit initial provide any other benefits?
As the sole Credit Analyst, it is my responsibility to not only keep our applications consistent for our reporting purposes, it is also important to keep them consistent for our financial partners. Consistent adjudication also helps the marketplace determine where Stride Capital fits within the leasing industry.
What sets Stride apart from other companies in the industry?
During my first six months with Stride Capital it has been easy for me to see where Stride excels above other Equipment Financing companies. Stride Capital has taken a common sense, and non-formulaic approach to all credit applications. While Stride has decided to focus on ‘A’ credit space, we can usually structure most applications for approval.
Stride is an industry leader in financing terms on used equipment, due to our case-by-case evaluation into each asset and its specific application. While traditional lenders may only look at the equipment model year, Stride considers additional details on the equipment and its use to extend terms that make sense for our customer.
What is one segment where you see Stride’s approach being most effective?
Whether we are working with an established existing fleet or a new owner operator looking for their first unit, Stride has a lot of experience within the owner/operator sector. I have found that we are very strong with owner operators in the Transportation, Construction, and Energy industries. Being able to understand our customer’s requirements allows me to structure credit approvals that give them the greatest chance of success.
Any other benefits of being part of the Stride team?
Stride Capital is a direct funder, meaning that we source, adjudicate and fund equipment leases all within our office. Using our own capital means that our customers work with us from the application process, to funding and throughout the course of the contract for all questions and requests.
Contact us today to discuss your business financial needs.