Just like you, the thousands of readers of this Newsletter are racking their heads for ideas and methods to increase their Financial Service Center Loan Business revenue AND survive the CFPB B.S.
One business that we’re exploring is Income Tax Preparation.
I’m speaking here from real experience with this. I’ve offered tax preparation services in two of my payday loan stores.
Let me tell you the good, and the UGLY.
First, tax prep is a great complimentary business for financial service centers.
On paper, it’s a slam dunk. You’re already paying the overhead. It’s the same demographic. There isn’t a huge requirement of space. And, the training is easier than you think.
Tax prep software does 98% of the work for you.
My first year, I DIDN”T listen to my franchise training people, and I went after small business people.
You can’t make money on them and their returns are often too complicated.
When I shifted my focus to LOW-INCOME customers, I started making serious money.
Example? A single mom with a truckload of kids is going to get an $8000 refund from the IRS! These moms don’t cry about paying a few hundred bucks for their tax prep service. [They just want their government money FAST! And, you can expedite this for them. You’ll have the tools and the knowledge. You’ll even have a bank account that offres them $800+ in advance of their refund from the IRS!]
I assumed that I would automatically get all of my current payday, car title and installment customers to file with me. Didn’t happen.
You have to sell, sell, SELL!!
Drive around, give out pens, be friendly, advertise… Yes, even to the customer that you already have a relationship with! They see you as the Loan GUY (or Loan GIRL).
Here’s the opportunity:
You can typically earn $200-$250 per return. It takes you 10-20 minutes to complete. Not bad!
Get 250 customers through your door and you add $50,000+ to your numbers. If you have several locations, that quickly adds up to a serious increase in cash flow for your financial services business. AND, this all happens from January 8th through the end of March!
It’s a well known fact our industry is very GOOD at customer service. Every survey, every investigation reveals that we KNOW our customers and that we take great care of them. [As you know, this fact really pisses off the banks, credit unions and so-called “consumer advocates.”]
Tax prep is a huge opportunity for us because the BIG names in the income tax prep business – H&R Block, Jackson Hewitt, Liberty – they hire crappy employees with a crappy attitude.
Get people in your door and you can turn them into permanent customers for ALL your financial services.
We’ve interviewed a multitude of Franchisors and franchisees during the past several weeks.
We’ll present you with our tax prep recommendations in the coming week.
But right now, we have one recommendation for you:
Get an EFIN number.
This is a special tax preparation ID number that is issued by the IRS.
It is FREE.
It doesn’t commit you to anything… BUT, it’s the government… they take 45 days (minimum) to process this application.
You CANNOT do a Tax Prep business without it.
It costs $0.00 to get it and you must have it. But if you don’t have it, you can’t even explore this exciting opportunity.
Here’s the link to the IRS Website. EFIN
Just in case, here’s a shorter link via Google’s URL shortner: https://goo.gl/JymYjQ
Get your EFIN number and hold on to your hat. We’re going to provide you with some real opportunities here.
Start now! Get this done! Take action today before you forget and before you get left behind.
Don’t take action today AND it’s gonna be PAINFUL!
We’ll be back SOON! Want access to our research? Email Team@PaydayLoanUniversity.com with Tax Prep in the subject.
Best! Miro & Jer http://www.PaydayLoanUniversity.com