Taylor Guitar of El Cajon, CA, sells its guitars through more than 800 music retailers in the United States, Canada and more than 60 other countries.
As part of the Taylor brand strategy, dealers must provide customers with a "full Taylor experience," stocking the full line of Taylor's guitars. But stocking the full Taylor line presents a challenge to dealers because a guitar can take up to six months to sell from the time it arrives at the dealer and consumers often ask for extended financing for such a large personal investment.
Conversely, manufacturer's terms typically require dealers to pay within 30 days.
Taylor needed help providing inventory finance for stock purchases and retail sales financing for customers. It turned to GE Capital for a solution in 2000.
GE Capital offered Taylor a unified cash flow solution: Inventory Financing to help dealers acquire Taylor's products for stocking their stores and a Sales Finance Program to help the consumers fund their music product purchase. With Taylor taking care of the upfront inventory finance costs, GE Capital enabled the dealer to purchase the full range of Taylor guitars, matching the dealers' turns to GE terms.
View the Taylor/GE TV commercial.
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