BRP launches branded financial services program with Octane
BRP is launching its own branded retail financing program in the U.S., giving dealers another tool to support sales and customers a financing experience designed specifically around BRP products.
BRP Financial Services officially launches Aug. 24 and is being developed and administered through a long-standing relationship with fintech company Octane. The program will provide financing for new and used vehicles through BRP’s U.S. dealer network under the BRP Financial Services name.
The move marks a significant expansion of the companies’ relationship, which dates back 10 years. Octane will provide the technology, underwriting, funding and loan-servicing infrastructure behind the program through its Captive-as-a-Service platform. Octane’s in-house lender, Roadrunner Financial, will originate the loans, while Roadrunner Account Services will handle loan servicing.
For BRP dealers, the new program is intended to provide greater credit flexibility and a more integrated financing process at the point of sale.
“Our dealers are at the heart of everything we do and we are committed to making it easier for them to do business with us,” says David Baker, vice president and general manager, Powersports North America at BRP. “BRP Financial Services will provide financing solutions that support their sales growth, give them credit flexibility to close more deals, and strengthen their long-term customer relationships.”
The program is also positioned as a strategic initiative for BRP, rather than simply a new financing option. Benoit Chevrier, BRP vice president, finance and treasurer, said the branded finance operation is expected to improve operational efficiency while allowing the company to capitalize on opportunities within the powersports market.
“The launch of BRP Financial Services represents an important milestone for our business,” Chevrier adds. “It aligns with our long-term strategic objectives and positions the Company to capitalize on untapped opportunities within our industry.”
Captive-style financing
Octane’s Captive-as-a-Service platform allows BRP to operate a branded financing program without having to build and manage a traditional captive finance company from the ground up.
The platform combines technology, underwriting, loan processing and servicing, compliance and capital-markets execution. Octane also provides sales and marketing support designed to maintain a consistent BRP-branded experience throughout the financing and ownership process.
“This launch is the next evolution of our long-standing relationship with BRP,” says Jason Guss, Octane CEO and co-founder. “By combining our purpose-built technology platform and strong underwriting and capital markets track record, Captive-as-a-Service allows us to offer even more innovative and tailored solutions for our partners.”
Octane said the program will offer financing for both new and used vehicles, with flexible terms and promotions intended to support customer acquisition, repeat purchases and customer loyalty.
The company said it has surpassed $9 billion in aggregate loan originations and has issued more than $5 billion in asset-backed securities. Octane also has sold or secured commitments to sell $4.9 billion in loans through 13 whole-loan sales and forward-flow agreements.
Octane’s Captive-as-a-Service platform also has partners in the recreational vehicle, outdoor power equipment and automotive industries.
What it means for dealers
The launch gives BRP dealers access to a financing program carrying the OEM’s own branding, potentially creating a more unified customer experience from vehicle selection through financing and ownership.
For dealers, the most immediate potential benefit is an additional financing channel designed around BRP products and supported by a lender with established powersports experience. BRP also emphasized faster approvals, customized lending options and dedicated support as elements of the new program.
BRP Financial Services initially will serve the U.S. market and will cover products across BRP’s powersports portfolio that includes Can-Am on- and off-road vehicles, Sea-Doo watercraft and pontoons, Ski-Doo and Lynx snowmobiles, Rotax engines and Quintrex boats, along with parts, accessories and apparel.
