Fuel Capital Group has started financing metric motorcycles, adding 12 brands to its leasing program, the company has announced.
Specifically, Fuel is underwriting Aprilia, BMW, Ducati, Honda, Kawasaki, KTM, MV Agusta, Royal Enfield, Suzuki, Triumph, Victory, and Yamaha motorcycles. Previously, the company financed only Harley-Davidsons and Indian motorcycles. Leases can go up to a 48-month term regardless of bike model. Additionally, there are no mileage cap restrictions.
Fuel soft-launched the new brands on June 11 with 16 dealers before launching the program across its entire dealer network on June 28, Manager of Data and Analytics Blake Henke told Powersports Finance.
“We didn’t want our dealers to have to wonder if a bike they were selling worked with our program,” Henke said. “That’s why we went after the majority of the major brands and a few of the smaller ones, just to make sure that our dealership partners knew that if they wanted to put somebody on a Fuel lease then they could.”
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Fuel Capital launched in August 2018 and was created by the former founders of Chrome Capital, which shut its doors in 2016. Chrome only leased Harley-Davidsons, and while Fuel’s goal was always to add more vehicles to its program, it didn’t have the experience to do that automatically and had to do research with a focus on brand depreciation, Henke explained.
“Being a leasing company, depreciation is one of the biggest things that impact not only your rider’s payments but the value of the bike at the end of the term,” Henke said. “So, we spent a lot of time working with National Powersport Auctions, who get depreciation data across a number of brands, so that we could decide how we wanted to structure our leases for these new assets.”
While Fuel has been underwriting metric models for just a couple weeks, the company has been “rapidly” adding dealers since it started promoting the changes, Henke said.
Prior to the addition of the metric brands, The Naples, Fla.-based lessor worked with 190 dealers in 20 states. Since the program changes, Fuel now works with more than 200 dealers.