Westlake Financial Services is looking to cast a wider net around manufacturer partnerships, David Goff, assistant vice president of marketing, told Powersports Finance.
“We’d like to expand into some more OEM partners — we do see powersports as a great growing opportunity for Westlake,” Goff said. “As a whole, the powersports industry is undeserved on the financing side. We see a huge opportunity to financing the subprime to near prime market. It’s a natural fit, maybe down the road we can expand even deeper into powersports.”
The Los Angeles-based company partnered with Kawasaki in June 2014 to launch Westlake’s powersports program, Goff said. “By doing so, we started off in pilot states and rolled out nationwide in January 2015,” he added. “We went into helping Kawasaki provide financing to their subprime and near prime consumer base. For 2016, obviously we are hoping to continue the relationship with Kawasaki.”
Loan originations have increased since Westlake began working with Kawasaki, Goff said. “Prior to June 2014, we didn’t have a partner on the powersports side,” he added. “By having an OEM, that helped it [loan originations] grow really well.” The company also projects strong growth in 2016, pending its renewed partnership with Kawasaki, Goff said.
Westlake currently services 700 powersports dealers, and projects to increase to 1,500 dealers by the end of 2016, Goff said. About 65% to 70% of consumers Westlake funds are considered subprime, with the remaining percentage falling into the near prime category, he added.