Jason Spates, Director of Finance, Vehicle Lenders Group DBA Truck Lenders USA

TruckLenders USA (TL USA) specializes in commercial vehicle leasing and financing and has been in operation for over 30 years, now run by Curt Webster and his daughter, Dawn Leo. Vehicle Lenders Group and TL USA have carved an important niche in the commercial truck lending sphere. Self-starter Jason Spates, Director of Finance was nominated as December’s Emerging Leader for his record numbers in truck leasing, high customer-retention rate and technology acumen.

Spates, at 34 runs the Commercial Truck Division of Vehicle Lenders Group as Director of Finance from the Mission Viejo office. He entered the market in 2008, when many were leaving the business as they couldn’t adapt to the changes in the marketplace. Spates is a tech-savvy hard worker, a natural people person and a self-titled “casual manager” that enjoys encouraging his employees to reach their full potential. Read on to learn about VLG’s unique fit in the marketplace and Jason’s hard working and honest approach to his work.

Spates (left), pictured with Ulf Brynjestad (middle), a Consulate of Sweden and Jonas Hafstrom (right), the ambassador to the U.S. from Sweden

WLN: Let’s talk about the growth and evolution of your company, Truck Lenders, into what it is today. In 2005, you began as an independent leasing specialist for commercial trucks and trailers and now you’re partnered with Vehicle Lenders Group. What can you tell me about that growth and transition?

JS: I started Truck Lenders in 2005 as an independent leasing specialist for commercial trucks and trailers. In 2008 I partnered with Vehicle Lenders Group to form what I hoped would be the #1 commercial truck finance company in the country. And now we are specializing in commercial trucks and trailers, currently financing hundreds of units on a monthly basis. My division of VLG is currently 70% of the business written monthly.

Collaborating with VLG began with my mentor suggesting that I could find success in a niche market. After 2 years of working with banks to broker deals and being the middle man, I wanted a more direct relationship with our end users and to be a one-stop-shop. I helped fund some deals for Curt Webster from CarLeaseUSA.com (the former name of VLG, as they were known before they financed all types of vehicles, mostly commercial trucks and trailers), located in Oyster Bay, New York and we decided to meet.  On a handshake deal we created TruckLenders USA. 2012 will be a record year for us.

WLN: How do you utilize the web and social media for your business?

JS: We target each audience differently. I define the audience in two ways: we have buyers and sellers. The sellers are vendors and private parties. These are the people looking for us to finance the purchase of trucks/trailers that are being sold to the commercial buyers, which brings me to the end users that are in need of the funds to grow their fleet and expand their business. This is our specialty! We also see a lot of referral business from customers recommending us to their friends, family and colleagues. Many times we have repeat buyers looking for additional units for their fleet.

In addition we launched mobile communication efforts to allow us to contact our client on their mobile devices. Cell phones are the best way to reach them and the app makes this the best platform for on-the-go and convenient communication.

We are also using QR codes in our marketing where the vast majority of other companies in our industry aren’t. We are ahead of the curve here for sure which is great. I’m also interested in search engine optimization terminology and phrases. We’re very involved with Facebook and LinkedIn and connect with all of our clients. Facebook and LinkedIn allow us another avenue for our due diligence on each prospective client, which can be very helpful. Everything is so searchable and reachable these days with online research.

WLN: How does VLG succeed where others fail? Where are your strengths in the marketplace?

JS: We have the advantage of giving rapid turnaround time and can typically give approvals in one to four hours. We also have two offices, one on the east coast in Oyster Bay, New York and one on the west coast, in Mission Viejo, California, so we are open 12 hours daily. Our rates are some of the lowest in the industry, from 7-8%. We also have the ability to lend very aggressively because we have less than a 1% default rate.  We help when people can’t make their payments and offer help when refinancing for repairs is needed. We are one of the few lenders around that allow for what we call a “re-market repo”. This is a program that allows for an existing client to request a 60-day payoff window to sell their truck or trailer. This opens the door for a new buyer to assume the lease of our current client, which in essence allows the current client to avoid 30/60/90-day late payments. We do this because we understand the need in today’s economy to assist those that provide such a needed resource for all Americans. Transportation is the heart of goods and services and is what keeps this country running.

Our commitment to our customers is shown through their loyalty. I have a customer in the oil and gas transportation industry that financed their first truck in 2008 now they have around 100 trucks with us.

WLN: What is your biggest market challenge?

JS: Our biggest challenge these days is customers’ ability to stay current on their mortgages. The housing market has really affected the transportation industry and credit is the biggest problem. 50% of potential customers have credit scores in the 500s.

WLN: At 21 you worked as a stock broker for Roth Capital Partners. What was it about the finance industry that attracted you?

JS: I was introduced to finance by accident. I always believed that we follow the path that was already designed for us, if we so choose. I’m my case it was a chance meeting with a patient in my care while I was working as an EMT. He was to receive heart surgery to replace a heart valve. While he was in the hospital, we formed a friendship playing poker together. He offered me an interview at Roth and gave me some pointers. I took advantage of the opportunity; the patient was the head of the options trading desk and was a heavy hitter. With that I interviewed and was hired to train for my series 7, 6, and 57 at 20 years old. These are the licenses needed to be a stock broker and trade on the open market. Excited to take the chance, I left my job at the hospital. My mentor encouraged me to focus and study as much as possible, because the series 7 is a 6 hour test. After my 10-hours-a-day at the office cold calling for him, I would study at the library for 5 hours a night then be back at the office at 4:30 am for the morning calls, as I was in CA. The test came and I passed, which was followed by the tradition where my tie was cut in half when I returned to the office with the news. To me, this was a major change in my life’s direction and led me to where I am today.

I’ve always enjoyed the marketing/sales side of things and talking to different people from all over. I really hold a sales position in a finance world. Building a good campaign that drives business is much more exciting than writing a check.

WLN: How did you transition into truck/trailer leasing?

JS: I left Roth Capital Partners after 9/11 and went to Pacific Life Insurance Co., where I was responsible for growing the Newport Beach territory and I was successful at doing so. If you can sell stocks and other intangibles, you can sell anything. Transitions for me have been easy; I’ve always relied on numbers and not on a salary.

WLN: What makes a good leader?

JS: Having the ability to motivate, inspire and jumpstart others’ potential so they can excel. It’s important to point out the positive and offer corrective management.

WLN: What would your employees and associates say about your leadership style?

JS: They’d say I’m fun, a casual manager. I get excited about teaching people how to make companies grow.  I like what I do and it shows. I try to inspire that in others.

To view earlier Emerging Leader features visit: http://www.worldleasingnews.com/category/emerging-leaders/ or to recommend a lessor as an Emerging Leader e-mail abigailsutton@worldleasingnews.com.