Today’s Finance Matters piece we hear from MitchCap Finance’s Managing Director, Paul Mitchell. Today Paul discusses summer stocking strategies – to maximise sales, and considerations towards mitigating holding risks in the current market.
As summer approaches, dealers face a familiar challenge: how to stock confidently for potential demand without exposing the business to undue risk if the market remains choppy. There are opportunities for dealers to leverage finance strategies today to ensure optimal stocking for summer. Factories are more receptive to strategic incentives than I have seen in years – now is a great time to work closely for mutual wins.
Now is the time to talk and plan down to the boat:
- Global OEMs are coming off a softer-than-expected northern summer, they are keen to secure orders to hedge against an expected slow winter.
- Local OEMs are moving fast—offering nimble, targeted stock packages that align with emerging demand signals.
- Dealers are in a unique position to initiate dynamic, boat-by-boat programs that balance risk and reward, focusing on this season, not macro right now in this market.
From a finance perspective – I would be having factory discussions on the below:
- Extended Subsidy Periods
Smart dealers are negotiating beyond standard 90–120-day free floorplan terms, factories are receptive due to the market conditions and current season results. We’ve seen one-off factory-backed programs offering up to 360 days of interest-free stocking—a powerful way to carry premium models with confidence and zero holding cost risk.
- Marketing-Backed Stocking
OEMs may support additional inventory with targeted marketing spend—from media campaigns to national demo boats used across dealers’ entire networks. These initiatives reduce sell-through risk and amplify visibility. Again, tie it to the boat order for mutual wins strategically right now and pre-season.
- Recapitalisation & Seasonal Curtailments
Finance partners can help reduce upfront cash impact by capitalising freight and duty. Dealers with equity in aging stock should consider revaluing inventory to unlock working capital and increase advance rates closer to wholesale value. Talk to your lender—quick action here can boost stocking confidence and refocus you from cashflow risk to sales.
- Strategic Retail Finance
Dealers using MitchMarket Finance have seen typically 30% uplift in Net Profit Per Unit Margin. Subvention campaigns—seasonal, event-based, or model-specific—can turn slow-moving stock into profitable clearance opportunities. Factories are receptive to contribute, but you can also do this at Dealer Level – why not consider a clearance or model in-house special?
Final Thought: Build Dynamic, Responsive Programs
OEMs are ready to collaborate. Whether it’s a boat-by-boat initiative or a temporary stocking campaign, now is the time to open direct conversations for this season. Align stocking with green shoots of demand but structure deals to mitigate downside risk.
At MitchCap, we are here to help you navigate this market with confidence and precision.
Would you like help turning this into a dealer-facing email or presentation deck? I can also help tailor messaging for OEMs or finance partners.
Paul Mitchell is the Managing Director of MitchCap Finance, Paul and his team can be contacted on info@mitchcap.com.au, phone number is +61 2 4216 9040
