Powersports players prepare for new possibilities

New opportunities were at the forefront of the Powersports Finance industry in 2022, as companies adjusted to changing market conditions following the COVID-19 pandemic. Whether it was new ventures, new services or companies making a return, 2022 saw major moves across the industry.  

Here are Auto Finance News’ top powersports stories of 2022. 

 Octane launches EV financing  

Powersports lender Octane capped one of the biggest years in the company’s history with an expansion into electric vehicle financing. New York City-based Octane partnered with Eugene, Ore.-based manufacturer UBCO to provide dealers with access to financing through Octane’s in-house lender, Roadrunner Financial. The partnership comes after a year that saw Octane expand into RV financing and surpass $1 billion in annual originations for the first time. 

Huntington launches indirect powersports financing program 

Huntington Auto Finance grew in 2022 with the addition of its indirect powersports financing business. The new venture allows the bank’s vehicle finance and dealer services business to finance all-terrain vehicles, motorcycles, snowmobiles and personal watercraft alongside its RV and marine financing business. The move is just one that has allowed the Columbus, Ohio-based financier to expand.  

Wells Fargo mulls treasury management services for dealers 

Wells Fargo Distribution Finance revealed during the 2022 Powersports Finance Summit that Wells Fargo was looking to launch treasury management services. Jeremy Jansen, head of business development for Wells Fargo Distribution, believes it is time for Wells Fargo to be the full bank for the dealers it serves. With the company already serving more than 17,000 dealers, entering the treasury management services business could mean significant opportunities for Wells Fargo. While the current state of the credit markets could be cause for concern, Jansen believes that the dealership credit profile is as good as ever. 

Speed Leasing resumes originations after 2 years 

Speed Leasing is still going strong after the COVID-19 pandemic, as the new- and used- motorcycle company is resuming originations after a two-year hiatus. The company spent the COVID-19 pandemic observing how it would impact the marketplace but is now returning to full-scale operations. Speed Leasing spent its break refining processes, such as implementing DocuSign.  

Powersports lenders move full throttle toward new opportunities 

This year saw many of the same challenges as 2021 — such as supply shortages and economic concerns — that continue to plague the industry, but that did not stop several companies from embracing new opportunities. Despite inventory shortages, companies like powersports lender MotoLease grew their loan production to try to capitalize on current market conditions. Other companies turned to technology for their new opportunities, as lender FreedomRoad Financial partnered with Eugene, Ore.-based EV manufacturer Arcimoto to finance consumer loans on its EV lineup.