Though Manheim Group Vice President Patrick Brennan was mum on the price tag for DriveTime unit Go Financial, he said the motivation behind the investment was to broaden financing options to independent dealers.
“As subprime sales financing can be time-consuming and restrictive on a dealer’s cash flow, this gives them an easier, more efficient way to have faster access to cash,” he told Auto Finance News in an email.
Brennan noted that Go Financial will leverage the NextGear dealer network and technology which he says includes more efficient title management and processing. Floorplan provider NextGear was formed last year from the merger of Manheim Automotive Financial Services and Dealer Services Corp.
As for similar investments in the future, Brennan said Manheim is “always looking at opportunities to provide new and better solutions to dealers.”
