Why Most Powersports Dealers Are Leaving F&I Money on the Table

Let’s talk about something that’s making or breaking your bottom line: your Finance and Insurance (F&I) department.

Derek Sanders on the Dealership Fixit Podcast talks all things F&I, and man, it hit hard. Here’s the truth: most powersports dealerships are leaving a ton of money on the table in the business office. And the wild part? It’s not that hard to fix.

Derek broke it down like this. The F&I office is one of the smallest spaces in your store. But it has the biggest potential to print money. It’s low overhead. It only takes one trained person. And if you have the right process, it can be a serious profit center.

So why isn’t it working at most dealerships?

It usually comes down to two things:

1. Mindset. A lot of owners still see F&I as something shady or unnecessary. They think of it like the old car dealer box where customers get hit with every pitch under the sun. But that’s not what this is about anymore.
   
   
2. Lack of Process. Without a plan and training, your business manager is just winging it. That means low profit, low customer value, and missed opportunities.
   
   

Here’s a better way to do it:

Start talking about financing and protection packages early in the process. Don’t wait until the customer is already locked in on a price. By then, they’re tuned out. Instead, show how easy it is to buy with a monthly payment. Use terms like “pre-approval” and walk them through a simple total care package.

Derek called it “Type A” selling. You meet the customer where they’re at, bring the manager out front, and talk numbers right there by the bikes. No backroom, no pressure. It’s more like helping than selling, and it works.

Why does this matter?

Because the numbers don’t lie, Derek said most average dealerships are making around $400 per unit in the business office. But the top dealers? They’re making $1,000 to $1,500 per copy. In some Harley stores, it’s over $3,000.

Let’s do the math.

Say you sell 500 units a year. If you’re only making $400 per copy, that’s $200,000. But if you add training, a real process, and just get to $800 per copy? That’s $400,000.

You just added $200K in profit with no extra floorplan, no additional staff, and no extra inventory.

The takeaway?

If you’re serious about growing profit, F&I has to be part of the plan. Build a process. Train your staff. Offer total care packages that make sense to customers. And most of all, stop thinking of the business office as a box you have to use. Start treating it like the revenue engine it can be.

This is one of those changes that doesn't take much, but it makes a huge difference.

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If you missed this episode with Derek Sanders, check it out on Spotify, Apple, or YouTube. It’s packed with real-world advice any dealership can start using today.

Cheers,
Jacob Berry