SAN ANTONIO - VP Racing Fuels is teaming up with Allied Brands Services LLC (ABS) to offer a financial boost to convenience store and gas station dealers who join VP's retail branding program.
The finance platform will provide funding to support the imaging and conversion costs incurred by dealers, as well as other VP partners.
ABS will provide up to 100-percent financing for dealer imaging and conversion loans, including the cost of canopy/signage materials, LED signage, permits, construction and installation. The company will also provide loan and lease options, as well as offer low monthly payments with up to 60-month terms, minimal upfront costs and competitive interest rates, coupled with a long-term relationship philosophy.
"This new financing partnership is just another positive step toward driving value for our VP-branded dealer and distributor relationships," said Alan Cerwick, president of VP Racing Fuels. "A primary objective of VP's retail branding program is to help gas station and c-store dealers become more competitive and more profitable in great part through a combination of operational savings and new revenue streams."
The financing program is not limited to branding partners. Other eligible VP partners include racing fuel distributors, dealers and race tracks. Non-VP related dealers and distributors are also eligible to receive the favorable rates and terms offered by ABS, Cerwick explained.
In addition, VP is spinning off a majority of the equity interest to the Cerminaro Group LLC, which will independently manage the finance platform. ABS will initially focus on serving the retail petroleum distribution market and has been designated VP's preferred lending partner.
"By spinning off a majority interest in ABS to the Cerminaro Group, we'll benefit from a strategic partner better suited to fund and manage this new specialty financing platform," Cerwick said. "The Cerminaro Group has extensive experience with multimillion-dollar financing programs and is uniquely qualified to fund a rapidly growing retail branding program like VP's. By establishing ABS as an independent third party, it also positions them to better serve the borrowing needs of dealers and distributors that have no direct relationship with VP."
Michael Cerminaro, president and CEO of the Cerminaro Group, brings more than 29 years of experience in commercial lending, private equity and private credit, according to Cerwick.
"The enthusiasm I've witnessed among the distributors and dealers signing on to VP's retail branding program has been infectious," Cerminaro said. "VP continues to lead the market with explosive growth in branding gas stations and c-stores, driven by its innovative brand management offering and strong management team. The VP brand value proposition brings tremendous strategic advantage to distributors and dealers by helping to put them back in control of their business."
ABS also plans to partner with original equipment manufacturers to offer vendor financing programs on fuel dispenser equipment, credit card readers, point-of-sale systems, PCI equipment and other related in-store equipment.
In addition, ABS will work with VP to develop the ABS/VP "C-Store University," which will offer discounted fees for a range of cross-functional consulting services to VP-branded convenience store dealers, including operational assessment, primary distribution evaluations, information system analysis, foodservice reviews and loss prevention services.