The conference room is decked out in Florida Gators gear, and the bulletin board boasts a picture of “Weebee,” the company mascot. In one corner is a giant trophy with their names on it: Bill Crawford, 2008. Scott Crawford, 2012.
They’re the first father-son team ever to have both been awarded the trophy, recognition for receiving the National Vehicle Leasing Association’s Lifetime Achievement (NVLA) Award. Bill is understandably proud of his son.
Scott is a little more reticent. “I’m only 43, so it’s a little premature for me,” he says wryly.
But he was president of the association when the recession hit, and he guided it through the worst possible times for the industry. They froze the board in 2008 due to the recession, and as a result he served two years in a row, keeping the lights on during what was an otherwise grim period for the association.
The Weebee mascot atop the bulletin board represents the Crawford team’s dedication to “Working In Your Best Interest”—WIYBI, or Weebee. It’s that dedication, combined with determination and business acumen, that carried both the NVLA and Wilmar through.
In 1969, Bill had been into and then out of the Navy after graduating from the University of Florida. He was married with two children and a third on the way when he decided to join up with Hill Truck Rentals, a full-service truck leasing company founded four years earlier.
The company was based out of an old Amoco Service station in Orlando. Bill’s office was a 14-foot travel trailer plugged into the lady’s restroom for power, and he was paid $500 a month for his work as a salesman.
He was so successful as a salesman, that the company asked him to move to Charlotte in 1973 to open a new branch. After two years in that role, he moved into finance leasing with Leasing Consultants of Charlotte. Five years later, he decided he could do better on his own, and left the company in 1979.
Bill and his wife Marilyn, who was a Charlotte Country Day School teacher, had just bought a house and had $700 in savings. It wasn’t much, but Bill felt confident he could make it fly.
“Thanks to First Union, anyone could become an independent used car dealer,” he says. “They would back the financing, and you’d just find people who wanted to lease a vehicle.”
So he obtained a dealer’s license, and started working out of his very young daughter’s bedroom, the only room in the house with a phone jack. He named the company for himself and his wife: “Wil” for “William,” “Mar” for “Marilyn.”
Wilmar did well, and before long Bill had moved his office into the Key Man building, and then a small house they purchased for the purpose on Monroe Road.
Meanwhile, those three children were growing up. Both boys attended Bill’s alma mater, the University of Florida. In 1990 the eldest, David, graduated and joined the family business. Scott followed the year behind him. Elizabeth, a University of Georgia graduate was not far behind.
David is still in the business as vice president and salesman, and Elizabeth recently stepped out in order to become a full-time stay-at-home mother. Scott says that initially, he joined the company part-time, “just to keep me busy and make a little money while I decided what I wanted to do with my life.”
What he decided, is that he loved the family business and wanted to run it. He now serves as president.
In 2004, Bill and his children worked with their accountant to structure an ownership transfer in conjunction with re-branding the business. At that time, the legal entity name was Wilmar Leasing, Inc. That year, Scott and his siblings founded Wilmar, Inc and took over the overhead, rent, and employees. As leases expired under Wilmar Leasing, they were taken over by Wilmar. Seven years later, nearly all the leases—some 3,800 of them—are now handled under Wilmar Inc.
Full Menu of Services
The change in name from Wilmar Leasing, to Wilmar, Inc., represents not only a change in leadership, but also a clearer understanding that leasing is only one element of the company’s offerings. From fuel management to acquisition and financing, Wilmar provides customers with a full a la carte menu of services designed to help make the most beneficial fleet decisions for their companies.
Leasing is often at the core of these services. According to the Crawfords, more than 80 percent of U.S. corporations lease some or all of their equipment. Often, leasing makes more sense than buying because it offers financial flexibility, tax advantages, and the ability to leverage new technologies as they emerge.
Still, many companies avail themselves of other Wilmar services regardless of whether leasing is in the picture for them. Services include maintenance plans, administrative services, fuel management, acquisition, disposal, fleet policy, replacement cycling analysis, motor vehicle records, financing, roadside assistance, accident management, and expense control.
All of which is offered up with an old-fashioned dose of committed customer service. Bill explains: “I grew up in a time when your name meant something. You didn’t do anything to affect the reputation of your name. You didn’t blemish that.”
For Wilmar, this means that they work hard to uphold their company motto: “Working In Your Best Interest”—even when it may not be in their own short-term interest.
For instance, Bill relates a recent incident in which a customer called to ask about leasing a $45,000 truck. The customer had just won a large new contract that would require transporting large quantities of material, and he was excited and eager to enlarge his fleet to accommodate the work. Bill thought he might need to know more.
“I said, let me come out and visit with you,” says Bill. After understanding the situation, Bill told his customer he did not need a $45,000 truck, even though it would have meant a nice profit for Wilmar. Instead, he suggested that the customer buy a $5,000 trailer, and hook it up to the pick-up truck he already had in his fleet.
“You can load it up, drive it where it needs to go, leave it there, and pick it up again in the afternoon,” he explained. “Instead of insurance and maintenance and fuel, and another lease payment, you can tow it with what you already have.” Bill helped the customer purchase the right trailer, even though Wilmar made no money off the deal.
Bill explains that their business approach has always been to take care of the customer so that instead of trying to make a lot of money at once, you can make a little bit of money, every month—forever.
“A retail car salesman works on a commission and he’s trying to make as much money off each sale as he can, because that’s his income,” he says. “Our business is totally different. We don’t care what car you lease, and we don’t care about knocking a home run on every deal. If we help our customers make the right choices and set up the lease correctly, that customer will come back year after year.”
Because Wilmar doesn’t need to lease a particular make, model or year of vehicle, they are able to provide customers with unbiased information necessary to make the very best decision for their company.
When a new customer contacts Wilmar, a salesperson takes the time to understand what their business is like, take a look at what they’re driving, and help them make good selections based on their needs. In addition to cost per mile, they look at company role and the needs of the drivers.
For instance, a highly paid salesperson will require a different sort of vehicle from an entry-level technician. They likewise take the time to understand how much cargo each vehicle may need to carry and choose an appropriately sized vehicle with the right capabilities and options.
Wilmar lives and breathes numbers, using them to help customers make smart choices about their fleet. “We know what a vehicle is worth the day you buy it, what it’s worth every month through its life, what it costs to fuel it, and what it costs to maintain it.”
“It’s about cost per mile,” explains Scott. “That’s the bottom line. You take the lease payment, plus what you paid in fuel, insurance, and maintenance, plus what you lost or gained on the sale at the end, and divide that by the miles driven. That’s the equalizer.”
Wilmar prides itself on providing this kind of information to customers so that they can make intelligent fleet decisions for their companies. It’s this commitment to work in the client’s best interest that helped Wilmar and many of its customers make it through the recession.
Few industries were hit as hard as the auto industry by the recent recession. Scott says that for Wilmar, the downturn began in 2007, and by 2008 the entire business came to a near standstill.
Wilmar had been through three previous recessions, and outlived them all. But this one was something different, and they could see that from the beginning. Previous recessions had driven more owners and managers to seek Wilmar’s cost-saving services. This recession simply drove businesses to a standstill.
“Owners began to drive vehicles into the ground,” says Scott. “They were so afraid to commit to another vehicle. Our revenue dropped 20 percent in ’07 and 45 percent in ’08.”
Times were tough, but some of the revenue drop was a deliberate and conscious choice on the part of Wilmar. “When things started to go south, we saw it wasn’t going to be good,” recalls Bill. “We got all the sales people in here and we said, ‘Go out and visit all your clients and see how they’re doing. Find out how you can help them.’ And they did. They helped a lot of them downsize.”
For instance, an HVAC company that ran 15 vans continuously during boom times found that it could only keep 10 of them busy in 2008. Wilmar met with them to see how they could help, and found a way to take five of the vans and either sell them or lease them to other customers who needed a good used vehicle.
As a result, Wilmar’s total fleet portfolio shrunk by 33 percent during the recession years. Many company leaders would see those numbers as a bad sign, but Bill and Scott knew better. As a result of their aggressive efforts to help their customers, almost none of their customers ever defaulted on a lease. Even during these difficult recent years, with a portfolio of nearly 3,800 vehicles, they have had only two defaults in three years.
Because the company carries no debt except what is tied up in vehicles on lease, it can afford to take a deep cut in revenue and continue to function. And because the business model is based on long-term leases, even if there were no new accounts or eliminated and reduced accounts, the company’s revenue stream never just goes away.
Says Scott, “We have learned to be more efficient and to control costs tightly, but have never had to cut staff or take other drastic measures to continue to stay afloat. Our customers are still in business, and still paying on their leases. And most of them are devoted, lifetime customers. And the trend is turning upward again.”
Wilmar has been serving Charlotte since 1980, and their client list includes many well-known Charlotte brands like Bojangles, Belk, and Lincoln Harris. With revenues of $18 million, and a fleet of nearly 3,800, the company is poised to serve pent-up demand when the economy improves.
While they specialize in fleets of under a hundred vehicles, Scott says size doesn’t matter as much as whether the company has an inside person dedicated to managing its fleet. He points out that in many small businesses, the owner or controller is responsible for managing the vehicles, and usually it’s a job they don’t relish.
For those companies, Wilmar’s team acts like an outsourced fleet management team, allowing executives and operations managers to focus on their core business. With the customer’s best interests at heart, Wilmar acts like a dedicated employee, ensuring the fleet is managed as efficiently and effectively as possible.
If Scott’s NVLA lifetime achievement award was “premature,” it’s only because he’s not done achieving yet. He has every intention of building Wilmar even bigger and stronger, and looks forward to seeing where it can go in the coming years.