From stuffing backpacks to podcasting live, from legal guidance to women’s empowerment, RTO World 2024 offered lots of new ways to engage & enjoy
As the rent-to-own industry’s biggest gathering of the year, RTO World is always a veritable cornucopia of fresh ideas, insights, perspectives, and points of connection. But this year’s event in Orlando, Florida, featured some brand-new offerings that proved to be popular opportunities for sharing, learning, and giving back.
One example was APRO’s RTO Gives Back School Backpack Stuffing event, with attendees stepping up to fill a total of 50 backpacks to go to One Heart for Women and Children – an Orlando-based charity that distributed the backpacks among community kids needing supplies for the school year. Another new event was the Hot Show Preview, a chance for rental dealers to catch a quick sneak peek at all the hot goods prior to the show, and feel the fabrics, push the buttons, and kick the tires before putting in their orders.
And just in case you missed them, here’s more about three bigtime debuts at this year’s RTO World: the Protecting the Transaction Legal Summit, the APRO Women’s Forum, and the Live RTO Show Podcast.
PROTECTING THE TRANSACTION LEGAL SUMMIT
Rental dealers interested in the current legal environment around their businesses arrived at RTO World a day early to attend the three-hour Protecting the Transaction Legal Summit. RTO companies are interested in the latest legal developments to ensure they are in compliance and protecting their customers. Recent bills introduced in the New York Legislature to revamp the state’s laws to recharacterize rentto- own transactions as credit sales have piqued interest.”
At the summit, panelists from the D.C-based law firm Hudson Cook LLP, Justin Hosie and Dailey Wilson, presented 11 recommendations for how dealers can minimize challenges to rent-to-own transactions:
- Application Process: Require customers, not storefront representatives, to complete all consumer applications and agreements.
- Pre-Agreement Charges: Do not charge the consumer any amount unless and until they have entered an agreement.
- Transparency & Accuracy: Be sure advertisements and payment terms are accurate and transparent.
- Transaction Nature: Disclose the short initial term and the maximum time to ownership.
- Total Cost: Disclose the total cost of the RTO/LTO transaction for the maximum time to ownership.
- Ancillary Charges: Ensure ancillary charges (loss damage waiver, extended warranty, delivery, etc.) are optional, cancellable if applicable, and not included in rental cost.
- Termination Rights: Disclose that the transaction is “no-obligation” and the process for the customer to perform a no-cost return.
- Personal Property: Rent-to-own only personal property allowed by law.
- Fair Credit Reporting Act (FCRA): Fully comply with the FCRA if you obtain third-party information or report RTO payments.
- Auto-Pay Options: For payment authorizations, always disclose clear terms, provide at least one option not from the consumer’s bank account, obtain the consumer’s express informed consent, and clearly disclose cancellation terms.
- Vendor Diligence: Require vendors to comply with consumer-protection laws, including accurately describing rent-to-own and following federal standards on incentivizing storefront employee behavior.
Next, panelist Joshua Threadcraft, a Partner with the Southeast regional law firm of Burr & Forman LLP, presented an update on the FTC rule concerning employee non-compete agreements, estimated by the commission to cover about 20% of the U.S. workforce. The new rule had been scheduled to become effective September 4, 2024, but a federal district court in Texas ruled in August the rule was “unlawful” and set it aside. The FTC is expected to appeal this ruling.
The panel urged rental dealers to consult with employment attorneys for specific questions about how to handle existing non-compete agreements with employees. Panelists also discussed the Telephone Consumer Protection Act and recent decisions under that law.
There are also potential legal issues affecting RTO businesses under the FCRA, especially when dealers are reporting customer payment histories to credit reporting agencies (CRAs). When that happens, dealers are deemed to be “furnishers;” if a consumer disputes what a furnisher has sent to a CRA, the furnisher has a duty to investigate the information they provided and make corrections as necessary, or face liability.
The panel further discussed current trends in consumer-protection lawsuits, including common-law claims like invasion of privacy for not keeping customers’ financial information and debt-collection efforts private between the company and the consumer.
Jeremy Pope, Founder of the Alabama- based law firm Pope/Partners LLC then talked about the recharacterization issue as it has arisen in bankruptcy cases. What constitutes a “penalty” has been at play in some such cases, including whether the transaction has a downpayment or some form of capital-cost reduction, whether it requires a security deposit, whether the deposit is refundable or not, and whether there is a material burden on consumers when they want to return the property.
The seminar concluded on a cautionary yet hopeful note. Presenters agreed: rental dealers can minimize their exposure to government regulation by actively engaging in self-regulation. If they remain careful, fair, and transparent in their dealings with consumers, then they’ll survive whatever legal scrutiny comes their way.
APRO WOMEN’S FORUM
The APRO Women’s Forum at RTO World 2024 was more than just a gathering of women; it was a powerful reminder of the growing role women play in rent-to-own. This event provided a platform for participants – both women and supporters-of-women – to connect, share experiences, and inspire one another.
“Historically, this industry has predominantly consisted of males in membership and leadership,” attested Heather Cleek, Assistant Buyer for Cleek’s Home Furnishings/ Rental & Sales. “As the numbers of females increase, it’s important for us to find our path to involvement and leadership.”
Tricia Fisher, a member of the RTO World Education Committee and one of the organizers of the forum, said the event was designed to support women in rent-to-own with some of the unique challenges they face.
“We wanted to give women a platform to talk about challenges and successes in a relaxed environment led by women playing various roles in the industry,” Fisher said. “We also wanted to be inclusive of those who support women in RTO. It was great to see some men in the room who were interested in understanding women’s perspectives. The panel discussion and roundtables provided us with a perfect path for some wonderful conversation.”
Lauren Talicska – forum moderator and Vice President of Marketing and Communications with Arona Corporation dba Arona Home Essentials – brought a career’s worth of experience and insight to the event. She provided some surprising statistics, including a challenge to the stereotype that women dominate conversations in the workplace: A recent study found that, even when there are equal numbers of men and women in meetings, men spoke 75% of the time.(1)
Talicska asked event panelists, National TV Sales & Rental Co-Owner Kathy Windsor and Blue Ocean Brands, LLC dba Majik Rent-to-Own Store Manager Julie Gonzalez, why they thought women may not be speaking up in professional situations. Answers were mostly fear-based: the fear of saying something wrong, of not being regarded as an expert, of being considered pushy, or of being seen as only a “mom.” Such fears contribute to a culture in which women feel they must tread carefully to be taken seriously.
“By speaking up, women leaders empower others to voice their opinions and contribute meaningfully,” Gonzalez said. “Representation helps break down stereotypes and challenges the gender imbalance in leadership.”
“There is still considerable room for women to grow and find success in this industry,” agreed Talicska. “Shining a spotlight on strong women can be the catalyst that emerging female leaders need to go beyond their comfort zones, take control, and shake things up.”
Another powerful statistic Talicska shared: While 58% of entry-level women aspire to leadership roles, only 39% believe they have a mentor to help guide them along the way.(2)
“That makes me want to continue to support and develop my team,” Gonzalez said. “I want to be a positive role model and mentor, inspiring them to reach their career goals.”
Following the panel, forum attendees split up into open roundtable discussion groups, sparking meaningful conversations around Challenges, Development, Gifts & Talents, Giving Back, and Leadership. Participants shared their own perspectives and expertise on cultivating habits that form the foundation for success.
“My favorite phrase from one of the roundtable conversations was, ‘Lead with a soft heart and a solid spine,’” affirmed Gonzalez. “It’s such a great reminder for us to embrace our natural tendency to nurture and empathize without compromising our confidence and boundaries.”
“My top takeaway from the Women’s Forum was the number of ‘WOW Women’ we have in the RTO industry!” Cleek said. “The women – and a small and supportive group of men – eagerly engaged in the conversations. It was great to see some men there, because it showed their interest in supporting women in the industry, and that this wasn’t intended to be an exclusive event, but rather to bolster women.”
“APRO is one of my favorite spaces to work in,” noted Monica Bean, Account Executive with event sponsor Captive Management Services. “It meant a lot to see the association honoring the women who help make it such a wonderful space! I don’t think anyone would disagree that ours is a male-dominated industry, so creating a space for women to support each other’s ambitions is inspiring. Encouraging and uplifting women is something Captive Management Services will always be a part of!”
The Women’s Forum was a positive and powerful experience, with an energy that clearly showed the importance of events like these in shaping the future of the rent-to-own industry – a future where women are empowered to lead with strength, empathy, and authenticity.
LIVE RTO SHOW PODCAST
In August 2022, Pete Shau – Regional Manager of Buddy Mac Holdings LLC dba Buddy’s Home Furnishings – along with then-co-host Danny Lastra, launched The RTO Show Podcast with a vision to create a platform covering topics relevant to the rentto- own industry in an easily digestible format. After two successful seasons, Lastra left the industry, prompting Shau to reshape the show, expanding it to highlight voices across RTO, from delivery drivers to company owners, and making it a space where diverse knowledge and viewpoints come together.
Last summer, Shau and APRO CEO Charles Smitherman came up with concept of doing a live-cast of the show during RTO World 2024. With APRO as the Premier Sponsor of the podcast, Smitherman saw the live event as an ideal way to facilitate and elevate industry conversations.
“It was absolutely amazing to sit in front of an audience of people who wanted to be part of the show,” Shau noted. “Normally, I’m in the studio either by myself or with one or two people, but with the live show, I was able to feed off of the energy of the other people in the room. When the live audience asked questions, it helped with the flow of the show and made the content very captivating.”
The live format also required more extensive preparation for Shau; covering multiple rent-to-own issues, each with its own guest speaker, added a layer of complexity.
“I had to research four different topics,” said Shau. “Legal matters, artificial intelligence (AI), generational shopping, and economic growth – all had to be dialed in without making each segment a full show on its own.”
Chip Guy, Vice President of Operations for Buddy Mac Holdings LLC dba Buddy’s Home Furnishings, was the first guest on the live podcast, discussing the evolving role of AI in RTO.
“I always figured AI would play a part in the industry,” Shau mused. “But I never thought of it being used for things like ordering inventory and adjusting for different yearly cycles.”
APRO General Counsel Ed Winn III was the next guest, impressing Shau with his in-depth and up-to-date knowledge of legal challenges facing rental dealers.
“Ed mentioned a few states I didn’t even know were having legal issues,” said Shau. “He knew the details off the top of his head, and really helped me understand the essential role APRO plays in safeguarding the industry.”
Joe Luczak, Sales Director at Blue Ocean Brands, LLC dba Majik Rent-to- Own, then shared his thorough understanding of Gen Z, how they perceive their buying power, and what drives their purchasing decisions.
“Joe is always on his A game,” Shau effused. “He explained how different Gen Z is from the culture I grew up in – what drives them, motivates them, and makes them unique.”
Finally, Jerry Marshall – Owner of KAPPA Investments LLC dba Buddy’s Home Furnishings – spotlighted the crucial role of talent development in business growth.
“Jerry is a humble guy, yet incredibly smart and astute,” said Shau. “He emphasized the only way to grow is with the people you have, so you’ve got to hire the right talent, and you must train them.”
Both Shau and Smitherman see the live podcast as a staple for future RTO World events, with plans to increase its presence.
“My vision for the show has always been to bring RTO folks together and share their stories,” Shau concluded. “The live podcast gave me an opportunity to take that to a whole new level.”
Amberlee Maya is APRO’s Director of Marketing & Communications. Ed Winn III serves as APRO General Counsel.
1)Forbes, “Why Women Face a Sound Barrier in Their Fight to be Heard,” citing a 2012 Cambridge University Press study. 2023. https://www.forbes.com/sites/andiekramer/2023/12/11/why-women-face-a-sound-barrier-in-their-fight-to-be-heard & https://www.cambridge.org/core/journals/american-political-science-review/article/abs/gender-inequality-in-deliberative-participation/CE7441632EB3B0BD21CC5045C7E1AF76
(2)Women Tech Network, citing the Women in the Workplace study by McKinsey & Company. https://www.womentech.net/women-in-tech-mentorship-statistics#:~:text=Leadership%20Development:%20The%20International%20Coach%20Federation%20reports,a%20mentor%20helping% 20them%20achieve%20that%20goal
