Ready To Reboot Your Computer Financing Strategy? Make Equipt Leasing Your New Friend With Benefits For Tech and Software Finance Needs

Avoid A ‘ Forced Fit ‘ . Make Leasing Work For You, Not Against Your Firms Goals


Information on computer financing in Canada . How does the business owner / manager address tech finance software and hardware leasing issues .



There's probably no better time for a (business) friend with benefits than when it's time for computer financing. The whole area of tech finance, whether its computers, software , etc just begs for some solid help, and it's often proven that leasing finance solutions come through just when you need them most - in the world of costly and complex technology assets

We maintain to clients that you need though, to make lease finance work for you, it shouldn’t be a ' forced ' solution.

The whole area of lease finance gives you a positive outlook that you at least have a chance of beating the high price of technology, the fear of obsolescence , and that constant looking over your shoulder ( via the internet ?) at what your competitors are doing .

And let's face it, your boss, or maybe you're the boss are looking to cut expenses, not increase them or take on debt. Fundamentally, whether they admit it or not, most Canadian business owners and financial managers want to acquire the best asset without burning through those valuable credit lines and other accesses to capital.

The good news for Canadian business is that the whole spectrum of technology is in fact financeable, and, as we've noted that includes software, which is a surprise to some. Software is typically financed as a full lease to own scenario, so the key benefit quite often is simply the fact that you are matching the benefits of the software with the cash outflows of a lease finance scenario.

We're making the assumption here that the business owner, CIO, or financial manager has done what most refer to as a ' lease vs. buy' scenario. Here the business person takes into account the life of the asset, all the software licenses and support they will need for the asset, as well as the final outcome re: disposition of the asset. THIS JUST IN - IT'S A SHOCKER! - Computers don't last and don't hold their value! Many experts and industry analysts actually estimate that you'll have another 25,000.00 of costs associated with the acquisition of, for example, of $ 100,000.00 of new technology.

There has naturally been a dramatic change that can't even be properly being described in tech assets for your firm. Today its not just servers, pc's, laptops, netbooks, etc, new focus is on cloud computing and wireless solutions. And all that can still be financed. It always seems to come back to the funding.

It's often the use of lease finance that becomes the solution for the ' budget breaker. Continuously replacing tech assets often calls for budgets to be ' broken ' and that's where leasing plays a key role, eliminating the challenges of fiscal deadlines and fixed spending plans. Some stats from leading IT guru firms indicate that over 50% of all companies, large and small have lease lines of credit available for the financing of their technology. Those solutions include the two main forms of tech finance, capital ' lease to own' scenarios, and operating ' lease to use ' solutions. It's important you pick the lease ' friend with benefit' that suits you most.

Speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with a reboot of your tech and software financing needs.


Stan Prokop - founder of 7 Park Avenue Financial –

http://www.7parkavenuefinancial.com

Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 7 years - has completed in excess of 80 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.
Info re: Canadian business financing & contact details :

http://www.7parkavenuefinancial.com/computer_financing_tech_finance_software_leasing.html

Leasing IT Cloud Financing Services . Lease Your Hardware And Software Needs

Accessing the Secrets Around Cloud Leasing And Financing In Canada

Information on IT cloud financing and leasing in Canada . Lease your hardware and software services and needs .



IT cloud financing services and the leasing of such services for hardware and software needs presents new challenges for the Canadian business and financial managers looking to leverage technology via lease financing. Oh, and by the way, financing ' the cloud ' presents probably just as many challenges for lessors and finance institutions also!

Cloud technology is of course the newest kid on the block. It’s another new concept to comprehend, essentially the use of computing as resources, both hardware, and software, over a network. That network typically is of course the internet.

For the first time your firm actually is using computing power and doesnt necessarily know where those resources might be located. Naturally as in all aspects of technology and tech finance it’s a case of you using the hardware and software, not necessarily caring about where it is and who is managing or running it.

Naturally the benefits of financing and leasing cloud services are quite clear - lower costs, ease of use, and your ability to add on hardware and software when you need it.

Although cloud computing and financing are relatively new it's surprising to see statistics that indicate at least 1/3 of all businesses intend to finance their cloud services.

It's certainly a different way to structure a transaction. We've always preached the creativity and benefits of hardware, service, and software leasing and it just seems that creativity is again an understatement when you utilize this form of financing. It is clearly a new business niche in Canadian business financing.

We find some a bit of irony in the concept of IT Cloud financing. What is that irony? Simply that for those of use old enough to remember it seems like ' timesharing ' all over again! except we seemed to always know the address of our timeshare firm, and we could actually drive there and see the hardware and software!

Business owners, chief information officers and finance managers are again looking to leasing as a methodology to gain benefits and limit the risk involve in technology purchases of hardware and software.

Naturally there are risk factors in any aspect of business and Canadian leasing companies who participate in cloud financing are probably struggling to determine what that level of risk is. We would think overall credit quality is key in this new form of financing. It's difficult to structure payments and rates around IT CLOUD finance when in essence the service you are utilizing is ' metered ‘, similar to electricity we would say.

It's the ability of your lessor or computer company to measure what you are using and where that hardware and software computing power is coming from that is key. And if you don’t pay, there is certainly no ability to ' repossess' assets, that’s for sure.

Consider leveraging both the power of the internet and leasing as a method to maximize your software and hardware needs. IT Cloud finance allows you to share resources, and therefore lower your cost.

Your benefits include lower cost of ownership, the concept of paying for what you only use, and the ability, as always with lease finance, to add on to what you might need, easily... and faster.

Speak to a trusted, credible an experienced Canadian business financing advisor who can work with you to meet your IT Cloud hardware and software needs.







Stan Prokop - founder of 7 Park Avenue Financial –


http://www.7parkavenuefinancial.com


Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 7 years - has completed in excess of 80 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.
Info re: Canadian business financing & contact details :


http://www.7parkavenuefinancial.com/it_cloud_financing_services_software_leasing.html

A Big Fat Overview To Canadian Computer, Telecommunications And Software Lease Finance

Add Tangible Financial Value To Your Tech Asset Needs


Information on lease finance solutions around computer, software, and telecommunications equipment in Canada .





A big, fat overview..? Ok, we guess another term is simply called an ‘ introduction to ‘ and today it’s all about lease finance around the acquisition of computer, telecommunications and software purchases your firm requires.



Long term strategies around the acquisition of these types of tech assets are important, whether your firm is in the SME sector of perhaps on of Canada’s top 100 firms. It’s all about the issue around buying the most with what you got, as no one will disagree that tech assets are expensive. And when you have a combination of purchase power plus the financial benefits around the flexibilities that come with lease financing.



One of the key areas where tech assets such as computer and telecom equipment differentiates itself is that fact that savvy business owners and financial managers will view these sort of assets from a viewpoint of ‘lifespan’. In effect you are looking at these assets from a ‘ cradle to grave ‘ outlook – and that’s a smart thing.



We’re making the assumption you have chosen the software or telecom assets you require- now it’s a case of making those budgets work. Quite often your firm is in project mode, as you are in the position of contemplating technologies newest kid on the block, ‘ Cloud Computing ‘, or simply upgrading hardware and software licenses.



The eternal basics of lease finance apply totally to tech assets. When you are successful in obtaining the proper rates and structures on a transaction you have at the same time enhanced your overall working capital position, in effect conserving cash.



We spoke of the ‘ eternal’ benefits of technology leasing, one of those being upgrades to existing assets and projects. Can you think of another asset class that has as much importance tied to is as the ability to change, upgrade, refresh, etc. Quite frankly, we can’t.



Business financing has been a huge challenge for most firms over the last few years – a lot of those challenges are behind us and you’re now in a position to invest in growth assets such as IT investments that maintain your competitiveness.



In computer, telecom and software financing the key issues you need to focus on are documentation, the legals and terms around certain areas, and price structures.



Software is a growing area of lease financing in Canada. Typically we’re talking about application software, not internal software you may be developing or having a third party develop for you. Issues that you might have to address are source code, rights to use, etc. Thousands of firms finance software in combination with their other hardware and telecom needs.



Typical terms for leasing of such assets are 3 years, which is driven primarily from aspect of ‘ useful life ‘ of most tech assets. However all sorts of terms and amortizations can be structured that utilize a combination focus on your budget, the assets useful life, etc.



If your firm requires assistance on deciding whether you should buy or lease these asset classes, and if you want to mitigate the risks associated with technology financing consider speaking to a trusted, credible and experienced Canadian business financing advisor who can assist you with structures that makes sense for your firm.







Stan Prokop - founder of 7 Park Avenue Financial –



http://www.7parkavenuefinancial.com



Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 9 years - has completed in excess of 80 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.
Info re: Canadian business financing & contact details :


http://www.7parkavenuefinancial.com/computer_telecommunications_software_lease_finance.html

Finance and Equipment Lease Options for Canadian IT And Medical Hardware And Software

Technology and IT Leasing Benefits for Companies and Institutions in Canada

Information on the growth and benefits of financing and equipment lease options for medical and IT ( information technology) hardware and software assets for corporations and other healthcare institutions.




Although the prospects for Canadian medical/healthcare and IT (Information technology) asset acquisition has never been stronger the hard reality is that the finance needs for these assets is even more pronounced. Simply speaking, companies and institutions want financing options for these assets.

It's all about affordable and managing budgets for many firms, including of course hospitals, clinics, etc. At the same time there is a need to look at both flexible financing, and solutions that lend themselves to upgrade and replacement. The bottom line? That’s where equipment lease financing comes in.

So what's driving all these asset acquisition and financing needs in healthcare and IT in Canada? It seems to be a function of both increased electronic medial records growth of course, as well as the simple fact that newer equipment technologies are emerging all the time.

Government grants and lease accounting incentives also spur the growth of finance for medical and it equipment lease options. And as many users are happy to hear, software, particularly application software, can be financed also.

It's all about being creative when it comes to financing tech assets, software, medical assets, etc, and that’s been a mainstay or key benefit of equipment lease finance in Canada.

Very simple things like interest rate subsidies by vendors, structured payments to reflect the reality of budgets, or seasonality in revenues and cash flow have been a fundamental part of lease financing in Canada for almost forever!

Many medical and equipment and software acquisition needs revolve around projects, aka project financing. So flexible vendor payment scenarios and the ability to match cash outflows with project timelines is critical. More often than not it’s a case of managing that up front cost when cash outflows versus benefits need to be tied together in a common sense manner.

Predictable cash flow and benefits is what Canadian equipment lease financing is all about .And a dose (pardon the pun!) of creativity in IT leasing and medical equipment financing sure helps!

Healthcare and IT budgets are huge in Canada and the lease finance options helps business owners, financial managers and public institutions to address those projects in a manner that makes sense. Its time for the folks that manage those budgets to ensure they have a strong level of awareness of the financing options and flexibility that comes around a solid it equipment lease for both hardware and software.

Saving working capital and allowing companies and other institutions to acquire assets they nee, as well as the upgrade flexibility inherent in asset financing is what it’s all about. Many companies in both the IT and Healthcare sector choose operating leases as a way to manager these acquisitions. The combination of flexibility at end of term, upgrade options, and the generally lower payments that come with a ' lease to use ' transaction are valuable.

Everyone benefits from a properly structured operating lease, as the aftermarket for medial and IT assets in Canada is huge. This aftermarket drives the creativity available in lease finance transactions. Residual values for IT and medical equipment are generally excellent, as are the aftermarket activity for purchase and re-financing of these assets.

Speak to an experienced, credible and trusted Canadian business financing advisor who can help you structure and obtain the best finance options available for medical, IT, and software assets.




ABOUT THE AUTHOR : STAN PROKOP

7 PARK AVENUE FINANCIAL

CANADIAN BUSINESS FINANCING!


http://www.7parkavenuefinancial.com/finance_for_medical_it_equipment_lease_software.html

Technology Leasing Companies -Canada – Inside Info On Computer & Software Finance

If cash Flow and capital were no object the acquiring of technology assets wouldn’t be as much of a challenge as one would think. Canadian business owners and financial managers like to be on ' the inside ' when it comes to knowledge and competitive information - it’s just natural.

So we want you to be on the ' inside ' when it comes to technology leasing and financing. What companies should you be working with when it comes to financing of telecom, computer and software assets. We want you to know some of the tricks (can we call them that) that the big boys use.

Technology leasing has some different economics when it comes to financing. Some very powerful trends are in play. Is the trend your friend ? We will let you decide!

Your financial commitment to acquiring these types of assets is generally large relative to your overall capital budget; these assets tend to depreciate rapidly, and prices seem to be going down all the time... so when should you purchase? Boy, those are some interesting dynamics!

At the same time the benefits you receive from the use of tech assets are huge, not the least of which is your competitive position in your industry. So let's talk about overcoming some of those tech challenges

Many business owners are not aware that you can finance ' software ', either on a stand alone basis, or in conjunction with a hardware solution. But there is a key differentiator here, which is that it is much easier to lease application software as opposed to software you have developed. But larger, credit worthy companies can in fact get financing for software development on a project by project basis.

One of the interesting ways that the lessor protects himself in these situations is to ensure they have access to and rights to the source code you are developing. How is that handled, usually via an escrow agent who maintains updated access to the source code , with the provision that should the lease default the lessor has access and rights to that source code .


Term. It's all about ' term ' when it comes to technology leasing of computer and software. Leasing companies in general prefer a 3 year term for tech assets. Does that make sense? We think it does... if only for the fact that the dramatic changes in hardware and applications render anything older than three years as somewhat obsolete when it comes to technological change. So the bottom line is to be prepared to defend your need for a 4 or 5 year lease term when it comes to a depreciating asset such as tech.

It should be no secret to Canadian business that technology leasing is secured by the lessor in the same manner as any other assets , a PPSA ( Personal Property Security ACT) registration is made against those leased assets; registering the lessor collateral in the hardware and software described in your equipment list and configuration .

If there is one ultra important thing you should consider when looking at companies that will assist you in technology leasing of computer, software, and telecom assets it’s probably the type of lease that you enter into. Broadly speaking in Canada
you need to only focus on two types of leases - capital and operating. Is there an easy way to immediately pick which one is the most applicable to your need? It's not as challenging as you think, think simply in terms of lease to own (that’s capital) and ' lease to use ' (that’s operating). Those two leases, capital and operating, dominate the Canadian marketplace.

Those big boys we referred to, major corporations tend to use operating leases for some sophisticated reasons such as balance sheet ratios, cash flow coverage covenants, return on equity goals, etc. If you are a small or medium sized business these same operating leases simply could provide you with two things, a lower monthly payment, and some great flexibility at the end of the lease term.

In summary, there are some major differences in dealing with technology leasing as opposed to other types of assets that might be in your budget. Many of the ' tricks' those larger corporations use are available to the small and medium size business owner. Understanding how these assets can be financed is important for any sized business. For extra expert help consider talking to a trusted, credible and experienced Canadian business financing and leasing advisor who can assist you in ensuring maximum benefits and flexibility.



Stan Prokop - founder of 7 Park Avenue Financial -

http://www.7parkavenuefinancial.com

Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 7 years - has completed in excess of 80 Million $$ of financing for Canadian corporations .Info re: Canadian business financing & contact details :

http://www.7parkavenuefinancial.com/technology_leasing_companies_computer_software.html