Vendor Lease Programs

Overview:

  • Establishes an alternative financing program for prospective customers. Your clients will be able to choose between buying or leasing your product.
  • Several advantages to you the vendor:
    • Encourages additional sales
    • Increased sales
    • Larger transaction size
    • Ensures/improves profit margins
    • Improves cash-flow as you receive payment of your invoice within hours
    • Reduces bad debt: risk is assumed by leasing firm
    • Future sales potential: opportunities for upgrade sales
  • Overcomes “sticker shock” as the focus is on the monthly payment.
  • Advantages of leasing from your customer’s perspective:
    • No downpayment  required as 100% financing
    • Convenience: monthly payments can be automatically debited
    • Conserves working capital
    • Tax advantages
    • Payments are fixed for term of lease


Process:

  • Submit your corporate profile: company legal name, industry, products etc. Complete Evaluation form on this site. <link>
  • No due diligence costs to establish a vendor leasing program.
  • Customized training to your sales force re leasing.
  • Your sales team will be provided with a “rate card” to allow instant quotes.
  • Leasing rep to act in tandem with your sales team.
  • RE: CLIENT DEAL
  • Customer deal closed.
  • Vendor informs O-R leasing partner re details of deal.
  • Upon approval, the vendor will be informed.
  • Documents will be issued directly to the lessee.
  • Lessee executes and returns documents.
  • Verbal verification that equipment has been received/installed.
  • Vendor paid.


FAQs:

  • How many companies lease their equipment?
    • According to the ELA, approx 80% of all US companies lease some or all of their equipment.
  • Can we establish a leasing program for our American clients?
    • Yes. Follow same process as described above.
  • Which type of leases do you/partner support?
    • Fair market value leases
    • $10.00 Buy-out leases
    • Deferred payment leases
    • Seasonal leases
    • Step leases
    • Co-Terminus leases
  • Is there a minimum number of leases that a vendor must originate?
    • No. Vendor lease programs can be established for firms that close 3 lease deals per year.
  • Are private label programs available?
    • Yes. Both private label and co-branding programs are entertained. Minimums do apply.
  • What kind of on-going support will I receive?
    • In addition to Omni-Rand, our partner will assign a dedicated representative and credit analyst to answer all your/team’s ongoing questions.
  • How fast can our sales team or customer receive an answer re credit?
    •  6 hours < $25,000
    • Within 24 hours of receipt of financial statements on deals > $25,000
  • What size of vendors/deals will be entertained?
    • All sizes of vendors are welcomed, from the early-stage company to the multi-national firm. Deals ranging from $1,000 to $250,000.
  • Will we be dealing with a reputable, experience leasing organization?
    • Our leasing partner has many years of experience in the small and mid-ticket leasing market. Each leasing application receives the personal attention of an experienced and knowledgeable credit analyst/rep.
  • What type of equipment/products is of interest? Examples, not limited to:
    • Computer hardware
    • Software and business internet solutions
    • Manufacturing
    • Surface mount production equipment
    • Telco
    • Video/Film Production/Postproduction
    • Pre-press, printing, baking
    • Metal working, stamping
    • HVAC
    • General Office
    • Medical dental
  • Why would a potential client lease thru a vendor lease program vs their bank?
    • 100% financing
    • No blanket liens
    • Increased credit availability
    • Longer terms = better cash-flow
  • How are lease finance decisions made?
    • Complete audited financials, credit history, bank and trade references, trends, cash-flow, total term debt, retained earnings, type and size of equipment will be reviewed.