If so, options exist to replenish the working capital position of the business.

Consider a sale & rent-back if the assets have been purchased within the last six months.   This exercise allows you to get back your cash outlay and provide you with a flexible and planned asset procurement program through a simple Rental facility

The rental products available allows a customer to acquire and rent technology based assets without the onus of ownership. This gives the customer the ability to expense the cost through their profit & loss statement as a general expense and not go through the capital expenditure exercise.

Rental is off balance sheet. Because the customer is renting there is no corresponding asset or debt appearing on the balance sheet. This is particularly appealing to clients that wish to keep gearing to a minimum on their balance sheet.

Rental also helps businesses avoid technological obsolescence through the ability to upgrade mid term. Rental is also very flexible at end of term because the client can opt to return asset, upgrade to better technology, continue to rent or offer to buy.

Sundata works with a number of IT leasing providers including Finlease and IBM Global Finance.

Finlease have provided the above information for this article and Sundata can arrange an introduction for interested clients.  Please contact your Sundata account manager for more information.

March 2010.