December 13, 2017

Important financing trends and opportunities for 2018

As an Arrow value-added reseller, you often customize technology solutions for your customers. You make sure they have the right mix of hardware, software and services to help make them as successful as possible. But, have you had discussions with them about the best way to acquire their technology so they can be financially stable?

Equipment financing is a fast and easy way to fund up to 100% of the value of just about anything needed to successfully run a business without shelling out cash up-front. According to the U.S. Equipment Finance Market Study 2016-2017, nearly eight of ten businesses used at least one form of financing when acquiring technology equipment and software. And, companies of all sizes seek access to capital for equipment acquisitions.

Why Offer Financing

When asked in the market study why they finance equipment acquisition over cash purchases, three reasons were cited:

  1. Optimization of cash flow
  2. Protection from equipment obsolescence
  3. Tax advantages

Customized Finance Plans from Arrow Capital Solutions

Here at Arrow, we can help you develop a financing plan for all your customer opportunities, so they can more efficiently manage their existing budgets. Here are some examples:

  • Deferred payments: Book your order in December and take revenue recognition when it ships. Arrow Capital Solutions will hold off payments until April 1, 2018, so clients get a break.
  • Step payments: Your clients can use their remaining 2017 budget as their first payment. Arrow Capital Solutions will structure an increasing payment flow while your client benefits from their technology solution. 
  • Multi-year agreements: Increase your top-line revenue and lock in your client when you book a three-year agreement instead of a 12-month term. You take revenue recognition on all three years, and Arrow Capital Solutions will fund all three years at acceptance. Your customer is invoiced annually (quarterly and monthly structures also available).

Reduce Sales Cycle Time and Improve Your Business

Need to close business fast? Use Arrow Capital Solutions to pre-qualify your prospects for credit approval. You’ll get peace-of-mind knowing that you are spending time with a prospect who can close on your proposals. Arrow Capital Solutions reviews clients and provides a red-yellow-green response quickly.

Arrow Capital Solutions also has the tools to check to see if your client has a financing history. With this information, you can offer financing along with your product quote. Your customer gets the best technology solutions and a convenient way to pay for it all at the same time.

Why Offer Financing

Arrow Capital Solutions offers financing to any client. For Arrow partners, we offer a special account to place orders that will stay off their open terms. This reduces the risk of a credit hold and provides you with more spending power.

Contact Arrow Capital Solutions

If you would like to offer your prospect a customized finance plan that will preserve their working capital contact:

Scott Tangeman | Channel Development Financing Representative
770.625.7565 | stangeman@arrow.com