Retail asset finance: Help business take advantage of disruption
As we hurtle into the COVID-shaped future, with industries changing left, right and centre, businesses are needing to adapt quickly to keep up. How the way in which we work has changed is just one example. From where we work to the tools we need to work, the assets businesses now require to operate are not the same as they once were.
With this change, a flurry of new challenges arrived at all our doorsteps. Together with the drop in business revenue in some sectors due to a slow economy, not all businesses have been able to acquire the assets they need to stay up to date.
To ease the demand on cashflow, asset finance solutions can assist with business growth in turbulent times like these.
Home office deluxe
Many companies have needed to retool to find the best ways to remain connected and productive in a remote working environment. At the same time, these companies are looking seriously at conserving cash and eliminating non-essential expenses. Solutions lie in the software and hardware chosen to ease the challenges brought by working from home.
With offices out, people are making their home situation work: Desktops are being replaced with laptops resulting in extra screens being needed, meanwhile, office printers are drying out from non-use.
Going the route of asset finance, whether to rent or to own the asset, allows you the flexibility with payments terms, contract lengths – and technology. In a few years’ time when your technology needs replacing, what are you going to do with a bunch of hardware that’s outdated? With asset finance, renting the assets you need solves a myriad of problems.
Candles won’t cut it
There’s no doubt about it: load shedding is not going away. With announcements being made an hour or two before stages are implemented, offices need to be prepared. An uninterrupted power supply – or UPS for short – kicks in as soon as there’s no power, allowing productivity to continue, well, uninterrupted.
Finding ways to support employees and keep them effective and efficient, especially if they rely on an Internet connection or power supply to work, is imperative to productivity. Solar-powered UPS systems installed in your home office are the perfect solution, but the downside is that they cost a pretty penny. Opting to finance these eases the pressure on your cashflow so you can use your money on other business requirements.
Flex those terms
Asset financing is usually used to cover a short-term need for working capital. But sometimes, a more personalised solution is preferred. This is what Finance Africa has worked hard to sustain within their business.
During lockdown, Finance Africa was able to secure three-month payment moratoriums for their clients thanks to their close and trusted partnerships with suppliers and lenders. They are currently in talks with clients to extend the period of instalment sales and leases, reducing their monthly instalments and lease payments.
Even when things do ‘return to normal’, no one quite knows what that ‘normal’ will look like. For now, all we can do is adapt and thrive, accepting whatever curveball is thrown at us and preparing for a digital future.