smme solutions
Small, Micro and Medium Enterprises are at the core of the SA economy. In order for such businesses to grow, access to affordable sources of finance is critical. One of these – asset finance – is of increasing importance in the current economic conditions.
Very often, we are told that efficient cash flow management is the lifeblood of any business. Paying cash for your essential business equipment makes financial sense only if the business has “excess cash”. In other words, “excess cash” is cash that cannot be more efficiently invested in growing the business. In many businesses today, efficient cash flow management can determine the success or failure of that business. And for us, failure is not an option!
By placing your essential business equipment on a rental, there are no down payments or up-front commitment fees that have to be paid. This means you have more cash to invest in revenue-generating or other profitable opportunities. You can grow your business with our services.
To explain further, let’s use a working example. Your company is growing rapidly and, at present, you have 20 computers that are all 6 or more years old. These computers are overloaded, slow and desperately need to be upgraded. You start looking around and find out that in order to purchase new computers you need R 120 000, in cold hard cash! (That’s for 20 computers at R 6 000 each)
That is R 120 000; out of your cash flow; in one go!
If you were to rent the equipment, the cash outlay is spread over the term of the agreement. The average rental contract is 36 months – that works out to a rough figure of R 4 000 per month over the 36 months; as opposed to R 120 000 all at once!
Aside the benefit of having more cash available to invest anytime, future planning and budgeting become far simpler. You know that you only have to pay a comparatively low fixed fee every month.
This gives you the freedom to use your cash far more efficiently by investing it in areas of your business that allow you to increase your earnings and grow. What’s more, Spartan’s rental consultants are all technically able to recommend the right technology assets for your particular situation – this saves you the hassle and effort of trying to work out exactly which equipment fits into your business perfectly.
Want more information? To get more information on a Spartan Rental Solution, simply fill in the contact form below and a consultant will contact you within 24 hours.
The process couldn’t be simpler:
