Case Study Two
A major UK based modular building manufacturer required a facility to offer facilities specifically on long term hire. The make up and accounting treatment of the funding packages was particularly important as their primary market is the public sector, in particular universities and county councils. Due public expenditure restrictions many public bodies need to express their purchases as a rental rather than a capital purchase.
ECS has many years of experience of the structure leasing market and are approved leasing advisors to the NHS. We have constructed a unique “tax fixed” lease facility that enables the supplier to quote on a fixed rate basis, per user, over periods upto 25 years in length without any contingent liability to either the supplier or their clients. This facility has now secured its first order for £5Million. Not only do we provide the end user with a bespoke funding solution but the supplier also secures orders that would normally be outside their grip and enhances profitability on each sale.