Industry View: Financing Options for Material Handling Hardware

23rd July 2018

Logistics BusinessIndustry View: Financing Options for Material Handling Hardware

“The acquisition method for materials handling equipment can be a big decision for any business. Customers often focus on the build quality and features of products, whereas here at Yale® we would encourage them to also look at the wider picture. The tailored support of the Yale dealer can be invaluable in ensuring that the whole package is right for their particular application and situation, including how the vehicle or fleet is financed,” says Tim Cady, Yale Financial Services Director.

Materials handling equipment can be purchased with a number of repayment options, leased over a number of years or rented on a short-term basis from 90 days to 12 months through the Yale dealer network.

The advantages and disadvantages of each option are complex and are often dependent on a range of factors such as the organisation’s policies, practices and the size of the operation. This is why Yale would recommend seeking professional advice. Information on the types of products, the working environment and quantity of vehicles ordered are taken into consideration when the financial services organisation prepares the quotation.

Tim continues, “At Yale, initial consultations are carried out by Yale dealers with the team at Yale Financial Services, in conjunction with our financial partners, providing professional support and assistance from the beginning to the end of the lease lifecycle. Yale is committed to the long-term support of its customers and with extensive lift truck expertise offers financing solutions for new and used trucks to suit budget requirements via a range of tailored plans.”

Most agreements range between two and seven years in length, with a five-year contract being the most frequently selected. Repayment schedules and types of contract are flexible, meaning that the dealer can work with their customers to devise the most appropriate product selection and payment schedule for their specific needs. The finance solutions offered may include customised rental profiles in support of a customer’s cash flow requirements, or inclusive rental and maintenance packages.

This determination to find the best available solution was a positive for José Manuel, from Hispania de Manutención in Spain. He said, “I have this deep appreciation for the hard work that Yale Financial Services and their finance partner DLL have been doing. Their commercial focus and energy are the key differentiators when it comes to their structuring of complex solutions and ability to distinguish themselves in a competitive marketplace.”

David McIntyre, Yale Business Services Manager, adds, “Yale customers expect a comprehensive range of products and services. The financial services package and securing project financing through Yale Financial Services was one of the successful factors for Yale CZ in concluding a long-term contract with Skylog s.r.o., to supply materials handling equipment, rack equipment and other equipment within the warehouse operation.” As Mr. Krejci from Skylog said, “One of the key factors in the final decision to conclude a contract with Yale CZ was the offer of financial services that respected our specific requirements. Effective and efficient negotiations with the representative of UniCredit, the partner of Yale Financial Services for the Czech Republic was of real benefit.”

Yale and its dealers remain on hand throughout the tenure of the agreement to provide repair and maintenance work for its products, meaning that customers can rest assured that they can receive professional and reliable servicing for the duration of their contract.