Equipment Financing-An Optimal Backup Solution For Your Business Needs
Machinery and equipment play an integral role in the functioning of several industries, right from logistics and manufacturing to the medical sectors. Being such a vital component in the functioning of various industries, businesses source these equipment via leasing or purchase bearing heavy costs. However, this cost impacts their day to day business functioning and poses roadblocks in -
- Meeting operational expenses
- Increasing production & services to meet demand
- Upgradation of old machinery
- Business growth and expansion
- Paying security deposits
Current Options Available In The Market
To overcome these challenges, most businesses either opt for business loans or business finance from banks or asset-based financing. Unfortunately, these come with its own set of shortcomings
- Time-consuming process
- Lengthy paperwork and documentation
- Mostly asks for collaterals
Introducing CapEx Discounting From KredX - A Radical Way Of Doing Business
KredX offers a hybrid, one-of-a-kind solution which caters to solving growth capital challenges for businesses dealing with heavy machinery and equipment. We provide you with financing for purchasing and clearing balance payments for asset lease or rental
Benefits Of CapEx Discounting
- Off-Balance Sheet Solution
- Easy, Digital Process
- EMI Based Product
- Tenures Of 6-24 Months
At KredX, we understand your concerns while procuring large equipment or heavy machinery, be it laborious procedure for loan approval, funds stuck in security deposits, insufficient funds to buy equipment or pending payments due to low profits. Whatever be the challenge, our unique solution has the ability to help you overcome these hurdles and focus on business growth without the worry of machinery and equipment payments.
Our solution has been designed to help in overcoming the woes of balancing your business and operational expenditure conveniently. The solution provides upfront funding so that you can focus on the growth of your business without the worry of running your business.
How Can CapEx Discounting Help Your Business?
CapEx Discounting from KredX can aid in:
Purchasing of heavy machinery or equipment:
- One-shot funding
- EMI-based repayment with tenures of 6 – 24 months
- Online, hassle-free financing process
Better management of funds:
- Divert your funds to operational expenditure
- Create opportunities for expansion and profit-making
- Achieve the required monetary boost
Fueling business growth by getting access to liquidity:
- Ability to take on more orders due to timely funding
- Business growth due to more sales
- Ample resources to meet demand
How it works
- Business procures machinery/equipment from manufacturer
- Post qualification, KredX onboards Business with the machinery lease agreement/machinery purchase invoice
- External investors on the KredX platform invest in the agreement
- Funds are disbursed to the business’ account within a week.
- Investors are paid back through easy monthly installments.
- Machinery/equipment value should be above Rs. 50 Lakhs
- Business works with AA, or AAA+ rated companies
- Business works with high growth, high valuation startups
- Business should be at least 10 months old
- Business has a lock-in agreement with their client
The following documents are required for the onboarding stage
- Lease agreement (or) Purchase invoice for machine/equipment
- KYC & CIBIL record of directors
- Proof of address and PAN Card of company
- Bank statement of the last 12 months (or) 10 months in case of new businesses
- Books of account/audited financials
- Sales data for the last 1 year
- Loan Declaration
How To Get Started?
FAQs on CapEx Discounting:
The upper sanction limit is dependent on the business’s requirements and the eligibility as laid out by KredX.
Any vendor who needs or is in the process of procurement of high-value machinery/equipment from manufacturers can avail CapEx Discounting services offered by KredX. The company should be willing to share their financial information and other related documents for the verification process.
No. KredX’s CapEx Discounting solution is solely for the operating costs of businesses and hence is a zero-liability service.
No. Being an ISO 27001:2013 certified private entity which deals with secure information from the clients, KredX follows strict processes when dealing with all secured information.