RE-FINANCING ARRANGEMENTS
From time to time, customers prefer to pay suppliers directly and
then look to re-finance the products later. This type of scenario
can arise if the customer is purchasing products from multiple
suppliers who may be delivering at different stages of a particular
project or when goods are coming from overseas. This way the
customer retains control over the settlement of each invoice.
Worldwide Company Corporate Finance Brokers has two separate facilities, which can meet such needs. The
first method of re-financing is known as Sale & Leaseback. This is
where goods and services previously acquired for cash by the
customer can be sold back to the Lender. Certain legislative restrictions
apply which need to be addressed prior to entering into such an
arrangement.
The second option is known as an Agency Purchase agreement. The
main difference to Sale & Leaseback is that the Lender appoints the
customer in advance to act as its agent and purchase the product and
services as if they were paying cash. This expenditure is then
reimbursed once the customer enters into a Lease or Purchase
agreement.
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