IBM Global Financing makes IT investments an affordable reality for SMEs

IBM Global Financing, the world's largest information technology financier, has created two new financing packages to help small and medium-sized enterprises acquire new IT at an affordable cost. In response to research carried out in 2002 to ascertain the needs of SME customers, the two packages - SuccessLease and Rapid financing - have been designed to meet the differing requirements and challenges specific to both small and medium-sized companies.

SuccessLease is for smaller companies looking to acquire between €20,000 and €70,000 of basic IT investments quickly and easily. Rapid financing is aimed at the mid-market and covers Total solution financing - deals on hardware, software, services and OEM components - between €70,000 and €500,000. Both allow simplified financing solutions for IBM and non-IBM products, all on a single contract.

"Many financiers put small and medium-sized businesses into the same market segment, but our research has shown that they have very different needs," said Paul Foulkes, Director of Global Financing, North Region, IBM. "We created SuccessLease and Rapid financing to mirror that difference and provide solutions that meet those specific requirements. Small businesses are looking for affordable ways of acquiring commodity hardware, for example, while the mid-market is looking to bundle all their costs into one consolidated payment."

He continued, "Our SuccessLease and Rapid financing teams are specialists in both the SME market and IT financing. Our SME customers know that when they contact us, they are speaking to someone who understands their business's specific challenges, and can combine that with industry expertise to create a more flexible and tailored solution."

Research carried out by Ronin Corporation in Summer 2002 (http://www.ronin.com) on behalf of IBM Global Financing revealed that businesses consider financing a preferred approach to acquiring IT because it:

• allows them access to the latest, most up-to-date technology
• maintains the flexibility to manipulate IT capacity in line with their business needs
• allows them to have predictable monthly payments
• preserves cash flow for higher yield investments
• enables them to acquire new technology even when budget is not available
• reduces the total cost of ownership of IT.