At Merchant West, we pride ourselves in offering leading-edge Asset Finance Solutions. Together, with you, our customers, broker partners and suppliers, across all industries and market segments, we design tailor-made, tax efficient and cost effective financial solutions. Our accomplished specialist asset finance, credit and legal teams combine experience, expertise and a solid understanding of operational, financial and transactional complexities to offer you a range of Asset Finance products and solutions. We offer insightful advice, professional support and proven asset finance expertise to develop and expand your business operations while remaining cognisant of the need for stringent cash flow management to maximise productivity.

To support positive cash flow management, operational efficiencies and an enhanced debt to equity ratio, Merchant West can assist clients to finance assets.

The Rental of Assets protect organisations against depreciating assets and can assist companies to benefit from the latest technology and equipment. Rental agreements ensure the delivery and maintenance of assets and payments can be structured according to a client's unique needs.

Merchant West offers insight and advice into the intricacies of the rentals of assets, the various finance options available and the advantage of renting assets and equipment rather than purchasing depreciating assets.

Merchant West does this through:

  • Operating Lease - Is pure off balance sheet funding where there is no depreciation to write off and the interest is calculated on the capital amount excluding VAT. There is no ownership of the asset at the end of the period and you only pay for the use and enjoyment of the asset.
  • Operating Lease with ownership (rent to own) - The structure is the same as an operating lease but with the option to exercise ownership of the equipment at the end of the period at a pre-negotiated premium.
  • Instalment Sale - This is where ownership is automatically transferred to the client once the final instalment has been made. This lease is treated as on balance sheet funding and depreciation can be written off. Interest is charged on the full capital amount including VAT.
  • Sale and Leaseback - In this case, the client sells their fixed asset back to the funder and is then rented back over the remaining lifespan. This enables the company to still have the use and enjoyment of the asset. This frees up cash needed for company operations.

Product Offering

  • Operating Lease
  • Instalment Sale
  • Managed Service Agreement
  • Managed Print Services
  • Cost-per-Copy Agreement
  • Facilitate the importation of capital equipment acquisitions
  • Sale and Lease-Back Agreements
  • Full Maintenance Lease Agreements
  • Short Term Insurance
Our Financial Solutions

To support positive cash flow management, operational efficiencies and an enhanced debt to equity ratio, Merchant West can assist clients to finance assets.

The Rental of Assets protect organisations against depreciating assets and can assist companies to benefit from the latest technology and equipment. Rental agreements ensure the delivery and maintenance of assets and payments can be structured according to a client's unique needs.

Merchant West offers insight and advice into the intricacies of the rentals of assets, the various finance options available and the advantage of renting assets and equipment rather than purchasing depreciating assets.

Merchant West does this through:

  • Operating Lease - Is pure off balance sheet funding where there is no depreciation to write off and the interest is calculated on the capital amount excluding VAT. There is no ownership of the asset at the end of the period and you only pay for the use and enjoyment of the asset.
  • Operating Lease with ownership (rent to own) - The structure is the same as an operating lease but with the option to exercise ownership of the equipment at the end of the period at a pre-negotiated premium.
  • Instalment Sale - This is where ownership is automatically transferred to the client once the final instalment has been made. This lease is treated as on balance sheet funding and depreciation can be written off. Interest is charged on the full capital amount including VAT.
  • Sale and Leaseback - In this case, the client sells their fixed asset back to the funder and is then rented back over the remaining lifespan. This enables the company to still have the use and enjoyment of the asset. This frees up cash needed for company operations.

Product Offering

  • Operating Lease
  • Instalment Sale
  • Managed Service Agreement
  • Managed Print Services
  • Cost-per-Copy Agreement
  • Facilitate the importation of capital equipment acquisitions
  • Sale and Lease-Back Agreements
  • Full Maintenance Lease Agreements
  • Short Term Insurance

The Commercial Asset Finance (CAF) division transacts with end-user clients and Original Equipment Manufacturer (OEM) relationships. Combining our in-depth knowledge of our preferred industries, our value added services, customised to our client's individual needs which provides the most cost-effective solution that ensures transparency and maximises profitability for the client.

Our involvement is broad in scope and includes a variety of personalised services aimed at structuring the best possible business arrangement for our customers.

Our flexibility results in payments being structured to meet our client's production cycle thus ensuring expenses are in line with our client’s income by enhancing the internal return on assets. The financial solutions we offer for this are; Full Maintenance Lease, Operating Lease, Instalment Sale and Sale and Lease-Back.

CAF Asset Classes: Mining and Manufacturing Equipment, Trucks, Vehicles, Aircrafts, Avionics and Aircraft Engine Over-Hauls, Agricultural Equipment, Energy Saving Equipment and Solar.

With in-depth knowledge and industry expertise, these divisions enable us to offer customized financing options to create value and support the growth and ambitions of our partners and customers. We partner with leading equipment manufacturers, distributors, suppliers and resellers to deliver total financial solutions. Our Asset Finance specialists can make decisions quickly and release funds within hours of an agreement being concluded and meeting compliance standards.

We pride ourselves on our reputation as a fast, efficient and committed funder in our elected industries, and offer tailor-made asset financing for equipment unique to your particular area of business. The financial solutions we offer for this are; Rentals, Managed Service Agreements, Managed Print Services, Cost-Per-Copy Agreement and Public Sector Finance.

The Office Automation Asset Finance Division provides a variety of funding possibilities for affiliated supplier introduced transactions for end user customers.

Asset Classes: Office Automation, Security Systems, Tracking Devices, GPS Devices, Medical Equipment, Golfing Equipment, Biometric Systems, Gym Equipment

The IT Asset Finance Division focuses on end user customer transactions who require specialised financial solutions.

Asset Classes: Servers, Computer Hardware and Software, PABX Telecoms

The Broker or Intermediary has the ability to source the best product, at the right price and facilitate the transaction, on behalf of the Customer, by integrating the relationships between the Customer and the Funder, being Merchant West Broker Division, as business partners.

The Merchant West Broker Division administrates the relationship with the Broker to ensure ease of transaction flow, increased funding line opportunities, execution of transaction documents and after sales service of the deal life cycle.

As an additional service, we offer the Broker advice on matters relating to the products and services that Merchant West offers.

All Brokers are skilled on the processes and procedures of our various divisions, products and services of the Merchant West Group and are fully integrated into our business value chain and culture.

Brokers can generate a significant portion of the day one profit of a transaction as renumeration for concluding transactions with Merchant West.

Does your Business Qualify

Criteria

  • Your business needs to be under the same management for a minimum of 3 years
  • Your business needs to be in operation for a minimum of 3 years
  • Yearly Turnover needs to exceed R2 million, have a Net Asset Value of more than R 500 000 and profit making for 2 consecutive years
  • Consumer Protection Act business will be considered on a very selective basis
  • Credit Bureau Ratings must be in good standing (Business and Management)
  • South African Registered Entities with a footprint across borders

We insure

  • Computer Equipment
  • Computer Software
  • PABX
  • CCTV
  • Commercial Motor and Motor Fleets
  • Plant
  • Marine
  • Construction and Engineering
  • Aviation

Criteria

  • Your business needs to be under the same management for a minimum of 3 years
  • Your business needs to be in operation for a minimum of 3 years
  • Yearly Turnover needs to exceed R2 million, have a Net Asset Value of more than R 500 000 and profit making for 2 consecutive years
  • Consumer Protection Act business will be considered on a very selective basis
  • Credit Bureau Ratings must be in good standing (Business and Management)
  • South African Registered Entities with a footprint across borders

Managing Director: Asset Finance Division

Keith Watson

Tel: +27 11 305 9400


Industries We Finance