Transcript Acquiring for your technology doesn’t need to be challenging… Presentation_ID © 2008 Cisco Systems, Inc.

Acquiring for your technology doesn’t
need to be challenging…
Presentation_ID
© 2008 Cisco Systems, Inc. All rights reserved.
Cisco Confidential
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What is ‘Technology Financing’?
Financing means you
can choose to make
purchases over a
designated time frame,
rather than making a
large upfront cash
investment
Most technology
equipment and service
can be financed.
There are business and
technology benefits to this
acquisition strategy.
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Financing options
primarily include
loans and leases
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Who is Financing?
Companies vary widely from small sole proprietorships
and partnerships to Fortune 100 corporations.
Transactions range from a few thousand dollars worth of
equipment (such as….) to multi-million dollar facilities and
communications systems.
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Why do Companies Finance?
Flexibility:
To
accommodate
different
technology
and budget
needs, cash
flow patterns
and streams
of income.
whether its budget or technology
However,
companies Practicality:
of all sizes companies benefit from the use of
can agree technology and not the ownership – and
transferring the risk onto the lessor
on three
allows the customer to focus on their
main
productivity and business needs
reasons for
choosing
Cost effectiveness:
finance:
helping customers achieve better ROI
and minimise unexpected costs and
risks
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Strengthen the Cisco Offer with Financing
Effective budget
management
The technology they need
when they need it
Alleviation of cost issues
Manageable technology upgrades and refresh
Eliminates equipment risks
Financing provides flexibility to meet
business demands and to take
advantage of technology advances
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Customers can sustain profitability
while maintaining
their competitive edge
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Benefits of Financing
for IT Decision Makers
Renew technology to match business requirements
Ability to satisfy your needs now
Remove budgetary constraints
Flexible payment terms e.g. deferred
Maximise available budget
Additional projects can be considered
Protect against technology obsolescence
“Refresh” solution with minimal business impact
Usage without the risks of ownership
Protection from depreciating IT investments
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Benefits of Financing
for Finance Decision Makers
Effective cost / benefit management
Avoids significant IT investment spikes
Budget stability / planning
Costs fixed for contract duration
Conserve budgets and preservation of cash
Saves / enables alternative use of budget or liquid assets
Key financial performance indicators improved
Such as return on assets
Potential tax advantages
Finance revenue costs can reduce tax burden
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How Does a Company Decide What’s
Best for Them?
Financing
options can be
customised to
meet the
individual
customer’s
needs and
tailored to
help them be
as successful
as possible.
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Typically, a
customer would
work with a
lender (Cisco
Capital Leasing
AM) to
determine the
most effective
type of financing
for their
company.
Factors to be
considered
include:
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How long the company
plans to use the equipment
What is to be done with
it at the end of the term
Tax situation
Cash flow
Specific needs relating
to future growth
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So, Who is Cisco Capital?
 Wholly-owned Cisco subsidiary created in
1996 to:
Leverage Cisco’s financial strength to help
provide end-to-end financing for Cisco’s
products and services
Eliminate barriers to acquiring Cisco products
and services
Maximise customer’s cash flows
and profitability
Provide direct customer contact
 Part of Cisco’s “Whole Offer”
 Alignment with technology innovation
 Global market presence – over 140 countries
 Our focus - enabling our customers’ success
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To Learn More About Cisco Capital
Visit www.cisco.com/go/capital/emerging
where you’ll find details of your local contacts
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