MHW Magazine News and stories from the Materials Handling Industry
Five years after they first introduced its innovative TIP Equipment Funding (TEF) product, TIP Trailer Services reports that they now have completed funding arrangements for over 6000 assets during this five-year period, a remarkable achievement with a year on year increasing performance, despite the current economic conditions.
In the last 12 months, TIP has funded over 1500 assets through its TEF programme in the UK alone, covering tractor units, rigids and trailers, with this representing an estimated funding value of £30 Million. TIP confirms that the TEF product has now been successfully rolled out across Europe as a direct result of its success in the UK, with every European region now having its own dedicated TEF staff.
According to Karl Davies, Services and Marketing Director, TIP Trailer Services, "Probably 90% of the assets sold through TEF has been for refrigerated and dry freight trailer requirements. However, we have also been involved with funding for delivery vans, tractor units and ancillary equipment. Interestingly enough, over 50% of the deals are also committed to our FleetCare fleet maintenance programme, giving operators complete peace of mind over the life of the asset."
John Crisp, Sales Director, TEF UK, adds, "We have over 35 funding relationships in place so we can always find the right funding for an individual operating requirement. By far, the most popular route to market is through an operating lease, offered by means of a most competitive weekly rate. With this approach, TEF provides a quick and acceptable replacement solution with customers benefiting from the overall substantial buying power of TIP across Europe."
During the past couple of years, TIP has also seen the movement towards the supply of refurbished trailer equipment, as a direct result of the tough economic climate, and as John Crisp says, "TEF can and has delivered Funding solutions during the last year, that includes asset purchase, refurbishment and leaseback."
Although turnaround times for securing finance is now longer, given the tough market conditions, TIP says that it can usually secure the funding line within seven days with TEF, subject to receiving all the required information from the customer.
"TEF has mature funding relationships with multiple funders and residual value providers, which allows TIP to structure a range of funding solutions even in the current environment. This allows our customers to focus on their core business whilst we locate the most cost-effective funding solution to meet their business needs," concludes Karl Davies.
