Backhoe For Sale

Posts Tagged ‘excess inventories’

Lease and Repos for Commercial Trucks and Construction Equipment. Start Ups and Seasonsed Businesses

In today‘s unstable economy, the start up and seasoned business has an unique opportunity to acquire an attractive deal for off leases and repos for commercial trucks and construction equipment. Due to a contracting economy, many lenders have excess inventories on their books that they need to put them back on the street. These in-house inventories are non income producing, therefore this puts pressure on the lender to make a deal with the consumer. These deals can be found in the price, the financing or a combination of both. An off lease commercial vehicle and/or construction equipment has been returned to the lender as the lease has expired. The lessee has made a decision to return the item in lieu of exercising the buyout option. A repos has arisen due to a default of the lessee for non payment terms or a violation of the terms of the lease. Either way, the lender has taken these trucks and/or equipment back or now must recondition the items and either sell these items or re-lease them. The lender will either advertise their inventory through their internal sales force or outside professionals such as brokers to move their inventories as quick as possible. Sometimes as these inventories either sit or whatever reason isn‘t moving, the lender may put these items up for auction.

For this article, the type of items we are going to identify as potential deals for the customer is the following:

Dump trucks, flatbed trucks, grapple and landscape trucks, fuel and lube trucks, bucket and boom trucks, over the road and day cabs, water trucks, tow trucks, box vans and straight trucks, dry van and reefer trailers, end and bottom dump trailers, flatbed trailers, backhoes, bulldozers, crawler tractors, forestry equipment, excavators, forklifts, and other type loaders.

A list to Builders may include Preterit, Ken worth, Mack, International, Freightliner, Ford, Volvo, Western Star, John Deere, Case, Caterpillar, Kobe co, Great Dane, Miller, East, Warren, Dragon, Clement, etc

Some of the ways the startup and/or seasoned business can locate these deals are through trade publications, surfing internet search engines, contacting lease brokers for information and speaking to lenders directly. Some of the lenders in the market have advertised personal credit qualifications as low as 575, prior bankruptcy rules amended or ignored and start ups are welcome. Additionally, the front money to commence the lease can start as low as first payment to whatever you might able to negotiate. Some of the lenders have application only programs up to $250,000. There are no financial statements, income tax returns or bank statements required. In conclusion, this is a buyers market for commercial trucks, trailers, and construction equipment.

Check out all the deals in the market and make sure that you have a stable income base to assume whatever debt that you may occur. Make sure you understand the buyout clauses which may be $1.00, 10%, 20% fair market value or whatever the lease stipulates.

As buyers have been disillusioned with higher gas prices, food cost worries and personal housing problems, some of the lenders with these excess inventories have also come up deferred payment programs, As an additional dealer/lender incentive, a down payment is required from the customer but the second payment may be deferred up to 75 days, for a selected inventory group, Check an example below:

Your have access to this great opportunity from a Dealer/Lender on their off lease and repos. Lessees can maximize their earning potential by deferring your first payment after funding for no less than 60 days. Gives the customers an opportunity for even more earning potential in the first months of their lease!

Here’s how it works:

- Lessees choose an asset from the list that is available from the dealer. – Complete all normal documentation for funding and submit it to the lender

Complete a special addendum and submit it as a part of your documentation package. Complete the above steps and you are able to push out their first payment after funding for at least 60 days (up to 75 days, depending on date of funding). Take advantage of this unique opportunity now. To be eligible, the deal must fund by July 31, 2008.

- When you pick up your equipment, you will drive off with a $300 fuel card in their pocket!

Program Benefits for All Lessees and Assets

Waived processing fee – $0 processing fee means only the first payment is required in advance . – Start-ups and challenged credit commonly approved on all equipment types. – All ages and types of companies are eligible for approvals on the inventory, including start-ups and proprietorships for over-the-road trucks and trailers and forestry equipment – First payment in advance only – Documentation and up-front payments must be received by July 31, 2008.* 60-Month Financing for All Ages of Equipment – Extend the term length for lower monthly payments. – Extend the term length for a lower first payment due in advance.

Take advantage of these specials today!

As you see from this example, these concessions could sway the buyer for making a consideration for this program. No payments up to 75 days can be a stimulus to a sagging sales force. Additionally, other lenders are giving away gas cards as well to entice the deals. First Payment Only programs, no payments for 75 days, 60 months to repay regardless of age, favorable buy out clauses, easier credit qualifications, prior bankruptcies waived, additional co-signors ok, and start up businesses welcome are just some of the changes the dealers must consider to get the buyers’ interest.

The type of items we are going to identify as potential deals for the customer are the following:

Dump trucks, flatbed trucks, grapple and landscape trucks, fuel and lube trucks, bucket and boom trucks, over the road and day cabs, water trucks, tow trucks, box vans and straight trucks, dry van and reefer trailers, end and bottom dump trailers, flatbed trailers, backhoes, bulldozers, crawler tractors, forestry equipment, excavators, forklifts, and other type loaders.

In conclusion, this is a buyers market for commercial trucks, trailers, and construction equipment. Check out all the deals in the market and make sure that you have a stable income base to assume whatever debt that you may occur.

Happy hunting for your acquistion.