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Credence Capital Financing Options

Credence Capital, a wholly-owned subsidiary of Credence Systems Corporation, has successfully supported its customers for nearly fifteen years with low-cost, flexible, creative financial structures designed to reflect your individual business requirements.

Customer Financing

Choose from the industry's most competitive and flexible leasing solutions to help you acquire industry-leading hardware, software, and services from Credence. We will also work with your preferred independent financing partner to help you procure the solution you need while enjoying one-stop-shopping. Maintaining a cutting-edge automated test solution has never been simpler.

  • Lower (cost-of-test) COT. Leasing offers you a proactive approach to asset management aimed at constantly reducing COT. You will reduce monthly payments-preserving existing cash and lines of credit.
  • Minimize financial risks of acquiring new technology. Lease payments and terms can be matched to operating budgetary requirements.
  • Avoid obsolescence. Transfer residual risk by exercising a number of options during and at lease expiration, including upgrades, swaps, and returns.
  • Gain asset accounting advantages. Realize tax advantages by using an on- or off-balance sheet expense treatment.
  • Increase flexibility in a tight spending environment. We'll work with you to develop a payment plan to match your business goals.

Ten reasons to use customer financing versus paying cash:

Gain financial flexibility.

  Financing Buying
Cash Preserves cash for higher yielding investments. Consumes cash.
Impact on financial statements Favorable impact on financial ratios (current ratio and debt-to-equity). Rental payments are simply footnoted on balance sheet. Equipment booked as an asset. Requires depreciation schedules.
Income statement Favorable impact on profitability ratios (return on assets). Equipment ownership generally increases the expenses over the life of the asset.
Budgetary considerations upgrades Payments are typically made from the operating budget. Allows companies to acquire needed equipment when capital budgets are exhausted or frozen. Equipment purchases typically made from capital budgets, which require additional approvals. New equipment cannot be acquired if capital budgets are exhausted or frozen.
Equipment disposal Eliminates uncertainty of remarketing or disposal of old equipment. Equipment can simply be returned at the end of the lease. Companies must comply with strict environmental regulations when disposing of equipment, which can be costly and time consuming.

Keep your business on the leading edge.

  Financing Buying
Expected life uncertainty Purchase equipment at end of the lease term at fair market value or extend the lease if the equipment still has a useful life. If not, the equipment can simply be returned to lessor. If the equipment cannot be re-deployed, companies are faced with the costs of disposal or recycling.
Obsolescence protection Companies can upgrade during the lease term and have a number of options at the end of the lease term, including simply returning the equipment. Companies may require new technology at shorter intervals than depreciation schedules allow. Acquiring new equipment may result in a book loss.
Simplicity Provides one-stop shopping for total solutions. Financing typically requires fewer internal approvals than a capital purchase. Purchasing typically requires internal approvals from capital budget committee.
Flexibility Financing provides more options during the term of a lease and at lease termination. Equipment can be upgraded or swapped during the term of the lease if desired. Upgrading equipment may be more difficult if capital budget approvals are required. There are no options to swap or return the equipment.
Leading edge Maintaining leading edge technology is simpler with financing since companies do not own the equipment directly. Companies must redeploy, remarket, or dispose of existing equipment before acquiring new technology.

Please contact your local sales representative for information regarding Credence Capital's customer financing solutions.