Manufacturers know that competitive financing drives sales - whether they sell industrial or heavy equipment, aircraft, health care systems, automobiles or recreational products. That's why Toyota owns Toyota Financial Services.
But what does a manufacturer do if it cannot use its own balance sheet to support the financing of its customers? Typically, it relies on third-parties and forgoes the synergies developed by owning a captive finance organization.
In response to this need, we have advised each of these corporations in the formation of a strategic partnership with a financial institution which acts as a captive to finance the manufacturer's customers - from the independent dealer through the end user.
The "virtual" captive finance organization provides both manufacturer and financial institution with a competitive advantage in the marketplace, improved access to high quality financings and a sharing of finance profits. We have advised on all aspects of these projects including: company strategy, alternative structures (private label, virtual JV, legal JV, etc.), system design, negotiation with financial institutions, and legal documentation for commercial and retail financing programs.
We've negotiated transactions with premier financial institutions such as GE Capital, Bank of America, Barclays, Société Générale, De Lage Landen, Citicapital, Bank of the West, HSBC, Textron Financial, CIT Group, Wells Fargo and others.
