CGCF Vendor Services team worked directly with the Vendor and the Lessee to create a custom lease financing which included the management of three different subcontractors, coordination of multiple progress payments over a six month period, and the funding of a significant amount of soft costs including delivery, installation and training
|Equipment:||Highly customized GOSS Sunday 200/24 Offset Press, stacker/conveyor system, delivery and installation costs.|
|Vendor and Lessee:||The Vendor is a major manufacturer of printing presses and finishing systems with over 100 years servicing the media industry around the world. As the Vendor’s financing partner, CG Commercial Finance (CGCF) has developed a mutually beneficial relationship by facilitating lease and finance options for their global customers. The Lessee is a full service state-of-the-art digital printer and interactive publishing solution servicing the commercial and industrial markets.|
|Transaction:||$11,758,923 structured as a custom lease financing which included the management of three different subcontractors, coordination of multiple progress payments over a six month period, and the funding of a significant amount of soft costs including delivery, installation and training.|
|Highlights:||Due to complex transaction requirements – pre-delivery progress payments over an extended time period, high percentage of soft costs, large residual, and a transaction amount exceeding the Lessee’s tangible equity – the Lessee was unable to secure funding for the purchase of the offset press and ancillary equipment through their bank or other finance providers. As a direct result of this press acquisition, the Lessee has increased production and capitalized on improved operating efficiency in the highly competitive printing industry.
Stated W. Scott McCullum, President of CGCF, “We are enthusiastic about our relationship with the Vendor and the significant value we provide to their customers by structuring finance programs to positively impact their bottom line. For more than 16 years CGCF has provided a unique value proposition to the equipment finance industry by exclusively employing best in class transaction specialists and innovative thinking to meet our customer’s requirements. We seek first to fully understand our clients’ needs and then deliver solutions to meet those needs by funding with a broad investor base strategy that prevails over banks rigid transaction parameters and ever changing credit appetites.”