Facebook Pixel

software Finance

Software means more than just Word and Excel. Many of today’s machines are run by CNC and CAD/CAM software. Or perhaps your business needs the ability to schedule rosters or classes of students. Let’s not forget key operating systems like Accounting and ERP packages.

There are hundreds of software packages that can give your business a large boost if implemented correctly. Some of the common software systems that we work with are:

  • Accounting software
  • Enterprise Resource Planning
  • Inventory management
  • Job Tracking
  • Delivery Routing
  • Business planning
  • Management software
  • Financial Planning
  • Decision making
  • Machinery (CNC, CAD/CAM) Software

There are just some of the software packages that we have funded over the years that have helped a range of different companies become more efficient.

Is software an expense or an asset?

Asset finance is a simple concept for a lender to fund. Take a deposit and a lien over the asset and they have protection should something go wrong.

Intangible and Software finance is different. By definition there is nothing that can be salvaged should the loan go bad. Having said that, the software can be a definite asset to the business and its operations.

Take Company X as an example. They spent $100k on new CNC software to work with their existing machinery. This was a significant purchase for them but it was well worth it and extremely easy to justify. The upgrade to their systems boosted the productivity of their factory and allowed them to bill over $700k in new work each year. 

The $100k was a significant amount of money and it did a lot for the company. It allowed them to produce more widgets at a higher price. This is a very important point. If the $100k were just thrown into a new production line, it would have been a much less efficient use of the company’s capital.

Your business may also be ready to benefit greatly from having the right software.

The problem is that some software systems are extremely expensive and can have an impact on the bottom line if it is not funded correctly.

How we help

We work with both customers and vendors to set up a funding model that transforms the purchase from an up-front capital expense to an ongoing monthly operating expense. 

The benefit to your cash flow is one thing, the increased productivity of the business is the other. 

This model allows you to access the powerful features of modern software to:

  • Be more productive
  • Make better business decisions
  • Streamline your business operations

All while keeping track of your finances and control over your budget.

Alegra will help you decide which software to purchase and the best financing model to ensure that you get the best deal on the software and also help you manage the finances to ensure you get the best value for your money.

Not only that, we have the experience to do things like:

  • Bundling user training with the software purchase where possible
  • Negotiating better terms through our consolidated purchasing power.

This further simplifies your cash flow management and makes the deal even better in the long run.

The next time you need to purchase software for your business, consider Alegra as a partner in your purchase. We make the process as simple as it can be so you can get on with running your business and planning how you can grow your business.

Take the first step to secure your finance by phoning or emailing below

(08) 7084 1278