Snow Resort Financing Program
Thursday, January 31st, 2008In my opinion, there are only two seasons in the snow industry: ski season and preparing for ski season. In the off-season critical decisions are made regarding investments in equipment and capital improvements that are needed to maximize the experience of guests, stay competitive in the marketplace, and upgrade to newer technology. Of course these decisions need to be implemented before the mountain is in its high revenue cycle and cash flow positive.
Ski business or not, the goal of any company is always to maximize cash flow and to match the timing of lease payments with the income being generated by your business and its new equipment. Seasonal trends are common in several sectors including consumer electronics, hotels, restaurants and department stores.
eLease has developed a Snow Resort Financing Program that provides the convenience of seasonal payments, which are ONLY due during when the mountain’s busy season. By matching the payment with the revenue cycle we can maximize your cash flow during the off-season and avoid negative cash flow on equipment. Additionally, seasonal payments give you the advantage of getting a jump on the season. You’ll have your new equipment delivered, installed, and tested months before your first payment is due.
The benefits of leasing equipment become crystal clear when your equipment payment is tied to the revenue stream of your business. I’m not telling you anything new, but traditional financing that requires payments 12 months of the year throughout the term of the lease can be a heavy burden on seasonal businesses. Particularly when you generate nearly 100% of revenue within a 5-month period.
If you’re interested in learning more about our Snow Resort Financing Program or are curious to find out what your monthly payments would be on a snow making purchase, please feel free to contact me. We’d really like to help. Thanks for your interest and have a great season.
