Technology Focus...

Our focus technologies include: Sun, Hewlett-Packard, SGI, IBM, Sony, Avid, Dell and others.

While our hardware/software/services financing solutions cover all industry types, our focus is on the following industries: Entertainment, Manufacturing, Internet/New Media, Education, Biotech/Biomed and Financial Services.

Solutions...

Although there are many iterations to each of the following, the majority of BCC's finance solutions involve one or the following core structures:

  • Short-term FMV Lease/Rental (1-6 Months):
    These are leases that involve equipment needed for periods of 1 months to 18 months and the Lessee can predictably return the equipment within the term.

 

  • True Operating Lease (12-36 Months):
    These leases are for equipment whereby the present value of the total lease payments is equal to or less than 89% of the cost of the equipment at an interest rate equal to the Lessee’s internal cost of funds. The operating lease is useful for the acquisition of obsolescence-prone equipment and for off balance sheet treatment for the Lessee with an option of fair market value at end of term.

 

  • Direct Finance Lease (FMV 24-60 Months):
    These leases are for equipment whereby the present value of the total lease payments is more than 89% of the cost of the equipment at an interest rate equal to the Lessee’s internal cost of funds. This lease is generally for the acquisition of high technology equipment and has a fair market value purchase option. The Lessee will also be able to take advantage of tax benefits that on balance sheet capitalization provides.

 

  • Sales Type Lease ($1 Buy/Fixed 10% Option):
    These leases are generally $1.00 buy option at end of term and are used when the Lessee wants to own the equipment at end of term.

 

  • 1st Amendment Lease (Operating Lease with a Fixed Purchase):
    These leases have an early termination clause in which the Lessee can early terminate with a penalty that is added to the present value of payments already made equal to 89% or less of the original cost.

 

  • Synthetic Lease (Off-Balance Sheet Loan):
    Leases where depreciation of the equipment can go to either the Lessee or the Lessor and the debt rate is generally at the Lessee’s internal cost of funds.

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Santa Monica, CA 90404
Tel (310) 828-1199
Fax (310) 828-7781

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