Businesses and technology are intertwined in the modern landscape. Technology acts as a limited factor to business growth, and software has evolved to act like the nervous system of industry. It’s imperative that your software is on the cutting edge to keep ahead of the competition, in whichever market you find yourself in.
Even if you are one of the many who would love to embrace the new, there is often a continual struggle to have the funding available to invest in software. The price-tag on what might be an essential bit of programming can eat into precious working capital.
As such, there is a definite need for software acquisition to be approached as a vital and often-expensive business asset. It’s clear that the market has pushed for payment-over-time, an operational expenditure, with publishers such as Microsoft and Adobe eschewing their traditional “full payment upfront and no arguments” model to a monthly subscription.
This is a fine arrangement for enormous publishers with a large reserve of cash. Businesses may benefit from paying overtime as they use the software, but for many publishers this is a hindrance, especially when you factor in the cost of research & development. As such the vast majority of software for businesses are out of sync with the needs of the businesses that actually utilise their product.
Institutes who especially benefit from paying over time for software are schools and academic institutions. Education is especially sensitive to the developments of technology. From a more mercenary viewpoint, demonstrating the latest software available to students is likely to play a factor in how modern their facilities in general are. As such, it seems unreasonable for a school to have to pay in full and up front for software that may become redundant in a couple of years.
Those who offer services related to data analysis are also enormously vulnerable to the fast-paced development of software. It’s such a competitive industry, while being difficult to compare your performance to competitors, that it takes a level of faith to invest thousands in software when the results are not yet clear. That faith is akin to gambling.
Make no mistake: software has become a business asset, and it’s important to treat is as such. From Sage to kCura, to preserve you working capital and ensure your acquisitions are
As a solution, many businesses are beginning to utilise leasing for their software requirements. Leasing brings a wreath of advantages to simply out-right buying any business asset, but it’s not well known that software can be leased 100% through specialist funders.
Software finance works precisely the same way as finance for a photocopier or a car. You get full access of the software from day one, while breaking the payments down into manageable increments. Furthermore it future-proofs that software: upgrades are easy at any time during the lease period, so you aren’t hampered when newer and better software comes on the market.
While software finance isn’t the most readily available financial product on the market, Clear specialise in the field. We can offer finance on 100% software, and with several funders we can offer extremely competitive rates.
Contact us Clear today to discuss how finance could benefit your software acquisitions.