Law.com Subscribers SAVE 30%
Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.
IT Leasing on the Rise
A recent study commissioned by the Equipment Leasing and Financing Association of America ('ELFA') and produced by The Alta Group examines how U.S. businesses and other organizations acquire critical information technology ('IT') equipment and what factors influence the decision-making processes.
According to the report, IT equipment financing has grown to $40 billion per year. This is a 67% increase from just three years ago, when compared with findings in a similar 2003 IT equipment-financing study commissioned by the ELFA. In addition, IT equipment financing as a percent of total U.S. equipment financing activity nearly doubled from approximately 12% in 2002 to 22% last year.
A variety of trends affecting IT equipment leasing and finance are explored in the study. As part of the research, Alta completed interviews of senior-level executives at bank, independent, and captive equipment leasing organizations this past summer. Based on the interviews, modest growth in IT financing is expected over the next three years. Consequently, lessors should evaluate their competitive positions now to capitalize on trends identified in the study, which include:
- CFOs are paying more attention to IT equipment acquisitions. So much money is spent on IT equipment that many organizations now consider IT spending an integral part of the capital budgeting process;
- Technology changes are actually leading to longer lease terms. PC performance continues to evolve, and lease terms have actually increased. Leases for advanced servers are lengthening, as well;
- Customers are demanding total-solution financing. The bundling of hardware, software, and services is now the norm, rather than the exception, in the business;
- Captive leasing organizations are flex-ing their muscles. Captive leasing companies are growing their asset bases by significantly expanding and enhancing their sales organizations and employing other aggressive strategies;
- Independent leasing companies are being squeezed like never before. Between the aggressive pricing of captives and banks' low cost of funds, the survival of independent lessors is at a crossroads;
- More new business is coming from the reseller channel. Lease finance companies will be relying more on the channel and less on direct sales over the next several years for a variety of reasons; and
- It's harder than ever to establish and recover residual values. Distinguish-ing the differences between IT products is more difficult than ever, promp-ting the rapid commoditization of equipment ' and making it increasingly difficult for equipment leasing companies to establish and recover residual values.
The Information Technology Equipment Leasing and Financing Study can be ordered online at www.elaonline.com/store/.
Yachts, Jets, Horses & Hooch: Specialized Commercial Leasing Models
Defining commercial real estate asset class is essentially a property explaining how it identifies — not necessarily what its original intention was or what others think it ought to be. This article discusses, from a general issue-spot and contextual analysis perspective, how lawyers ought to think about specialized leasing formats and the regulatory backdrops that may inform what the documentation needs to contain for compliance purposes.
Hyperlinked Documents: The Latest e-Discovery Challenge
As courts and discovery experts debate whether hyperlinked content should be treated the same as traditional attachments, legal practitioners are grappling with the technical and legal complexities of collecting, analyzing and reviewing these documents in real-world cases.
Identifying Your Practice's Differentiator
How to Convey Your Merits In a Way That Earns Trust, Clients and Distinctions Just as no two individuals have the exact same face, no two lawyers practice in their respective fields or serve clients in the exact same way. Think of this as a "Unique Value Proposition." Internal consideration about what you uniquely bring to your clients, colleagues, firm and industry can provide untold benefits for your law practice.
Risks and Ad Fraud Protection In Digital Advertising
The ever-evolving digital marketing landscape, coupled with the industry-wide adoption of programmatic advertising, poses a significant threat to the effectiveness and integrity of digital advertising campaigns. This article explores various risks to digital advertising from pixel stuffing and ad stacking to domain spoofing and bots. It will also explore what should be done to ensure ad fraud protection and improve effectiveness.
Turning Business Development Plans Into Reality
This article offers practical insights and best practices to navigate the path from roadmap to rainmaking, ensuring your business development efforts are not just sporadic bursts of activity, but an integrated part of your daily success.