6-Payment Rent-To-Own Plan
We're noticing there's still plenty of work out there but the money has really slowed down. To help our customers who need more scaffolding, but are having a hard time buying it out of their cash flow, we've started a 6-payment rent-to-own program.
We divide the purchase price by 6 and add a 1.5%-of-the-total carrying fee per month to the last five payments. For instance, on a $60,000 purchase you pay $10,000 down, and $10,900 per month for the last five months. It's not as cheap as going to your bank, but this doesn't reduce your line of credit. We're not in the finance business, but for an extra few points, we can afford to carry it in-house.
So far, our established customers like it. They say 5 months is perfect because the scaffolding PAYS ITS OWN WAY by saving on labor. If you've never used Non-Stop before, keep reading.
If you're paying your bricklayers $20 an hour*, you can OWN NON-STOP FOR FREE.
What's the catch? You need to have 4 months of work ahead of you.
Here's how it works:
1. Put 105 feet of Non-Stop Heavy-Duty on your job (about $30,000).
2. Put 8 bricklayers on the job instead of 10. Don't worry, you'll get the same production as 10 bricklayers.
3. You would have paid out about $7500* to the other two bricklayers. Send $5500 of that money to Non-Stop. Keep $2000 in added profit for yourself that month. Remember, you used to pay that money out to bricklayers, but you don't need them anymore because the others are putting in more units because they aren't stopping anymore.
4. At this point, your total dollars out-of-pocket each month is $2000 LESS THAN when you were on frames.
5. After 5 months your Non-Stop is paid for. At this point, you own the Non-Stop and you keep the entire $7500 for yourself each month.
6. Keep using the Non-Stop and keep the money for the two bricklayers for yourself.
7. Continue for the next 20 years.
* What Does It Really Cost You To Pay a Bricklayer?
If you're paying your bricklayers $20 an hour, that's $160 a day. Times 20 days makes $3200 a month. If you add a conservative 20% for labor burden (state and federal unemployment, workers comp, medicare, FICA, etc.), you're paying out $3840 a month per bricklayer.
12-month Rent-To-Own
10% per month for 12 months. For 105 feet of Heavy-Duty, that's about $3000 per month. Remember, it's saving you 2 bricklayers* a month. 83.3% of your rent is applied to the purchase every month. After 12 months it's yours.
The big advantage of this plan is that if you're paying your bricklayers $20 an hour, you're actually $4600 ahead every month than if you had stayed on frames.
Leasing
| Some of our customers prefer a 24-month to 60-month lease. We have four standard lease plans to choose from. In addition to these plans, specialized programs are available,such as seasonal, deferred, and zero down. Customized programs are available too—just contact us for assistance.
Fair Market Value (True Lease)
For those worried about obsolescence, this plan offers the most options both during and at the end of the lease term. This plan is particularly beneficial to those wanting a small security deposit and a relatively low monthly payment. At the end of the lease term, the lessee has three options: extend the term of the lease, return the equipment, or buy it at its fair market value. Financing is available for those wishing to buy the equipment at the end of the lease term. A True Lease allows the most cost to be deferred to the end of the lease when a decision to retain or upgrade the equipment can be made.
$1.00 Buyout
For those who are fairly certain they wish to purchase the equipment at the end of the lease term, this is the recommended plan. Once the lease term expires, the equipment is simply purchased for $1.00.
10% Security Deposit
Because this program offers the lowest monthly payment, it is especially attractive to those who can afford to pay a 10% security deposit of the lease amount. End-of-lease options still apply. The deposit can be applied as the buyout at the end of the lease, the lease can be extended, or the equipment can be returned and the deposit is then refunded.
10% Purchase Option
This plan offers the customer a fixed purchase option at the end of the lease term. Upon final payment, the customer can continue to lease the equipment, return the equipment, or buy it at 10% of the original equipment cost.
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