by Monica Howald
There is no question additional resources are needed to help SMBs spark the American economy. But with interest rates for short-term loans reaching double digits, some lending options may actually be crippling SMBs looking for a boost.
Understanding the need, AT&T – through its leasing subsidiary AT&T Capital Services – is offering wireless solutions financing to SMBs at 5.9 percent interest, well below bank loans that average nearly 10 percent. AT&T Capital Services also has committed to doubling its small business leasing capacity over the next 18 months and tripling capacity over the next three years
In fact, AT&T Capital Services has more than doubled its mobile device lease financing to SMB in the past year due to continued interest in game-changing technology – ranging from mobile devices equipped with fleet management or GPS tracking applications to the rollout of tablets and laptops embedded with mobile broadband and Wi-Fi.
No other communications provider is offering loans to SMBs for wireless solutions, and AT&T Capital Services offers leasing options as little as $1,000 to fit customers’ needs. Here is the full press release:
AT&T Offers Leases to SMBs with 5.9 Percent Interest Rates, Well Below Industry Average
Top AT&T SMB executive announces company to double SMB leasing capacity over next 18 months, triple capacity over next three years
Intended to propel the economy, the latest surge of SMB loans may instead be weighing them down with high interest rates that reach the double digits.
With an understanding that SMBs are essential to U.S. economic growth, AT&T announced today that its leasing subsidiary – AT&T Capital Services, Inc. – is offering SMBs interest rates as low as 5.9 percent on equipment leases, well below bank loans, which are averaging nearly 10 percent.
In addition, the company also committed to doubling its SMB leasing capacity over the next 18 months and tripling capacity over the next three years – allowing more companies to deploy new technology solutions or upgrade existing ones.
Delivering the news during a keynote speech at the annual Women Impacting Public Policy Conference in Washington, D.C. this morning, Cathy Martine, AT&T Executive Vice President of SMB Solutions, said leases from AT&T Capital Services offer companies a competitive edge in this economy.
“SMB owners recognize the need to be up to date with the latest technology to keep their operations streamlined and cost effective,” Martine said. “We are providing access to additional financial resources to help these businesses acquire new technology that will set them apart from their competitors.”
Fueled by a continued interest in game-changing technology – ranging from mobile devices equipped with fleet management or GPS tracking applications to the rollout of tablets and laptops embedded with mobile broadband and Wi-Fi – AT&T Capital Services has more than doubled its mobile device lease financing to SMB in the past year.
“Access to capital is a principal factor driving SMBs to expand, and AT&T recognizes the potential of each of the companies we support as they integrate new technology into their business,” said Anthony Lewis, President of AT&T Capital Services. “Whether companies choose to invest in the latest in tablets, smartphones, Wi-Fi networks, or mobile apps, we’re here to help them innovate and grow. We can help SMBs with transactions from as small as $1,000 to much larger amounts to support their acquisition of AT&T business solutions.”
Since introducing wireless leasing solutions last year, AT&T Capital Services has closed transactions totaling several hundred thousand dollars, with leases totaling several million dollars in the pipeline.
AT&T Capital Services was established in 1984 to support business customer purchases of AT&T products and services by converting one-time, upfront costs into monthly payments. To date, the organization has recorded more than $6 billion in contract originations for more than 5,000 commercial and municipal customers. Benefits of AT&T leasing currently include:
· Minimal capital outlay – allows customers to avoid down payments and make easy monthly payments that fit their budgets
· Lifecycle management – minimizes risk of technological obsolescence
· Packaged solution – offers one-stop shopping and a simple contracting process
· Reliability –AT&T Capital Services does not sell its lease contracts, holding and servicing them for their entire term
· Alternate source of credit to preserve bank credit line
· Competitive rates
SMBs looking to find information about other AT&T products and services can visit AT&T Small Business. For free business resources such as webinars, white papers, training, case studies and best practices, they can visit AT&T Small Business InSite.
Additionally, real-time information can be found on the AT&T Small Business Facebook page and Twitter channel.