United Rentals Launches Finance Program to Bridge Hire and Ownership

United Rentals is now providing finance for customers as it accelerates its goal of being a trusted partner for Hire equipment across Australia.
When United Rentals’ hire equipment reaches a certain number of operating hours or age it is released from the hire fleet and sold, providing customers with access to top quality, well serviced and regularly maintained machines to own.

The company’s new Customer Finance Program offers a range of finance options to customers when buying used hire equipment. It can also be used for purchasing new or titled equipment.
“We have made no secret of our plan to be a trusted partner and eventually a one-stop shop in Australia and a customer finance program like this takes that to the next level,” says David Broad, Sales Manager Used Hire Equipment. “It’s a game changer for the industry because it shifts United Rentals from a hire and sales company into a full-service provider, which makes it more efficient, seamless and cost-effective for our customers.”

How it works

United Rentals Customer Finance offers finance via a suite of lenders, giving customers access to competitive, broker-led finance options without having to source it themselves.
The program provides:

• Flexible terms with 12 to 60-month terms, seasonal and deferred payment plans, and options for new businesses
• Everything from traditional loans, and flexible structures such as rent-to-purchase and end-of-lease options allowing companies to purchase, upgrade, or return the equipment
• Competitive rates with loan and lease options on new, used, and titled equipment including extras
• Fast and efficient application with easy online form, quick approval process, and digital DocuSign contracts

The program stems from United Rentals’ operation in the USA and builds on a proven model rolled out internationally.
“United Rentals stands out in the local hire industry because we sell equipment early, with a lot of life left in them. Adding the finance program is about improving access, flexibility, and outcomes for customers meaning they can turn hire into ownership and make smarter long-term asset decisions,” says Mr Broad.
Finance with benefits
There are a wide range of business benefits for customers, including improving cash flow on a monthly or seasonal basis and freeing up working capital for other key business investments and expenses.

Other key benefits include:

• Flexibility to upgrade
  Because on-site activity may evolve beyond the equipment’s capability, financing allows upgrades and equipment add-ons.
• Fixed payments                                                                                                                                                                                                                                                                    Financing enables knowledge of monthly payments which improves a company’s ability to budget and forecast.
• Preserving lines of credit
  Finance does not affect bank lines of credit ensuring they are preserved for future business needs.
• More affordable equipment
  A monthly financing payment is a small portion of the total cost of the equipment, allowing a greater amount of equipment to be purchased.
• Inflation protection                                                                                                                                                                                                                                                                             Low fixed pricing protects against inflation and allows current acquisition with tomorrow’s dollars.

“It’s a smoother pathway from choosing equipment to owning it. Customers can align payments with project timelines and gradually move towards ownership,” says Mr Broad.
For example, with a rent-to-purchase arrangement, by the end of a job, there is potential for the customer to have already paid for a good chunk of the machinery or equipment with the option to buy it outright with a lump sum payment at the end.”

Reducing barriers to ownership

Importantly, the program also opens access to customers who may not qualify for traditional bank finance. With the program having access to around 40 lenders it increases approval chances and creates inclusive financing pathways.
“While they may not be eligible with a bank for certain reasons, this program means they are still able to own the assets,” says Mr Broad.
Existing relationships United Rentals have with customers also play a key role in unlocking finance options.
“Our trading history with customers is a valuable asset because it can help them secure finance even if they have a weaker credit profile. While it may not necessarily look like a good deal on paper from a traditional finance company, we know from working with them that they are a strong customer.”