Computer 2000 launches white label financing scheme

Computer 2000 has launched an “End User Finance Scheme” which will include its complete product portfolio as well as maintenance and support agreements around technology projects from £3,000 to in excess of £1m.

The company claims it is the first of the tier 1 distributors to launch a comprehensive white label financing scheme which will be delivered in partnership with Syscap, an independent financing company that offers similar programmes for other technology vendors.

“This is the right time for the market,” explains Mark Ancell, general manger of financial services for C2000. “There is both demand and a gap in the market.”

Ancell points to a likely contraction of government spending on IT due to the steps to reduce the budget deficit and believes the comprehensive nature of the C2000 financing scheme is a clear differentiator for the distributor, channel partners and end customers.

The scheme will play alongside existing Cisco financing that C2000 currently offers but will help in projects that have a high multi vendor make-up and crucially will cover maintenance and support over longer periods of up to five years.

Local authority organisations such as hospitals and schools automatically qualify for a £100,000 approved financing and Ancell predicts that around five percent of its business will go through financing in the first year, possibly moving towards 10 percent in the second year.

Channel partners will be given access to a portal that will allow them to quickly calculate deals including financing options. A particular benefit is managed services projects that allow the offset of initial capital expenditure to be recouped through monthly revenues over a longer period.

C2000 has begun an outreach to its 6000 customers and has already completed two deals through the new financing mechanism in the last week.