Skip to content

Equipment Operator

Balance Sheet Optimisation and Utilization Risk Sharing

Transform equipment financing cost from CAPEX to OPEX and unlock off-balance sheet treatment under IFRS16. This reduces hurdles to investment and enhances KPIs like free cash flow and Total Cost of Ownership (TCO) in case of under-utilisation.

Stapler in Grün
Industry 4.0 meets Finance

Why Pay-per-Use Financing?

Recent years have shown market conditions to be increasingly volatile and less predictable. Add in supply chain issues and it becomes a real challenge for equipment operators to accurately forecast customer demand and plan production in the long run. Old and less efficient equipment worsens the problem with unexpected plant downtime and high energy use.

Effective balance sheet management is also impacted by the chosen financing solution. For example, under IFRS16, equipment and the corresponding liability must be booked on balance sheet when financing through traditional leasing. By contrast, Pay-per-Use financing generally qualifies as an operating expense, thereby supporting companies in having a leaner balance sheet.

Pay-per-Use financing increases financial resilience of businesses during production downtimes, low demand, or unexpected events and helps replace old equipment with new one whilst keeping CAPEX low. By assuming utilisation risk, Linxfour helps equipment operators focus on core competencies.

LKW in Grün
It is as straightforward as that. If operators use equipment less, they pay back less. Linxfour assumes up to 75% of usage risk without penalties or hidden costs.
Discover how off-balance sheet strategies, in line with IFRS16 and local GAAPs, can help you shift equipment spend from capital expenditure (CAPEX) to operational expenditure (OPEX) and improve financial efficiency.
Enjoy impactful cashflow enhancement. When production slows, payments reduce to balance your cash flow. This lowers the total cost of ownership when production goals are not met.
At the end of the Pay-per-Use contract you choose whether to purchase the equipment or return it.
Be part of the circular economy with Pay-per-Use financing, as every piece of equipment financed is guaranteed to have a second life

How does the Pay-per-Use process work?

After agreeing technical specifications and selling price, Linxfour sends an offer within 72 hours to the equipment operator. If the equipment operator agrees and passes credit checks, Linxfour and the equipment operator sign the Pay-per-Use contract. Linxfour invoices the equipment operator based on monthly usage, including all maintenance, insurance, and financing costs. At the end of the leasing contract, the operator can buy the equipment and become the legal owner.

Pay per use Prozess

What is the difference between Pay-per-Use financing and traditional financing?

Play Video

Optimize your equipment financing

Learn how Linxfour can boost your business today.

The form was successfully submitted!