TRK Movers is an established and successful transport company, with a turnover of over $5 million last year. But when a truck broke down for the second time in a week, owner Thomas knew he had to act fast to protect his company’s reputation and meet growing demand.
On Friday afternoon, TRK Movers was faced with a major challenge when one of their trucks broke down for the second time that week – jeopardising their reputation for timely and reliable delivery. With the growing demand for their services and emergencies like this one, Thomas, the owner, urgently needed to replace the truck as well as add a second truck to his fleet.
After searching for two new trucks, Thomas found the perfect pair.
In the past few years, TRK Movers have experienced cash flow problems and their credit score had been negatively affected by inquiries about more borrowing.
Since TRK Movers did not have the cash to purchase the trucks outright and traditional lenders refused to finance them, what could they do?
Nova Cash Flow Finance purchased the trucks and rented them back to. With a fixed term rental agreement spanning five years, they could choose to buy the vehicles at the end of the term or return them and rent new ones.