Machinery for professional print and packaging is often required by startups and small businesses to lay solid foundations for the future, allowing companies to operate at high capacities and eventually increase profit margins.
Whilst some machinery is simply too expensive to purchase as a one-off, print and packaging solutions are often sourced using asset finance to secure the crucial operating equipment.
Printing machines are very large and can often require additional business premises to fully setup and achieve results. Packaging machinery is not too dissimilar, with warehouses and large rooms very much a prerequisite for full-scale production.
Asset Finance versus Outsourcing
When small and medium sized businesses reach a crucial stage in their growth, a managerial decision to purchase machinery via asset finance is often put against outsourcing the activity to another company or business partner.
Printing solutions are often outsourced due to the sheer cost (and size!) of print production equipment which can be a hindrance to many small print specialists. It is common for large print firms to buy the small companies and absolve the trade.
Eventually an opportunity will arise to refrain from outsourcing and passing trade, taking print & production projects and completing them all under one roof. As a small business it is unlikely that your cash-flow will allow for large expenditure. This is where asset finance for print machinery comes to play.
Packaging solutions follow the same rule where by the decision to finance machinery with asset finance becomes a very attractive option and the benefits are apparent.
If you would like to know more about asset finance for printing and packaging machinery, or you would like to discuss your current business activities and are in need of some advice, please get in touch with NGI Finance today.