Case Studies

Service Contract Financing
Challenge

A high security not-for-profit entity needed to update its technology assets. The company has a strong credit profile, but due to the security-focused nature of the company’s business, relevant financial information had to remain confidential. The company also needed to structure the financing as a service contract with a cancellation option.

Solution

Rockwell Financial Group worked with the organization and the investment grade equipment vendor to structure a risk-sharing arrangement on the service contract. Since 2010, Rockwell Financial Group has continued to fund technology equipment under this service contract agreement for the client.  Although service contract financing is reserved for Rockwell Financial Group’s highest credit quality borrowers, the firm has funded $24.6 million in service contract financing with 9 different investment grade clients.