International Rentar Fuel Catalyst Financing
Rentar has secured an international trade finance lender which is an approved direct lender of the Export-Import Bank of the United States (EX-IM Bank) and also an approved lender of the Florida Export Finance Corporation. They provide medium term loans between (2 and 18 years for environment equipment) to qualified FOREIGN BUYERS at competitive interest rates. The ideal loan amounts are from $200,000 to $10,000,000.
Loans are amortized over the term of the loan in equal payments at the end of each 6 months (in arrears) plus the negotiated rate on the unpaid balance. Floating or fixed interest rates are available. Loans are made for 85% of invoice. 15% of product invoice initial payment is government required.
A Letter of Intent is issued to qualified foreign buyers within 24-48 hours of the submission of the last 3 years Audited Financial Statements.
No collateral required.
Multiple shipments are permitted.
First Payment after first year.
Rentar can guarantee ( at retail prices )that the payback using the Rentar Fuel Catalyst will be one year or less. In most cases the payback will be 2 to 3 months. We also tell the customer if the payback is longer than one year they can return the Catalyst without cost.
Have not received any Catalysts back yet.
Financing through EX-IM Bank:
Assume a 777 haul truck using 20 gallons (75.6 liters) X 20 hours per day = 400 gallons (1512 liters) X 365 days = 146,000 gallons (551,880 liters) X US $3.00 per gallon =$438,000 Dollars ( 551,880 X .79 per liter = $435,985.) X 4% savings = $17,520.00 savings.
The first year savings is $17,520.00 – cost of 2 Catalyst of $10,000.00 = 7,520.00 Return of investment is 6 months.
A step further let’s say the company has 500 – 777 Haul trucks but does not have the money to spend $5,000 X 2 = $10,000.00 X 500 Haul trucks =$5,000,000.00 dollars.
Assuming they have the last three years of audits and get approved EX-IM and an affiliated bank will lend up to 85% of the $5,000,000 =$4,250,000.00 and the customer puts up 15% =$750,000.00 at time of purchase.
Assume the customer wants to finance for 10 years. The payments per month is as follows $4,250,000.00 divided by 120 months =$35,416.67 divided by 500 Haul trucks = $70.83 per month per truck. Interest @ 6% (Approximate) X $ 4,250,000.00 =$255,000.00 per year divided by 500 haul trucks =$510.00 per truck per year or $42.50 per month.
The monthly cost for one haul truck is $70.83 + The monthly cost of interest per truck is $42.50 = Total cost per month per truck is $113.33.
Savings the first year, per truck is $17,520 less $10,000 =$7,520.00 divided by 12 =$626.67 savings less finance cost of $113.33 = $513.34 per month or X 12 months =$6,160.00 yearly per truck X 500 trucks = $3,080,019.00 yearly or a positive cash flow monthly of $256,668.00
Savings second year and thereafter (9) years are as follows.
Positive cash flow of $17,520 per truck per year X 500 =$8,760,000 savings each year for 9 years.
I know the savings are staggering but because of the high savings these are approximate for instance I kept the interest at 6% throughout the term.
Disclaimer
We may be able to arrange term financing with a US lender supported by EX-IM Bank.
It does not include EX-IM Bank and other fees that may be charged by a commercial Bank and are not included in the above example.
Rentar Environmental Solutions Inc.
Richard C. Ford
President / CEO
1115 Gateway Blvd
Boynton Beach,FL 33426
Tel: 561-383-8040
Fax: 561-369-0402
Email: info@rentar.com
Click here for http://portal.sliderocket.com/AFLHD/Power-Point