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The Universal Banking License: A TRUMPF Card in Leasing

2018-08-23 15:37 Thursday

  1. Could you briefly introduce your company and the products you have to offer?

    TRUMPF is machine vendor of metal sheets process and laser application. Our machines are capable of metal sheet cutting, bending and punching, or more advanced tailored laser application solutions for industries such as the automobile industry.

  2. What can you tell us about your financing solutions? What makes them innovative?

    TRUMPF finances customers with both our own capacity and our partners. In Germany, we started our own leasing financing in 2001. Later in 2007, we setup another leasing company in Switzerland which is focused on cross-border business. In February 2014, TRUMPF's own sales finance company - TRUMPF Financial Services Gmbh - was issued with a universal bank license, which means TRUMPF has its own bank. This is the first one to be given to a sheet process machine tool vendor. With the bank license, TRUMPF can finance customers within European Zone.

    However, in markets outside EU, like China and US, we exclusively work with our sales finance partners, which means we only recommend our customers to our partner, the only one on the market. And our partner will not finance our competitor's machines.

  3. What can you tell us about your financing solutions? What makes them innovative?

    We're not familiar with Oracle's new offer to the market. But we're open to touch new technology for optimizing TRUMPF sales finance working process.

    As machine vendor we have our own information management system for sales and service, which traditional finance institutions are unlikely to have. The information system will monitor the customer relationship, machine status and sometimes even customer's payment history with us. This would tell why some customers can't pay us as agreed.

  4. AutoChina International Limited, a provider of financing solutions for China's transportation industry, has reported financial results for the second quarter which includes a 48% increase in commercial vehicle revenues. One reason they give for their success is their response to industry-leading shifts such as higher emission standards. Have these emission standards had an effect on your strategy and product sales?

    No, our machines give off almost no emissions when they're working. We have some customers who are suppliers to the automobile industry and, until now, there has been no sign of any big changes to their business.

  5. Returning to AutoChina, during the second quarter of 2014, AutoChina began working with third-party commercial vehicle financing stores ("peer stores") to provide financing to their customers as they believe that, by working with peer stores, they can gain a much larger addressable customer base. Is this something Trumpf would consider?

    I'm afraid not. TRUMPF is quite known in metal sheet processing and laser application industries. But outside the loop most people haven't heard about us. We can't open a store somewhere and expect customer base increasing. We need more tailored and directed marketing and sales strategy.

  6. Can you tell us a little about yourself and how you came to work for Trumpf?

    Normally on leasing contract there should be three parties - Lessee, Lessor and vendor. Before join TRUMPF I have been working for Lessor for a couple of years. While someone introduced me a chance working for vendor, I thought it's interesting to touch. And after I learned that TRUMPF's sales finance solutions were going far beyond what I suspected, I decided to join the team.

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