Lenovo has launched Lenovo Financial Services (LFS) in South Africa, offering a cost-effective solution that allows enterprises and SMEs to manage their assets through regular refresh cycles on a subsidised rental basis.
With LFS, Lenovo will subsidise up to 20% of upfront equipment costs, which ensures that companies benefit from reduced rates and a single point of contact for equipment and financial/asset management needs.
Through innovative asset tracking, contract management, bundled insurance and equipment disposal options, LFS ensures commitment to a well-managed IT infrastructure. “Businesses that manage their IT lifecycles can reduce costs by 30% in the first year and by 5% to 10% in the next four years thereafter,” according Gartner.
Graham Braum, GM of Lenovo Africa, comments: “Technology becomes outdated after three to four years, yet some companies still sweat these assets for as long as possible, believing they are stretching their IT budgets. In reality, it works out cheaper to refresh equipment rather than to maintain it. In fact, Gartner says 51% of asset costs occur after warranty periods, meaning the total cost of ownership (TCO) may be a lot higher than initially planned.”
Ryan van der Ploeg, head of Lenovo Financial Services in South Africa, adds: “Technology is a depreciating asset. It doesn’t make financial sense for a business to fund rapidly depreciating assets out of their own resources, especially when considering the opportunity costs associated with cash and the subsidy LFS is providing.
“We provide businesses the use of Lenovo PC Plus products over the most economical time period, making it a win for any business looking to reduce bottom-line costs.
“LFS makes business sense. Companies will not only see a reduced total cost of ownership, improved cash flow and lower end-of-life support costs, but they also benefit from Lenovo’s consulting expertise, during which we will advise on the best equipment for their computing needs, and can rely less on in-house IT resources,” says Van der Ploeg.
“Businesses will experience minimal downtime in the case of faulty or damaged machines, and LFS will also take care of all their disposal and recycling requirements. LFS really does offer a complete solution. Our commitment to BBBEE ensures that 187% of costs can be claimed against procurement spend.”
Lenovo Financial Services is available in 40 countries, with South Africa representing its African debut. Lenovo will consider offering the service in other African markets on a country by country basis.