Kopex introduces rent-to-own financing
OEM of specialist underground equipment, Kopex, has introduced a rent-to-own option, which it hopes will appeal to mine managers charged with renting large expensive items of mobile plant.
Kopex 2011SS Shuttle Car.
Kopex is targeting mine managers who have autonomy to rent expensive equipment, but need board approval to make modest capital equipment purchases.
According to Kopex, the rent-to-own arrangements encompass variable options to turn a new equipment capital expense into an operating expense.
Kopex is offering its rent-to-own option in conjunction with United Finance Mining Equipment. It will apply initially to Kopex’s 2011SS Shuttle Car, KTW200 Roadheader and KFB2012 Feeder-Breaker. The company intends to extend the option to other equipment in the future.
United’s general manager, Chris Spence, said “Typically the mining industry has either purchased capital equipment outright, or rented it from third parties.
“We are looking to offer an easily understood arrangement that keeps the equipment off-balance sheet for the duration of the finance period – then it becomes owned by the mine for a very modest final payment.
“As an example, our launch offer on the Kopex 2011SS Shuttle Car will be from $10,990 a week, plus GST.”