Beequip's strength lies in its funding simplicity

Machines are not cheap, and banks are finding it difficult to borrow money for them. That is different at Beequip. This young and innovative leasing company specializes in (re)financing (used) equipment and does so with great success, as evidenced by winning the FD Gazellen Award in 2020. Giel Claes, partner and one of the founders, is happy to explain how Beequip can help SMEs in particular to grow.

Beequip considers SMEs to be the engine of the economy and therefore sees their growth as its main mission. The company does this by offering leasing solutions for (heavy) equipment in a growing number of sectors, such as agri, road transport, earth moving, dry and wet contracting, construction, port, maritime and so on. Used equipment is particularly popular.

"Many SME entrepreneurs need capital to purchase equipment. For example, because the nitrogen issue has forced them to invest - often at an accelerated pace - in more expensive electrically powered machinery. Regular banks often fail to arrange suitable financing. Beequip reasons precisely from the possibilities and thinks along with the customer and the future, so is leasing electric company cars now also possible. We therefore look beyond just the company figures when applying: not the financial position of the company, but the value of the machine or vehicle comes first," Giel explains. This is reflected in the motto: 'Equipment first'.

Lower monthly expenses

Giel explains how it works: "When someone enters a vehicle or machine lease wants, our equipment experts determine the current value, reason out the future value development of the equipment and then make an appropriate lease offer. Because of our 'equipment first' approach, we can also finance used equipment." That's another difference from a traditional bank and also proves beneficial for the entrepreneur. Giel comments, "With used equipment, the 'head' is off, so the value drops less quickly. So this means we run less risk with such a lease and that in turn has the result that the monthly costs for the entrepreneur are lower."

Sale & lease back

Founded in late 2015, the leasing company can now call itself the largest alternative financier in the Netherlands. In addition to regular financial and operational leases, Giel sees growing interest in another phenomenon: the 'sale & lease back' financing. "With this form of leasing you free up money, so to speak, which you actually already have, but which is 'fixed' in your machines," Giel said. While companies were somewhat hesitant about it in the beginning, increasingly they are seeing the great benefits of sale & lease back.

"Companies sometimes really have to overcome a threshold before they sell all or part of their machinery to us, and then lease the machines back from us. But they soon realize that it is an ideal way to get working capital quickly. For example, as a contribution to exceptional investments, such as buying out a shareholder or taking over a competitor. But also for more practical purposes, such as the construction of a warehouse or scaling up in staff. And the beauty of sale & financial lease back is that the machines simply remain serviceable for your business. And that they are then also legally owned by the company again at the end of the lease period."

Being close to the customer

Beequip won the golden FD Gazellen Award thanks to an 187% increase in sales over the past three years and a substantial increase in the number of employees. Major reason for that almost explosive growth, according to Giel, is "being close to the customer." For example, all customers were called to ask how the corona crisis is affecting them and if they need financial support. When asked what his own motto is, Giel gives a real Beequip answer: "Work hard & have fun, by which I mean really going for your customer, and working hard for that, but meanwhile in a way that is enjoyable. Not going for one-time successes, but building a long-term relationship. That makes the work so much more fun."