Wheeler Financial from Pitney Bowes Helps Choice Canning Optimize Cashflow with New Capital Lease
December 22 2020 - 8:00AM
Business Wire
Pitney Bowes Inc. (NYSE: PBI), a global technology company that
provides commerce solutions in the areas of ecommerce, shipping,
mailing and financial services, today announced that Wheeler
Financial from Pitney Bowes has closed a financing transaction with
Choice Canning, the food producer. Headquartered in India with a
subsidiary in the U.S. Choice Canning will use the capital
generated by the transaction to invest in refrigerated vehicles for
transportation at its production facility in Pittston,
Pennsylvania.
Alok Modani, Chief Financial Officer, Choice Canning said, “It
only took us a couple of minutes to do the math and see the cost
savings that Wheeler Financial could provide. We are already
benefiting from the transaction.” Modani prefers to work with
financial services firms that specialize in the type of financing
he is seeking. “The bank that finances our inventory, for example,
might not have the expertise to understand the details of an
equipment purchase,” he explains.
A division of Choice Trading Corporation Pvt Ltd., Choice
Canning produces frozen foods at its Pittston facility which
comprises a production line and four cold storage facilities. The
business relies on four refrigerated trailers and a specialized
vehicle to transport goods between buildings. Prior to the contract
with Pitney Bowes, Choice Canning rented these vehicles. As an
alternative flexible financial solution, Wheeler Financial provided
Choice Canning with a five-year capital lease to finance the
vehicles. This generates $3000 a month cost savings compared with
the short-term rental of the assets, as well as an additional
$25,000 monthly savings by eliminating the expense of third-party
freight transportation to port. At the end of the lease, Choice
Canning will own any assets, free of any lien.
Christopher Johnson, Senior Vice President and President, Pitney
Bowes Financial Services, said, “Financing equipment helps
manufacturers such as Choice Canning generate savings and preserve
cashflow. Our century-strong legacy of supporting small- and
mid-market businesses gives clients peace-of-mind, helping them
thrive and grow with the liquidity and support they need to
succeed.”
Equipment financing is just one of the ways Pitney Bowes
Financial Services supports small- and mid-market businesses. The
company delivers a range of affordable, flexible working capital
solutions for SMBs and high-volume shippers to optimize cashflow
and protect liquidity.
About Wheeler Financial from Pitney Bowes
Wheeler Financial from Pitney Bowes is a subsidiary of the
Pitney Bowes Bank, Inc., Member FDIC, dedicated to helping small to
lower middle market clients acquire the critical assets they need
to grow and expand their business with innovative financing
solutions. The Pitney Bowes Bank, together with Pitney Bowes, has
been financing Pitney Bowes equipment for over 20 years. Our
expansion into helping our clients finance other purchases reflect
our continued commitment to helping our customers grow efficiently
and effectively.
About Pitney Bowes
Pitney Bowes (NYSE:PBI) is a global technology company providing
commerce solutions that power billions of transactions. Clients
around the world, including 90 percent of the Fortune 500, rely on
the accuracy and precision delivered by Pitney Bowes solutions,
analytics, and APIs in the areas of ecommerce fulfillment, shipping
and returns; cross-border ecommerce; office mailing and shipping;
presort services; and financing. For 100 years Pitney Bowes has
been innovating and delivering technologies that remove the
complexity of getting commerce transactions precisely right. For
additional information visit Pitney Bowes, the Craftsmen of
Commerce, at www.pitneybowes.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20201222005063/en/
John Spadafora Pitney Bowes M +1 518 708 3466
john.spadafora@pb.com
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