Asset as a Service
Asset-as-a-Service is a new way for businesses to gain access to the working assets they need to run their operations.
What is Asset as a Service?
The traditional methods of owning or leasing assets have become too inefficient and rigid, presenting financial and operational challenges which create stress for the balance sheet, cash flow and ratios.
With Asset-as-a-Service, Falcon buys assets (new or already owned) and provides them to clients on a pay-as-you-go basis. For example, if the asset is a production line machine, then this could be pay-per-part-processed or pay-per-hour.
There is no minimum usage requirement, so clients only pay when the assets are in operation and generating revenue. The asset can be accounted for as a variable operating expense so that the balance sheet remains clean and asset-light.
Falcon Group AaaS Solutions
We provide AaaS solutions for large corporates wishing to procure working assets for their own use.
Our solution is focused on critical working assets so that clients can use them to source a multitude of different assets, across multiple applications and use cases.
We also provide AaaS solutions for manufacturers and suppliers looking to enhance their go to market strategy and offer their customers an Opex solution on AaaS terms.
Buyers/End Clients
Falcon purchases assets from a client’s preferred vendors and provides them to the client on a pay-as-you-go basis to enable access to working assets without burdening the balance sheet.
- Billed for the benefit received from the assets
- Maximise efficiency of assets
- No minimum financial or usage obligation
- Assets accounted for as Opex
- Release liquidity from already owned assets
- Capex preserved for other essentials
- Closer alignment of cash flows
- P&L risk mitigation if assets stand idle
- Aligns to digital business models
- Can include MRO and associated services
Vendor/OEM/Suppliers
Falcon provides a win-win solution to vendors with an additional sales-aid offering to clients seeking innovative asset financing solutions outside of cash, debt and leasing to improve their sales outcomes.
- Immediate sale of product to Falcon
- Satisfy market demand for pay-as-you-go solutions
- Drive flexibility and value with no minimum obligation
- Access new/larger markets, remove barriers to entry
- Able to include margin rich related services to go alongside the products as part of our “All-in” AaaS solution
- Faster decision-making when clients can use their opex (avoid capex budgeting approval)
- Aligns to IoT, ESG and digital transformation products/projects
- Reduced DSO