Cloud Software – Subscription Software
Finance For Your Business
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The software licencing model has changed in recent years, with vendors phasing out perpetual licencing and shifting to Cloud software, Software as a Service (SaaS), or subscription software. This new model gives you flexibility, helps with your business cashflow, and provides you with a much quicker return on your investment. Of course, these benefits have been around for years, when finance has been used to acquire on premise software.
The software is typically licenced and contracted on an annual basis, with a further fee to be paid in year 2 and so on. If the software is already being offered to you as a monthly cost, then clearly there is no point financing it. However, if the software is billed and collected by the partner or software author annually, then Tower can help.
Tower will provide you with an agreement that includes 1 to 5 years subscription, and finance it over the equivalent term. If the partner is happy to fix your costs for more than one year, we can provide a multi-year subscription.
Professional services can be included or not, depending on the author.
Typically we will provide our clients with a Fixed Term Lease agreement when funding software solutions. This gives the client the ability to claim Tax Relief. If a business is profitable and pays corporation tax, your overall spend can actually be less than the total cost of paying from capex. Our tax relief document explains this in more detail.
Other Finance for my Business:
We have expertise in technology finance solutions
Tower have specialist staff that have sold software and the finance to acquire it, who understand the market and can work with your sales team to create a compelling offering to your prospects and clients.
Lease vs Buy
Did you know by choosing to lease, you could receive fantastic tax benefits?
We don't just do leasing
Discover our finance solutions to support your business growth