The German Desk supports Indonesian buyer of German or generally European equipment which are in need for financing solutions. This financing comes in form of a bank loan or via leasing from one of the finance companies within the Panin Group. Specifically for leasing solutions, the support of the German Desk is relevant since the market value of used specialized machinery is close to zero. Finance companies are very reluctant to finance such often tailor made machinery which is normally the only collateral they have to secure the loan.
The German Desk bridges here the information and communication gap between the manufacturer, dealer and agent about his product quality and his ongoing support towards the Finance Company. It is an advantage when the manufacturer, dealer or agent is long term in the market, provides training and spare parts as well as has an existing population of machinery in the country. These factors help to convince the finance company to finance even specialized equipment. Further necessary is to provide sufficiently good audited financials of the borrower for the last 3 years to evidence not making losses.
Leasing and financing can be arranged in IDR, US$ or Japanese Yen. Tenor is typically 3-5 years with fixed interest rates. There is no minimum or maximum amount - it all depends on the credit standing of the borrower.