Financing Purchases From AltTech

Alternative Technology understands the significance of having broad yet flexible financing options available to help you grow your business. To that end, AltTech offers a suite of financing options, tools and terms to help its partners take their business to the next level.

We work with our partners to pursue the right financing option(s) that best accommodate your business model or specific transaction.

Our Commitment to You

  • Provide quick response to your finance needs. Our goal is to make a credit recommendation the same business day.
  • Establish trust and effective communication. We keep our word and we speak clearly. Our standard reseller agreement is a good example of this commitment. The agreement contains standard industry language, but unlike most distributors, AltTech does not refer you to an invoice, catalog, or separate document.
  • Work towards building a long-term relationship. Once a credit line is established the single most important factor in keeping it open and increasing its size is reliable and timely payment.
  • Create opportunities that are mutually profitable. AltTech provides financing in order to help grow your business. As in any business arrangement there must be the appropriate sharing of risk and reward.

Financing Options

Arrow Partner Financing

As a subsidiary of Arrow ECS, Alternative Technology now offers a comprehensive Financing program to end user customers on behalf of our reseller partners. Alternative Technology and Arrow ECS understands that many of our resellers lack the size and scope to offer financing to their end users. We also understand that many of your end users are looking for a total solution, including creative payment options to help with cash flow. Because of this, Arrow Partner Financing offers team of professionals to work with you to provide attractive financing options tailored to your end userÕs requirements. In doing so, the Arrow Partner Financing team can help you close deals that might otherwise be delayed, downsized or cancelled for various financial reasons. The Partner Financing Team offers total solution financing for all brands of hardware, software, & services. And the best news is that you earn feeÕs based on the dollar amount financed! Extra margins!

Additional details about the Arrow Partner Financing Program are available here.

For more information, please contact your Alternative Technology Account Manager or Partner Financing Consultant:

Mark Gorgal/US West & Toronto: mgorgal@arrow.com or 310-643-1715

Geoff Brown/US Northeast: gbrown@arrow.com or 317-735-0680

Jeff Borgognoni/US Southeast & Quebec: jborgognoni@arrow.com or 770-814-4838

Letter of Credit

A letter of credit (LC) is an instrument of finance, initiated by the reseller through a financial institution. A letter of credit is a “promise to pay” from your bank when mutually agreed upon conditions are met. There are two types of letters of credit you can use:

Sight Letters of Credit

A Sight Letter of credit enables AltTech to receive payment directly from your bank. You then repay your bank according to the terms agreed upon when the LC was issued.

Standby Letters of Credit

A Standby Letter of Credit enables AltTech to receive payment directly from your bank, but only in the event of a default. You then repay your bank according to the terms agreed upon when the LC was issued.

*Please note that any LC must be Irrevocable.

Contact Credit at 800.544.7674 to discuss Letters of Credit
To issue a LC to AltTech ask your bank to send their standard form on their letterhead to AltTech at the Credit Address provided above.

Cash on Delivery

Cashier’s checks are accepted for COD purchases. Company checks are not accepted for COD purchases except from established customers.

Credit Card

Visa, MasterCard, American Express and Discover are accepted. There is no additional charge for a credit card payment at the time of purchase.

End User Billing

For selected accounts, AltTech will perform all billing and collection activities for a reseller. There are stringent requirements for this type of arrangement, but for the reseller who desires to offload back office functions and focus on sales and service, AltTech will gladly perform this valuable service.

Please complete and return the following forms to Alternative Technology Accounting department.
 Notice of Assignment Letter  (pdf)
 Security Agreement  (pdf)

Floor Plans

AltTech is an authorized distributor for GE Commercial Distribution Finance Corporation (GE CDF) IBM Global Finance, and Textron. AltTech is able to authorize several different payment options under these plans.

Joint Purchase Order or Assignment of Purchase

With the proper documentation, AltTech will accept a PO from your customer issued jointly to AltTech and you. AltTech collects the funds from your customer and remits your portion of the payment to you. AltTech’s decision to accept a joint purchase order is based on the quality of the customer’s credit. This arrangement allows the reseller to finance transactions too large for the reseller’s credit line. The assignment program is:

  • Outside of the existing credit line.
  • Can be used for one time or repeat transactions.
  • A simple and quick means to increase credit availability during large volume cycles or for unusually large opportunities.
Lease

AltTech can work with any qualified leasing company.

If you wish to use another leasing company please contact Credit at 800.544.7674 or here

Open Credit Terms

AltTech provides open credit terms ranging in size from four to eight figures. Credit terms are established after AltTech considers the following factors:

  • The completed credit application.
  • The financial strength of the applicant as shown on the financial statements for the past two years and year-to-date through the last fiscal quarter.
  • Bank and trade line references.
  • A Dun & Bradstreet Report.
  • Reports, if available, from other credit organizations.
  • Business trends and the history of the applicant.

The open credit terms provided fall into two categories, secured and unsecured.

Unsecured trade accounts are provided to customers with small to medium credit lines that pay in a consistent and predictable manner.

Secured trade lines are provided to new customers, established customers with large lines, start-ups and businesses that are not as financially strong or have an inconsistent pay history.

The security required by AltTech takes one or more of the following forms:

  • A Uniform Commercial Code (UCC1) filing.
    • AltTech’s standard terms and conditions grant AltTech the right to file a UCC1 covering accounts receivable and inventory.
  • A personal guarantee.
    • Personal guarantees are used when the company applying for credit cannot demonstrate the strength or track record to support the desired credit limit.
    • A personal guarantee requires the owner(s) of a company to pledge personal assets as security for the credit line.
    • To grant a personal guarantee AltTech needs an authorization to review personal credit, the most recent individual tax return, and a personal financial statement.
    • Personal guarantees are required for most LLCs and Sub S corps.
  • An escrowed cash deposit securing the open credit line.
  • Cross Corporate Guaranty.
    • A Cross Corporate Guaranty is utilized where the reseller is a subsidiary or otherwise related to another company. Contact Alternative Technology for more information.
Premayment or Funds on Deposit

You may prepay any order of any size. Any customer may leave a deposit on account. This deposit is refundable, at your request, any time the account has a zero balance.

SURF Program

The SURF (Simplified User-friendly Reseller Financing) Program from GE CDF provides credit lines from $50,000 to $250,000 and is an excellent program for a start-up or smaller reseller facing credit constraints.

SURF provides smaller resellers the power to purchase products quickly and easily. SURF also increases resellers' buying power, eliminates extra paperwork, saves time and helps grow your business.

Wire Transfer

Wire transfer is an excellent option for large orders exceeding your credit limit or for prepay orders. Be sure to provide the AltTech Credit department with the wire transaction number to ensure payment is processed in a timely manner.