As the worldwide recession continues to squeeze manufacturers — and in some cases slow their technology spending — enterprise software providers have begun to roll out low- or no-cost financing deals meant to entice customers to open their purse strings.
But not all companies can expect to benefit from the low-cost financing deals, experts warn. That’s because, in many cases, enterprise software customers will need impeccable credit histories to qualify.
Among technology vendors offering limited-time, lower-cost financing deals are SAP, Microsoft, Infor, Dell Inc., and Hewlett-Packard Co. Recently, for example, Microsoft began offering 0% financing to first-time buyers of its enterprise applications, including Dynamics AX, GP, SL, and CRM. Microsoft said the deal, offered through financing partners, is available through March 20, 2009, on software and first-year enhancement purchases ranging from $20,000 to $1 million. Microsoft’s 0% financing deals cover a period of up to 36 months.
Throughout the fourth quarter of 2008, SAP has offered 0% financing to its customers as part what the company called its Best-Run Now initiative. The deal, also made available through finance partners, offered 0% financing to buyers of SAP software and services over a 12-month period. SAP also incented reseller partners to offer low-cost financing options, said Jeff Stiles, senior vice president for SAP’s small and medium enterprise marketing.