IBM Global Financing to JumpStart IT Spending

Think you can’t benefit from President Obama’s U.S. Stimulus
Spending Bill because your customers are leasing technology and
computer equipment rather than buying it? Think again.

IBM Global Financing has introduced "JumpStart Rates." The idea is
this: IBM Global financing acquires the computer equipment and benefits
from the stimulus funds, then passes through that benefit to the end
user company that is leasing that equipment through a cut in rates.

IBM Global Financing says rates will vary depending on the credit
position of the end customer, but offered an example of potential
savings. A well-qualified customer would see a savings of 30 cents to
60 cents per thousand dollars leased. That translates to $1,500 on a
$100,000 piece of equipment over a 36-month lease, according to Joyce
Blackwell, a vice president at IBM Global Financing and senior location
executive in St. Louis.

The JumpStart rates take advantage of a particular tax break offered in
the stimulus package that allows businesses buying capital equipment to
write off all the depreciation at once that they normally would have to
take over a longer period of time.

The IBM JumpStart Rates are part of IBM Global Financing’s fair market
value leases. The new rates provide low rate financing to customers on
terms from 24 to 60 months and offer flexible options at the end of the
lease, including a purchase option at fair market value.

Alternately, customers can choose 30-, 60- or 90-day deferrals on
payments, which IBM says is an ideal approach to take for customers
operating under tight budget constraints. But reseller partners doing
the deals would still get paid right away, Blackwell points out.

The offer is available on deals as low as $5,000 in the United States,
is available for both IBM and non-IBM equipment. To participate,
companies must have at least 10 employees.

The rates are good for computer hardware only – PCs, servers, storage
and other hard assets.  But IBM Global Financing will work to come
up with a full finance solution on any deal.

The offer will run from now until Dec. 31, 2010.