Volatility, Uncertainty, Complexityand Ambiguity- in the age of digitalization, companies and executives face complex challenges in the VUCA world. Companies need financing solutions that reflect reality. This is the only way to stay competitive in complex markets.
The cap-on pay per use solution adapts to the user's reality. Shared economy enables the user to use assets as extensively as needed - with lower barriers to entry. This is because assets are not purchased, only the actual use is billed.
Asset as a Service solutions give companies more flexibility for less risk. This creates financial freedom for investments in the future.
With the shift of capital expenditure Capex to operating expenditure Opex, the user gains new options for investments in the future. Moreover, the capital cost optimization and cash flow stability create framework conditions for higher complexity in production processes. Off-balance sheet accounting is the lever for better KPIs and ratings.
The user benefits from the transfer of operational risk to the full-service partners. The extended service offering increases output productivity and frees up capacity for the user's core competencies. The cap-on platform supports the use of real-time asset data and algorithms for predictive maintenance and intelligent capacity management.
The asset's flexibility of use has an analogous effect on the user's liquidity and cost structure. With production according to variable demand, it is possible to react to fluctuations at short notice, while preserving liquidity: less demand, less use, less payment. Via the Asset as a Service model, the user receives guaranteed functionality of the asset. Monitoring and maintenance are controlled via the cap-on platform. In the process, data-driven equipment availability enables efficient and resource-conserving production as well as more sustainable business.
"As a plant manufacturer and at the same time operator of production facilities for body construction, we can benefit as a company ourselves from new capital-extensive financing models. At the same time, we want to expand our business model as a plant manufacturer in the long term to include new digital services such as pay-per-use or equipment-as-a-service. To this end, we bring the knowledge of complex machine and plant control and cap-on the know-how for new financing models and digital billing systems."
The user is provided with the asset and the services and pays on the basis of use or output. Depending on the accounting preference, the user's risk positioning, payment structure and contractual situation change.
In the cap-on model, ownership of the asset can be transferred to the user, producer or financing partner, depending on the contract.
cap-on focuses primarily on the producing sector. However, depending on data connectivity, residual value development, recyclability, almost all assets are suitable for pay per use.
The usage data forms the basis for billing in the pay per use model. Depending on the service level, further data is required, which must be released by the asset user. Data from the assets can be transferred securely and encrypted to the cap-on cloud via the specially developed IoT gateway.