Terex, a global manufacturer of material processing machinery and aerial work platforms has formed a partnership with Eqaro Guarantees, a financial guarantee company to provide ‘Franna Assure,’ a yearly Residual Value Guarantee (RVG) for the range of cranes under the Franna brand.
Under the program, Franna Assure will provide surety for buyback value of up to 48 percent at the end of five-year contract terms to its customers in India.
The Franna Assure will provide buyback assurance for crane owners in India, protecting them from losses incurred due to low resale values, resulting in further reduced balance sheet risks. Under the program, buyers have the added advantage of focusing on core competencies by securing services from authorised Franna dealers. The buyback assurance enables customers to upgrade from preceding models and range after completion of the tenure via utilising the buy-back value for the purpose of purchasing a new model with greater capacity.
Vikash Khandelwal, CEO, Eqaro Guarantees said, “We are excited about our collaboration with Terex India for this first in India initiative. Residual value guarantees have been a long-standing need of the construction equipment industry. Franna Assure will provide guarantee on the Franna range of cranes for their future value and indemnify the owner against loss, if the sale of a crane is less than the residual value specified in the guarantee. We believe that Franna Assure will help add to the buyer confidence by providing certainty around the residual value and further improve market penetration.”
Jaideep Shekhar, MD, Terex India said, “This collaboration will help in enhancing the experience and satisfaction of our customers in India. Franna Assure will provide customers an opportunity to upgrade their fleets within 5 years, allowing them access to the latest technology and enabling them to achieve higher capacity with assured resale value for their Franna cranes, keeping their business ahead in the competition.”
Under the program, Franna Assure will provide customers buyback assurance of up to 48 percent for their Franna cranes within 3, 4 and 5 years of contract terms.