Extrusion Equipment Leasing: Maximizing Production Capacity with a Minimal Investment

In the current market scenario, marked by a high degree of uncertainty and unpredictability, manufacturing industries need to be able to adapt quickly in order to meet an ever-evolving demand. Today, more than ever before, the complexity of our economy requires a flexible approach to production that involves seizing new opportunities right away and cautiously managing the risks related to technological obsolescence or sizing for future requirements.

However, at this time in history, such an arrangement implies that companies need to carefully evaluate which investments can be postponed and which ones need to be made in order to continue to be competitive and, at the same time, preserve a positive cash flow.

Bausano’s extrusion equipment leasing

Bausano supports its customers, expanding its offer to include an operating lease service of extrusion lines for producing granules for subsequent molding, extrusion or calendering. The aim is to support, by limiting their investments, not only companies that have to deal with peaks in workload but also companies that want to diversify their business. This requirement is particularly relevant in the medical sector, where operators are called upon to upgrade production facilities with extrusion lines for specific processing in order to be able to process an increasingly diverse range of orders.

There are several guaranteed tax, financial and organizational advantages to extrusion equipment leasing:

Firstly, according to the IFRS 16 accounting standard, new leased extrusion lines will not be recorded in the assets of financial statements and the lease can be fully deducted. Secondly, in such a rapidly evolving context, extrusion equipment leasing is also a great choice in order to always be able to use latest-generation technology, especially when it comes to Industry 4.0. Finally, with this solution, the disposal costs of capital goods, which are often not taken into account in the planning phase or are sometimes underestimated, can be reduced.

Bausano has come up with an offer that involves paying a fixed periodic fee for renting the entire extrusion line – except for the cylinder and screws, which are custom-designed and manufactured – which will be purchased and will remain the property of the customer, even if the machine is returned. Also included in the contract is a visit by one of Bausano’s specialized technicians who will assist the customer in starting up the plant.
“We are at an unprecedented time in history, which is why we want to be closer to our customers by offering alternative solutions that do not weigh down their lines of credit,” says Clemente Bausano, Vice President.

He continues, “We consider an operating lease to be a valuable means of encouraging companies that, for various reasons, have had to postpone investments for purchasing an entire extrusion line, thereby offering them benefits in terms of sustainability and financial stability.” He then concludes, “Being able to rely on a certain degree of flexibility in the machine fleet will make it possible to expand the range of products derived from the extrusion of granules starting from virgin or recycled plastics.”