A new survey has shown that nearly 50 percent of European firms
expect an increase in their use of alternative financing for
acquiring equipment this year, compared to just 18 percent in
2008.

Siemens Financial Services’ new study showed that, at 57
percent, German firms expect the use of alternative financing to
increase the most, followed by British firms at 44 percent and
French firms at 42.3 percent.

“The limited availability of loans has prompted companies to
search for other sources of financing, particularly in Germany,”
said the lessor. “The demand for tailored finance solutions rose
markedly during the second half of 2008.”

The study, which surveyed 1,500 companies across Germany, France
and Britain, also showed that nearly 50 percent of companies expect
conventional lines of credit to be reduced further, and that 45
percent anticipate further increases in lending costs.

Jason T Hesse