Tech Data Capital debuts in Asia Pacific with new financing options for IT partners
Tech Data, a TD SYNNEX Company, is launching its financial services arm, Tech Data Capital, in Singapore, Australia, and India. This expansion introduces flexible financing solutions powered by select financial institutions, designed exclusively for its partners and end-customers. Following successful launches in North America and Europe, Tech Data’s latest move into the Asia Pacific region underscores its commitment to leveraging the company’s strengths to support the dynamic IT channel ecosystem.
In an environment marked by rapid technological advancements and evolving business challenges, Tech Data Capital aims to address the critical financial needs of the IT sector. According to the Direction of Technology 2023 Report for Asia Pacific & Japan (APJ), a significant 59% of channel partners in the region identified credit and financial scalability as major hurdles. Tech Data’s response involves offering innovative payment solutions that enhance purchasing power, profitability, and the potential for accelerated growth within the IT community.
Matt Shifrin, Chief Financial Officer at Tech Data APJ, highlighted the strategic importance of this initiative. “The APJ technology market is vibrant and full of opportunities, yet it faces considerable challenges in terms of credit and financial scalability. Tech Data Capital’s flexible payment solutions, developed in collaboration with our financial partners, are designed to empower our partners and customers to significantly expand their purchasing capabilities, thereby facilitating rapid business expansion and contributing to the vitality of the overall IT ecosystem.”
Jaideep Malhotra, President of TD SYNNEX in Asia Pacific & Japan, further emphasized the strategic value of Tech Data Capital. “Our commitment at Tech Data is to enhance the agility of our partners’ business models and equip them with the tools they need for success today and in the future. Robust financing solutions are crucial for partners aiming to capitalize on growth opportunities across the APJ region. Tech Data Capital is a key instrument in our toolkit that will boost their financial capacity to adapt to rapidly changing business models and evolving customer demands.”
Tech Data Capital, in partnership with selected financial institutions, aims to streamline the financing process. It allows integration of payment solutions into product sales, funded entirely upfront, thus mitigating credit risk for partners while delivering enhanced value to customers. Partners benefit from access to dedicated financial teams who provide expertise, comprehensive training, and support integrated sales and marketing efforts. Available financing options include installment payments and deferred payments, with flexible terms ranging from 12 to 60 months.
The launch dates for these new services are set for 6 May 2024 in Singapore, and 16 May 2024 in Australia, with the launch date for India to be announced later.
The introduction of Tech Data Capital in these key Asian markets is a strategic move that addresses a critical gap in financial services within the IT channel. By providing flexible and tailored financial solutions, Tech Data is not only facilitating easier access to necessary technologies but is also playing a pivotal role in enabling the growth and scalability of IT businesses in the region. This approach is likely to strengthen the resilience and competitiveness of partners and customers alike in the face of rapid market changes.