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Accelerate digital transformation with flexible payment solutions


8 min read


Cost, cash flow and liquidity management have long been on the priority list of IT decision makers, but with the recent unprecedented pace of change and disruption, cost control strategies have been pushed to the forefront. A recent IBM® Institute for Business Value (PDF, 333 KB) report highlights how organizations will need cost strategies that help balance value transformation with cash preservation, as cost control is a top priority and projected to grow significantly by 2022.1

Cost management strategies are critical as enterprises are accelerating their move to hybrid cloud and AI to enable digital transformation initiatives and meet the needs for improved speed, flexibility, resiliency and agility. As organizations look to strategic IT investments, they’re also facing budget and capital constraints, including the technical debt of old IT infrastructure that can’t support today’s digital enterprise business requirements.

When faced with the challenges of digital transformation and budget constraints, businesses are relying on innovative payment models — such as payment plans, leasing, and flexible payment options — as an important way to support their organization’s digital transformation and deliver the operational flexibility and budget transparency that inform IT decisions and provide customers with a choice to use OpEx models instead of CapEx to accelerate their transformations.”2

Figure 1. Cost control is still a top priority.

Cost management
Cash flow/liquidity management
Enterprise efficiency
Business continuity
Two years ago (2018)
In two years (2022)
Source: IBM Executive pulse Q1C; n=3450, fielded April 27 -June 9, 2020.
Question: To what extent is your organization prioritizing the following business competencies?

Investment strategies

Enterprises are increasingly evaluating IT funding strategies and realizing the benefits of flexible payment plans, such as leasing and loans for cost management and capital preservation. As organizations look for innovative IT investment strategies, IBM Global Financing offers a portfolio of flexible terms and funding options. Payment solutions can help start projects sooner, enhance business results and align infrastructure investments with workload needs to provide increased flexibility and agility.

Benefits of flexible payment solutions

Accelerate projects

To avoid budget-related delays as new technology and market opportunities emerge, payment solutions, such as loans, leases or deferred payments, may help to source funding faster and help start projects sooner. Based on research from FinListics Solutions, using a payment solution can help speed up project approval by up to three months due to the lower investment required upfront. Additionally, accelerating project approval can result in a significant increase in a project’s cash flow.3

Enhance business results

Organizations that use payment solutions may realize faster return on investment (ROI), improved cash flow and reduced total cost of ownership (TCO). Aligning payments to a project’s anticipated benefits — typically several months into a project implementation — can potentially enhance ROI. FinListics Solutions found that payment solutions can help increase the project’s net present value (NPV), since payments are pushed further out. “Projects tend to realize a minimum of 1% increase in value and upwards of 5% improvement in the NPV of the project.”3 See Figure 2.

A payment solution, such as IBM Project Financing™, can be customized and include services, software and IT infrastructure.

As companies evaluate acquiring servers, storage solutions and software to build a more efficient and resilient IT infrastructure, leasing can offer lower costs and a minimal impact on capital budgets when compared to purchase. The FinListics Solutions report states that “The financial benefits of leasing can be up to a 14% reduction in the TCO, resulting in increased cash flow.” 3

Boost agility and flexibility

Flexible payment solutions can help improve agility and flexibility by aligning IT investments to workload needs. Using a payment solution may help minimize cash outlays and provide the ability to fund strategic initiatives. Through leasing, organizations may be able to conserve cash, get predictable monthly payments and improve operational flexibility with upgrades during a lease term.

For example, leasing provides a predictable, low-risk approach to building IT infrastructure with minimal impact on capital budgets, while helping to prevent technological obsolescence.

Furthermore, additional capacity or features can be added during the middle of the lease, often with little or no change in monthly payments. At the end of the lease term, businesses can renew or extend the lease, purchase the equipment or return it.

Funding strategic investments in hybrid cloud and AI can support your digital transformation initiatives and help meet business demands for speed, flexibility, resiliency and agility. Explore how IBM can help with flexible payment options for IBM hybrid cloud, IBM Services®, IBM and Red Hat® software, IBM servers and storage solutions and IBM Certified Pre-Owned.

1 Cost and value transformation in the era of COVID-19 (PDF, 336 KB), IBM Institute for Business Value, September 2020.


3 min read

IBM hybrid cloud

IBM hybrid cloud and Red Hat payment solutions can help you unlock the full potential of cloud

The adoption of cloud has been fundamental in developing new, digitally driven business models. However, an IBM Institute for Business Value report found “56% of executives stated that managing and optimizing cloud costs holds enterprises back from putting core applications on the cloud.”4

Accelerate your hybrid cloud capabilities with payment solutions

IBM can finance your IBM hybrid cloud solution — including software licenses, subscriptions, hardware and services — which can help address cash flow and cost management challenges. Payment plans can help you accelerate the deployment of IBM Cloud® and Red Hat solutions, which bring together market-leading security, enterprise scalability and open innovation for increased agility and continuity.

Explore how flexible payment plans for your hybrid cloud solutions can help you:

Embark on your journey to cloud sooner with leasing and payment deferrals.
Improve cash flow and enhance ROI as you capture the value of cloud and AI for your business.
Align your infrastructure investments with workload needs by using flexible payment solutions to explore the next-generation hybrid cloud platform.

Move more to the cloud with customized payment plans for IBM hybrid cloud and Red Hat solutions.

Learn more: ibm.com/financing

4 Next-generation hybrid cloud powers next-generation business (PDF, 184 KB), IBM Institute for Business Value, August 2019.
Female computer scientist in a server room

Transformation story

Adopting IBM Cloud has allowed BP3 to deliver customer transformational propositions that demonstrate rapid time to value. To help clients spread out or align payments with their cloud investments, BP3 often offers IBM Global Financing payment solutions.

Our customers love IBM Global Financing, for example, if they have run out of budget for the year, they can postpone the spend until the following year, or spread the cost over a longer period.”
– Krista White
VP Marketing, BP3


2 min read

IBM Services

IBM Services can accelerate your journey to hybrid cloud and AI with flexible payment solutions

IBM Services works with enterprises looking to scale innovation and establish a security-rich and reliable infrastructure that’s ready for AI and hybrid cloud.

According to the IBM Institute for Business Value, 48% of surveyed CIOs expect the level of investment in hybrid cloud to grow significantly in the next two to three years.5 Clients in various industries have turned to IBM Global Financing to fund IT solutions that included services, IT infrastructure, software and business process implementation.

Explore how flexible payment plans for your IBM Services engagement can help.

Payment deferrals help preserve cash and provide an alternate source of liquidity.
Using predictable payment plans, with payments spread over time, helps preserve funds and optimize cash flow.
Flexible payment solutions can help you align project payments with anticipated benefits and maximize your return on investment.

Move forward with a payment plan for IBM Services to help you transform your business and achieve financial flexibility.

Learn more: ibm.com/financing

5 C-suite executives are ready to double-down on cloud computing, IBM Institute for Business Value, May 2019.
Black executive working at computer

Transformation story

City Furniture’s CIO and CFO shares his perspective on how the flexibility of IBM Global Financing helped the company remain competitive in an industry where mobile technology is transforming retail.

As CFO, I appreciate the value of IBM Global Financing to make change happen quickly and simply, so we remain competitive.”
– Steve Wilder
CIO and CFO, City Furniture


3 min read

IBM and Red Hat software

IBM and Red Hat software payment solutions can help you accelerate your application modernization projects

Digital transformation is largely driven by modernizing and managing applications to fuel the growth of AI solutions and improve customer experiences. Reaching the right decision about how to strategically fund solutions is critical to making transformational change timely, successful and affordable.

Tackle the challenge of funding your software projects

IBM offers flexible payment plans for software licenses, subscriptions, upgrades and renewals, including subscription and support, for platforms, such as IBM Cloud, IBM Cloud Pak® and Red Hat OpenShift® solutions to help accelerate projects. IBM payment plans are an important component in speeding up budget approvals and freeing up cash. They also help defer potential cost increases when upgrading or renewing since they reduce one-time cash outlays and spread costs over time with monthly or quarterly payments.

Explore the benefits of customized payment plans to help you:

Renew or upgrade subscriptions with payment plans.
Stretch budgets and optimize cash flow.
Align payments with anticipated benefits and enhance ROI.

Help reduce your upfront payments and optimize cash flow with payment options for IBM software.

Learn more: ibm.com/financing

Man standing in front of a whiteboard in an office

Transformation story

To provide its clients with state-of-the-art analytics tools, the Italian software company SPS Srl must continuously invest in innovation. But to do so, it needed to free up capital to fund research and development projects. SPS Srl engaged with IBM Global Financing for flexible payment plans to help manage its software license purchases and payment cycles so it could improve its cash flow. The financing solution allows SPS Srl to purchase IBM SPSS® software licenses at the start of a client project and spread the cost over the course of 12 months.

Working with IBM Global Financing helps us obtain great payment terms for our software acquisitions—often much better than the terms that traditional financial institutions would offer.”
– Stefano da Col
Sales Director, SPS Srl


3 min read

IBM servers and storage solutions

IBM servers and storage payment solutions may help stretch your budget

Security and reliability are at the core of a hybrid cloud world. IBM server and storage solutions are built for both. But as businesses are focusing on transforming to be future-ready, budget prioritization and lengthy approval processes can create obstacles to timing IT acquisitions and initiatives.

Leases can help speed approvals and accelerate project schedules

Maintaining an up-to-date IT infrastructure is an important part of the IT strategy and a continuous process in many organizations. IBM leasing can help eliminate budget obstacles for on-premises IT or hybrid cloud solutions with payments spread over time and lower upfront cash outlays. Leasing solutions help streamline processes and keep IT initiatives moving forward to meet business requirements.

Other advantages include:

Residual value leases help lower TCO.
Added flexibility to meet specific needs and maintain competitiveness.
Protection against technology obsolescence.

You can expand capacity, performance and functionality during the lease term as your business needs grow and choose from several upgrade options at the end of your lease term.

Help reduce your upfront payments and optimize cash flow with payment options for IBM servers and storage solutions.

Learn more: ibm.com/financing

Black woman on a video conference

Transformation story

Systems integrator and cloud services provider, D.FI, was able to optimize cash management and avoid the need for large upfront payments with IBM payment plans. To acquire the IBM Power® Systems and storage solutions needed to build out its new SAP HANA offering, D.FI opted for a multiyear lease. This multiyear lease enabled them to optimize cash management, avoid the need for large upfront payments, and balance cash inflows and outflows by bringing supplier payments inline with the growth of the new services.

CIOs seek to become the interface between technology and the business. As IT solutions become more complex, they find it harder to deliver the desired performance, availability and flexibility within the limited budgets available to them.”
– Jérôme Marchal
Offering and Solution Leader, D.FI


2 min read

IBM Certified Pre-Owned

IBM Certified Pre-Owned servers, storage, parts and features can be configured to meet your business needs

Whether your organization needs a technology refresh, data center expansion, backup systems or to lower your TCO, IBM Certified Pre-Owned can help.

Quickly respond to business demands
Select from a large inventory of IBM Power Systems, IBM Z®, IBM storage solutions, upgrades, expansion units, parts and features —including IBM withdrawn technology that can be configured to support your business needs.
Control budgets and costs
IBM Certified Pre-Owned can help IT departments control their budgets and costs and help lower TCO. Payment plans are available to help preserve cash flow.
Built for trust and reliability
IBM Certified Pre-Owned servers and storage are remanufactured to original IBM engineering specifications using only parts specified in an authentic IBM bill of materials. Each system is also eligible for IBM maintenance.

Explore the inventory of IBM refurbished servers, storage, parts and features.

Learn more: ibm.com/preowned

Woman on tablet in a server room

Transformation story

To provide its clients with new features, SOFTWARE ENGINEERING GmbH deployed an IBM Certified Pre-Owned mainframe that offers ample capacity for smooth and flexible product development at the optimal price point. The deployment resulted in a cost-efficient and reliable solution with remanufactured hardware backed by IBM certification.

We know the market and quickly realized that IBM Global Asset Recovery Services can deliver the solution we need, when we need it, at a reasonable price.”
– Karl Henn
Senior Systems Programmer, SOFTWARE ENGINEERING GmbH


4 min read

IBM Global Financing

Watch the interview with Bill Smith, General Manager, IBM Global Financing, as he discusses the benefits of IBM payment solutions for clients and IBM Business Partners.

Why IBM?

IBM Global Financing has 40 years of experience in structuring and administering complex payment solutions. With USD 30 billion in assets, it is one of the largest captive IT financiers and serves clients in over 40 countries, spanning more than 20 industries.

IBM Global Financing provides flexible payment solutions — including leases, loans and deferred payments — for IBM and Red Hat software, services and IT infrastructure. In addition, IBM Global Financing recycles and refurbishes off-lease IBM equipment and sells IBM Certified Pre-Owned servers, storage, parts and features at attractive prices.

Flexible payment plans support clients and IBM Business Partners and may help you start projects sooner, enhance business results and gain increased flexibility and agility.

Learn more: ibm.com/financing