“When financing a project, we don’t look just at the naked figures”
This year the TRUMPF bank opened its doors for business. Managing Director Hans-Joachim Dörr explains why TRUMPF founded a universal bank and talks about its advantages for customers.
TRUMPF certainly knows its way around production technology. But what is going to make the company a good bank?
One factor is the experience we have already accumulated as a financial services company. Ever since 2001, TRUMPF has offered financing for its sales, at first with its own leasing company. Since October 2012, this company has been known as TRUMPF Financial Services GmbH. In 2007 it was joined by a second leasing company, the TRUMPF Finance Schweiz, which is active all around the world. In many countries, our customers already profit from financing models offered by TRUMPF itself or by cooperating partners such as Société Générale in France or Deutsche Leasing in Germany. About 25 percent of machine sales were made with financing arranged by TRUMPF. At present, customers in 22 nations can make use of our financing models and in eleven countries there are cooperating partners to handle this.
Then why was a bank formed? Wasn’t the range of services offered by the TRUMPF leasing companies sufficient?
That range is simply not comparable to that of a universal bank. Now that we are licensed as a full-service or universal bank, we can wrap up entirely new packages to support sales and new start-ups. And as a universal bank we have the “European Passport”, letting us offer services beyond Germany’s borders without any additional accreditation procedures. You see that in financial matters, too, our motto is: The customer’s location is TRUMPF’s location. As a bank, we can be more independent in our activities. We can acquire capital at better terms, we can issue loans, forward support monies to our customers, and better monitor and support customers when they start up new companies.
We have solutions to customer problems that go far beyond the machines themselves
What is special about the TRUMPF Bank?
A financial institution owned by a mechanical engineering company is a global first. Similar arrangements are known only in the automotive industry. We can score points with our knowledge of the industries that our divisions serve. We have solutions to customer problems that go far beyond the machines themselves. Everyone profits from this. When assessing loan applications, we analyze not just the naked figures, balance sheets and business plans, but instead understand our customers’ business from front to back.
What services do you offer TRUMPF customers?
One example is operating leasing — short- and medium-term leases for machines. Our customers have the option to return the leased products. TRUMPF bears the risk of marketing when the machine is replaced and returned. Our customers improve their equity ratios, since the machinery need not be posted in the balance sheets. We offer loans, as well. This is helpful especially when starting up a new company, where a part of the investment is to be financed with subsidies.
Will customers also be able to deposit their own funds as private individuals at TRUMPF Bank?
This summer we will be opening savings accounts and fixed-term deposit accounts for TRUMPF employees. These accounts can be administered through online banking services. We are planning, at a later date, to offer these options to TRUMPF customers, as well. Maximum confidentiality goes without saying, as are good terms. In addition, accepting deposits makes us less dependent on the volatile financial markets.
Contact us: MastersofSheetMetal@trumpf.com