An illustrative calculation from the automotive industry for pay-per-use models
Strong growth is a challenge, especially in the automotive industry. Liquidity is important, but the ratio of costs to revenue in the billing period (e.g. a quarter) is even more crucial. To maintain this ratio at a constant level, CHG-MERIDIAN offers pay-per-use models for capital assets such as die-cutting machines, CNC machining centers, injection molding machines, presses, and other production equipment. Under these models, customers pay for their equipment based on the number of units produced or hours of machine operation, i.e. pay-per-part or pay-by-the-hour.
If you are a manufacturer in the automotive, aviation or engineering industry and are looking to pay for your equipment on the basis of units produced or hours operated, please contact us.
I am looking forward to talking about pay-per-use models with you.