1 2 3 4 5 ANT ICI PATED TA X RE FO RM TECHNOL OGY INCREA SING COMPET ITION MATERIAL HANDLIN G MOR E PR EVAL EN T USE OF ELE CT RON IC DO CU ME NT S EXECUTIVE PERSPECTIVE By Brian Griffin Five Reasons Equipment Financing Remains Strong for the Second Half of 2017 W ITH THE FIRST HALF OF 2017 BEHIND US , economic prognosticators are hard at work forecasting what’s in store for the rest of the year. I believe there are a number of reasons to be optimistic about the outlook for equipment fi nancing in the months ahead. ANTICIPATED TAX REFORM. Despite questions around how successful the current administration will be in low-ering the tax rate, the expectation of lower rates, reduced deductions and a simplifi ed tax code bode well for the near-term future of the economy. TECHNOLOGY. Advanced, cutting-MATERIAL HANDLING. Steady op-portunities should be available in material handling equipment. Man-ufacturers currently have backlogs of eight weeks or more for the assets. Th e driving force seems to be keep-ing fl eets modern and pursuing new prospects. edge technology in a number of asset classes is a top priority for business owners. If equipment is available that allows faster production or greater ef-fi ciency, confi dence in future business opportunities will encourage leaders to continue acquiring new assets. Despite uncertainty around the fu-ture of the Aff ordable Care Act—or its potential replacement—technolo-gy within the healthcare sector has evolved so that hospi-tals compete to off er the best and most effi cient equipment available for patient care. As a result, this area remains strong with lessors focused in the medical equipment fi nance space. most equipment lease/loan docu-ments are still signed traditionally, electronically documented transac-tions continue to grow at an expo-nential rate. Th is is infi nitely more effi cient and, when done properly, a safer process that benefi ts all parties involved and the industry as a whole. As we enter the second half of the year, the $1 trillion equipment fi nance industry remains strong. As we continue to add value to our customers and embrace new opportuni-ties, we will end 2017 in a solid position. ■ Brian Griffi n is president of the Lease Banking Group, a division that provides funding and banking services to independent leasing companies at MB Financial Bank. In this role he is responsible for directing and managing three main areas: relationship management, credit and lease administration. MORE PREVALENT USE OF ELEC-TRONIC DOCUMENTS. Whereas INCREASING COMPETITION. Given the long-term success of the industry, equipment fi nance continues to be an area fi nancial institutions devote more resources and capital to-ward. While generally good for the industry, the increased availability of funds does result in reduced pricing at all lev-els. Growing competition also creates more relaxed credit and/or structuring decisions. 44 JULY/AUGUST/SEPTEMBER 2017 EQUIPMENT LEASING & FINANCE MAGAZINE