First U.S. Vendor Channel Funder to Offer Equipment Sellers and Distributors Proven Expertise in Funding Commercial Customers in All Credit Grades
TORONTO, March 20, 2019 /CNW/ - Chesswood Group Limited ("Chesswood") (TSX: CHW) today announced further expansion of its equipment finance footprint in the U.S., with the launch of Tandem Finance Inc. ("Tandem Finance"). Tandem Finance, based in Houston, Texas, provides small and medium sized businesses of all credit profiles with financing for their equipment purchases, through equipment vendors and distributors.
"We identified a significant opportunity to become the first funder in this channel that truly underwrites, funds and administers leases and loans in all credit tiers, leveraging our more than thirty years of unique expertise in both prime and non-prime commercial lending and leasing" said Barry Shafran, Chesswood's CEO.
"Most funders in this channel find it difficult to accommodate non-prime credit applicants so that these applicants are often declined or their transactions are syndicated or sold to other funders. This results in slower processing and lower approval rates for these applicants, disappointing both the equipment vendor and the applicant" added Shafran. "We have been successfully underwriting non-prime credits for small and medium sized businesses for decades, and Tandem Finance will bring this full breadth of product expertise and service to the vendor market."
Chesswood is very pleased to also announce that Mike Sheehan has joined our team as President of Tandem Finance. Mike has more than thirty years in the equipment finance industry, and in the vendor channel specifically and brings a wealth of expertise and experience to Tandem Finance and Chesswood. Mike is working out of Tandem Finance's new offices in Houston. "We sought out a channel expert that would fit well with our culture, and Mike was a perfect match. We are thrilled to have Mike join our team and lead the way for Tandem Finance" Shafran said.
Through three wholly-owned subsidiaries in the U.S. and Canada, Chesswood Group Limited is North America's only publicly-traded commercial equipment finance company focused on small and medium-sized businesses. Our Colorado-based Pawnee Leasing Corporation, founded in 1982, finances a highly diversified portfolio of commercial equipment leases and loans through relationships with over 600 independent brokers in the U.S. In Canada, Blue Chip Leasing Corporation has been originating and servicing commercial equipment leases and loans since 1996, and today operates through a nationwide network of more than 50 independent brokers. Located in Houston, Texas, Tandem Finance Inc. provides equipment financing to small and medium sized businesses in the U.S. through the equipment vendor channel. Based in Toronto, Canada, Chesswood's shares trade on the Toronto Stock Exchange under the symbol CHW.
This press release contains forward-looking statements that involve a number of risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Many factors could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. Additional information about the risks and uncertainties of the Company's businesses and material factors or assumptions on which information contained in forward-looking statements is based is provided in its publicly filed documents, including the Company's annual information form and management's discussion and analysis of the financial condition and performance, which are available electronically through the System for Electronic Document Analysis and Retrieval at www.sedar.com.
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SOURCE Chesswood Group Limited
For further information: Barry Shafran, Chesswood Group Limited, 416-386-3099, [email protected]; Tandem's new offices are located at: Tandem Finance, 25700 I45 Suite 4084, The Woodlands, TX. 77386, 844 612 7499, [email protected]