June 3, 2014
GE Tuesday Training
GECA- GE Capital Americas: * Many business segments within this vertical. Leasing transactions that are smaller in monetary size; 25 million is max deal. * Healthcare, financial services, financing equipment, venture capital deals, fleet services, equity financing. * Equipment Financing: Loans, Leasing, Sale Leasebacks, Equipment Management and Remarketing * Vendor Financing: solutions to enhance manufactures management position. * Franchise Financing: Financing new locations, acquisitions, reimaging, debt restructuring, refinancing. Franchise restaurants, chain restaurants and limited service hotels. * Fleet Services: rental car companies where they want to lease fleets of vehicles; 400-500 cars. Vehicle financing through remarketing (max return on total fleet investment). * Inventory Financing: Inventory financing through wholesaler and dealer side; 2-sided position by financing creation of vehicle by wholesaler and purchase of vehicle by the dealer who will then sell to public. * Rail Services: Rail cars based out of Chicago; easy business model to make money (leases that are longer in time). Sale Leaseback leasing option (take the fleet that were sold back and get the most revenue can by auctioning; an additional revenue generating service at GE). * CRE: mortgages
GECB- GE Capital Bank: * How fund different deals; depends on collateral and the type of transaction (offers alternative services instead of shorter in duration and cheaper assets leasing). * Cash Flow and Asset based loans for funding; other leasing and lending transactions that make the bank diversified from other transactions. * Lose flexibility when funding through the bank; bank will exploit how the financing receivable is cheaper then GECA.
EFS- Energy Financing Services: * Private equity shop; debt funding