IDB Invest, the private sector institution of the Inter-American Development Bank (IDB) Group, provided a $10 million loan to Mareauto Ecuador, to partially finance the growth and renewal of its fleet of rental vehicles in that country.
The project will facilitate the increase of financing available for micro, small and medium enterprises (MSME) in Ecuador, by providing an innovative financial solution for the acquisition of their vehicle fleets. In addition, as they are new vehicles, they emit less gas and are more efficient. Additionally, the rental of vehicles in the short term, for tourists, generates additional currencies to the country.
The percentage of financing to Ecuadorian MSME will increase with this operation. MSME have limited access to financing, especially for equipment with high operational costs, such as vehicles. The rent allows a better administration of the cash flow, since the equipment never becomes an asset subject to depreciation costs and taxes; greater flexibility, since the company will not be limited by the ownership of an asset whose need is limited.
About IDB Invest
IDB Invest, the private sector institution of the Inter-American Development Bank (IDB) Group, is a multilateral development bank committed to supporting Latin America and the Caribbean businesses. It finances sustainable enterprises and projects to achieve financial results that maximize economic, social and environmental development for the region. With a current portfolio of $12.1 billion under management and 329 clients in 21 countries, IDB Invest works across sectors to provide innovative financial solutions and advisory services that meet the evolving demands of its clients.
Mareauto Ecuador has positioned itself as one of the leading companies in the vehicle rental market, with sustained growth, both in terms of turnover and number of units. It is the only national provider that is certified under ISO 9001: 2015. It was created in 1994 as a company specialized in the renting business and has more than 24 years of experience. He obtained the representation of AVIS International in 2009 to consolidate the presence of Mareauto regionally in Ecuador, Colombia, Peru; I previously had the Localiza franchise. In Ecuador it has a network of ten agencies nationwide with coverage in eight cities, has a team of 170 professionals nationwide and a Contact Center (24/7) to ensure the best service to its more than 800 corporate clients. Mareauto Ecuador closed 2018 with sales greater than $37 million and with a fleet of more than 2,500 vehicles.