Don’t Let Cash Flow Delay Your Data Center

Don’t Let Cash Flow Delay Your Data Center
Don’t Let Cash Flow Delay Your Data Center

How Strategic Financing Can Support Projects In Latin America

By Adam Brown, Senior Sales Manager, Cat Financial, and Juan Blando, Business Accounts Manager, Cat Financial | Posted: July, 2025 

Did you know there’s a way to get the gensets you need, even if securing capex budget is a challenge?

If you’re designing or building a data center in Latin America, you already know the region’s on the rise. In fact, the latest reports estimate that investment is on track to double — from $7.16 billion in 2024 to more than $14 billion by 2030.*

This sort of growth can create capital challenges, as the need for equipment, labor and land soar. For many of our data center operator customers, they’re not asking “how do we build it?” but rather “how do we pay for it all?”

The answer? Smart financing. Here’s how it can help you move faster, manage risk and keep your cash flow healthy from day one.

You don’t have to pay for power equipment all at once.

Big investments up front are a reality of data center development. But if you are trying to avoid tying up capital too soon, that’s where financing comes can help. When used early and intentionally, financing can actually give you more control.

At Cat Financial, we recently worked on a project in Brazil where our data center customer purchased a fleet of Cat® generators even though the site wasn’t finished. They needed to lock in long-lead equipment early but didn’t want to tie up cash before construction even started.

They used what’s called an equipment inventory line of credit, and it gave them options. They could secure the gensets, store them safely at their local Cat dealer and pay for them over time. That meant fewer delays, better cash flow and one less thing to worry about as the site came together.

What exactly is inventory financing?

It’s a short-term financing solution designed for exactly the kind of scenario described above: when you need to buy power equipment before your facility is ready for it.

Here’s how it works:

  • You finance new Cat generators up to 100% of the cost.
  • The equipment is stored at a Cat dealer, OEM site or other approved location.
  • You make repayment later - typically once the gensets are deployed or moved into service.

Need more options? We’ve got them.

Inventory lines of credit are a great tool. But depending on the scope of your project, you may need more.

We offer several types of financing for data center customers in Latin America such as direct financing for standby Cat generators as well as onsite prime power plants using Cat gensets.

All our options are built around flexible terms, straightforward documentation and local support. Since we’re part of Caterpillar, we speak the same language as your engineers and project teams. No need to explain what a generator set is or why you need it delivered early. We get it - and we help you plan for it.

Financing may not be the first item on your list - but it should be close.

No matter your priority - staying on schedule, spreading out costs or locking in long-lead equipment - smart financing can give you more control over how and when you spend capital.

Not sure what you need just yet? That’s okay. We’re happy to talk through your plans, answer your questions and help you explore your options. Connect with our experts to figure out what makes the most sense for your business.

*Source: Arizton Advisory & Intelligence, “Latin America Data Center Market Size, Share & Trends Analysis,” https://www.arizton.com/market-reports/latin-america-data-center-market-analysis, April 2025

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Adam Brown

Senior Sales Manager, Cat Financial

Contributor

Adam Brown has been with Caterpillar Financial Services Corporation for nearly 30 years, currently serving as the Global Sales Manager covering Energy & Transportation since February 2019. Over his extensive career, Adam has held various key positions including International Credit Manager, Sales Manager, and 6 Sigma Black Belt, showcasing his versatility and leadership in the financial services sector. Based in Nashville, Tennessee, Adam's experience spans across credit, sales, and project management. 

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Juan Blando

Business Accounts Manager, Cat Financial

Contributor

Juan Blando is a Certified Public Accountant (CPA) from Mexico City. In 1996, he was hired by Grupo Financiero Caterpillar Mexico as a Territory Manager for the center-south region of Mexico. He went on to handle Identity Service Engine (ISE) operations for Central America, then Panama, Colombia, Venezuela, and Ecuador, where he was involved in managing equipment financing for the Canal de Panama expansion. In 2014, Juan moved to Monterrey, Mexico to oversee the LATAM territory as an International Accounts Manager, and, since 2019, he has also supported the CMF part of the NRLA territory.

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