Wolters Kluwer, a global leader in professional information, software solutions and services, announced new first quarter analysis from its Equipment Lease Finance Digital Transformation Index, a key resource that tracks the rate at which equipment lessors and service providers are seeing growth in the evolution from paper-based finance back-office processes to digital.

According to the Index, the rate of adoption for digital contracting in Q1 decreased 4.5% compared to the fourth quarter of 2024. The Index increased 7.3% compared to Q1 2024, and it is also important to note that the moving, four-year trend continues to show digital adoption growth at 25.5% dating back to Q1 of 2021.

The slight quarterly decrease is most likely reflective of the current uncertain business climate. Kiplinger reported that surveys of business uncertainty spiked to record or near-record levels in February and that the National Federation of Independent Business (NFIB) Uncertainty Index rose to its second-highest level ever, behind only last October’s reading. This uncertainty has had the effect of dampening the business outlook and turning businesses to be more cautious about plans to expand, hire or invest in new capital equipment.

"In light of the recent decline in business confidence due to market uncertainties, it is more important than ever to continue digitizing back-office workflows and processes,” said Eric Capehart, Associate Director of Market Strategy for Wolters Kluwer’s Digital Lending Solutions. “Despite the market challenges, digitization remains a key driver for operational efficiency, cost reduction, and enhanced decision-making. Even with uncertainty in the market, businesses must remain committed to investing in their future operations. By adopting digital transformation, companies can better manage uncertainties and set themselves up for long-term success."