A lease is a very important financing option for a contractor who does not have or does not have enough money to finance the initial investment in facilities and machinery. In a lease agreement, the lessor finances the assets or equipment and the taker uses it in exchange for firm leases. In other words, leasing is an agreement whereby the taker who needs the equipment or machine receives financing from the landlord for agreed rents. Such a type of leasing is called financial leasing. There are many such agreements and therefore there are many types of leasing. Let`s take a look at the different types of leases. Under an import lease, the company supplying equipment for the lease may be in a foreign country, but the lessor and the taker may belong to the same country. The equipment is more or less imported. Leveraged leasing can be defined as a lease agreement in which the lessor provides a share of equity (z.B 25%) the cost of the leased asset and the third-party lender the remaining amount of the financing.
The lessor, the owner of the asset, is entitled to asset-related depreciation certificates. A particular form of leasing has become very popular in recent years. This is called leveraged leasing. It is the most popular for financing « Big Tickets » facilities such as airplanes, oil rigs and railway equipment. Unlike the three types of leasing already mentioned, three parties are involved in a loan-financed lease: the underwriters, lenders and lenders. Combination Lease offers both fund leasing, capital leasing and operating leasing. This is a form of leasing adjustment. One of the simple examples of combination rental is a capital lease that contains a termination clause. Vehicle leasing is used by businesses and individuals as an option to purchase cars or trucks. It may be a manufacturer, a distributor or a leasing agency. Each vehicle must be described in its entirety with appropriate identification and licensing numbers. The terms should cover the liability of insurance and licenses, list any operating or mileage restrictions and indicate whether there is an option to purchase at the end of the rental period.
Vehicle leasing can cover multiple vehicles for a business as long as each company is identified. The advantage for the tenant of this rental structure is that the lessor takes care of all the risks of increased operating costs and manages many elements of the operation of the property, including external maintenance. The tenant pays a relatively predictable rental price and should not be included in the real estate activity. A potential drawback for the tenant is that the landlord can charge the tenant a premium to cover these costs and risks, when this is not always the case.