Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

What is Lease Finance?

April 26, 2017Finance lease

0

Posted

What is Lease Finance?

1 Answer

0

Posted

Lease Finance is a short or medium term finance used to acquire assets and/or equipments with/without the title of the asset/equipment being transferred to the lessee (the borrower). Finance Lease is for a longer period, the title of the asset being transferred to the lessee, and all costs/expenses incidental to the repairs/maintenance of the asset is borne by the lessee. Operating Lease is for a shorter period, the title of the asset is resided with the lessor (the lender) but may contain an Option of Buy/Ownership at the end of the lease period. In addition, all costs/expenses incidental to the repairs/maintenance of the asset/equipment is maintained by the lessor.