Financing lease specific content

It is to point to the specific content of the lessor according to the lessee the lease objects to the special requirements of the supplier and the choice, contribution to the supplier to buy lease objects, and to the lessee for its use, and the lessee to pay the rent is staging the lessor, the ownership of the lease, lessor belongs to all objects, and the lessee has the right to use the lease objects. Upon expiration of the lease term, the rental payment and the lessee financing lease contract according to the provisions of the full performance after the obligations, where ownership of the lease item was not prescribed or the agreement is not, can supplement agreement; Can't reach a supplementary agreement, according to the contract concerned clause or trade used to determine, still cannot decide, title to the lease objects all the lessor. Financing lease financing is set with content, trade and technology update in one of the new financial industry. Due to its financing with the combination of features that, when problems occur leasing company can recovery, processing the lease item, so the deal with financing and the guarantee of enterprise credit demand is not high, so it is very suitable for small and medium-sized enterprise financing. In addition, the financing lease belong to off-balance-sheet financing, not reflected in the financial statements of the enterprise debt project, do not affect the enterprise credit status. The need to financing for the small and medium-sized enterprises is very beneficial.

And traditional rental difference

Financing lease and traditional rental a essential difference is: traditional rental tenant rental use objects to the time calculation the rent, the lessee and financing lease to occupy the financing cost time calculation rents. Market economy is developed to a certain stage and produce a good adaptability of financing, raised in the United States is the 1950 s a new way to trade, because it to adapt to the requirements of the development of the modern economy, so in 20 centuries 60 ~ 70 s rapidly developed in the world, the enterprise has become the main update equipment financing means one, is known as "the rising sun industry". Early 1980 s introduced in China after the business mode, in more than 20 years and is rapidly developing, but compared with the developed countries, the advantages of the lease is far from plays out, a potential market.

And the difference between the payment by installment

(1) instalment is a kind of transactions, buyers not only won the right to use the items are trading, but also acquire the ownership of the goods. And financing lease is a kind of lease behavior, although the lessee the lease item for actually caused by cost and risk, from a legal point of view, the ownership of the lease item in name return to the lessor all. (2) a financing lease and payment by installment in the accounting process variations. Financing lease item in rent Clinton all ownership all the lessor, therefore, as the lessor assets into its balance sheet, and to the lease item the amortization of depreciation, and the lessee will lease expenses production cost. While instalment purchases of goods to all buyers, and included in the buyer's balance sheet and responsible for the amortization of depreciation by the buyer. (3) the two above lead to both in tax treatment are different. Financing lease of the lessor can will amortization of depreciation of the project should be deducted from income, and the lessee may bring the amortization of depreciation of the taxable income from deducted, in instalment trading is the buyer can amortization of depreciation cost will be deducted from taxable income, buyers can still will spend interest cost deducted from the taxable income, in addition, buy some fixed assets in some western countries can also enjoy duty-free investment. (4) in the term, payment by installment payment period often less than trade article economic life span, and a financing lease lease term then often and lease item the economic life of quite. Therefore, the same item financing lease is the way the installment credit period for long. (5) instalment is not a full credit, the buyer will usually paid at sight loans-part; And financing lease is a kind of full credit, it to lease price of the paragraph all even shipping, insurance, such as the installation of additional fees are to provide financing. Although financing lease is usually on the lease beginning to pay some margin when, but the cost is generally payment by installment payment at sight to exchange the much less (for example in the import and export trade of the buyer need at least cash pay 15% of the loans). Therefore, the same thing, the way of financing lease provide total credit is usually better than instalment way to trade could provide. (6) the financing lease and payment by installment payment transaction in time also have a difference. The latter generally in each issue the final, usually in instalment before a grace period, lease financing generally no grace period, the lease beginning after the need to pay the rent, so, the rent payment usually in the beginning each issue. (7) the financing lease expiration of the lease item usually leave salvage value, general to the lease item to the lessee not any treatment, need to deal with formalities of exchange or buy procedure. And payment by installment of the rules of the trading buyer installment that have the trade article, can be arbitrary processing. (8) a financing lease object is generally longer life expectancy, value higher items, such as mechanical equipment, etc.