Financial leasing means that the lessor, at the request of the lessee (user), enters into a supply contract with a third party (supplier), under which the lessor finances the purchase of equipment selected by the lessee. At the same time, the lessor enters into a lease contract with the lessee, leasing the equipment to the lessee and charging the lessee a certain amount of rent.
Financial leasing method classification:
1, simple financial leasing
Simple financial leasing, also into direct financial leasing. It means that the lessee chooses the leasing object that needs to be purchased, and the lessor leases the leased object to the lessee through the risk assessment of the leasing project. The lessee has no ownership but enjoys the right to use the leased object and is responsible for the repair and maintenance of the leased object during the entire leasing period. The lessor is not responsible for the good or bad condition of the leased item, and depreciation of the equipment is on the lessee's side.
2, operating lease
In the financial lease on the basis of the calculation of rent more than 10% of the residual value, the end of the lease period, the lessee of the leased object can choose to renew the lease, leaseback, stay purchase. The lessor of the leased object can provide repair and maintenance, or not, accounting by the lessor of the leased object to draw depreciation.
3, project finance lease
The lessee to the project's own property and benefits as a guarantee, and the lessor signed a project finance lease contract, the lessor of the lessee's project outside the property and revenue without recourse, the rent can only be charged to the project's cash flow and benefits to determine. The seller (i.e., the manufacturer of the leased item) takes this approach to marketing its products and expanding its market share through the leasing company it holds.
4, leaseback financial leasing
Leaseback leasing refers to the owner of the equipment will first sell the equipment to the lessor at the market price, and then leased back to the original equipment in the form of a lease. The owner of the equipment can use most of the funds from the sale of the equipment for other investments, to use the funds to live, and a small part of the rent for payment. Leaseback leasing business is mainly used for equipment that has been used.
5, leveraged financial leasing
Leveraged leasing is similar to the practice of syndicated loans, is a kind of specializing in large-scale leasing projects with tax benefits of financial leasing, mainly led by a leasing company as the backbone of the company, for a mega leasing project financing. Leveraged leasing, generally used in the financial leasing of aircraft, ships, communications equipment and large sets of equipment.
6, entrusted leasing
One way is that the person who owns the funds or equipment entrusts the non-banking financial institutions to engage in financial leasing, the first lessor at the same time is the principal, the second lessor at the same time is the trustee. The second way is that the lessor entrusts the lessee or a third person to purchase the leased goods, and the lessor pays for the goods according to the contract, also known as entrusted purchase of financial leasing.
Expanded
Financial leasing is one of the financing methods, other common financing methods include:
1, bank loans
Banks are the most important financing channels for enterprises. According to the nature of the funds, divided into working capital loans, fixed asset loans and special loans three categories. Specialized loans usually have a specific purpose, its loan interest rates are generally more favorable, the loan is divided into credit loans, guaranteed loans and bill discounting.
2, stock financing
Stocks do not have the pressure of debt repayment, less risky financing. The stock market can promote the conversion of the business mechanism of enterprises, truly become self-management, self-supporting, self-development, self-restraint of the legal entity and the main body of market competition. At the same time, the stock market provides a broad stage for asset restructuring, optimizes the organizational structure of enterprises and improves their integration ability.
3, bond financing
Enterprise bonds, also known as corporate bonds, are issued by the enterprise in accordance with legal procedures, agreed to repay the principal and interest within a certain period of time of the securities, indicating that the bond-issuing enterprises and investors is a debt relationship. Bondholders do not participate in the management of the enterprise, but have the right to recover the agreed principal and interest on schedule. Corporate bonds and stocks, the same marketable securities, can be freely transferred.
5, overseas financing
Enterprises can utilize overseas financing methods, including international commercial bank loans, loans from international financial institutions, and enterprises in the major overseas capital markets in the bonds, stock financing business.
6, pawn financing
Pawn is a financing method to obtain temporary loans in the form of transfer of ownership of physical goods as collateral. Pawnbrokers then do not ask the purpose of the loan, the money is used very freely. Week after week, it greatly improves the utilization of funds.
Expanded Source: Baidu Encyclopedia-Financial Leasing
Expanded Source: Baidu Encyclopedia-Financing Methods