Financial leasing is mainly in the form of direct financial leasing, sale and leaseback.
Direct financial leasing
Direct financial leasing refers to the lessee's choice of leasing objects that need to be purchased, the lessor leases the leased objects to the lessee through the leasing project risk assessment. The lessee has no ownership but enjoys the right to use and is responsible for repairing and maintaining the leased object during the entire leasing period. The lessor is not responsible for the good or bad condition of the object, and depreciation of the equipment is on the lessee's side.
Applicable to the purchase of large-scale equipment; enterprise technology transformation and equipment upgrading.
Direct leasing operation process
1. The lessee selects suppliers and leasing objects;
2. The lessee submits the application for financial leasing business to the financial leasing company;
3. The financial leasing company and the lessee carry out the technical and commercial negotiation with the supplier;
4. The financial leasing company and the lessee sign the "financial leasing contract";
5.
5. The financial leasing company and the supplier sign the Sale and Purchase Contract to purchase the leased goods;
6. The financial leasing company uses the funds raised in the capital market as a loan to be paid to the supplier manufacturer;
7. The supplier delivers the leased goods to the lessee;
8. The lessee pays the rent according to the schedule;
9. At the end of the leasing period, the lessee will have to pay for the leased goods. If the lessee performs the contract normally, the financial leasing company transfers the ownership of the leased goods to the lessee.
Sale and Leaseback
Sale and Leaseback is a leasing model in which the lessee sells the self-manufactured or purchased asset to the lessor and then leases it back to the lessor and uses it. During the lease period, the ownership of the leased asset is transferred and the lessee only has the right to use the leased asset. Both parties can agree that at the end of the lease period, the lessee will continue to lease or buy back the leased asset at the agreed price. This approach is conducive to the lessee's revitalization of existing assets, can quickly raise the funds needed for enterprise development, in line with market demand.
Applicable to enterprises with insufficient liquidity; enterprises with new investment projects and insufficient own funds; enterprises holding fast-appreciating assets.
Sale and leaseback operation process
1. The original equipment owner sells the equipment to the financial leasing company.
2. The financial leasing company pays the purchase price to the original equipment owner.
3. The original equipment owner leases back the sold equipment from the financial leasing company as a lessee.
4. The lessee, i.e. the owner of the original equipment, pays regular rent to the lessor (the financial leasing company).
Financial leasing for the lessee, can reduce the occupation of funds and reduce the state of capital liabilities, is conducive to adapt to seasonal and temporary needs, to speed up the equipment renewal, to avoid technological backwardness at the same time to reduce the risk of investment, to avoid the impact of inflation. As China's economy moves into a period of growth rate shift and structural adjustment, vigorously developing financial leasing is beneficial to alleviating the financing difficulties of China's small and medium-sized enterprises and digesting the current overcapacity and other aspects of the work. Partner field capital believes that in the new round of policy dividends vigorously driven by the financial leasing industry is ushering in the development of a great opportunity