1, direct financial leasing
Direct financial leasing, refers to the lessee to choose the need to purchase the leasing object, the lessor through the leasing project risk assessment after leasing the leased object to the lessee to use. The lessee has no ownership but enjoys the right to use and is responsible for the repair and maintenance of the leased object during the entire leasing period.
Applicable to the purchase of fixed assets and large-scale equipment, as well as to the technological transformation and equipment upgrading of enterprises.
Operating process of direct financial leasing:
(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) The financial leasing company and the supplier sign the Sale and Purchase Contract to purchase the leased goods;
(6) The financial leasing company pays the supplier as a loan with the capital raised in the capital market;
(7) The supplier delivers the leased goods to the lessee;
(8) The lessee pays the rent on a scheduled basis;
(9) the expiration of the lease period, the lessee normal performance of the contract, the financial leasing company will transfer the ownership of the leased goods to the lessee.
2, sale and leaseback
Sale and leaseback is a leasing mode in which the lessee sells the homemade 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 way is conducive to the lessee to revitalize the existing assets, can quickly raise the funds needed for enterprise development, in line with market demand. More about the financial leasing company related issues can be in the billion bee enterprise service trading platform to find professional consultants to consult
Applicable to the lack of liquidity of the enterprise; with a new investment projects and own funds are insufficient for the enterprise; hold the rapid appreciation of the assets of the enterprise.
Operation process of sale and leaseback:
(1) The original equipment owner sells the equipment to the financial leasing company.
(2) The financial leasing company pays the payment 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, regularly pays rent to the lessor (the financial leasing company)
3. Leveraged leasing
Leveraged leasing is similar to syndicated loans, and is a kind of financial leasing that specializes in large-scale leasing projects with tax benefits, which is mainly led by a leasing company acting as a backbone company to finance a mega-sized leasing project.
First of all, the establishment of a leasing company from the main body of the operation - specifically for the project to set up a fund management company to provide more than 20% of the total amount of the project, the rest of the source of funds is mainly to absorb the banks and the community of idle capital, the use of 100% to enjoy the benefits of low tax! The rest of the funding sources are mainly absorbing banks and social idle capital, utilizing the advantage of 100% low tax to obtain huge amount of funds for the leasing project with the leverage of "two for eight". The rest of the practice and financial leasing is basically the same, except that the complexity of the contract due to the wide-ranging and consequent increase.
Because of the tax benefits, standardized operation, good overall efficiency, safe rental recovery, low cost, generally used in aircraft, ships, communications equipment and large sets of equipment for financial leasing.
4. Entrusted Leasing
Entrusted leasing is a financial leasing entrusted to a non-banking financial institution by the person who owns the funds or equipment, with the first lessor being the principal at the same time and the second lessor being the trustee at the same time. The lessor accepts the funds or the subject matter of the lease from the principal, and according to the principal's written entrustment, handles the financial leasing business to the lessee designated by the principal. The ownership of the subject matter of the lease belongs to the principal during the lease period, and the lessor only receives the handling fee and bears no risk. A major feature of this entrusted leasing is that enterprises without the right to lease, can "borrow the right" to operate.
5, sublease
The same object as the subject of the financial leasing business. In the sublease business, the lessee of the previous lease contract at the same time to be the lessor of the next lease contract, known as the sublessor. The sublessor rents the leased object from another lessor and subleases it to a third party, the sublessor collects the difference in rent for the purpose, and the ownership of the leased object belongs to the first lessor. Subleasing involves at least four parties: the equipment supplier, the first lessor, the second lessor (first lessee), and the second lessee. Subleasing involves at least three contracts: purchase contract, lease contract, assignment of lease contract.
6, structured **** enjoyment type lease
Structured **** enjoyment type lease refers to the lessor according to the lessee's choice and designation of the supplier, the leased goods, to the supplier to purchase the leased goods, provided to the lessee to use the lessee, the lessee pays the rent according to the contract. Among other things, the rent is measured and agreed upon on the basis of the cash flow generated after the leased item itself is put into operation, and it is a leasing method in which the lessor and the lessee *** enjoy the proceeds of the leased item. The share of the rent includes the acquisition cost, related expenses (e.g., capital costs), and the portion of the project's revenue level expected to be shared by the lessor.
7, the risk of leasing
Lessor to lease debt and investment in the form of equipment leased to the lessee to obtain rent and shareholders' equity income as a return on investment in the lease transaction. In this kind of transaction, the rent is still the lessor's main return, generally 50% of the total investment; followed by the return of the residual value of the equipment, generally not more than 25% or so, these two returns are relatively safe and reliable. The rest is agreed by both parties to purchase the lessee's common equity at a set price within a certain period of time. This form of business opens up a new channel for high-tech, high-risk industries to attract investment.
The lessor will lease the equipment to the lessee, and at the same time obtain the shareholders' equity corresponding to the cost of the equipment, which is actually a new form of financial leasing with the lessee's part of the shareholders' equity as the lessor's rent. At the same time, the lessor as a shareholder can participate in the lessee's business decisions, increasing the influence on the lessee.
Risk leasing for the leasing parties to bring the general financial leasing can not bring the benefits, so as to meet the leasing parties to the risk and return of different preferences.
(A) the lessee's favor
1. better financing channels. The lessee of the risk lease is a risky enterprise, because of the short operating history, lack of funds, banks are generally unwilling to lend, so its financing channels are less, the general channels of financing costs are higher, risk leasing can become an important means of financing.
2. Transfer of risk. To transfer part of the risk of the shareholders' equity to the lessor, even if the lessor's shareholders' equity can not be gained, the lessor does not have the right to ask for other compensation. If the use of mortgage loans, banks often require all the assets of the company as collateral, once the company is unable to repay the loan on time, the company's survival will be difficult to ensure. Risk of leasing in the rental payment obligations, but also only to the leased equipment as a "guarantee", the lessee faces relatively small risks.
3. Improve the return on investment. The compensation of the company's managers is often based on the return on investment, and the use of risk leasing will relatively reduce the amount of investment in the company, thereby increasing the rate of return, and thus enable managers to obtain higher compensation.
4. Less control. Compared with traditional venture capital, venture leasing funders do not seek a high degree of control over the assets and management of the investment object, even if they send representatives to the venture enterprise into the board of directors, but also do not seek the right to vote, which makes part of the company preferred venture leasing.
(2) Advantages for lessors
While there is a certain amount of risk involved in serving venture companies, lessors can get enough benefits to compensate for the risk:
1. Higher returns. If the lessee is doing well, the lessor can get a premium return on shareholders' equity, which can be 5-10 percent higher than the return on a typical lease transaction, or even higher.
2. Flexibility in handling proceeds. The lessor from the lessee to obtain the stock options, once the lessee's business success and listed, the lessor that is not only can be sold to get cash, but also can hold the stock to get dividend income.
3. Even if the lessee's bankruptcy, the lessor can get some compensation from the disposal of leased equipment. Moreover, the general risk of leasing more than one lessor, a lessee's bankruptcy will not bring the lessor a very large, unbearable losses.
4. Expand the lessor's business scope, enhance its competitiveness and market share.
8, bundled financial leasing
Also known as three three financial leasing. Three-three financial leasing is the lessee's down payment (deposit and down payment) is not less than 30% of the price of the subject of the lease, the vendor in the delivery of the equipment when the proceeds of the payment is not the full amount of the goods, roughly 30% or so, the balance of the time in no longer than half of the lease term in batches, and the leasing company's financing strength of almost 30% can be. In this way, manufacturers, lessors, lessees each bear a certain risk, fate and interests of the "bundled" together to change the situation in the past, all the risks borne by the lessor alone.
9, financial operating lease
Financial operating lease means that the calculation of rent on the basis of financial leasing more than 10% of the residual value of the lease, at the end of the lease term, the lessee of the leased object can choose to renew the lease, leaseback, to stay in the purchase. The lessor may or may not provide repair and maintenance for the leased object, and the lessor will depreciate the leased object for accounting purposes.
Financial operating lease operation process:
(1) the lessee selects the supplier and selects the leased object;
(2) the lessee and the financial leasing company sign the Financial Leasing Contract;
(3) the financial leasing company and the supplier sign the Sale and Purchase Contract, and purchase the leased object to the supplier to pay for the goods;
(4) The supplier delivers the leased object to the lessee;
(5) The lessee pays the rent on schedule;
(6) At the expiration of the lease, the lessee fulfills all the contractual obligations, and surrenders, renews, or retains the purchase according to the agreement;
(7) In the event that the lessee surrenders the lease, it is up to the lessee to carry out the residual value treatment of leased objects such as renting out or selling the leased objects on the market of second-hand equipments.
10, project finance lease
Project's own property and benefits as a guarantee, and the lessor to sign a project finance lease contract, the lessor of the lessee's project outside the property and income without recourse, the rent can only be charged to the project's cash flow and benefits to determine. The seller (i.e., the producer of the leased item) takes this approach to marketing its products and expanding its market share through a leasing company that it holds. Communications equipment, large medical equipment, transportation equipment and even highway operating rights can be used in this way.
The main risk that the lessor has to face is the risk that the rent will not be recovered, and there are two main reasons for this risk: firstly, the item itself fails to operate; secondly, the lessee's credit is not good.
In order to prevent the risk, the lessor can take the following measures:
(1) Make a good assessment of the project. In the pre-project stage, the lessor should make an all-round scientific assessment of the current situation and future of the project as a whole, including the prediction of the project's future changes in market demand and profitability, and the assessment of the lessee's future ability to repay the rent, and the project finally selected should determine its expected rate of return to ensure that the lessor will be able to recover the rent;
(2) Flexible rent design. When making rent calculations, the normal cash flow of the project and the possible risks during the project's operating period should be combined to ensure that the final rent can be recovered smoothly;
(3) Monitoring of the financial status of the project during the operating period. During the operation of the project, the lessor should monitor the operation and financial status of the project on a regular basis, such as the lessee can not repay the rent on time must find and analyze the reasons, to determine whether it is the real and objective operating conditions of the project or the lessee's credit risk to prevent the lessee from taking advantage of the credit risk and intentionally defaulting on the rental payments or non-repayment of rent.
11, structured participation in financial leasing
This is a new way of financial leasing for the main purpose of marketing, which absorbed part of the experience of risk leasing, combined with the characteristics of the industry of a newly developed leasing products. The main features are: financing does not require security, the lessor is composed of suppliers as the background; there is no fixed rental agreement, but in accordance with the lessee's discounted cash flow calculation of the financing recovery; therefore, there is no fixed term of the lease; the lessor in addition to obtaining the proceeds of the lease but also to obtain a portion of the years of participation in the operation of operating income.
Consisting of three stages: capital injection, lease repayment and return. The method of injecting funds in the capital injection stage is the same as the method of injecting funds in the conventional financial leasing; in the lease repayment stage, the cash flow of the project is distributed between the lessor and the lessee according to a certain proportion, for example, 70% of the cash flow is distributed to the lessor for lease repayment, and 30% of the cash flow is retained by the lessee.
The payback stage means that after all the lease costs have been eliminated, the lessor enjoys a certain number of years of capital return, and the rate of return is extracted in proportion to the cash flow. At the end of the return stage, the ownership of the leased object is transferred from the lessor to the lessee, and the whole project finance lease ends. Structured participation in financial leasing and we are familiar with the BOT method has a similarity.
12, sales-type leasing
Producers or distribution sector through their own leasing company owned or controlled by the use of financial leasing to promote their products. These leasing companies rely on the parent company can provide customers with repair, maintenance and other services. The seller and the lessor are actually one company, but they are two separate legal entities.
In this type of sales lease, the leasing company acts as a financing, trading and credit intermediary, and bears the risk of rent recovery on its own. Through the integrated or specialized leasing company to take financial leasing, with the manufacturer to promote products, can reduce the manufacturer's accounts receivable and triangular debt, is conducive to diversification of bank risk, and is conducive to promoting the flow of goods.