Banking. Leasing operations (the most important)

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Banking. Leasing operations (the most important)

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Topic 26. Leasing operations

Leasing (L) is a form of financial investment in fixed assets, in which a special leasing company (bank department) acquires property for the lessee and transfers it for use for a certain period with subsequent redemption.

Difference between leasing and rent:

1) when renting, the subject of the transaction is the temporarily vacant property of the lessor, which he used previously. For leasing, property is purchased by a leasing company specifically for the customer. 2) leasing relations are built between 2 participants: the owner and the user; in leasing - + supplier, investor, CB (lending the transaction). 3) the tenant receives property for production and personal purposes. When leasing - only for production.

Difference between leasing and credit:

1) the material form of the loan, not the monetary form; 2) the leased equipment remains the property of the lender. 3) the loan amount is determined based on the value of the property (primary or residual).

The object of leasing is any movable and immovable property from the category of fixed assets - fixed assets (machines, equipment, computers, production lines).

Advantages of leasing:

1) purchase of property without a one-time large investment of funds. 2) allows the use of advanced technology in conditions of rapid obsolescence. 3) meeting seasonal needs, transporting products. That is, getting rid of investments in equipment that is only needed for a period of the year.

Lessors:

1) financial and credit institution, commercial bank or its division.

2) a leasing company - a) a financial leasing company (only for transactions) b) a specialized leasing company (+ a range of services for the maintenance, repair of equipment, training, advises how to use it). c) brokerage leasing companies - intermediaries between participants (often - subleasing).

3) a subdivision of any enterprise that has sources of financing for leasing and its implementation + to its core business.

Lessee - y.l. or a citizen-entrepreneur who receives property under a leasing agreement.

Leasing equipment supplier - (seller) manufacturer.

Leasing types

1) financial L - with full payback, in which the lessor reimburses the cost of the leased object and generates profit during the term of the contract.

Features of financial L:

1) the manufacturer is involved, who performs additional functions (installation, repair). 2) the term of the contract is approximately = the standard service life of the property, after which it can be purchased by the lessee at the residual value 3) the object is chosen by the lessee. 4) the condition for the acquisition of property is its transfer to a specific lessee (unique equipment). 5) the amount of depreciation deductions as part of leasing payments should be close to the cost of the leased property. 6) the risk of accidental death or damage is borne by the lessor

2) Operational L - the property is transferred for a period significantly less than the normative one. So the lessor leases the property several times.

Features:

1) the term of the contract is no more than 2-6 years 2) the contract may be terminated by the lessee at any time. 3) the risk on the lessor of not finding a subsequent user. 4) to reduce risks, the lessor insures the property, which also adds to his expenses under L.

3) Returnable L - is used when the enterprise lacks financial resources for development. An enterprise can provide its equipment to a leasing company or design bureau and use it under an L-ga agreement (usually financial, with a buyout).

4) Internal L - all participants are residents.

5) International L - one of the participants is a foreign partner.

Leasing agreement

The methodological recommendations of the Ministry of Economy of the Russian Federation are taken as the basis for calculating leasing payments. Payment factors are affected by:

1) the cost of the object L. 2) its depreciation period 3) the possibility of using accelerated depreciation. 4) type and term of the leasing transaction. 5) leasing payment schedule 6) conditions L, including redemption at residual value. 7) the cost of credit resources that are additionally attracted for the transaction, 8) the amount of the lessor’s commission. 9) VAT. 10) customs duties 11) risk insurance 12) commission of intermediaries.

An important incentive for the development of leasing relations is tax incentives for participants. For the lessor - 1) exemption from income tax under agreements" for 3 years. 2) exemption from VAT when providing leasing services, but retaining VAT on acquired objects. 3) partial exemption from customs duties and taxes on temporarily imported international objects into the territory of the Russian Federation leasing.

Advantages for the lessee over a loan:

1) 100% acquisition of property without diversion of own funds, 2) tax benefits, 3) the risk of obsolescence and other risks lie with the lessor. 4) the ability to use more equipment, vehicles at low costs, 5) no deposit required.

Disadvantages:

1) higher cost 2) losses due to an increase in leasing payments as a result of inflation 3) preservation of leasing payments until the end of the contract, regardless of the obsolescence of the equipment.

CB's interest in leasing operations:

1) competition in the market for standard banking services pushes towards new types of services. 2) L. has real material security in the form of property owned by the lessor, so there is no problem of realizing property rights to sell the pledge. 3) the bank expands its circle of reliable clients. 4) according to the agreement, the bank has a stable income for a long time. 5) tax benefits.

Authors: Shevchuk D.A., Shevchuk V.A.

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