A business lease for a building or equipment is not much different than a personal lease for an apartment. A lease is a contractual arrangement calling for the lessee user to pay the lessor owner for use of an asset. Leasing property law and legal definition uslegal, inc. Written or implied contract by which an owner the lessor of a specific asset such as a parcel of land, building, equipment, or machinery grants a second party the lessee the right to its exclusive possession and use for a specific period and under specified conditions, in return for specified periodic rental or lease payments. The equipment leasing company is a nonbanking finance company which is primarily engaged in the business of leasing of equipment or financing of such activity.
A lease that fixed the vehicles residual value initially, stating it in the contract. Information and translations of lease in the most comprehensive dictionary definitions resource on. Typically the rents are capitalized into the remaining lease payments. Search leasing services and thousands of other words in english definition and synonym dictionary from reverso. Simply login to our business management platform, and learn all about leasing. It guarantees the lessee, the tenant, use of an asset and guarantees the.
You can complete the definition of leasing services given by the english definition dictionary with other english dictionaries. When you are leasing out a place you need to try and make sure you pick the right tenant so that there are no problems. Leasing article about leasing by the free dictionary. Usage example unlike socialism where the government is responsible for means of production and the management of economy, capitalism. A lease contract is a written agreement between two parties that identifies the terms of the lease as well as the leased property. Leasing is a process by which a firm can obtain the use of a certain fixed assets for which it must pay a series of contractual, periodic, tax deductible payments the lessee is the receiver of the services or the assets under the lease contract and the lessor is the owner of the assets. Capital definition and meaning collins english dictionary. Pdf equivalence of lease and tenancy terminology in english. A leasing agent means any person who represents, or acts for or on behalf of, a developer in selling or leasing, or offering to sell or lease, any lot or lots in a subdivision. Evergreen lease free definition results from over 1700 online dictionaries. Leasing description the full technique overview is available for free.
Finance leasing as a source of finance business tutor2u. Leasing meaning in the cambridge english dictionary. Leasing a business is quite a profitable business idea if the vendor wishes to retain ownership of the property or. The leased propertys owner is called the lessor and the company renting the property is considered the lessee. In coulter, the taxpayer had transferred equipment leases to a bank in exchange for cash to expand its leasing business. Leasing may have tax advantages compared to buying, and the things that are leased do not appear as assets in the businesss accounts employee leasing equipment leasing.
Synonyms for leasing at with free online thesaurus, antonyms, and definitions. Cyclopedia of commerce, accountancy, business administration, v. A lease is a contract outlining the terms under which one party agrees to rent property owned by another party. Dictionary of finance and investment terms free dictionary. Leasing definition of leasing by the free dictionary. The business arranges the sale on behalf of the leasing company and obtains the bulk of the sale proceeds. British dictionary definitions for leasing 1 of 2 lease 1 li. Such a tenancy is generally at will, meaning the tenant or the landlord may terminate it at any. Accelerated depreciation is slowed down to a straightline basis over a longer recovery period. Information and translations of leasing in the most comprehensive dictionary definitions resource on the web. Search leasing companies and thousands of other words in english definition and synonym dictionary from reverso. In other words, an operating lease is a lease that is less than one year in length and the lessor always maintains ownership of the leased asset. Operating leasing financial definition of operating leasing. An operating lease is a shortterm lease or contract in which the lessee agrees to rent an asset from the lessor and the lessor retains the rights of ownership.
A period of usage usually up front in which the lessee is not required to pay rents. A lease in which the lessor sells the equipment to an investor for equity and a note payable over the lease term. Leasing definition and meaning collins english dictionary. If a business needs a piece of equipment for a shorter time, then operating leasing may be the. The finance lease and operating lease are the very common form of lease agreements that an individual goes for. Leasing legal definition of leasing legal dictionary. An amount that the dealer contributes to lower the. This method effectively transfers tax benefits to an investor. Agreement between a landlord and a business outlining terms and conditions of property rental.
Property, buildings and vehicles are common assets that are leased. This is probably the biggest reason why small companies lease. The lease is an agreement wherein the lessor grant rights to the lessee to use lessors property in exchange for certain periodic payments. Operating lease a lease in which the lessee maintains residence or usufruct of the leased property or asset while the lessor may claim a tax deduction on. The term lease refers to the contractual agreement between the lessor owner and the lessee hirer wherein the lessor grants right to the lessee to use the equipment.
Lease definition and meaning collins english dictionary. Sale and lease back definition and meaning collins english. Pickle lease definition by babylons free dictionary. Business a contract allowing the use of land, renting property, etc. Equipment leasing arrangement under which the lessor provides periodic maintenance and breakdown repairs services. Leasings definition of leasings by the free dictionary. Therefore, assessing whether an arrangement is, or contains, a lease will be one of the biggest practical issues. A contractual agreement by which one party conveys an estate in property to another party, for a limited period, subject to various conditions, in exchange for something of. In other words, leasing is a form of financial activity associated with the transfer of capital goods for temporary use for a defined time against payment. Release definition and meaning collins english dictionary. Lease definition, a contract renting land, buildings, etc.
Wikipedia, lexilogos, oxford, cambridge, chambers harrap, wordreference, collins lexibase dictionaries, merriam webster. Leasing agent law and legal definition uslegal, inc. Alternatively, if the business wishes to stop using the equipment, it may be sold secondhand to an unrelated third party. The following dictionary provides definitions for 153 business terms useful for. A type of lease in which the contract period is shorter than the life of the equipment, and the lessor pays all maintenance and servicing costs. Lease identification can involve significant judgement. Most vehicle leases are closedend, which means the customer wont owe an additional sum at the end of the term if the car turns out to be worth less than anticipated. Our publication, lease definition pdf 657 kb, will help you to determine whether a transaction is, or contains, a lease and to understand. A lease is a legal agreement by which the owner of a building, a piece of land, or. For many outside our industry, equipment leasing and finance is a niche with magical and confusing terminology and structures such as synthetic leases, operating leases, true leases, fmvs, tracs, aliass and efas. Written or implied contract by which an owner the lessor of a specific asset such as a parcel of land, building, equipment, or machinery. The lessor retains the ownership of the asset concerned and will repossess the asset on the expiry of the contract, or beforehand should the client require a replacement.
Rent holiday definition by babylons free dictionary. The relationship between the tenant and the landlord is called a tenancy, and can be for a fixed or an. Leasing a business can be combined with an option to buy at the end of the lease period just like real estate which can be a very effective way to sell your business. Financing and payment flexibilityit is generally easier to secure financing to. Lease definition is a contract by which one conveys real estate, equipment, or facilities for a specified term and for a specified rent. With over 300 terms, our dictionary is designed to help you better understand the terms that you will come across daily while running your business. If the business does not have a lot of extra cash on hand and few small businesses do, then leasing may be the more sensible choice. Employee leasing definition in the cambridge english. Usually a program to buy somthing you give payments of money to keep the object for a while but not actually buying, but nowa days kids have turned the word lease into a. A commercial lease is specific to renters using the property for business or other commercial purposes versus residential use. Dictionary of finance and investment terms free dictionary lookup in over 77 languages and 1700 dictionaries.
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