Leasing Services
Leasing is a medium term of financing instrument which can be used for financing fix or movable assets, such as farm machinery, equipment, building, land, means of transports,etc. The core principal of leasing is the separation of separation of ownership and use of a productive assets. The owner hands the assets over the lessee for an agreed period time against periodic payment which covers capital cost, depreciation, and a profit margin.
The key benefit of leasing is relaxation colaterall requirements because the leased assets itself stand as main security. A second advantage is related to the in-kind dishbursement mode whichs avoid the risk of diversions of funds, However rural lessor face high transactions costs for supervissies of lessees, a lack of secondary market for repossessed equipment of appropriate insurance products and awareness amongs all stakeholders about the legal and operational features of leasing
The key benefit of leasing is relaxation colaterall requirements because the leased assets itself stand as main security. A second advantage is related to the in-kind dishbursement mode whichs avoid the risk of diversions of funds, However rural lessor face high transactions costs for supervissies of lessees, a lack of secondary market for repossessed equipment of appropriate insurance products and awareness amongs all stakeholders about the legal and operational features of leasing
