In certain situations, sale-and-lease-back - a special form of finance leasing - can be of interest to small and medium-sized enterprises, but also to large companies. Especially if they want to release capital in the short term and take advantage of the benefits of leasing.
What is Sale-and-lease-back?
Sale-and-lease-back is in principle a type of finance lease. Classic finance lease follows this process: Deutsche Leasing, the lessor, orders the desired object such as a machine, a vehicle or IT equipment directly from the supplier. It is delivered to the customer, the lessee, and the customer receives rights of use for the object. In return, he pays - depending on the contract - a continuous, predictable leasing instalment. In the sale-and-lease-back procedure, the company buys the desired investment object directly from the manufacturer or supplier, sells it to the leasing company and leases it back from the latter. In this way, it can continue to use it for a fee. A company can also sell used investment objects or real estate to the leasing company and lease it back. The customer is thus both supplier and lessee in one for Deutsche Leasing. According to the Federal Association of German Leasing Companies, the share of sale-and-lease-back in new leasing business has been around 5 percent for years.