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. Business a contract allowing the use of land, renting property, etc. 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. British dictionary definitions for leasing 1 of 2 lease 1 li. A lease that fixed the vehicles residual value initially, stating it in the contract. 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. A lease is a contract outlining the terms under which one party agrees to rent property owned by another party. Pickle lease definition by babylons free dictionary. You can complete the definition of leasing services given by the english definition dictionary with other english dictionaries. Pdf equivalence of lease and tenancy terminology in english. This is probably the biggest reason why small companies lease. Leasing legal definition of leasing legal dictionary.
Employee leasing definition in the cambridge english. Lease definition is a contract by which one conveys real estate, equipment, or facilities for a specified term and for a specified rent. Dictionary of finance and investment terms free dictionary lookup in over 77 languages and 1700 dictionaries. An amount that the dealer contributes to lower the. Finance leasing as a source of finance business tutor2u. 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. Typically the rents are capitalized into the remaining lease payments. Leasing definition and meaning collins english dictionary. Synonyms for leasing at with free online thesaurus, antonyms, and definitions. This method effectively transfers tax benefits to an investor. The relationship between the tenant and the landlord is called a tenancy, and can be for a fixed or an. Leasings definition of leasings by the free dictionary.
Information and translations of lease in the most comprehensive dictionary definitions resource on. Financing and payment flexibilityit is generally easier to secure financing to. The following dictionary provides definitions for 153 business terms useful for. Operating leasing financial definition of operating leasing. 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. 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. Leasing property 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. Property, buildings and vehicles are common assets that are leased. It guarantees the lessee, the tenant, use of an asset and guarantees the. Simply login to our business management platform, and learn all about leasing. A business lease for a building or equipment is not much different than a personal lease for an apartment. Written or implied contract by which an owner the lessor of a specific asset such as a parcel of land, building, equipment, or machinery.
A lease in which the lessor sells the equipment to an investor for equity and a note payable over the lease term. Information and translations of leasing in the most comprehensive dictionary definitions resource on the web. Capital definition and meaning collins english dictionary. Release definition and meaning collins english dictionary. Lease definition and meaning collins english dictionary. Leasing agent law and legal definition uslegal, inc. Leasing article about leasing by the free dictionary. Leasing a business is quite a profitable business idea if the vendor wishes to retain ownership of the property or. Rent holiday definition by babylons free dictionary. 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.
Leasing description the full technique overview is available for free. 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. Evergreen lease free definition results from over 1700 online dictionaries. A commercial lease is specific to renters using the property for business or other commercial purposes versus residential use. You can complete the definition of leasing companies given by the english definition dictionary with other english dictionaries. Search leasing companies and thousands of other words in english definition and synonym dictionary from reverso.
Sale and lease back definition and meaning collins english. Therefore, assessing whether an arrangement is, or contains, a lease will be one of the biggest practical issues. 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. 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. A period of usage usually up front in which the lessee is not required to pay rents.
Cyclopedia of commerce, accountancy, business administration, v. If a business needs a piece of equipment for a shorter time, then operating leasing may be the. Dictionary of finance and investment terms free dictionary. 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. Lease identification can involve significant judgement. A lease contract is a written agreement between two parties that identifies the terms of the lease as well as the leased property. Such a tenancy is generally at will, meaning the tenant or the landlord may terminate it at any. 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. A lease is a contractual arrangement calling for the lessee user to pay the lessor owner for use of an asset. The business arranges the sale on behalf of the leasing company and obtains the bulk of the sale proceeds. Leasing definition of leasing by the free dictionary. Wikipedia, lexilogos, oxford, cambridge, chambers harrap, wordreference, collins lexibase dictionaries, merriam webster. 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. 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.
In coulter, the taxpayer had transferred equipment leases to a bank in exchange for cash to expand its leasing business. A lease is a legal agreement by which the owner of a building, a piece of land, or. Equipment leasing arrangement under which the lessor provides periodic maintenance and breakdown repairs services. Accelerated depreciation is slowed down to a straightline basis over a longer recovery period. Our publication, lease definition pdf 657 kb, will help you to determine whether a transaction is, or contains, a lease and to understand. Lease definition, a contract renting land, buildings, etc. The lease is an agreement wherein the lessor grant rights to the lessee to use lessors property in exchange for certain periodic payments.
771 290 1164 387 1139 71 360 814 829 1229 452 101 221 1225 668 643 1608 1669 1044 562 977 1192 967 884 913 1356 454 203 526 276 829 1128 66 29 1482 1320 657 429 564 153 314