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TIPS ON RESIDUAL VALUATION

In leasing, a key activity that must not be taken lightly is how to value your residuals. (Residual value is the value of the leased asset at the end of the lease transaction). Residual value analysis is a comprehensive process aimed at determining the future value of equipment at…

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SUMMARY OF PROCEDURES IN BOOKING OF LEASE

What are the steps involved in the booking of lease? It has become necessary to detail the steps involved in the booking of leases as guide to lessors (owners of asset) who may not have had any experience in the business. In doing so, however, this rely on the…

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OVERCOMING FUNDING CHALLENGES IN LEASING

Players in the leasing industry has been facing the challenge of funding for lease transactions for over the years. Despite the fact that leasing has been contributing greatly to the Nigerian economy and creating wealth, there still exists this challenge. This particular challenge has hindered its capacity to effectively…

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MANAGING YOUR ASSET IS KEY (cont.)

Usage Terms and Conditions:   Another simple technique of asset management is to simply specify the usage terms and conditions of equipment in the main lease agreement. For instance, it may be stipulated that the equipment should be operated for a specified number of hours per day and that only…

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MANAGING YOUR ASSET IS KEY

Apart from checking on the standing of the lessee (user of asset), the lessor (owner of asset) has the responsibility of ensuring that the asset under lease is well managed. This is fundamental to the overall achievement of the lessor’s business objective, because the lessee will only be motivated…

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DO YOU KNOW THE CURRENT MARKET FOCUS IN LEASING BUSINESS?

In the recent times in the leasing business, there is a gradual shift from finance leasing to operating leasing in Nigeria, partly as a strategy to mitigate default risk and in response to market dictates especially to meet the demands of corporate clients. This was revealed through a recent…

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HOW TO IMPROVE LEASING BUSINESS CLIENTELE BASE

Having a good customer base is very important to all business transactions. Changing a   prospective lessee to a customer and retaining him requires a whole lot of systematic approach, appropriate intelligent gathering, planned programme of actions on your part as a lessor (owner of an asset). A specific time…

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HOW TO MANAGE YOUR DRIVERS IN OPERATING LEASE

The success of operating leases (leases that the lessees do not intend to own the asset at the end of the lease) where vehicles are the assets involved, depends on variety of factors and most essentially the driver. Therefore it is important to fully understand how to manage drivers…

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HOW TO INCREASE YOUR YIELD AND PROTECT YOUR PORTFOLIO THROUGH ADVANCE RENTALS

A lessor (owner of asset) can take a number of the rentals at the beginning of the lease and the others taken in arrears e.g. in a 12 month lease, the lessor can take 2 month rentals in advance and the remaining 10 rentals in arrears. One of the…

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HOW EFFICIENT FLEET OPERATORS ACHIEVE SUCCESS

The success of any Fleet and Transport Logistics operations depends on the application of modern processes. Practitioners should therefore get themselves acquainted with modern key management ingredients to enhance profitability. This aspect of business is gaining more vibes and gradually becoming an investor’s delight. Factors that impede Success in…

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