WHY WOULD YOU INVEST IN LEASING BUSINESS?
Just like there are advantages of leasing to a lessee (the user of an asset), so are there benefits of leasing to a lessor (owner of an asset). The factors that encourage a lessor to provide leasing facilities include: Leasing widens the market for a manufacturer/dealer of equipment. Thus, a manufacturer/dealer can offer lease arrangement without necessarily investing additional capital. Lease rental income received periodically is easily predicted on which future cash flow projections can be made for planning…