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LSDefine

Simple English definitions for legal terms

finance lease

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A quick definition of finance lease:

A finance lease is a type of contract where a business can rent expensive equipment for a fixed period of time. The company pays rent and takes care of maintenance costs and taxes. At the end of the lease, the business has the option to buy the equipment for a small price. Finance leases are often used by financial institutions to help businesses afford expensive equipment.

A more thorough explanation:

A finance lease is a type of lease used by businesses to finance capital equipment. The lessor finances the asset, and the lessee pays maintenance costs and taxes and has the option of purchasing the asset at lease-end for a nominal price. Finance leases are written almost exclusively by financial institutions to help commercial customers obtain expensive capital items that they might not otherwise be able to afford.

Example: A construction company needs a new crane but cannot afford to purchase it outright. The company enters into a finance lease with a financial institution, which purchases the crane and leases it to the construction company. The construction company pays monthly lease payments and has the option to purchase the crane at the end of the lease term for a nominal price.

This example illustrates how a finance lease allows a business to obtain expensive capital equipment without having to pay for it upfront. The business can make monthly lease payments and have the option to purchase the equipment at the end of the lease term, making it a more affordable option for businesses with limited cash flow.

finance company | finance officer

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THATS SO FUNNY
i cant i would go crazy
JumpySubsequentDolphin
20:50
i need to know who decided to do that.
JumpySubsequentDolphin
20:50
omg im on a plane weeeee
the devil
youre on a plane??? LSD made the mile high club??
20:50
yo splitterus are you in school already
20:50
it says ur c/o 2027
JumpySubsequentDolphin
20:51
@SplitterusClitterus: HAHAH yes
ur user is hilarioussss and no i just graduated this may and am now applying ---also im out of messages so ill take a lil
20:52
roger dat. see u in heck
im back, r u applying this cycle too
JumpySubsequentDolphin
21:32
this child fell asleep on me
JumpySubsequentDolphin
21:32
im so uncomfortable
just push him off the entire seat
JumpySubsequentDolphin
21:34
LMAOOOO
JumpySubsequentDolphin
21:35
no he’s literally like 8 and he fully just put his head on my bicep and slept
JumpySubsequentDolphin
21:35
he has since moved
22:12
@SplitterusClitterus: me yesterday
gulc baby pls text me back... i miss you ...... :(
22:23
i just went into a discord vc and yelled "YALL I JUST GOT INTO J.M. SCHOOL OF LAW"
22:24
people were getting excited :sob:
22:25
then someone was like "what does jm stand for" and i was like .. well
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@JumpySubsequentDolphin: wait this is so cute, also where r u going
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JumpySubsequentDolphin
22:39
@splitty Oregon!
oh yay for what thats so random
JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
so cutie oregon is beatiful
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