IJARAH SEVICES
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Operating Lease for new equipment
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Sale and lease back of your existing equipment
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Optimize cash flow as you expand your business
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Free up cash from your balance sheet for higher and better use
Operating leases offer significant advantages for businesses looking to manage their equipment needs without the financial burden of ownership. By opting for an operating lease, companies can preserve capital, benefit from flexible terms, and keep their technology and equipment up to date.
This leasing option allows for easier budgeting with predictable monthly payments. Additionally, at the end of the lease term, businesses have the flexibility to return, upgrade, or renew, providing a tailored approach to asset management.
OPERATING LEASE ADVANTAGES
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Leasing diversifies funding sources and doesn’t tie up working capital or credit lines
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No down payment, lower cash outflows
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Operating lease terms typically align with equipment lifespans (4-10 years), easing the lessee's liability repayment.
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Compared to other financing options, an operating lease generally has a less significant impact on a lessee's leverage, partly because the residual value risk is transferred to the lessor
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Lessee may deduct 100% of the operating lease payments as an operating expense
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Operating lease payments are fixed through the lease term allowing more accurate budgeting and forecasting
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Customized terms and quick approval process
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Lease terms can be designed to match a lessee’s cash flow needs. At lease expiry: upgrade, add equipment, purchase or return. Penalty-free walkaway at the end of the operating lease; Ease of equipment return
