Leasing

Business Lease provides full operational leasing to clients who want to fully concentrate on their core business. Clients gain many advantages by outsourcing their car fleet management, including:

The objective of Business Lease is to establish a long term partnership with its clients, based on effective solutions and constant care for the entire car fleet, including a continuing search for possible improvements.

 

 

Full operational leasing is a type of leasing that provides management of the car in addition to financing. The lease contract is comprised of interest and depreciation, weight tax, administrative costs and repair, maintenance and tire expenses, and insurance.

 

The products of operational leasing we can offer:

In an SLB contract, the car is purchased from you, the owner, and leased back, with a selected package of services that best reflects the customer’s needs. This form of leasing is common with customers who are no longer interested in managing their fleet and choose to outsource this aspect of their non-core activities to a specialist – Business Lease.

 

Car Fleet Management can be used in cases where the car must appear on the balance sheet of the customer, or in cases when it would be highly disadvantageous to do otherwise (i.e., financial leasing). In such cases, Business Lease manages the car fleet solely from the operational point of view. The customer does not have to worry about conditions provided by dealers or repair shops, as such control and negotiation tasks are fully managed by Business Lease.

In this model, all risks associated with running the fleet are assumed by Business Lease. The customer is invoiced a fixed monthly fee based on the active leasing contract that reflects the current operational condition of a given car. There is no settlement on maintenance costs or proceeds from sale of the car during the contract or at the end of the contract. These elements are solely assumed as the risk of Business Lease.   

 

Compared to CLC, OLC better reflects the reality of the car fleet, yet it does not ensure a stable cash flow.If you choose an open lease contract, you will share in some of the operating elements. Each year we examine the balance of the revenues of the cars whose leasing contracts have expired in that year; if there is a positive balance on the maintenance and repair costs, you receive the amount of that profit mutually agreed upon in the master contract. If the earnings are negative, Business Lease absorbs the entire loss. These balance settlements are made once a year.