Key Significance for the Market
The leasing sector is Germany’s most powerful investment engine. In 2019, the value of goods and services financed by way of leasing came to 74.40. Accordingly, 24.0 of all German investments in equipment were transacted by way of leasing agreements. Leasing has become part of the fabric of everyday economic life, in particular for small and medium-sized enterprises. Market studies show that over 80 percent of companies’ financial decision-makers consider leasing as a way of realizing their investment plans.
A Sure-fire Recipe for Success
Leasing puts individually tailored investment solutions within the reach of every company, both in Germany and abroad. Leasing companies are constantly developing innovative financing products, and these days there are hardly any types of economic goods that are not, in principle, leasable. Leasing solutions are available not only for the classical categories of movable and immovable items (i.e. vehicles, machinery, computer hardware and buildings), but for intangible assets as well. The range of assets classified as intangible is wide-reaching, and covers everything from brand rights, patent rights and software to R&D projects in need of advance financing. Leasing also plays a significant role in the propagation of new technologies. More often than not, a leasing agreement can be supplemented with appropriate service components that have the power to transform a dry financial transaction into a highly attractive full-service package.
Advantages of Leasing
Leasing extends a company’s range of investment options and at the same time provides a dependable basis for the calculation of costs.It tends to have a positive effect on balance-sheet structures and credit ratings, yet it is also a highly flexible financing tool, for all leasing investment projects are governed by individual contracts. Furthermore, leasing packages that include a comprehensive range of service components often allow investors to outsource entire investment undertakings. With their knowledge of the markets they serve, and their investment-project expertise, leasing companies make reliable financing partners, and are well-informed advisors.