IHL Leasing

Subsidiaries

IHL provides both structured operating and finance leases. We engage in financing the purchase of tangible assets.

LEASING

Background

Leasing is an agreement between parties where one party (IHL) transfers the right to use the asset to another party (customer) for a defined period. IHL provides both structured operating and finance leases. We engage in financing the purchase of tangible assets. During the rental period, the legal owner of the assets, but ownership is effectively conveyed to the lessee, who incurs all benefits, costs, and risks associated with ownership of the assets.

Objectives of Leasing

It allows a lessee to own an asset with the help of finance from the lessor at the end of the lease term, subject to certain terms.

Lease Payment or Rentals

This is the sum paid by the user of the asset (lessee) to the owner of the asset (lessor) for the right to use the asset over a period and as per the lease agreement. Lease payment is also called lease rental and is paid for a fixed period which is called a lease term. The lease rentals may be fixed, variable, or both. This will be clearly spelt out in the agreement including the frequency of rental payments.

Clientele

The clientele ranges from retail (individuals, cooperatives, and associations) to small and medium-sized companies and large corporates.

Steps:

Lessee identifies the equipment and the supplier or lessor of the asset. A formal request is forwarded to IHL. The request is reviewed for viability. Lessee enters into an agreement with the lessor if approved. Lessor delivers the asset to the lessee and duly monitored over the lease period.