FAQ
Is equipment leasing available to legal persons only?
Individual entrepreneurs may also lease vehicles or construction machinery if a legal person vouches for them. This legal person in turn must meet the requirements VEB-Leasing has for its potential lessees.
What can be the object of leasing?
Virtually any kind of fixed assets, such as equipment, machines, vehicles, real estate, and the like. NONE of the following may be the object of a leasing deal: land or other natural sites, or property circulated under a special procedure or property restricted for circulation (item 2, Article 3, Federal Law dated 29 October 1998 No.164-FZ On Finance Leasing).
Who chooses the supplier?
The lessee gets to choose the supplier. The supplier may be Russian or international.
What paperwork is required for a leasing deal?
The usual set of documents: constituent documents of the company, basic financial statements - balance sheet with detailed accounts, bank account slips, and tax inspectorate certificates.
Is early closure of the lease contract possible?
Early closure of the lease contract is possible.
It is obligatory to procure insurance for the leased asset?
It is obligatory to procure insurance for the leased asset for the total value of the asset and for the entire term of the lease contract.
What is the percentage of appreciation of the leased asset and what does it depend on?
Appreciation of the leased asset directly depends on the downpayment amount (the higher the downpayment, the lesser the appreciation) and the structure of lease payments.
What is the procedure for signing the deal?
In response to an application, we send out a letter containing a preliminary calculation and the main terms of the lease contract. If the client finds the conditions satisfactory, we request a package of documents that will allow us to analyze the financial status of the potential lessee. If the decision is positive, the parties sign a set of delivery and lease contracts.
What is leaseback and why is it necessary?
Leaseback is a transaction where an owner sells an asset and leases it back, meaning that the seller and the lessee are one person. Leaseback enables the lessee to cover a shortage of liquid assets by selling available property. The lessee continues to use the property while also enjoying tax privileges that come with the lease.
Is it possible to sign a second lease contract before the first contract has expired?
It is.
How can I calculate the amount of lease payments on property I am interested in buying?
Complete the application form on our site, send it to us, and we will calculate lease payments for this deal. The approximate amount of appreciation of the leased asset is provided on website pages devoted to different sectors.
What kind of tax privileges are available under lease contracts?
When calculating amortization of leased assets, it is possible to use accelerated amortization with a maximum coefficient of 3. This is a way for the lessee to get property tax savings. Lease payments are attributed to other expenses in reporting, which allows the lessee to reduce the taxable base. VAT included in each lease payment can be fully deducted by the lessee. Therefore, leasing offers a very convenient way to replenish fixed assets while also optimizing taxes.
Is the leased asset used as collateral in the leasing transaction?
The leased asset will be used as collateral for purposes of the credit agreement under which the leasing company receives funds to finance the transaction.
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VEB-Leasing is an end-to-end leasing company offering industrial equipment, vehicles, and real estate leasing services. Operating on the Russian market since 2003, VEB-Leasing ranks among the majors of the Russian leasing market. We offer both classical finance leasing (hi-tech, high-demand equipment or machinery) and financing of major industrial construction and automation projects.
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