Leasing for IP. Features of use

As a rule, leasing is a simple scheme according to which one party purchases from a third party an item that the second party needs - in our case, an individual entrepreneur (IP) for his activities, after which he receives it for use, for which he pays the appropriate (lease) payments of the company. At the end of the contract, when all payments are paid, the item passes from the lessor's property to the property of the individual entrepreneur.

If at some point the individual entrepreneur ceased to fulfill the contract on his part, for example, regularly overdue payments or stopped paying them at all, then the lessor leaves the leased asset in his ownership, thus not incurring financial losses. And those payments that have already been received from the individual entrepreneur remain as rent for the entire period while the individual entrepreneur used the subject of leasing. In other words, this is a financial lease of an object that belongs to non-consumable things - since natural objects and land plots cannot become the subject of leasing, with the right of its further redemption. Leasing is less popular, which provides only a financial lease of the leased asset, without the right to redeem it - in this case, at the end of the contract, the leased asset is returned to the lessor.

The concept of leasing

It should be noted that this service is regulated at the legislative level by the Civil Code of the Russian Federation (paragraph 6, chapter 34) and the Federal Law "On Financial Lease (Leasing)" dated October 29, 1998 N 164-FZ and requires the conclusion of an appropriate agreement. According to this law, both individuals and legal entities can be both a lessor and a lessee, therefore, today any citizens, even those who are not individual entrepreneurs, can enter into a leasing relationship, although before changes are made in 2011. The law stated that property under leasing agreements should be used only for business purposes. In addition, when concluding a leasing agreement, it is mandatory to conclude an appropriate purchase and sale agreement for an item that will act as an object of financial lease and, if necessary, accompanying agreements (for example, a suretyship agreement) are concluded.

Most often, the subjects of leasing are vehicles, various equipment, buildings and complexes, as well as other movable and immovable property.

Pros and cons of leasing services

In fact, leasing for self-employed entrepreneurs offers the combination of a lease together with a loan product, which, after payment in installments of conditional payments, he receives as his property, if the contract provides for a right of redemption. Therefore, we can highlight the following advantages of such a service for entrepreneurs:

• quick receipt of the item necessary for entrepreneurial activity, which the individual entrepreneur is not able to purchase on his own;
• the ability, in the case of many leasing companies, to independently choose the supplier or seller of the desired IP of the subject of future leasing, unless otherwise stipulated by the contract;
• no mandatory need to provide collateral or a guarantor;
• less stringent requirements for the turnover of an individual entrepreneur, as well as for the period of existence of his enterprise on the market;
• no need to provide a business plan - lessors either work with such an object of leasing, or not, and if they do, then it does not matter to them the reasons why the individual entrepreneur needs this object;
• the possibility, if necessary, to agree on a deferred payment, which is almost impossible in the case of conventional credit services;
• the more expensive the subject of leasing that is purchased under the contract, the longer the contract is usually drawn up, which means that the payments and the time period in which they must be paid are more rationally calculated;
• the possibility of early payment of all lease payments, which occurs after a certain period from the beginning of the contract (most often, this is a period of 6 months);
• decision-making by the lessor and the subsequent execution of the leasing agreement is many times faster than obtaining a loan, in addition, the package of documents for the lessor is smaller than for the lender;
• possible tax benefits for individual entrepreneurs on various forms of taxation;
• the absence of commissions from many lessors, which, as a rule, always accompany credit banking programs.

Obviously, there are a lot of pluses, and most entrepreneurs, faced with the problem of lack of funds for expanding or implementing new projects, could overcome it with the help of this service, but poor awareness in this matter leads to loans at inflated interest rates from those who only agree borrow, or other financial difficulties that could have been avoided if only to understand this issue and find a suitable lessor, of which there are already quite a lot in Russia.

However, the terms of leasing for have their drawbacks. At a minimum, this is the need to pay an advance (usually 10-15% of the value of the leased asset), insure the item received for use at your own expense, and most importantly, the lack of ownership of the item until it is fully redeemed. Do not forget also about the possibility of early termination of the contract by the lessor, in case of various violations of the terms of the contract by the individual entrepreneur. For example, in the case of a vehicle, the lessor may provide for the possibility of terminating the contract in case of non-compliance with the terms of technical inspection, accidents, and so on, therefore, when drawing up a contract, you should be extremely careful to familiarize yourself with its terms of performance.

Advantages and procedure for leasing trucks for individual entrepreneurs:

Features of leasing for different forms of IP

As a rule, there are two schemes for obtaining a leased asset for use, based on which it is possible to calculate which tax nuances an entrepreneur should take into account:

• The leased asset remains on the balance sheet of the lessor.
• The subject of leasing is transferred to the balance of the lessee.

Both in the first and in the second case, this important point should definitely be provided for in the leasing agreement as a separate clause. Regardless of which party the subject of leasing remains on the balance sheet, the balance holder must include it in the appropriate depreciation group. Accounting for such transactions in Russia is carried out in accordance with an outdated, but still valid document - “Instructions on the reflection in accounting of transactions under a leasing agreement”, approved by Order of the Ministry of Finance of Russia dated February 17, 1997 N 15, and PBU 6/01 is also used and PBU 10/99.

A very important point is the fact that when fixing the leased asset on the balance sheet of the lessor, the latter may include the amount of tax paid by him on this property in the monthly payments under the contract for the lessee, so this issue must be clarified before concluding the contract. In addition, payments under a leasing agreement are subject to mandatory value added tax (VAT).

As for tax benefits for entrepreneurs on the simplified tax system with the object “income reduced by the amount of expenses”, according to Art. 346.16.1.4 of the Tax Code of the Russian Federation, it is possible to reduce the tax base by the amount of lease payments. In addition, in certain cases, some individual entrepreneurs use art. 346.1.23 of the Code, in accordance with the Letter of the Ministry of Finance dated 22.07.10 N 03-11-11/207. For individual entrepreneurs with an “income” object, expenses incurred under a leasing agreement are not taken into account, which means that they do not affect the amount of tax paid.

What business is profitable to open now? We tell in the article:

Due to the fact that the IP is on the simplified tax system, the VAT amounts presented by the lessor are taken into account by the IP in accounting in the value of the fixed asset, including the amount of payments under the contract and the redemption price. In this case, there is no way for an enterprise on the simplified tax system to recover the amount of VAT it pays, which makes leasing less attractive for simplified people. Therefore, when choosing a lessor, you should look for an organization that does not increase the entrepreneur's costs for additional VAT and other additional costs. Ideally, find an organization that is also on the simplified tax system, which means it does not include VAT in its services.

In the event that an individual entrepreneur is simultaneously in two modes - on the simplified tax system and on UTII, then lease payments are distributed as expenses in proportion to their types of activity. In such a situation, the cost of leasing payments cannot be unambiguously attributed to one or another type of activity. This means that, based on the profitability indicators of each quarter, the expenses are divided in the same proportion, and those that fall on the share of UTII cannot be attributed to expenses that are reduced by the tax base for the simplified tax system. To maintain such accounting for separate accounting of income and expenses in two tax systems, it is customary to open corresponding sub-accounts, which would reflect transactions for different types of activities.

In general, it can be said that for enterprises that are on a simplified or special regime, the main benefit of leasing services lies mainly in the liberal approach of lessors to concluding transactions with individual entrepreneurs, as well as in the speed of the procedure. In addition, lessors often work with their own suppliers (sellers) who can offer the leased asset at a good discount and other nice bonuses like insurance or delivery.

For OSNO entrepreneurs, leasing is a good tax optimization tool and, in most cases, much more profitable than a loan.

Regardless of the taxation system applied by an individual entrepreneur who enters into a leasing agreement, as a rule, such an agreement requires notarization, which implies additional costs of 1% of the agreement amount. Depending on what particular subject of leasing is provided for in the agreement, it may also entail the payment of an additional tax - for example, in the case of vehicle leasing, this will be a transport tax.

Business expansion from an individual entrepreneur is often associated with the acquisition of new equipment (vehicles, tractors, machine tools). The lack of free funds makes you apply to the bank for a loan, which is not easy to get. Leasing is an alternative to bank lending, making it quicker and easier to start working on the necessary equipment.

What is leasing

Leasing services have much in common with loans and leases, but there are also differences. In the first case, the entrepreneur receives a long-term installment payment when purchasing the goods of interest, but becomes the owner only after he pays the entire amount under the contract. Until all the money is paid, the tractor or sawmill he uses will be the property of the lessor. Therefore, it would be correct to define leasing for individual entrepreneurs as a long-term lease with the possibility of redemption.

If, when lending, a businessman borrows money from a bank in order to buy a truck with it, then the leasing company itself purchases this vehicle for the entrepreneur, granting the right to use it for a fee. By returning the money for several years, the individual entrepreneur pays not only the full cost of the truck, but also interest for the provision of this service. An important advantage is the reduction in the tax burden on a businessman when he becomes the owner of this property (for example, due to the fact that the object is depreciated faster with a higher coefficient).

Formally, leasing also includes other types of financial services, which make up three areas. They differ from each other in terms of the useful life of the object and the economic essence:

• Financial lease. After the expiration of the term of the contract, the object passes to the lessee.
• Operational (operational) leasing. After the expiration of the contract, the object remains with the lessor.
• Return lease. The object belongs to the lessee before the conclusion of the contract.

Operating

With operational leasing, the term of the contract is much less than the useful life of the object. Schematically, it looks like this:

1. The entrepreneur and the leasing company conclude an agreement.
2. On the basis of this agreement, the individual entrepreneur uses the equipment he needs (for example, a tractor or an excavator). Periodically, it makes payments for the right to use. It is important that this tractor was already in the possession of the lessor (that is, it was not purchased specifically for this commercial transaction).
3. After the expiration of the term of the contract, the special equipment remains with the lessor and is re-given for use to the same or another client. Redemption at residual value is allowed, but only as an exception.

It is easy to see that in this form the service is a rental in its purest form. Another controversial option is leaseback, which, in fact, acts as a way to obtain a loan secured. For these reasons, it is very controversial to define these two forms of economic relations as leasing. So they are called on formal grounds, giving the opportunity for certain tax benefits.

Financial lease

In this case, the useful life of the service object is equal to the period of the contract, as it should be with leasing services. Schematically, it looks like this:

1. The entrepreneur and the leasing company conclude an agreement, setting the term of the service and the amount of monthly payments.
2. The lessor acquires a financial lease object (for example, a bulldozer or real estate) for the client. The purchase and sale made is fixed by a special contract.
3. The lessee starts using the bulldozer after making the first installment (10-15% of the cost, but possibly up to 35%) and makes payments according to the developed schedule. The leasing company remains the owner of the special equipment for the entire duration of the contract. If during this period the lessor becomes bankrupt, the client continues to pay to the successor.
4. By the end of the contract period, the residual value of the object is negligible. This facilitates the transfer of property to the lessee. Depending on the terms of the contract, the individual entrepreneur takes possession of the bulldozer at no additional charge, or can redeem it at the residual value.

Legal Framework

The conditions for the provision of leasing services (financial lease) are considered in Russian legislation in great detail. Basic documents include:

• Civil Code of the Russian Federation. Chapter 34, paragraph 6, articles 665-670.
• Federal Law No. 164 dated October 29, 1998 “On Financial Leasing (Leasing)”.

This foundational documentation covers the various aspects and stages of leasing. These include questions:

• the subject of the leasing agreement;
• responsibility of the parties and transfer to the tenant of various risks;
• assignment of rights under the contract to third parties;
• responsibility of the client in case of loss of the object of leasing;
• insurance at the conclusion of the contract.

Who provides leasing for individual entrepreneurs

An individual entrepreneur who wants to get a car, special equipment or equipment on a financial lease has a choice of where to turn - as of 2019, over 100 large leasing companies operate in Russia. Similar services are provided by:

• Banks. Credit institutions offer and promote specialized rental services on their own or with the help of subsidiaries (for example, VTB Group has VTB Leasing). The advantage of these structural divisions is that being part of a holding, they can afford larger investments than autonomous organizations.
• Leasing companies. These organizations operate independently and often hold promotions with manufacturers to attract customers (for example, CARCADE offers interest-free leasing on the occasion of its own anniversary). For the lessee, this is convenient, as it helps to save money.
• Manufacturers directly. In this case, the company offers to take a financial lease of its products. Such a scheme is called direct leasing, because the seller and the buyer interact directly, without the participation of the bank. In this case, prices will be the lowest, but the range of offers is limited only to manufactured products (for example, KamAZ-Leasing offers the purchase of trucks from the parent company, KamAZ).

Where to get

Leasing for individual entrepreneurs is a developed service in Russia. Specialized companies and banks offer leasing purchase of cars, trucks, special equipment and industrial equipment. The attractiveness of the conditions of some lessors is increasing due to their cooperation with car manufacturers, periodically held promotions and preferential terms of registration. The table shows some of the major players in the finance lease market.

Terms of receipt

Registration of leasing and credit services is very similar. In both cases, a similar package of documents is required, an application (or online application) is also drawn up and the results of the verification are expected. The basic conditions that companies put forward to the recipient of leasing for individual entrepreneurs are as follows:

• The minimum business experience starts from 1 year.
• The candidate must not be less than 21 years of age.
• The package of documents should include financial information on the business (accounting statements, a summary of the activities of the individual entrepreneur, a business plan, etc.).
• In many cases (for example, when leasing a car), a down payment of 10-35% of the cost is provided.

Drawing up a leasing agreement

After the approval of the entrepreneur's application by the leasing company, the stage of preparation and signing of the contractual document begins. A businessman needs to know that Law No. 164-FZ requires mandatory notarization, which is performed at the expense of the lessee. By signing a leasing agreement for an individual entrepreneur, a businessman gets the opportunity to:

• rent the vehicles, special equipment or industrial equipment he needs (becoming its owner as a result);
• make a transaction at a lower cost than with a loan;
• legally reduce income tax;
• receive accelerated depreciation of the leasing object.

List of required documents

Obtaining leasing services will require the preparation of two packages of documents. The first, less meaningful, is necessary for making an initial decision (approval of an application) for a specialized lease. It includes:

• Application for leasing for sole proprietorship.
• Business financial data (including bank account turnover).
• Accounting report for the last quarter.
• General information about the activities of the IP.

Approval of an application for a financial lease implies the signing of an agreement. In this case, the following documentation is required:

• passport of a citizen of the Russian Federation;
• TIN (taxpayer identification number);
• data on credit/receivables;
• extract from the EGRIP.

The specified composition of the two packages of documents is preliminary / basic. If necessary, the lessor has the right to request additional documentation (for example, an audit report, information about counterparties, etc.), which must be provided. He may also require copies of documents to be notarized.

How to get a sole proprietorship lease

An important detail of the financial lease agreement is the question of whose balance sheet the leasing object will be on (after all, this party will have to pay property tax). There are two options:

• The object of the lease will be on the balance sheet of the lessor. In this case, fiscal deductions are included in the amount of monthly payments (that is, the IP makes them indirectly). At the same time, according to the legislation, the entrepreneur has the opportunity to reduce the tax base by the amount of payments made.
• The object of the lease will be on the balance sheet of the lessee. In such a situation, the individual entrepreneur makes fiscal payments directly and cannot reduce the tax base.

After the execution of the contract, the leasing company acquires a financial lease object for the individual entrepreneur and transfers it to the client. In most cases, contractual terms provide for the businessman to make a down payment before receiving the equipment, real estate, or vehicle. This is convenient for the lessor, because it is an extra confirmation of the client's solvency, but it can be burdensome for the entrepreneur.

There are several types of special forms of leasing that allow minimizing the first payment or obtaining a financial lease in the absence of activity. They will be convenient for entrepreneurs with a lack of available funds, helping in this situation to get cars and equipment on lease for individual entrepreneurs, but may not be so beneficial in economic terms, increasing the final costs.

No down payment

Basic leasing offers for individual entrepreneurs include an initial payment (in the amount of 10-35%). It will be much more difficult to arrange leasing without a down payment, but such a possibility exists. The entrepreneur needs to know that in this case:

• He must have documentary evidence of the success of his business (that is, the ability to make payments in the prescribed amount).
• The object of financial lease must have good liquidity (this condition does not apply to cars for which the down payment is a permanent condition).
• A pledge of property or surety may be required.

For sole proprietors with zero balance

One of the conditions for obtaining equipment or a car on lease for an individual entrepreneur is the analysis of the entrepreneur's financial statements. If for a certain time the individual entrepreneur did not conduct business, then he will have a zero balance with no turnover. In this case, the basis for the decision of the leasing company to grant a financial lease will be the book of accounting for expenses and income, supplemented by certificates from the bank. The entrepreneur needs to be prepared that the lessor will require the transaction to be secured in the form of a pledge (car, real estate, etc.) or a surety.

With state support

There are special programs of state support for small businesses aimed at leasing services. Individual entrepreneurs have the opportunity to receive subsidies from the federal budget:

• to pay the first installment (in whole or in part);
• for the costs of paying for the use of the leasing object;
• to open their own business, providing for the receipt of equipment for financial lease.

Amount of lease payments

The amount of payments that an individual entrepreneur makes for the provided financial lease services consists of several parameters. The main ones include:

• the value of the leased object;
• terms of the contract;
• accrued interest for the services of the lessor;
• the amount of the down payment;
• inflation rate.

For an entrepreneur leasing for an individual entrepreneur, it is very important to know the amount of a one-time payment. When calculating it, special accounting indicators are used and the formula GO \u003d OA + ILR + KLK + DU + VLK + VAT is applied, where:

• GO - annual payment of financial lease;
• ОА - annual deduction for depreciation;
• ILR - use of leasing resources;
• KLK - lessor's commission;
• DU - additional services provided for by the contract;
• VAT - value added tax.

For example, an individual entrepreneur concludes a leasing agreement for the purchase of special equipment worth 1,600,000 rubles for a period of 3 years, with a depreciation rate of 10% and a 15% payment for the services of the lessor. The commission under the contract is 4%, and additional services were not provided. Substituting the value in the formula, the result is found using intermediate calculations:

• VAT \u003d ((1,600,000 rubles x 14%) + (1,600,000 rubles x 15%) + (1,600,000 rubles x 4%)) x 18% \u003d 95,040 rubles.
• GO \u003d (1,600,000 rubles x 14%) + (1,600,000 rubles x 15%) + (1,600,000 rubles x 4%) + 95,040 rubles. = 623,040 rubles.
• Monthly payment = 623,040 rubles. / 12 months = 51,920 rubles.
• The total amount of payments = 623,040 rubles. x 3 years = 1,869,120 rubles.

Procedure and terms of payment

There are different ways to make payments, and in agreement with the lessor, the client needs to choose the most convenient option. Depending on the frequency, financial lease payments are:

• monthly;
• quarterly;
• covering another period fixed in the financial contract.

At the same time, the accrual methods vary depending on the method of calculating depreciation. Payments are:

• Linear. Leasing payments are equal in each month (payment period).
• Decreasing. Under a leasing agreement, for each year (payment period), depreciation is calculated anew - at the beginning of the term, the indicator will be higher than the average, after the middle of the term - less.
• Cumulative. Increasing lease payments, where one of the indicators in the calculations is the number of years of use - in the first years the indicator is small, then it increases.
• proportional to volume. It is used when calculating indicators for industrial equipment, when the volume of manufactured products is used for leasing calculations.

Advantages and disadvantages of leasing

The financial lease service has its pros and cons. Compared to lending, leasing for individual entrepreneurs has the following advantages:

• Prompt receipt of the necessary object of entrepreneurial activity (car, special equipment, industrial equipment, etc.), which the individual entrepreneur is not able to purchase at his own expense.
• The ability to independently choose the supplier (seller) of the necessary goods.
• Not such stringent requirements for the financial performance of individual entrepreneurs, as in lending.
• If a businessman has financial problems, he can get a break in lease payments, doing without penalties for delay and late payment of funds (in the case of a loan, this is much more difficult).
• No need for collateral or guarantors.
• Possibility of early repayment of leasing payments and easier coordination of this issue.
• Decision making and paperwork is much faster.
• Absence of many commissions typical for lending.

But there are downsides to finance leases. These include:

• The need for a down payment (10-35%) in many cases is due to the fact that the lessor wants to receive additional guarantees.
• The obligation of the client to insure the object of leasing for individual entrepreneurs at his own expense.
• For the term of the contract, all rights to the property belong to the lessor. For example, driving a car is by proxy only, and a yearly mileage limit may be imposed.
• Entrepreneurs using the UTII (single tax on imputed income) system for taxation do not have the opportunity to attribute lease payments to income that reduces the taxable base.
• The need for notarization of the transaction. The state duty for this service is 1% of the value of the property.
• The possibility of terminating the contract at the initiative of the lessor in case of violations by the client.

Video

Individual entrepreneurs, especially at the beginning of business development, are not always able to acquire commercial vehicles or special equipment in their ownership. A loan is not a convenient option for everyone, as banks require high solvency and an impeccable credit history from the borrower. In this regard, relatively recently, another scheme for purchasing cars has begun to gain popularity in Russia, which is especially convenient for legal entities or private entrepreneurs - leasing a car. What is car leasing for sole proprietorship?

Principles of operation of leasing programs

Car leasing for individual entrepreneurs and large organizations is actually a rental of equipment with its subsequent purchase into ownership. This is its main difference from the lending system: a loan assumes that the car immediately becomes the property of the new owner. Leasing is just a lease, the car is still owned by the lessor. Only by the end of the lease period, the buyer pays the residual value and receives all rights to the car.

How favorable are the conditions for IP leasing? You still have to pay the first installment to purchase a car, although there are programs without it. As a result, the amount of the car rental fee turns out to be approximately equal to the size of the loan installments. Nevertheless, leasing programs are popular, and many companies and entrepreneurs use them.

What are the benefits of leasing?

• It is beneficial to purchase a car on lease for individual entrepreneurs because the requirements for solvency are much lower than when obtaining a loan. Not all banks generally work with loans for trucks and special equipment, the choice of leasing programs in this area is wider. No credit history is required as the lessee does not become the owner.
• Easier to agree on a convenient payment schedule. The lease term must be at least a year, most often it varies from 3 to 5 years. If the tenant finds himself in a difficult financial situation, then the term may be extended. In this case, the final overpayment will increase, but it is possible to calmly complete payments.
• Leasing companies will take care of their property, so it's easier to register a car. In addition, they often help with maintenance, repairs and other issues. Naturally, the driver is required to carefully handle the machine and timely care for it.
• Leasing for entrepreneurs also helps to ease the tax burden, and this is an important factor. The property acquired in this way is not considered the property of the entrepreneur, which means that it does not need to pay tax on it. All payments for the use of leasing are considered expenses.

Until recently, many people asked the question: is there leasing for individual entrepreneurs, or does this system only work for large companies? However, now the majority of leasing organizations work with individual entrepreneurs according to the same schemes. However, many companies provide leasing only to those entrepreneurs who can confirm the stability of their company. To do this, you will need to submit financial statements for the last period, in addition, all accounting documentation must be correctly executed.

Scheme for obtaining a car on lease

How to lease a truck for IP without a down payment? It is necessary to decide on a leasing company that offers the most suitable program. You need to carefully look at conditions such as the amount of the down payment, the amount of monthly payments and additional requirements for the lessee. The deal is simple:

1. An entrepreneur who wants to develop a business chooses the special equipment that will be needed: most often these are trucks, excavators, tractors, bulldozers, etc., that is, those cars that are abruptly purchased using ordinary loans.
2. Documents are submitted to a leasing company or a bank that works with the same programs. If it is approved, the company acquires the desired car, and a lease agreement will be drawn up with the lessee.
3. Most often, an initial payment is required, it ranges from 10 to 30%. The issue of insurance is resolved in different ways: most leasing companies require the client to issue CASCO, and the lessor becomes the beneficiary. This is a guarantee that in the event of an accident, the company that provided the car will not incur losses. However, there are also programs without CASCO, in which the responsibility for accidents remains with the lessor. Naturally, this is a greater risk, so the cost of renting and buying out will be noticeably higher.
4. The car goes into the use of the lessee, a general power of attorney is drawn up for him. Since the car does not become his property, it cannot be sold or donated.
5. When the lease period comes to an end, the tenant pays the residual value - the last installment, and the documents for the car are reissued. As a result, the machine becomes the property, and the client receives full owner's rights to the special equipment. Car leasing for individual entrepreneurs makes it possible to purchase even very expensive equipment.

Who benefits from leasing a car?

A car for leasing to an individual entrepreneur: “for and against” there are many arguments. Do not forget that since the car is not property, in case of delay, the contract can be easily terminated. To do this, you do not need to wait for a court decision, the power of attorney can always be revoked, and the tenant will be required to return the car. Insurance turns out to be just as expensive as when obtaining a loan, so the financial savings will not be as noticeable.

Buying a car on lease is beneficial only if the business is really developing successfully, and it needs new strength to move forward. Then the leasing scheme will become a convenient opportunity to replenish the fleet, and with its help it will be possible to receive additional profit.

Success in business depends on its proper conduct, the presence of current and non-current assets, among which a significant role is played by the presence of quality supplies and vehicles.

Often, individual entrepreneurs turn to the bank for a loan in order to buy the necessary assets, and it turns out to be unprofitable in any situation. It is better to look at a more suitable option called leasing.

What is this service?

Leasing market statistics show that equipment bought under the agreement of the same name is the most popular. The most popular part of motor transport belongs to specialized and commercial ancillary supplies.

Vehicle leasing provides an opportunity to upgrade the existing vehicle fleet, increase the quality of the business and increase sources of income.

The high initial price of the purchase of trucks and special technical equipment also affects the increase in the popularity of this service. And the purchase of cars under a leasing agreement is not very popular.

Theory and practice

Leasing for individual entrepreneurs can be considered a combination of lending and rent. This makes it attractive to businessmen with zero balances in vehicle and technical costs.

Referring to the theory, leasing is a special form of lending that allows you to buy expensive supplies, vehicles and equipment for production.

The main difference between a lease and a conventional loan is that everything received under the agreement is registered in the name of the lessor, and ownership passes to the recipient of the lease only after he has paid all the money. Leasing services can be used by rushing to a banking or leasing organization.

Banking and universal companies cooperate with all customers. They are working on creating special programs for private entrepreneurs. But there are also organizations that lease one type of car and technical supply leasing.

Leasing for sole proprietors with a zero balance

An advance payment or an initial deposit in a lease is used as an extra guarantee that the client will fulfill his obligations. When the agreement is terminated or the vehicle is returned without redemption, it is given to the client.

Leasing for sole proprietorships with a zero balance can affect the appreciation and terms of service in different ways.

This proposal is put forward by the company "Europlan". The purchase of vehicles on lease without an advance payment is distinguished by a fixed amount of a constant contribution, an increased package of papers, and a check of the client's material well-being.

The leasing company pays significant attention to the financial condition, because it must be sure of the constancy of the client's work.

Where to get equipment

Clients can lease a wide range of vehicles and equipment of any manufacture in many leasing organizations. In the Europlan company, many leasing programs are currently running, including those for businessmen.

Leasing is available for used and new cars, trucks and passenger cars, special equipment.

The largest age of a car that is taken on lease cannot be more than 13 years. As a comprehensive customer service, the organization offers car registration services, as well as insurance services and assistance in case of technical problems. The resolution on the transaction is obtained from two minutes, and the registration process rarely drags on for more than one day.

In the Optimum Finance company, you can purchase vehicles for a promotion from any manufacturer or dealer in Russia.

Separate conditions are offered in the organization "Snide-Group" when registering cargo and passenger vehicles of South Korean manufacture. Services include consulting, technical supply, insurance and more.

Truck leasing for businessmen

Video: Special equipment loan

Kinds

In addition to buying vehicles, with the help of leasing, entrepreneurs can borrow for temporary use with the right to purchase other goods:

• Production and other supply. As in the situation with motor vehicles, the lessor is engaged in technical service. For the purchase of supplies, different leasing schemes can be used - operational, financial and other types.
• Real estate other than plots of land. Leasing of real estate is poorly formed in Russia, this is due to shortcomings in the legislative framework, because many people use leases.
• Special equipment. To obtain it on lease, the same circumstances work as for commercial and freight vehicles.

Clients often use preferential leasing services. The government is going to extend the program to support the leasing of Russian cars.

Numerical regional initiatives of the local government also contribute to the improvement of the conditions for acquiring vehicles on lease, motivating customers with soft tariffs.

Motor transport

Among the variety of types of vehicles available for use under the leasing scheme, trucks and cars are the most famous.

Some leasing organizations offer customers other cars:

• Agricultural transport.
• Freight transport.
• Water transport.
• Taxi.
• Different types of passenger vehicles.

For the purchase on lease of Russian-made equipment of such models as Gazelle, MAZ, KAMAZ and others, more advancing conditions often work - the price is lower and the amount of the initial contribution is lower. But the time of the leasing agreement may decrease.

List of documents

In almost all leasing organizations, a private entrepreneur needs to provide the following papers to complete a transaction:

• Questionnaire.
• Photocopy and original of the passport.
• Papers on registration with the tax service.
• USRIP certificate - photocopy and original.
• Evidence of balance sheet movements for the final year.
• Other papers at the request of the lessor.

Interest rates

The increase in the cost of cars for a client when using leasing can vary from 0 to 20 percent of its price for each year of use.

Leasing conditions are more personal than those for bank loans, so you can find out the right price only by applying for this service.

Requirements

When registering vehicles for leasing, the same requests are made to individual entrepreneurs as when obtaining a bank loan:

• Russian citizenship;
• Permanent employment for at least a year at the time of application.
• Official registration.
• The presence of all the papers that are needed to formalize the agreement.

How to apply?

To register assets for leasing, it is enough to choose the right product (vehicles, supplies, etc.) and go to the leasing organization. The preference of the terms of service can be done by yourself or go to brokers who will choose the right option according to the client's requests.

The execution of a leasing transaction can go in two stages. At the first stage, the client agrees with the lessor on the probability of purchasing certain assets, and the organization first evaluates the client. If the lessor approves the leasing of assets, the client prepares the papers necessary for the transaction.

After checking the client, the lessor buys the equipment to lease it and carries out the necessary procedures, which include: technical service, vehicle registration, technical inspection, etc.

How to close?

Closing a lease agreement depends on its circumstances. In any situation, the client needs to submit an application to the lessor and pay off the debt. The refusal of the client from the services of the organization often entails fines, the amount of which is prescribed in the terms of the contract. In fact, they are equal to one to five installments per month.

Delivery time

Leasing of foreign-made motor vehicles rarely lasts five years, although some organizations, as part of personal or shareholder offers, may agree to complete a transaction for up to seven years or more.

Refers to the leasing of Russian-made vehicles, the duration of this agreement is usually no more than four years.

Advantages and disadvantages

Like any other transaction, leasing has its pros and cons.

Advantages of leasing:

• Efficiency of the design process.
• Lower service cost.
• Flexible working conditions.
• A smaller number of papers than when lending at a bank.
• Tax benefits.
• The likelihood of participating in leasing assistance offers with more suitable service conditions.

Disadvantages of leasing:

• Mandatory insurance of assets as an additional cost.
• Assets do not pass into possession until the end of payments.
• With a simpler taxation scheme, the advantages of leasing are not so expressed in relation to the reduction in tax costs.

Leasing for individual entrepreneurs can be issued faster and more reliably than a bank loan. For individual entrepreneurs with a zero balance, the absence of an advance payment may have a different effect on the rise in price and service conditions.