An Operating Lease will not run for the full “life” of the asset and the Hirer will not be liable for it's full value. It is the Lender that will assume the residual risk.
This type of lease is normally only used when the asset has a long life span and definitive resale value.
A popular choice for VAT registered companies that want minimum outlay and maximum control of costs, especially when maintenance and relief options are included. |
