Trust Bank offers an effective tailor made lease financing options on both medium and long terms basis for plant, machinery, equipment, vehicles and office automation products. We provide each prospective lessee with individualized care and provide personal service to structure a lease according to the lessee’s requirements. We structure the lease in a manner to give your business an opportunity to acquire movable and immovable assets without putting a strain on your cash flows.
- Identify an asset that you need for your business.
- Arrange for the feasibility study of your business, and the impact of proposed acquisition of new assets on the cashflows.
- Trust Bank will purchase the asset(s) and provide you with usage of the asset for a predetermined repayment period structured according to agreed terms and conditions.
- You may arrange for release of your existing cash tied up in recently purchased assets through the ‘sale and lease back’ transaction, which increases the working capital available to your business.
- The following are the flexible leasing options tailored to suit the lessees’ needs:
- Variable rate (KIBOR based) leases
- Step up and step down leases
- Leases with grace period
- Sale and lease back
- Trust Bank will have the ownership of the asset whereas the lessee will avail the economic usage.
- Leasing leads to tax savings as lease rentals are allowed to be charged as tax deductible expense in the profit and loss statement of the lessee.
- Leasing guards against equipment obsolescence.
- Leasing is a hedge against inflation.
- Leasing is acceptable within the Islamic modes of financing as fixed rental payments are made.