Today Leaders in every industry perform sale-leaseback
transactions to unlock the
value of real estate to improve their balance sheet
and realize tax benefits.
Since sale-leaseback transactions also retain control of
prime locations,
industry experts now see a rush toward leased properties
and sale-
leaseback transactions that include entire
portfolios.
Other benefits of lease back financing include;
Improve the Bottom Line: The proceeds from sale-leasebacks
are included in the profit
and loss statement.
Improve the Balance Sheet: The proceeds from a
sale-leaseback transaction can
reduce debt.
Elevate Operations: Organizations that focus sale-leaseback
proceeds into operations
may see dramatic improvements in operations efficiency.
Report Profitability: Companies that convert non-earning
assets into investment
capital often show improved profitability.
Focus on the Core Mission: Sale-leaseback transactions allow
the owner to focus on
the core mission rather than the real estate portfolio or
facilities operations
What is this lease back arrangement. It is simply
an arrangement where the seller of an asset leases back the same asset from the
purchaser. In a leaseback arrangement, the specifics of the arrangement are
made immediately after the sale of the asset, with the amount of the payments
and the time period specified. Essentially, the seller of the asset becomes the
lessee and the purchaser becomes the lessor in this arrangement.
So consider the options and carefully choose your
technology to gain a competitive advantage
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