Typically, the maximum term for leaseback transactions involving equipment is 60 months. In some cases, the term may be longer, though this is not common. The clear rational for the shorter term on leasebacks is that the equipment’s value will deteriorate too much and the equipment itself will obsolete prior to the completion of the lease, both closely related reasons.
For technology, or computer leasebacks, the maximum term is often 36 months, somewhat inhibiting the size of technology leaseback transactions. If the Asset is Real Estate, the number of Months may be much longer. The number of Months may be up to 180 Months or 360 Months with. If the term is that long, there is often an early payoff option after 24 Months as well as an exit strategy for the borrower. The exit strategy often involves selling
selling the property.
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U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more.
Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business.
Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies.
International Trade Administration – Creates jobs and economic growth by promotingU.S. companies abroad to governments in other countries.
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