Lease

We are Kingdom Leasing Co. Ltd.
What are you interested in leasing today?

Education Sector

Provision of IT Infrastructure, Laptops and school buses etc

Health Sector

Provision of diagnostic, lab, dialysis machines and theatre equipment

Retail and Trade Sector

Provision of display, storage and processing equipment, motor vehicles.

Energy Sector

Provision of equipment for generation of renewable energy e.g solar equipment

Agricultural Sector

Provision of equipment for processing and production equipment.

Types of Lease Structures underwritten by Kingdom Leasing Co. Ltd:

Direct Lease:

Lease contract that involves identification of the asset from the supplier and on signing of the lease contract, the assets are delivered to you in return for a period payment.

Sale and Lease Back:

Lease contract that involves the sale of assets that you have already acquired and which are up to 1 year old from date of purchase to Kingdom Leasing Co. Ltd and then in turn lease the same assets from us at a periodic rental.

Back to Back Lease:

Lease contract entered into mainly with suppliers who in turn enter into lease contracts with identified end customers.

Stepped Up and Stepped Down Lease:

Lease contract that is structured to have lower rentals at the beginning and which increase over time or a lease contract which is structured with higher rentals at the beginning and which decrease over the lease term.

Key Features of Operating Lease Model offered by Kingdom Leasing Co. Ltd.

  • 100% funding as Kingdom Leasing Co. Ltd. pays for the full cost of acquisition of the asset.
  • Leases structured based on customer’s cash cycle.
  • The lease may be offered as a packaged through structuring the lease with maintenance and insurance thus one predetermined rental (Wet Lease).
  • Execution of one Master Rental Agreement from the onset to cater for lease of various asset categories under one contract.
  • Leases can be multi-currency based on your income streams.
  • Flexible end of term options i.e. either renewal of the lease, return of the asset with no further obligations or purchase through third parties
  • Provision of a lease line (similar to a loan credit line) that allows ease of asset acquisition when assets are required.
  • Assets procured based on customer requirements.

Benefits of Operating Lease
for the acquisition of assets

Cash Flow Benefits:
• 100% funding • Financing of entire solution inclusive of insurance • Lower rental as the payment is not based on 100% capital cost of the asset as you pay for usage and doesn’t pay for the estimated value of the asset assessed at the end of the lease term (residual value).
Taxation Benefits:
• Lease rental is fully deductible over the lease tenor for purposes of corporate tax • VAT spread over the tenor of the lease • Input VAT can be offset against output VAT
Financial Reporting Benefits:
• Off-balance sheet financing resulting in improved ratios such as current ratio, the return of assets, debt to equity. • It provides an improvement in earnings as the rental expenses are constant while compared to interest expense and wear and tear allowance which are on a reducing balance basis.
Technological Benefits:
• Asset risk will be on JBLL if an asset becomes obsolete • Allows faster upgrades to adopt new changes in technology • Convenience: • Rentals will become an operating expenditure • Administrative convenience as one Master Lease Agreement executed for various assets • Facilitates planned replacement • Disposal of assets at the end of the lease handled by JBLL • No need to maintain asset registers by the client
Financial Benefits:
• No additional tangible collateral required

Would you like to learn more about our leasing products?

  • Your contact information

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  • Schedule a meeting date with our leasing team?

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  • Where would you like us to visit your business?

    Any confirmation of a visit will be done by email to you from Kingdom Bank Leasing Ltd.
  • What product area are you looking to lease?

Forex Rates by July 26, 2024
USD: BUY 132.00 SELL 137.00GBP: BUY 167.50 SELL 17570EUR: BUY 140.85 SELL 149.00