An Operating Lease from MAN Financial Services (MFS)
provides a cost-effective solution for customers requiring
use of a vehicle/asset for a specific project over a period
which is shorter than the assets anticipated working life.
For example, a haulage company with a large contract
with a major supermarket chain to move foodstuffs.
The key feature of an Operating Lease is: The operator
has the benefit of a fleet of the most modern, up-to-date
vehicles on the road, whilst making the minimum
monthly repayments.
The haulier simply makes rental repayments based on the
anticipated depreciation of the vehicle, leaving the remaining
capital sum to be met by the proceeds achieved on the
vehicle sale at time of disposal.
Any risks relating to this disposal are included in the
operator’s contractual obligations.
Such action keeps the company’s rental payments as
low as possible - a factor which can obviously help the
company win the contract in the first instance - by enabling
it to tender a competitive price.
An MFS Operating Lease can also be attractive to those
companies wishing to account for their asset finance
commitments on an ‘off
balance sheet’ basis.
For example, companies
which are subsidiaries of
a major plc. Such
companies measure their
performance in terms of
return on capital employed.
If funding for a particular asset was placed ‘on your balance
sheet’, this would have an adverse effect on its capital
ratios. However, by providing ‘off balance sheet’ funding
through an Operating Lease, MAN Financial Services is able
to help you remain within your target return on capital
employed ratio.
An Operating Lease from MFS offers the lowest pre-tax
rentals of any finance scheme.
 Click here to download the Operating Lease brochure
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A MAN Group Company