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Leasing
In its leasing services, Century Tokyo Leasing Corporation purchases the equipment required by a customer and then leases it to them for a given period of time, eliminating the customer’s need to make a large capital investment. These services are useful for long-term equipment use.
Finance Lease
A customer selects equipment and machinery that is then purchased by Century Tokyo Leasing Corporation to be leased over a given period of time to the customer. Almost all costs, including the asset price, interest rates, taxes, and insurance, are paid by the customer as leasing fees over the duration of the lease. This service is useful across a broad range of equipment and machinery and is an advantage for customers who can benefit from outsourced asset management and levelized costs.
Operating Lease
Under this lease contract, Century Tokyo Leasing Corporation, at the point of contract signing, projects the market value of the asset at the end of the lease period and bases the leasing fee on the difference between the current and projected asset prices (i.e., the residual value). As a result, the total leasing fee is less than the cost of purchasing the asset or using a finance lease. This service is primarily of use to customers in need of assets, such as machine tools, printing machinery and construction equipment, that have relatively easy to project market values. Total leasing fees paid by the customer can be reported as cost, providing an off-balance transaction under international accounting standards.
Auto Lease
Under this service, the leasing company assumes the administrative burden of the vehicle. Fees for maintenance leases, common in auto leasing, include those for inspection and maintenance, repairs, and consumable supplies, in addition to various registration fees, taxes, and insurance, thereby significantly reducing the customer’s vehicle management responsibilities. The Century Tokyo Leasing Group offers this service through Nippon Car Solutions Co., Ltd. and Tokyo Auto Leasing Co., Ltd. for corporate customers and through Orico Auto Leasing Co., Ltd. for individual customers.
Rental
This service differs from leasing in that the customer selects a lease asset from inventory already purchased by the leasing or rental company.
The contract period can be shorter than that for a lease and is ideal for short-term equipment use because contracts can be canceled midterm. This service is applicable for general-purpose assets, such as PC equipment, and customers can select models that provide the specifications they require.
Installment Sales
Under this service, Century Tokyo Leasing Corporation purchases an asset selected by a customer, who then buys it through installment payments. We recommend this service for assets that are not suitable for leasing, such as attached structures and interior remodeling of commercial facilities, and for customers who wish to ultimately own the asset. Installment sales are useful for a broad range of capital investments, as they give customers the flexibility to install facilities within their budget or in accordance with their facility upgrade plans.
