What Is a Percentage Lease?
It is a form of leasing that links rental income to equipment utilization income. After the lessee pays a certain basic amount to the lessor, the remaining rent is paid based on a certain percentage of the lessee's operating income. In the form of a percentage lease, the lessor actually participates in the lessee's operating activities.
Percent lease
Right!
- It is a form of leasing that links rental income to equipment utilization income. After the lessee pays a certain basic amount to the lessor, the remaining rent is paid based on a certain percentage of the lessee's operating income. In the form of a percentage lease, the lessor actually participates in the lessee's operating activities.