What Is Percentage Rent?

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.

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