Operating Lease

iRent offers its clients operating leases for both legal and physical persons that allows you to upgrade your fleet for a lot less as well as accurately reported expenses. Operating leases will reduce your maintenance expenses. You will be exempt from care related to managing the vehicle such as: registration of cars, filing an insurance damage claim, regular vehicle servicing, tire storage and more. You will not have to keep an entire department that deals with fleet management. The Operating lease offers you the opportunity to use a vehicle in full compliance with your requirements and deadlines without engaging in its realisation after the contract expires.

Advantages of operating leases:

• You have access to a new and reliable car at all times.
• You can select a specific make, model and specifications of the car and it will be provided especially for you.
• You can organize your vehicle fleet according to your needs.
• Equal monthly payments of the lease, guarantees you a much better estimate of  future expenses.
• Use substantial tax relief.
• The monthly payments  are considered current rental expences for external services.
• Do not engage in any way with the maintenance of the vehicle. That is entirely our responsibility.
  • -Regular vehicle servicing at authorized service centers
  • -Renewal of insurance policies and yearly technical inspections
  • -Storing tires
  • -Filing insurance damage claims
• You can count on a replacement vehicle in case of breakdown as well as free roadside assistance.
• You can determine the duration of the operating lease – between 12 and 48 months.
• Do not pay anything upfront in advance, without an initial installment.
• Do not engage in the vehicle’s realisation after the contract expires, you simply have to return it to us.
• You can select a different vehicle after the end of the period, with additional preferences.
• Use up to 20% off  of our standard rent a car services, when your business requires them.

WHY CHOOSE OPERATING LEASE instead of FINANCIAL LEASE

Operating leases – the use of an asset for remuneration

An operating lease is a lease for a long period of time. The Lessee uses long-term tangible fixed assets (LTTFA) by paying monthly dues as rent for the leased asset. Owner is the Lessor even after the expiration of the agreed term. The Lessor remains the owner of the product. The Lessee never acquires ownership over the asset. The Lessee shall comply with certain requirements during exploitation.

Operating leases are for a period up to several years. The Operating lease provides greater flexibility and better adaptation according to the needs of your company. In traditional development of the contractual relationship the lessee returns the leased asset after the expiration of the contract exhibiting due diligence for the period of the lease. By mutual agreement the period of the contract may be extended under the same initial or revised conditions.

From an accounting perspective

The lessee presents the paid lease payments as current expenses for external services and assigns property as an asset behind the balance. The amount of the lease payments are recorded and charged to the Lessor as income following all other tax consequences.

From the customer perspective an operating lease looks like a long term rental of an asset for a specified period – the client could always drive a late-model car.

You can protect against obsolescence of the long-term tangible fixed assets and always have advanced solutions for your business.

For more information please contact us on: 0700 10 310; 00359 889 151 555 or via e-mail at sofia@irent.bg; varna@irent.bg; burgas@irent.bg accordingly.