Sale and lease back
Unlock Financial Flexibility
Do you need a short-term influx of capital for your company without a bank loan?
Then we have the solution for you: We realize sale and leaseback for real estate and used machinery:
Do you have valuable machines in your fixed assets and need liquidity quickly? Is a sale out of the question because you still need your machines for production?
Would you like an uncomplicated, bank-independent influx of capital through monetizing your property while retaining all the freedoms of its’ use?
Sale and Lease back (SLB) is a particularly simple and flexible form of financing based on valuable assets.
Mobile or immobile assets are sold from fixed assets to a lessor at the current market value and immediately leased back to the lessee for use. You continue to use the fixed assets without interruption in exchange for a monthly payment.
Immobile fixed assets can be commercial properties such as office buildings, logistics properties, production facilities or industrial-light objects (=mixed areas with office space, storage and administration). Mobile fixed assets include, for example, production machines or highly technologically complex medical devices.
If you are in need of a quick influx of capital - particularly in a crisis situation - the release and the development of hidden assets and reserves through an SLB solution may be the best choice for you. In many companies, a large part of the capital is tied up in valuable machinery or the company's own real estate which cannot be accessed. Financial bottlenecks occur, for example, when customers increasingly do not pay their invoices or pay them late.
SLB allows you to be less dependent on your house bank or other creditors, who often have lengthy, inflexible processes. In the case of SLB of movables (machines, vehicles, equipment and devices) you benefit from easier and less time-consuming processes.
You generate the leasing installments from ongoing operations, as the machines remain on site during the entire process of a Sale and Lease back transaction, continuing to be used by you without interruption. Your day-to-day business is not affected.
Debt rescheduling and additional financing become easily feasible for you. You can, for example, use the fresh capital to pay off old, unfavorable and perhaps high-interest loans and, if necessary, replace them with cheaper loans.
Impending restructuring is easier to implement, as the capital released by SLB improves your external credit rating, i.e. your creditworthiness.
By releasing additional liquid funds, your equity ratio is increased, which means you achieve a better rating with banks. This puts you in a better position in loan negotiations allowing you to negotiate more favorable loans and loan terms.
You may be able to claim leasing installments and special lease payments as operating expenses for tax purposes.
There is no additional collateral required: Sale and Lease back is also possible if you cannot or do not want to provide any or only limited collateral. The collateral is the leased asset itself (whether machine or property).
Since the corresponding fixed assets already exist in the company, you create financing from your own resources while day-to-day business continues without interruption.
This solution is suitable for all companies, regardless of size. It is usually an option for companies from the manufacturing or processing industries when additional liquidity is required quickly.
There are many and varied reasons why an injection of capital may be necessary. It may be that you want to expand, e.g. to open up new markets, want to advance digitization in the company or need to bridge supply bottlenecks for urgently needed raw materials or production parts.
We require that you sell to us either a property (e.g. company building, private house) or a movable asset (e.g. machines, plants, IT equipment) of which you or your company is the registered owner. We then immediately lease it back to you. You remain independent of banks.
In close cooperation with us as lessor, a contract tailored to your precise needs, is drawn up.
The difference between Sale and Lease back and Sale and Rent back is unclear to many. These two forms of financing differ only in their accounting effect. In both procedures, a property or fixed asset is sold by an entrepreneur to a leasing company, such as TRS GmbH, and immediately leased back.
In the case of Sale and Lease back, both the legal and economic ownership are transferred to the lessor. For the lessee, this means a shortening of his balance sheet.
In the case of Sale and Rent back, on the other hand, only the legal ownership is transferred to the lessor. The lessee remains the economic owner. For the lessee’s balance sheet, this means that he cannot claim the leasing installments as operating expenses for tax purposes, but can claim against depreciation and interest. Economic ownership also affects the possible deductibility of VAT.
We will respond promptly! By phone, Monday to Friday, from 9 am to 12 pm
Outside of these times, we offer a call-back service.
We react promptly! By telephone, Monday to Friday, from 9 a.m. to 12 p.m.
Outside of these times, we offer a call-back service.
We react promptly! By telephone, Monday to Friday, from 9 a.m. to 12 p.m.
Outside of these times, we offer a call-back service.
