Article: Interim Rent: Equipment Leasing?s Trap Door
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Interim Rent: Equipment Leasing?s Trap Door
Many lessees enter into what they believe to be competitive lease transactions based on faulty rate assumptions. Most lease rate calculations don?t take interim rent into consideration. Interim rent is the trap door that allows lessors to receive increases in lease pricing. It is unpredictable and the amount can be arbitrary. By understanding how interim can impact your lease, you can close this trap door and enjoy the lease pricing you thought you negotiated.
What is Interim Rent?
Interim rent, also known as stub rent, is the rent that a lessor charges a lessee from the time the lessee accepts the leased equipment until the official lease start date. Most leases start on the first day of the month following equipment acceptance. In a lease with monthly paymen...
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