Corporate clients wishing to finance investments over 33. 193,92 EUR / 1 million SKK (using conversion rate 1 EUR = 30, 1260 SKK)

This is a financial lease by course of income tax law. The duration of the financial lease must be at least 3 years. With a suitable structure, the mandatory period of depreciation can be shortened by 40% (for objects in depreciation groups II. and III). On the date the financial leasing contract expires, the purchase price must not be higher than the fiscal book value based on even depreciation (unless the object has already been completely depreciated as of the date the contract expires). Optimal tax savings will allow full amortization, where the sale price is set at the minimum value, (for instance 1% of the purchase price), so that after the transfer of the ownership, a duty of activation does not arise. Apart from tax optimization, a contract drawn up in this way also helps create "hidden" reserves in the lessee's fixed assets.

This is a long-term contractual relationship, in which the lessee utilizes the object of the lease for a set fixed period and makes regular leasing payments. On the expiry of the contract the client is entitled to return the object to the leasing company or exercise its option to purchase the object for a preset residual sale price. The lessee can thus constantly renew its production resources, without being obliged to purchase the object of the lease following the expiry of the leasing contract. We only offer operative leasing to financially strong companies in co-operation with the supplier, which guarantees the leasing company that it will purchase the object of the lease when it is returned by the lessee. Operative leasing must be individually discussed with your bank advisor.

We offer fixed and variable financing. It is necessary to consult the variable financing individually with your Relationship manager. Variable interest rates are tied to the basic reference rate Euribor, which reflects developments on the monetary market. Payment schedules can be flexibly structured. Repayments can be regular (monthly or quarterly) or irregular (based on seasonal and other fluctuations in cash flow). In determining the overall repayment period, apart from client needs, we also consider the duration and form of use of the leased object. If advance payment is agreed, this can be paid as an advance on future leasing payments or as a special leasing payment.

The principle of leasing can best be understood according to the following diagram:

1 Choice of the leasing subject

2 Leasing approval, leasing contract

3 Discussions about leasing subject

4 Purchase contract

5 Instalment payments

6 Service

The object is purchased by a leasing company, which leases it to the lessee against the payment of leasing instalments. Your own resources and loan framework thus remain untouched.

Compare the costs of leasing and the utility value of investment. While leasing instalments are paid from investment revenue the period of use in paid for in advance in the case of direct purchase. Available funds can thus be used more effectively in other business areas.

Monthly instalments will allow a fixed calculation base for the agreed interest period. This will be reflected in the optimization of your investment costs and revenue.

Leasing instalments are tax deductible as operating costs. Operative leasing does not burden the client's balance sheet, because activation takes place at the leasing company. Instalments are evenly divided over the entire duration of the leasing relationship, in the form of time differentiated items, and these are only reflected in the P/L sheet (it is available only for operative leasing, the financial Ieasing will appear in balance sheet). An investment purchased via leasing can be included in tax deductible costs up to 50% more rapidly than in the case of direct purchase.

You can ask for this product/service at any KB Bratislava business center. For further information about this product/service, please contact your Relationship manager or write to us to our e-mail address koba@koba.sk.