OLG’s Bank Lease Program is designed for domestic commercial and community banking institutions seeking to capitalize on the benefits of the growing equipment leasing market. OLG’s expertise in all areas of equipment leasing provides a bank with the means to access this financial product in an efficient and seamless manner.
OLG can source leases for a bank’s own account that are tailored to the bank’s unique investment parameters. This enables a bank to expand its asset volume, diversify its lending portfolio, and manage its lease portfolio in the syndication market.
OLG can provide a bank with the ability to make a leasing product available to its customers. OLG can evaluate, structure, document and service each lease transaction. This enables a bank to expand its lending product offerings, better service and retain its customers, and hedge against competition.
Benefits of Equipment Leases
- Ability to defer tax payments through the use of depreciation.
- Asset-backed transactions with mitigated investment risk.
- A relatively liquid asset with an active syndication market.
- Upside potential/profit at lease expiration from equipment sale or re-lease.
Benefits of Equipment Leases for a Bank
- Exceed volume and income objectives through the acquisition of specific lease transactions.
- Further diversity within its product line.
- Portfolio management capabilities through the lease syndication market.
- Increase market share by offering this lending option to its customers.
- Meet customers’ needs, deepen existing relationships and cultivate new client opportunities.
- Be less susceptible to competition from other institutions that offer a leasing product.
Benefits of Equipment Leases for a Bank’s Customer
- The customer pays for only the use of the equipment.
- Preservation of the customer’s working capital.
- Provides the customer with financial structuring flexibility which allows the lease to be aligned with the customer’s operational objectives.
- Certain lease structures can achieve off-balance sheet accounting treatment.
- The customer’s lease payments may be tax deductible.
Benefits of OLG as a Leasing Partner
- OLG is run by highly skilled and experienced financial professionals with over 100 years of combined leasing industry experience.
- OLG is a full-service leasing company that can manage the credit, documentation, structuring, servicing, reporting and accounting functions necessary for complex lease finance products.
- OLG works strategically with a Bank to create a leasing program specific to the Bank’s needs and objectives.
- Working with OLG enables a Bank to participate in an investment class that is exclusive to financing institutions with a leasing operation.