Lease Rental Discounting

Lease Rental Discounting (LRD) is a term loan offered against rental receipts derived from lease contracts with corporate tenants. The loan is provided to the lesser based on the discounted value of the rentals and the underlying property value. It is another method to obtain finance from bank or other financial institute or lending institutes. Lease Rent Discount (LRD) consideration is between the borrower who owns the premises, the tenant who has rented the said premises or taken on lease and the bank or financial institute or Corporate. Loan is sanctioned in 10 to 25 working days. The rent is considered as fixed income over a stipulated time i.e. Lease or rent period or tenure. The agreement is between the borrower and lender and the major term of repayment is the rent which is directly deposited with the lender and not with the borrower. The Borrower is sanctioned a loan based upon the rent to be collected over the period of lease.

Sometimes a company does not have adequate cash on hand or asset liquidity to cover day-to-day expenses we here at Angel Capitals help you fulfil your daily cooperate needs to secure a loan for this purpose. Several companies with high seasonality or cyclical sales usually rely on working capital loans to help them reduced business activity. Manufacturers or operates with this type of seasonality often require a working capital loan to pay their wages and other operating expenses during the quiet period. The loan is usually repaid once company hits its busy season and no longer needs the financing.