Leasing Buildings Advantages and Disadvantages

Table of Contents Introduction Advantages Disadvantages Sale of the Company’s Headquarters Building Reference List Introduction The purpose of this business report is to analyze and discuss the advantages and disadvantages of leasing buildings, medical equipment and office furniture and equipment. This analysis should explain how the company will benefit (or lose) from selling its headquarters and leasing them back from the buyer.Advertising We will write a custom report sample on Leasing Buildings Advantages and Disadvantages specifically for you for only $16.05 $11/page Learn More It is essential to understand the pros and cons of such an action before embarking on it. Thus a professional investigation should reveal the advantages and disadvantages of selling and then leasing the company’s headquarters as opposed to maintaining them. Through understanding this breakdown, the management will be in a better position to decide whether to sell or maintain them. Advantages Leasing can be defined as the act of obtaining something (for example property, equipment, or building) from another person (the owner) for a specific period of time under a lease agreement and payment of lease charges. One benefit of leasing is that it trims down the cost of ownership of essential assets whose expenditure involves colossal amount of cash. Through leasing, an individual can be able to finance many assets compared to purchasing only one brand new asset. Another advantage of leasing is that, one is relieved off the worry of disposing an asset once it is worn out. All assets (except land) depreciate in value and become obsolete with time (Anon. â€Å"Advantages and disadvantages of lease financing for businesses†, 2005). The owner has to dispose off the assets that can no longer be used and obtain new ones. However, the person leasing the equipment is under no obligation liable for replacing the assets once they are worn out an d leaves them as they are once the lease period is over. Under leasing, one pays a fixed rate every month which is also inflation friendly. That is, as inflation rises the lease rate remains constant over a period of up to five years. Another advantage of leasing is that, one is able to utilize equipments by renting only the necessary equipments. Once a lease period is over, a person can be able to upgrade with technology by leasing new equipments as opposed to owning old and outdated equipments which would be difficult or rather expensive to dispose and buy the new ones. Leasing also has tax benefits that depend on the structure of the lease (Anon. â€Å"Leasing in Business- advantages and disadvantages†, 2009).Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Disadvantages Leasing is a form of financing that is preferred by many businesses, although not all. Before leasing, certain things has to be put into consideration such as the type of equipment required, and the kind of business. Also one has to consider the tax implications between leasing and purchasing the equipment. One of the bad things about leasing is that it becomes expensive in the long run as opposed to owning the item. In leasing one can rent an item over long periods of time and will never own the item (Wakelin, et al 2003). If the money spent on leasing can be accumulated it would by far be more than the actual money that would have been spent if the item was bought from the very start. Another disadvantage is that, if the lease agreement is terminated before it expires, mainly because of damage, then the person leasing the item in question will be expected to pay additional charges on top of the lease charge. Not everyone can lease equipment, before being allowed to get any equipment through leasing; one has to prove credit worthiness and good employment history. This becomes an advantage for one who is buying the item since there are no qualifications that have to be met. Sale of the Company’s Headquarters Building One advantage the company stands to benefit from by selling its headquarters building is an increase in its current liquidity status which can be used to expand production. By leasing the building, the company will have to pay a small amount of money every month giving it a chance to expand the business and concentrate on more productive ventures. Another advantage is that it will not have to lease the entire building but can lease some offices and utilize them for maximum production. By leasing, the company is not required to cater for depreciation but will only pay the lease charges as agreed irrespective of the period of time it remains on the leased building (Enterprise Financial solutions, Inc 2002). One disadvantaged of selling the buildings is that, the company will receive a significant less amount of money than it had spent to put up the b uilding or to purchase it when it was still new. By leasing the building, the company will not have equal rights over the building like before and will be expected to maintain it in a good condition. The new owner has a right to terminate the lease agreement if the company messes around with it and will be expected to pay an additional charge to repair the building. In the long run, the company will pay a higher amount of money that the amount obtained at the time of sale (Spiritleo, 2010).Advertising We will write a custom report sample on Leasing Buildings Advantages and Disadvantages specifically for you for only $16.05 $11/page Learn More I would therefore advice the management of the company not to dispose the building because the long run benefits of maintaining it surpass the proceeds obtained from selling it. The building can also be used as collateral for borrowing loans from financial institutions which would otherwise be difficult if the comp any has no tangible assets. Reference List Anon. (2005). Advantages and disadvantages of lease financing for businesses. Allbusiness.com. Web. Anon. (2009). Leasing in Business- advantages and disadvantages. Web. Enterprise Financial solutions, Inc (2002). Advantages of leasing. Web. Spiritleo (2010). Advantages and disadvantages of leasing. Web. Wakelin, et al (2003). Leasing equipments for business. Web. This report on Leasing Buildings Advantages and Disadvantages was written and submitted by user Hug0 to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

How to Conjugate French Regular -IR Verbs

How to Conjugate French Regular '-IR' Verbs There are five main kinds of verbs in French: regular -er, -ir, -re, stem-changing, and irregular. Once youve learned the rules of conjugation for each of the first three kinds of verbs, you should have no problem conjugating regular verbs in each of those categories. Regular -ir verbs are the second-largest category of French verbs. Indeed, these verbs are often referred to as second conjugation verbs. The verb form that ends in -ir is called the infinitive, and -ir is the infinitive ending. (In English, by contrast, the infinitive is the verb preceded by the word to.) The French verb with the infinitive ending removed is called the stem or radical.   Conjugating Regular French -ir  Verbs To conjugate regular  -ir  French verbs, its best to run through an example, step by step. Conjugate the French word  choisir  (to choose), for example, by following these steps: Remove the infinitive ending (-ir)  to find the stem (also called the radical).Note that the stem- the verb without  the  -ir ending- is  chois.Add the appropriate simple conjugation ending/s shown in the table in the next section. Note that the conjugation table below does not include  the  compound tenses, which consist of  a form of the auxiliary verb  and  the past participle.  Choisir  normally requires the auxiliary verb  avoir  (to have) in  compound tenses and moods. For  example,  Jai  choisi  would  transelate  as I have chosen. But, if you were to extend the sentence, you would delete the  present perfect, as in:   Jai  choisi  deux  là ©gumes verts. I picked (chose) two green vegetables.   Example Conjugations To conjugate an -ir verb in the present tense, remove the infinitive ending and then add the appropriate endings. For example, here are the present tense conjugations for the regular -ir verbs  choisir,  finir  (to finish), and  rà ©ussir  (to succeed): Pronoun Ending choisir chois- finir fin- russir russ- Je -is choisis finis russis Tu -is choisis finis russis Il -it choisit finit russit Nous -issons choisissons finissons russissons Vous -issez choisissez finissez russissez Ils -issent choisissent finissent russissent Some Common French Regular -ir Verbs French regular -ir verbs, the second largest group of French verbs, share a  conjugation pattern. Here are just a few of the most common regular - ir verbs: Abolir  Ã‚  to abolishAgir  Ã‚  to actAvertir  Ã‚   to warnBà ¢tir  Ã‚  to buildChoisir  Ã‚  to chooseà ©tablir  Ã‚  to establishà ©tourdir  Ã‚  to stun, deafen, make dizzyFinir  Ã‚  to finishGrossir  Ã‚  to gain weight, get fatGuà ©rir  Ã‚  to cure, heal, recoverMaigrir  Ã‚  to lose weight, get thinNourrir  Ã‚  to feed, nourishObà ©ir   to obeyPunir  Ã‚  to punishRà ©flà ©chir  Ã‚  to reflect, thinkRemplir  Ã‚  to fillRà ©ussir  Ã‚  to succeedRougir  Ã‚  to blush, turn redVieillir  Ã‚  Ã‚  to grow old Exceptions: Irregular -ir Verbs Most of the French -ir verbs are regular verbs, which conform to the previously discussed rules for conjugation. Its important to keep in mind that there are a number of  irregular -ir verbs  in French. These verbs can be tricky, but there is some good news: Only about 50 irregular -ir verbs exist in French, and they have only 16 conjugations. To simplify things further, most of those fall into just three groups. The first group of irregular  -ir  verbs is essentially conjugated like the verb  partir  (to leave).  This  group includes such verbs as: Consentir   to consentDà ©partir  Ã‚  to accordDormir   to sleep  Endormir  Ã‚  to put/send to sleep The second group consists of verbs that end in  s of these verbs include: Couvrir  Ã‚  to cover  Cueillir  Ã‚  to pick  Ã‚  Dà ©couvrir   to discoverEntrouvrir  Ã‚  to half-open In the third group, verbs such as  tenir  (to hold) and  venir  (to come) and their derivatives follow a shared conjugation pattern in the present tense. Note, however, a major difference in the compound tenses:  Venir  and most of its derivatives use  Ãƒ ªtre  as their  auxiliary verb, while  tenir  and its derivatives use  avoir. Wild Cards The remaining irregular  -ir  verbs dont follow a pattern.  You just have to memorize the conjugations for each of the following verbs separately. Luckily, they are among the most frequently used French verbs, so memorizing their conjugations is completely worth the trouble. They include: Acquà ©rir   to  acquire  Ã‚  Asseoir   to sitAvoir  Ã‚  to haveConquà ©rir   to  conquerCourir  Ã‚  to run