A transaction that calls for the lessor to purchase equipment already owned by the customer and then lease back to the customer by the lessor. Allows the customer ability to increase cash flow immediately. Provides capital upfront for other investments. Caution should be exercised as the structure may generate a tax liability up front while any book gain has to be deferred over the lease term - the worst of both worlds.
Your information has been received.
A Forethought representative will respond regarding your inquiry.