| The advantages of leasing equipment have been | | | | evolution of equipment leasing in America. Machinery |
| acknowledged for millennia, the first recorded | | | | was required for arms production which would be |
| application of it is dating back to 2010 b.c. in the | | | | unnecessary during peace time after the war, |
| Sumerian city of Ur. Priests of Ur rented land and | | | | increasing the demand for leasing. The necessity of |
| farming equipment to agricultural workers, etching the | | | | affording extra costs associated with equipment lead |
| agreements in clay tablets. Equipment Financing | | | | to the development of operating leases, in which |
| documents have also been discovered in other | | | | equipment such as a truck would be leased conjointly |
| empires such as Babylon, Egypt, Greece and Rome. | | | | with a skilled operator. Long term true leases began to |
| The ancient Phoenicians structured a more modern | | | | grow with the railroad industry. |
| lease in the leasing out of ships, which were more | | | | Postwar progress saw the creation of the first |
| susceptible to depreciated value or destruction. | | | | corporation dedicated primarily to leasing in 1954, the |
| In America, it was first adopted in the 1700's. | | | | U.S. Leasing Corp. Consequently, the options were |
| Transportation equipment dominated the leasing world | | | | refined to provide flexibility for customers and cater to |
| for two centuries, beginning with horses, buggies and | | | | their needs. Vendors began to understand the benefits |
| wagons in the early 18th century to barges, railroad | | | | of leasing their equipment to customers through third |
| cars and locomotives in the late 19th century. The | | | | party corporations or in-house programs. Related |
| 1870's in particular saw an important transformation in | | | | finance laws started to change and adapt to meet the |
| the process with the introduction of what is now | | | | rising demand for equipment financing. |
| termed a true lease, allowing the lessor to retain the | | | | Today, equipment leasing is an important industry, |
| equipment at the end of the lease. | | | | having grossed $218 billion dollars in 2004. It evolved |
| Continuing into the 20th century, economic progress in | | | | from a "last resort" financing option to one which |
| the early 1900's generated an increased attraction | | | | vendors in any industry may take advantage of, from |
| towards equipment leasing. Many citizens during the | | | | high-tech industries to construction companies. Several |
| 1920's enjoyed the lending market to obtain what they | | | | companies use this as a primary method of financing |
| could not immediately afford. Manufacturers took | | | | their equipment. About 85% of businesses in America |
| advantage of lending opportunities, making sales more | | | | today lease equipment, and with continued |
| attractive to customers by offering leasing plans with | | | | advancements in the financial market the industry |
| payment installations. | | | | continues to rise. |
| During World War II, many factors contributed to the | | | | |