Economics

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Is Leasing Green?

Participants: 
Koji Intlekofer
Summary: 

Leasing services rather than purchasing products is becoming more and more commonplace in today’s markets and industries. Leasing appeals to businesses because of the flexibility and accounting advantages it offers, and protects businesses from changes such as technical obsolescence. However, recent debate has arisen as to the possible environmental benefits that result from the growing use of leases. With leasing, ownership of a product remains with the lessor, making them responsible for disposal.

Leasing services rather than purchasing products is becoming more and more commonplace in today’s markets and industries. Leasing appeals to businesses because of the flexibility and accounting advantages it offers, and protects businesses from changes such as technical obsolescence. However, recent debate has arisen as to the possible environmental benefits that result from the growing use of leases. With leasing, ownership of a product remains with the lessor, making them responsible for disposal.

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