lease purchase option

lease purchase option definition - business

lease purchase option

A lease agreement that allows the lessee to purchase the leased asset under stipulated circumstances. For example, a business may sign a lease for a building with an option to purchase the building at an agreed-upon price at any time during the term of the lease. A lease purchase option gives a lessee time to use and evaluate an asset with little upfront money.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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