Leasing offers the following advantages:
- The lease holder only pays for use of vehicle
- Better liquidity, since the lease holder must no longer provide a large amount of money for purchase
- Fixed budget as precise monthly costs can be calculated in advance
- Minimal sales risk, since the holder is not responsible for finding a buyer after returning the leased vehicle
Leasing has the following disadvantages:
- Commitment to contract over a certain period of time
- Higher monthly costs
- More expensive than purchase