Is software leasing possible?

Service Business

In the course of running a business, an entrepreneur may have to purchase software the value of which will exceed the budget available for this purpose. What are the possibilities then? He can, of course, apply for a loan, support from EU funds, as well as take the necessary leasing application. The last solution may raise many doubts, but in reality it is not very different from leasing a car or computer equipment. What is software leasing - we explain below.

Leasing of intangible assets

Business software is an intangible asset (according to civil law). Meanwhile, the subject of the lease agreement can only be a tangible thing. Therefore, when concluding a contract, the terms of use should be specified not so much for the use of the software, but for the copyright (license) to it. The other elements of the contract do not differ from the standard regulations.

Its assumption is the same as in the case of fixed assets - the financing party, i.e. the lessor gives the user - lessee, the right to use the thing specified in the contract for a specified period of time, against payment of an appropriate fee (in the form of installments).

However, in the case of intangible assets, there is one other serious complication in the form of the act on copyright and related rights. It results from the fact that very often a product such as software is sold with a license that allows it to be used only by one company (lessor). Therefore, it is necessary to obtain the consent of the manufacturer to grant financing in the form of leasing of items, the further resale of which is reserved through a limited license.

There are several leasing companies on the Polish market that offer computer software.

Software leasing

The procedure for applying for software leasing is no different from the traditional leasing of a car and other fixed assets - it is necessary to submit an application together with the company's founding documents, document financial possibilities and possibly declare own contribution (it is often not required).

What about software updates?

An inherent feature of the software is the need to periodically update it. What does this issue look like in the case of leasing? Unfortunately, lessors often do not agree to finance the renovation, and therefore the entrepreneur should be prepared for the fact that most likely he will have to bear this type of expenditure out of his own pocket.

It is expected that software leasing will be more and more popular among entrepreneurs. Software leasing turns out to be a very interesting alternative, although only a few years ago hardly anyone decided to use this option of cooperation with the supplier.