Determining Fair Market and Residual Values for Technology Equipment

February, 2003


Just as the residual value or fair market value at lease end is central to a lessor’s profitability, understanding the projected residual value of equipment is a critical factor for your organization when implementing equipment procurement policies and lease management practices. This special report provides precise definitions of terms, an overview of the perspectives of the lessee and lessor, and a guide to negotiating lease contracts consistent with your business objectives. (3 pp., 1 fig.)