Convert a Rental Line to a Leasing Line in (STS201)

This document describes how to convert a rental line to a leasing line in 'Rental Agreement. Open Lines' (STS201).

This can be useful when the customers first request is to rent an equipment, but then decides to lease it instead. It can be converted before delivery, but it is also possible to do after the equipment has been delivered and invoiced as a rental line.

Pricing in a leasing scenario differs from a regular rental scenario or from a regular sale of rental equipment. In this scenario, the pricing is based on a leasing curve.

Outcome

The rental line is converted to a leasing line with curves calculated using the conditions defined during line entry in 'Rental Line. Convert to Leasing' (STS106). If leasing charges are set up for auto-creation via attribute functionality, the leasing line will also have these leasing charges connected as additional charges in 'Rental Agreement. Connect Additional Charge' (STS103).

Before you start

A rental line must exist in (STS201).

For leasing charges to be connected automatically using attribute functionality on the leasing line, the contract item for the leasing charge must exist in 'Contract Item. Open' (SAS450) and this charge ID must be the same as an attribute value connected to the attribute model for this item number in 'Item. Open' (MMS001). The charge ID must also be activated to create a leasing charge through the 'Auto-create charge' setting in (SAS450).

Follow these steps

  1. Open (STS201) for the rental agreement and select the rental line to be converted.
  2. Use related option 46='Calculate Leasing' to open (STS106) for the selected line.
  3. Specify the correct number of periods, interest type, interest rate (defaulted from interest type), residual percentage and sales price in (STS106). Confirm with Enter.
  4. Click 'Display' to view the calculated curves.

    It is also possible to edit curves in (STS106). Press Enter to trigger the calculation of new curves.

    When completed, close (STS106) to return to (STS201).

  5. To view, add or update a leasing charge, use related option 15='Addnl charges' in (STS201) to open (STS103).
Note: If the item number is set up for attribute handling and corresponding contract items exist for the connected attribute values, leasing charges have been automatically created in (STS103).

If a leasing charge that has been added using attribute functionality should be deleted this must be done through the attribute. Use related option 52='Attribute Values' in (STS201) to open 'Attribute Value. Connect to' (ATS101) and remove the attribute value. This will automatically remove the connected leasing charge.

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