Novitio's Leasing Price Estimates feature leverages the platform’s extensive Data & Analytics capabilities to provide reliable, data-driven projections of asset values over time. This tool is especially beneficial for leasing companies, banks, and financial institutions seeking to calculate residual values at the end of leasing contracts or to evaluate asset depreciation trends.

Advanced Data Layer for Projections
Novitio enhances its analytics with an additional layer of predictive modeling, designed to offer precise leasing price estimates:

1. Historical price analysis:
- The system uses historical pricing data spanning the last 12-36 months to identify trends and calculate depreciation rates for specific asset categories.
- This allows Novitio to generate data-driven future price estimates, ensuring accuracy and reliability in forecasting.

2. Fixed future timeline:
- Users can select a specific month in the future to receive a projected sales price or residual value for individual assets.
- The estimates are tailored to reflect market trends and the expected decline in asset value over time, providing a realistic view of future asset worth.

3. Asset-specific precision:
- Projections are calculated on a per-asset basis, considering attributes such as model, specifications (e.g., CPU), and historical sales data.
- This granularity ensures the estimates are tailored to the unique characteristics of each asset.

Key benefits for leasing businesses and banks
1. Residual value calculation:
- Leasing companies and financial institutions can use these projections to calculate residual values for assets at the end of lease agreements, ensuring financial planning accuracy.
- This supports transparent and reliable end-of-contract negotiations with lessees.

2. Risk mitigation:
- By understanding expected price declines, leasing companies can better assess financial risks associated with asset depreciation.
- This knowledge helps optimize leasing terms and reduces exposure to unexpected losses.

3. Enhanced business planning:
- The estimates provide critical data for financial forecasting, pricing strategies, and portfolio management.
- Leasing companies can make informed decisions about asset lifecycles, secondary sales, and reinvestment opportunities.

4. Market alignment:
- By incorporating data from both B2B transactions within Novitio and publicly available B2C market trends, the tool ensures that estimates reflect real-world market conditions.

Empowering Data-Driven Leasing Strategies

With Novitio’s leasing price estimates, businesses gain:
• Increased Predictability: Projections based on robust historical data provide confidence in future financial outcomes.
• Competitive Advantage: Leasing companies can offer clients precise, transparent financial models that instill trust and differentiate their services.
• Operational Efficiency: Automated projections save time and effort, allowing teams to focus on customer engagement and strategic initiatives.

A Tool for the Circular Economy
This feature aligns with Novitio’s mission to foster sustainability by encouraging efficient use of assets and extending their lifecycle. Leasing companies can better support the circular economy by accurately valuing and reusing IT assets, reducing waste, and contributing to sustainable business practices.

Conclusion
Novitio’s Leasing Price Estimates bring together advanced analytics, historical data, and market insights to provide a powerful tool for the leasing sector. By making asset valuation more predictable and precise, Novitio empowers businesses to navigate complex financial landscapes with clarity and confidence.