The basis of leasing philosophy is rendered in an idea of profitable use of some investment goods with flexible way of payment that is tailored to the needs of lessee - "Pay as you earn."
In other words, leasing is a special form of financing based on an idea that it is better to use, rather than buy, the object of leasing.
The history of leasing has its roots in distant past and it is significantly older than financial institutions. According to Egyptian sources, the first forms of leasing occurred up to 3000 BC in ancient Egypt during the reign of Menes – the first pharaoh. Allegedly, he often used leasing that is known to us nowadays, that is, he leased farming tools to his farmers.
Also, clay tablets had been discovered and they represent a true and palpable evidence of lease existence. Even the boat rental is known from the times of ancient seafarers and traders – Phoenicians, which is, according to today’s criteria, the first real equipment lease.
Because of the aforementioned facts in the development of leasing, a well known Greek philosopher Aristotle is often quoted, 350 BC he claimed: “The wealth is not in property but in use.”