The question that was left unanswered on the start-ups’ website is about the hypothetical situation of the start-up going belly-up. In an insolvency situation the lessors would be classified as operational creditors and thus the lease rentals would be amongst the last in priority to be paid, if at all. More such schemes are in the offing, solar panels, fractional aircraft, etc. In the case of solar panels, the investors must purchase the panels and lease them back to the platform. Beware of insolvency risks.

Source: The Hindu January 02, 2024 17:15 UTC