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Leasing in Latin America
Despite the cultural differences and political uncertainties that some investors face, Latin America is an attractive forum for foreign investment and is home to some of the largest economies in the world (Brazil and Mexico). Its proximity to the U.S. and its consumer demand make Latin America a profitable place for business.
During the 1990s, foreign investments in Latin America substantially increased due to the prospering worldwide economic conditions and the privatization of many state-owned sectors. Since then, Latin American economies have gone through ups and downs as a result of many socio-economic changes.
Today, certain U.S. leasing and financing companies are looking at Latin America as a possible investment venue, but do not know where to start or what to expect. Applying a U.S. business model to a Latin American leasing business instead of crafting a customized strategy might cause the investment to fail. Companies should understand the challenges that may arise among the different countries, and plan accordingly.
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