Lease IPv4 Address (Advantages, Disadvantages & How)

Generate new revenue for the lessor
By leasing IPv4 address, the lessor can monetize IP address and sell an IP block for a higher price in the future versus in the current market. The lessor can keep the IPv4 block in case of future needs.

The lessee can save the cost of buying IPv4 address
- The lessee can use their capital for other investments, which offsets the cost of the lease as they see their return on that capital.
- The lessee can align its expenses more to its revenues. While in process of renumbering, it is sometimes helpful to have an unused block to renumber it. They can claim old space and reorganize it before reusing them.
- Besides that, during the preparation of migrating to IPv6, leasing is the best solution to get the temporary IP address. This helps to save extra expenses to get unneeded IPv4 address.

Choose the right IP specialist.
This is the starting point of your leasing journey. To ensure your leasing process goes well all the time, make sure you choose the IP specialist that handles it from start to end.
The company should be IP specialist experts in rules & regulations of IP, bargaining price, provides transparent servicing fees, and obtain a high number of IP address on hand.

Evaluate IP block reputations and identify blacklists
IP specialist will check through the RIR registration records and make a verification check on ownership of IPv4 address.
They also have to check on the usage, reputation, and inaccuracies of the IP in the RIR records to avoid any issues in the future.

Setting up the terms of the lease agreement
After the evaluation, the IP specialist negotiates with the two parties to develop the leasing agreement, working on the price, lease length, time, currency, and compliance with applicable regulations.

Payment Facilitation
The IP specialist will create the invoices and ensure a smooth payment process between the two parties.

Issue of LOA
Once the payment is received, the lessor will provide a Letter of Authorization (LOA) and the IPv4 address ready to use by the lessee.