Certified Lease & Finance Professional (CLFP)

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What is the Certified Lease & Finance Professional (CLFP)?

The Certified Lease & Finance Professional (CLFP) designation is the preeminent credential for specialists in the equipment leasing and finance industry. It represents a standard of excellence and a commitment to the highest levels of professional conduct and technical expertise.

  • Official Exam Name & Acronym: Certified Lease & Finance Professional (CLFP)
  • Conducting Body/Authority: The CLFP Foundation. Originally established in 1985 under the United Association of Equipment Leasing (UAEL), it became an independent non-profit organization in 2002 to provide a neutral, industry-wide certification.
  • Purpose of Exam: Professional Certification. It is designed to validate a candidate’s competency across all functional areas of the equipment finance industry, including credits, sales, operations, and law.
  • Geographic Validity: While primarily recognized and based in the United States, Canada, and Australia, the CLFP is globally recognized as the “gold standard” in equipment finance.
  • Level of Competence: Specialist to Executive level. It demonstrates that the individual possesses a “mastery” of the body of knowledge required to operate successfully in the industry.
  • Brief History: The exam was created to unify the industry under a single set of standards. Over the decades, it has evolved from a paper-based exam to a rigorous, computer-based assessment reflecting modern tax laws (like the TCJA) and accounting standards (ASC 842).

Who Can Take the Certified Lease & Finance Professional (CLFP)? (Eligibility Requirements)

The CLFP Foundation maintains strict entry requirements to ensure that only experienced professionals hold the designation. There are two primary paths: the Associate path and the Professional path.

Eligibility Checklist

  • Academic Requirements: No specific degree is mandated, but a foundational understanding of business finance, accounting, and mathematics is essential.
  • Experience Requirements:
    • CLFP Designation: Minimum of three (3) years of verifiable experience in the equipment leasing and finance industry.
    • CLFP Associate: For those with less than three years of experience. You must pass the same exam and then “convert” to full CLFP status once the three-year mark is hit.
  • Documentation Checklist:
    • Completed Online Application.
    • Employment History Verification (to prove the 3-year requirement).
    • Signed Code of Professional Ethics.
    • Two professional references (one must be from a current supervisor or a current CLFP).
    • Valid Government-issued Photo ID (Passport or Driver’s License).
  • Language Proficiency: The exam is conducted in English. While no specific TOEFL/IELTS score is required, candidates must be proficient in professional English to navigate complex legal and accounting questions.
  • Background Check: Candidates must be in “Good Standing” within the industry. Any history of financial fraud or ethical violations may result in a rejected application.

Summary of Eligibility

Criteria Requirement Details
Experience 3+ Years for CLFP; <3 Years for Associate
Education High School Diploma minimum; Bachelor’s preferred
Ethics Signed adherence to CLFP Code of Ethics
References 2 Professional References
Industry Standing Verification of employment in equipment finance

How to Register for the Certified Lease & Finance Professional (CLFP)

Exam Schedule & Availability

The CLFP exam is highly flexible. It is offered on-demand throughout the year. There are no fixed “testing windows,” allowing candidates to schedule the exam whenever they feel prepared. Candidates typically schedule their exam following an Academy for Lease & Finance Professionals (ALFP), which is a three-day intensive review session.

Exam Fees (Detailed Breakdown)

The costs associated with the CLFP are standardized. Note that many employers in the industry subsidize these costs.

Item Fee (USD)
Application & Exam Fee (Standard) $795
CLFP Handbook (Required Study Material) $160 (Digital/Hardcopy)
Academy for Lease & Finance Professionals (ALFP) $700 – $900 (Optional but recommended)
Exam Retake Fee $250
Annual Recertification/Dues $165

Booking Process

  1. Create an Account: Visit the CLFP Foundation website and create a profile.
  2. Submit Application: Upload your resume, references, and employment history.
  3. Payment: Pay the $795 fee via credit card or ACH.
  4. Scheduling: Once approved, you will receive a notice to schedule via ProctorU (for remote proctoring) or at a physical testing center if arranged through a sponsoring company.

Retake Policy

If a candidate fails the exam, they must wait at least 30 days before attempting it again. A retake fee of $250 applies. If the exam is not passed within three attempts, the candidate may be required to wait a full year and re-apply as a new applicant.

Score Validity

The CLFP designation does not expire as long as the professional pays their $165 annual dues and completes 16 hours of Continuing Education (CE) every year.


Certified Lease & Finance Professional (CLFP) Exam Format & Structure

Exam Format

  • Delivery Method: Computer-Based Test (CBT).
  • Proctoring: Live remote proctoring via ProctorU is the standard. This requires a webcam, microphone, and a stable internet connection.

Timing & Duration

Section Duration
Total Exam Time 8 Hours
Format Options Single 8-hour session OR two 4-hour sessions on consecutive days
Breaks Optional scheduled breaks (timer does not stop)

Question Count & Content Domains

The exam consists of approximately 250 Multiple Choice Questions (MCQs). The questions are pulled from the CLFP Handbook and cover the following domains:

  • Operations & Collections
  • Domain Topics Covered Weightage (Approx.)
    History & Purpose Industry origins, types of lessors 5%
    Accounting ASC 842, financial statements, depreciation 15%
    Finance/Math TVM, IRR, HP-12C/10bII calculations 20%
    Legal & Documentation UCC filings, lease types, contract law 15%
    Credit & Underwriting Financial analysis, 5 C’s of credit 15%
    Sales & Marketing Vendor programs, direct leasing 10%
    Asset management, end-of-term, defaults 20%

    How is the Certified Lease & Finance Professional (CLFP) Scored?

    • The Passing Threshold: Candidates must achieve a minimum score of 75% to pass.
    • Negative Marking: There is no penalty for incorrect answers. It is always in your best interest to answer every question.
    • Sectional Cut-offs: There are no specific sectional cut-offs; your total aggregate score determines your pass/fail status.
    • Result Declaration: In most cases, candidates receive an unofficial “Pass/Fail” notification immediately upon submission. Official, detailed results are emailed within 7-10 business days.

    How Difficult is the Certified Lease & Finance Professional (CLFP)?

    Overall Difficulty Rating: Challenging

    The CLFP is not a “participation trophy” certification. It requires significant study, even for industry veterans. The most challenging sections are typically Accounting (ASC 842) and Finance/Math, which require the proficient use of a financial calculator (HP-12C or HP-10bII).

    Historical Pass Rates

    Candidate Category Estimated Pass Rate
    First-time Takers (with ALFP Prep) 75% – 82%
    First-time Takers (Self-study only) 55% – 60%

    CLFP vs. Similar Certifications

    Feature CLFP CFA (Chartered Financial Analyst) CPA (Certified Public Accountant)
    Focus Equipment Finance & Leasing Investment Management Accounting/Auditing
    Industry Specific Yes (High) No (Broad Finance) No (Broad Accounting)
    Study Time 3-6 Months 1,000+ Hours 800+ Hours
    Difficulty Moderate/High Extreme Very High

    When to choose CLFP: If your career path is specifically within equipment finance, commercial lending, or asset-based lending, the CLFP is significantly more valuable than a generalist degree or certification.


    How to Prepare for the Certified Lease & Finance Professional (CLFP)

    Recommended Study Timeline

    • Total Prep Time: 100–150 hours over 3 to 4 months.
    • Phase 1 (Month 1): Read the CLFP Handbook cover-to-cover.
    • Phase 2 (Month 2): Master the financial calculator (TVM, IRR, Lease Payments).
    • Phase 3 (Month 3): Attend an ALFP (Academy for Lease & Finance Professionals).
    • Phase 4 (Final 2 Weeks): Take practice exams and memorize UCC and Accounting rules.

    Best Study Resources

    • The CLFP Handbook (Current Edition): The absolute primary source.
    • The ALFP Academy: A 3-day virtual or in-person “cram session” that historically increases pass rates.
    • Financial Calculator: HP-12C or HP-10bII (essential for the math portion).

    What to Expect on CLFP Exam Day

    • Check-in: If remote, the proctor will ask to see your ID and a 360-degree view of your room.
    • Permitted Items: A physical financial calculator (non-programmable), two pieces of blank scratch paper, and a pen/pencil.
    • Environment: You must be in a quiet, private room. No other people or pets are allowed in the room during the 8-hour window.

    After Passing the Certified Lease & Finance Professional (CLFP)

    Once you pass, you are officially a CLFP or CLFP Associate. You will receive a digital badge for LinkedIn and a physical certificate. To maintain the designation:

    • Continuing Education: You must log 16 hours of industry-related education annually.
    • Annual Dues: Pay the $165 renewal fee.
    • Career Impact: CLFPs often see faster promotion tracks to Vice President or Director roles within banks and independent finance companies.

    Frequently Asked Questions (FAQ)

    1. Can I take the exam without 3 years of experience?
    Yes, you can take it as a “CLFP Associate” and upgrade to full CLFP status once you reach the 3-year experience mark.

    2. Is the exam open-book?
    No. It is a closed-book, proctored exam.

    3. Which calculator should I use?
    The HP-12C is the industry standard, though the HP-10bII is also permitted and preferred by some for its ease of use.

    4. How much math is on the exam?
    Approximately 20% of the exam requires active calculations using Time Value of Money (TVM) principles.

    5. Does the CLFP help with salary?
    Industry surveys suggest that CLFPs earn 10-15% more on average than their non-certified peers in similar roles.

    6. What happens if I miss my recertification?
    There is a grace period, but if you fail to pay dues or log CE credits for an extended period, you may have to retake the exam.

    7. Is the ALFP mandatory?
    No, but it is highly recommended as it focuses on the specific types of questions found on the exam.

    8. Can international candidates take the exam?
    Yes, as long as they have a reliable internet connection for the ProctorU platform.

    9. Is there an annual fee?
    Yes, $165 per year to maintain the designation.

    10. How many CLFPs are there?
    As of 2024, there are over 1,400 active CLFPs globally.

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