Business Contract Hire
Your business will benefit from access to brand new cars and vans but without the initial capital outlay required to purchase them. The duration of the lease can be set for two, three, four, or five years during which time you will pay a fixed monthly payment.
You can also add relevant services into the contract for a fixed cost providing certainty and helping you to budget for the whole life cost of the vehicle, as an example you can add maintenance, breakdown cover and accident management.
At the end of the lease term, you don’t have to worry about selling the vehicle(s), or wondering what they may be worth on the used car market.
The benefits to your business:
- Reliable new vehicles that are fit for purpose promoting a positive image of your business.
- The choice to select any vehicle currently on the market.
- Fixed monthly payments making it easier to budget.
- Competitive prices thanks to our buying power and relationships with the vehicle manufacturers.
- The flexibility to set and adapt the contract length and agreed mileage.
- Funding is off balance sheet as all "risk and reward" resides with us.
- Mitigate the risks of the used vehicle market, simply returning your cars and vans to us at the end of the lease.
- Rentals may be allowable against taxes, subject to HMRC rules.
- VAT efficient (50% of the VAT on all business rentals can be reclaimed 100% for commercial vehicles).
- Contract hire is a fixed contract, it is designed to run for a specific period of time and can therefore carry some penalty if terminated early.
- You will never own the vehicle.