Business Van Lease
Car of Van Business contract hiring, otherwise referred to as business leasing is, simply put, a method of renting a vehicle over a long-term period, which is linked to a mileage allowance, that provides your company with a fixed monthly payment plan for any vehicle or vehicles it uses. If your company takes out a business van lease for you, then they can decide how long they want to keep the van for, and simply send it back at the end of the contract, either to walk away from the leasing company entirely, or order a new vehicle on a new contract. Leasing a vehicle can be a simple way to budget and fix the motoring costs of your company, as all a business needs to do is put fuel in the vehicle, assuming they opt for a fully-maintained contract.
When your company buys a car or a van, that vehicle will begin to lose value over time. Contract hire, âEUR~operational leasingâEUR(TM), protects your business from the depreciation risk of owning a vehicle, and can include breakdown cover, maintenance cover, vehicle excise duty and much more. Van or Car leasing is an ideal option for companies who donâEUR(TM)t want to tie up their cash in buying vehicles outright, or have the financial risk of running car or van fleets by themselves. Your company can reduce costs by avoiding the administration of buying, servicing (if this is part of the contract) and disposing of vehicles through contract hiring, as at the end of their contract they simply hand back the vehicle and order a brand new one!
Although a vehicle could actually cost more to buy, the contract hire lease rental costs for a more expensive vehicle could be less, due to the method of setting a contract hire rental. This tends to be because of the different depreciation rates of vehicles and what they think they will sell the car or van for in the future. Because of this, your company can buy vehicles that they may otherwise have thought to be too expensive to fund, and even reduce their C02 emissions by opting for environmentally friendly cars and vans. Remember, contract hire initial payments are generally three months rental, but you can sometimes get flexible offers regarding this, so be sure to ask before you agree to anything. After your initial payment, fixed monthly payments payable by direct debit can usually cover most costs, providing better cash-flow forecasting for your business, and helping you to manage your finances more efficiently.
When your company buys a car or a van, that vehicle will begin to lose value over time. Contract hire, âEUR~operational leasingâEUR(TM), protects your business from the depreciation risk of owning a vehicle, and can include breakdown cover, maintenance cover, vehicle excise duty and much more. Van or Car leasing is an ideal option for companies who donâEUR(TM)t want to tie up their cash in buying vehicles outright, or have the financial risk of running car or van fleets by themselves. Your company can reduce costs by avoiding the administration of buying, servicing (if this is part of the contract) and disposing of vehicles through contract hiring, as at the end of their contract they simply hand back the vehicle and order a brand new one!
Although a vehicle could actually cost more to buy, the contract hire lease rental costs for a more expensive vehicle could be less, due to the method of setting a contract hire rental. This tends to be because of the different depreciation rates of vehicles and what they think they will sell the car or van for in the future. Because of this, your company can buy vehicles that they may otherwise have thought to be too expensive to fund, and even reduce their C02 emissions by opting for environmentally friendly cars and vans. Remember, contract hire initial payments are generally three months rental, but you can sometimes get flexible offers regarding this, so be sure to ask before you agree to anything. After your initial payment, fixed monthly payments payable by direct debit can usually cover most costs, providing better cash-flow forecasting for your business, and helping you to manage your finances more efficiently.
