Finance Options
The
method of vehicle acquisition will depend on the nature and
requirements of your business. No two businesses are identical which is
why we tailor our finance profile to meet your individual needs and
give you up to six options from which to choose. Financial options include:
Personal Lease
For
private individuals who want a cost effective method of financing and
maintaining a new or nearly new vehicle. Ideal for the employee who
wants to opt out of a company car programme but can also be operated as
a company administered scheme. Lease Purchase
Similar
to traditional HP and more suitable for the non-VAT registered
business that wants to own the vehicle at the end of the agreement.
Contract Purchase
Suitable
for non-VAT registered businesses that want the benefits of contract
hire or for registered businesses that want the operating benefits of
contract hire but the taxation benefits of purchasing.
Finance Lease
For
VAT registered companies who want the vehicles on their balance sheet.
This method offers the choice of paying the entire cost over the lease
period or paying a lower rental with a final terminal payment based on
the resale value.
This format is frequently used to finance
commercial vehicles with the advantage that some finance companies
offer better monthly terms than can be found on lease purchase for
example
Contract Hire
For
companies that want minimum outlay but maximum control over the
operation of vehicles. A single monthly payment can includes
maintenance, servicing, road fund licence, relief vehicles and road
side assistance. At the end of the agreed contract the vehicle is
simply returned. Contract Hire will in most cases offer the lowest
monthly outlay for v.a.t. registered, but be prepared for personal tax
issues.
Conclusion
It
is important to seek professional advice both from your financial
adviser and a vehicle finance consultant who between then can produce
the very best solution to what can be a complicated area of finance.
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