What is Business Van Leasing?
Choosing a new van can be a little confusing and time consuming. It’s difficult to know what works best for you and your business.
With so many Van Leasing finance options, it can become time consuming figuring out which solution is the right one; from Business Contract Hire, Business Finance Lease to Business Contract Purchase and Business Lease Purchase. What is the difference?
Van Business Contract Hire
An easy and cost-effective solution to get your business on the road in a brand-new van. Contract Hire is the ideal solution if you’re looking for a van with a fixed monthly payment and the option to add hassle free maintenance. You never own the van, you simply give your van back at the end of the agreement.
What are the advantages of Van Contract Hire?
Business Contract Hire offers you the ability to acquire a brand-new van, with fixed monthly rentals and no financial risk at the end of the term.
What deposit do I need?
Initial deposits start as low as 3 monthly rentals. If you would like to bring down the fixed monthly rental further, you can increase the initial payment to do so.
How much will it cost me?
Your new Van will have a fixed monthly rental, meaning you know from the start to the end how much your van will cost every month. Monthly rentals start as low as £150 per month.
For complete peace of mind, you can add the option to include maintenance and servicing within your monthly rental amount. This is a great way to run a van hassle free without any hidden surprises.
The business Contract Hire company will also arrange the Road Fund Licence for the full term of your van contract.
How long does the contract last?
Van Contract Hire agreements are typically arranged from 24 to 60 months. The contract period will be agreed at the start and is determined by you.
How many miles can I do?
You will need to have an understanding of how many miles you expect to do per year. Estimated annual mileage is set at the beginning of your contract hire agreement. Should you exceed the agreed mileage, you will be liable for paying excess mileage over the amount stated in your contract. Excess mileage is usually charged per mile.
Do I need to be VAT registered?
No, your business does not need to be VAT registered. There are certain funders that do require you to be VAT registered, however, if you state that you are not VAT registered, we will work with our funders that do not have this requirement.
The good news is, if you are VAT registered you are entitled to claim 100% of the VAT on your monthly rental back.
Is there a final payment?
Business contract hire does not have a final ‘balloon’ rental. At the end of your contract hire period, the funder will contact you to arrange collection and inspection of your van. Providing your van has not exceed the contract mileage and meets the criteria set by the British Vehicle Rental and Leasing Association (BVRLA), you will be relieved of your contractual agreement.
Here at Businesscomparison.com, we know your time is money and to make life a little easier, we’ve hand-picked the top business van leasing options.