LEASING VERSUS BUYING:
We often get asked: "Does leasing really beat buying...?"
Well, when the 24-month forecasted depreciation is significantly more than the cost of the 24-monthly rentals for the same new car, then the answer is: "Of course it does...!" . Here's an example on one of our depreciation-beating deals at the moment:
New VAUXHALL ASTRA SPORT HATCH 1.9 CDTi 16V Sri 150 3dr - List Price £18325.00 on the road including Metallic Paint
Used VAUXHALL ASTRA SPORT HATCH 1.9 CDTi 16V Sri 150 3dr - CAP Book Value £9,600.00 (2-years old with 20,000 miles)
Depreciation (i.e. the difference between current new price and current used price) = £8725.00
Our leasing deal on the same new car:
Initial rental (3) + 23 rentals of £189.99 + VAT (based on 10,000 miles per annum)
Total rentals payable = £5,804.50 inc VAT
Saving over 24-months = £2,920
NB: And you can reclaim 50% of the VAT on the monthly rentals if you're VAT registered.
It's that simple...!
Plus:
We deliver to your door - nationwide
Road Tax is included for the duration of the contract
All cars are brand new UK supplied (no imports)
We'll do all of the paperwork for you
|
- BUSINESS CONTRACT HIRE
-
Contract hire for business cars means that you lease brand new cars or vans for a fixed monthly fee, agreed at the start of the contract. At the end of the contract (usually 2 or 3 years), we collect the vehicle. You may then lease another new vehicle, this means that you are always driving a new car or van. Some of the benefits of leasing your company cars through this method include: fixed monthly payments, low initial deposit, minimal administration by the customer, all costs are off-balance sheet, no final payment.
- PERSONAL CONTRACT HIRE
-
Contract hire for personal use is similar to business contract hire, and is specifically designed for the private user. If you lease a new car through personal contract hire, you pay a fixed monthly fee for the life of the contract and at the end we collect the car allowing you to begin a new lease contract on another new car. Some of the benefits of leasing your company cars through this method include: fixed length of contract & monthly payments, freedom to choose a vehicle to suit your budget, low initial deposit, no final payment, no need to worry about depreciation of vehicle.
- BUSINESS CONTRACT PURCHASE
-
The difference between business contract purchase and contract hire is that you retain the option to keep the vehicle at the end of the agreement. This is a more flexible lease method you can return the vehicle, or extend the contract, or keep the vehicle, and you don't have to decide until the contract is over. Business scheme that would suit for example customers operating more expensive vehicles or who are unable to reclaim the maximum amount of VAT. All vehicles are on balance sheet'. This method offers the benefit of Contract Hire with the tax efficiency of ownership.
- PERSONAL CONTRACT PURCHASE
-
Contract purchase for personal cars works like business contract purchase but the contract is designed specifically for the private user, and your options as to keeping or returning the vehicle are open until the end of the contract. Benefits include low initial deposit, fixed monthly payments & the option to purchase the vehicle at the end of the contract by paying the final payment.
- FINANCE LEASE
-
Finance lease works like a contract hire arrangement, but there is usually no option for a maintenance agreement. At the end of a finance lease contract, the lessee becomes the owner, usually upon payment of a final rental. In addition, there are the usual tax and VAT advantages.
|
