Why Choose Contract Hire?
The Benefits of
Contract Hire Leasing
|
Fixed
Cost Motoring
Contract hire car leasing is a great way
to keep your cars up to date. Just pay a fixed monthly charge &
you will be provided with a brand new or almost new car every 1-4
years. This hassle free solution provides you with a wide variety of
cars enabling you to drive the car of your choice. |
Reduced
Administration
One of the main advantages companies
receive from car leasing is the significant reduction in paperwork.
Owning & running a fleet of vehicles can be time consuming
& complicated. Car Leasing
means the only thing you have to consider is one monthly payment which
includes all the services you request. |
Maintenance
and Servicing
This type of car leasing contract makes
budgeting easy. All your repair, maintenance & servicing
charges are catered for through a fixed monthly charge. You can choose
to have full roadside recovery & courtesy car included in your
contract. The only areas which are not covered are broken glass
& driver misuse. This type of car leasing policy provides you
with piece of mind & allows you to focus more on the pleasures
of driving. |
VAT
& TAX
Car leasing can be advantageous for your
business in terms of Tax & VAT. This is due to that fact that
VAT registered businesses can get reclaim some of the Vat on monthly
payments. The advantage in terms of tax is that car leasing payments
are allowable against taxable profits. In both these instances the
percentage returnable varies depending on usage & circumstances. |
Improved
Cash Flow
Car leasing can help improve the cash flow
of your business in two significant ways. Businesses which own a fleet
can release a great deal of capital which can be very beneficial for a
company. The second advantage is that car leasing of this sort can be
very cost effective in comparison to other finance deal options
& so save you a great deal of capital in the long run. |
No
Financial Risk
Car leasing
is a useful tool as it allows companies to avoid the problem of
depreciation on their vehicles & also there is no need to worry
about the disposal side once the contract is fulfilled. Contract hire
is becoming more & more popular amongst businesses for these
very reasons. |
Off
Balance Sheet Funding
This type of car leasing can make your
company much more appealing to shareholders, investors &
financial institutions. This is due to the fact that the cars you are
leasing do not appear on your company’s balance sheets. This has the
effect of increasing the profit margin percentages of your company. |
Your
Options at Termination
Once your car leasing contract is
fulfilled you have a number of options available to you. The first
option is to return the vehicle & replace it with a new model.
Alternatively you can extend your contract which enables you to keep
the current vehicle for a set period. The last option is to purchase
the vehicle you have leased. We will give you a quote so you can decide
upon your next course of action. |
