LEASING - LOW INITIAL RENTAL - LESS CAPITAL OUTLAY...

With leasing, you enjoy all the benefits of vehicle usage, with only a small initial rental, whilst legal ownership is retained by the leasing company.

Initial rental is paid on delivery and monthly rentals are payable over an agreed primary period, with the option of a secondary period of hire – usually not exceeding five years in total.

On conclusion of the lease, the vehicle must be sold to an independent VAT registered party on behalf of the leasing company, with up to 100% of the sales value refunded.

As you do not own the vehicle you cannot depreciate the value. Instead, you are able to offset the lease rentals against your taxable profits, Please refer to the VAT and Tax Comparison later in this guide.

Ideal for VAT registered Businesses. Finance is calculated on the VAT exclusive price and then VAT is added to your monthly rentals. 100% of the VAT on the rentals is reclaimable for commercials, whilst generally 50% is reclaimable on cars.