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Van finance – The right van at the right price…

We want to make purchasing a new van as easy and affordable as possible. Whether you are a small start-up business or a large established company we have a suitable finance option for you.

Van leasing

In simple terms van leasing is a contract between an individual or business and a finance company. You make an initial deposit and pay a fixed number of rentals over the remaining period (up to 60 months). At the end of the finance lease you will not own the van, you can either enter into a further ‘secondary’ period of hire or dispose of the vehicle retaining the majority of the proceeds.

Van leasing is ideal for companies who want to manage the administration and depreciation of their vehicle, with no mileage restrictions or any potential end of contract charges.

Benefits of van leasing:

• Fixed monthly rentals make budgeting easier
• Repayment period between 24 and 60 months
• You will pay VAT monthly but this can be claimed back if your business is VAT registered
• Corporate tax benefits (subject to VAT status)
• Maximum flexibility and a low deposit required for non-VAT businesses
• No mileage restriction
• Option to include a deferred sum/final ‘balloon’ payment to keep monthly costs low

Free quote

 

Hire purchase

Hire purchase (HP) is the traditional way of funding a new van. You pay a deposit, which is the minimum VAT price of the van, and then pay the remainder of the balance monthly over an agreed period (up to 60 months). After the contract is finished, the van is owned by you.

Benefits of hire purchase:

• VAT deposit is reclaimable for VAT registered businesses
• At the end of the contract the vehicle is yours
• No VAT on fixed monthly payments
• 100% of interest charges can be offset against taxable profits
• No mileage restrictions
• The van is an asset on your balance sheet
• Taxation benefit from depreciating the asset
• Interest is reclaimable against your tax bill

Free quote

 

Contract hire

Contract hire is basically a rental agreement. After making an initial payment you continue to pay a set number of rental payments over an agreed period. At the end of this period you return the vehicle. If the van is in good condition and you haven’t exceeded your mileage commitment there is nothing else to pay.

This finance option is very similar to van leasing with the main difference being that you do not have the hassle of selling your van at the end of your contract.

Benefits of contract hire:

• Fixed monthly payments leave you with no financial uncertainty
• Tax discs are sent to you annually and are included in the price
• Full maintenance package is available (optional)
• Low initial payment, equivalent of 1-3 months rentals which includes VAT. You have the option to increase your first deposit to make monthly payments less
• No depreciation risk
• Hassle-free disposal of the vehicle
• VAT can be claimed back for VAT registered businesses
• Corporate tax benefits (subject to VAT status)
• Non-maintained or maintained. Maintained is an optional extra where maintenance, servicing and/or tyres are included for an additional monthly fee

Free quote

 

We understand choosing the right van finance deal is an important decision which is why we have a team of expert advisors on hand to talk you through each option, allowing you to make an informed choice.

Contact us now on 0845 021 1111 or complete the contact form.