Vehicle Leasing Contracts - a guide
to different methods of finance.
The following summaries are intended
as guidelines only and are to assist you in choosing
the most beneficial vehicle contract for your particular
circumstances. Particularly in the case of businesses,
the process of reaching a final decision about what type
of vehicle contract to use should include a discussion
with your accountant or qualified professional advisor
who will have an in depth knowledge of your business
and be aware of and understand the any changes in legislation
relating to vehicle contracts.
A good trawl of the Internet will provide you with a
wide variety of conflicting interpretations of what is
involved with each type of vehicle contract. Moreover,
information that was once accurate may have been superceded
by new regulations. We have put a lot of effort into
producing these guidelines on vehicle contracts and consulted
widely, but we are not qualified accountants, alas. So,
notwithstanding what follows, our best advice (and a
principle we adhere to rigidly ourselves) is - talk to
your accountant before making a final choice. If you
have difficulty getting professional advice that you
feel confident in, please call
us and we will be happy to point you to
authoritative sources of information.
You can download the free if you want to know
the tax liability of any vehicle before you choose a
contract.
Follow the links below to see explanations of different
vehicle contracts:
-
Suitable for most businesses, almost half of the UK fleet
market uses this option....
- Personal Contract Hire
is popular with individuals and employers who want
to substitute a cash allowance for the traditional
benefit of a company car....
- Contract Purchase is mostly
suitable for businesses where reclaiming VAT is not
required....
- If you wish
to keep vehicles as a business asset....
- This
type of agreement is available to private individuals....
- An alternative to Contract Hire
where the hirer has the option of paying back the
capital cost of the vehicle over a longer period....
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