Finance Options to suit your situation
For a quotation, help, or advice contact your local
dealership and ask to speak to a Finance and Insurance
Specialist.
Find out more about our Finance Options:
Contract Hire
Contract Hire is the leasing of a vehicle for a fixed period of
time at a fixed monthly rental.
The choices of vehicle and contract terms are flexible to meet
your individual needs and requirements.
Benefits of Contract Hire
- Flexible rental pattern
- Fixed monthly costs which can include maintenance
- More capital available for your core business
- Off-balance sheet borrowing
- No depreciation risk
- No disposal problems
- VAT on rentals reclaimable if Maintenance included.
- No disposal problems
- Administration and Management transferred to provider
Contract Hire enables companies to release cash normally tied up in
outright purchase and allows them to opt for a low deposit followed
by fixed all-inclusive monthly rental.
The low cost attributed to contract hire is because the
financial lender is able to reclaim the VAT on the new car and pass
the savings onto the hirer in the form of low monthly rentals
Contract Hire has a market share of 40% and is still rising.
The leasing company calculates a residual value for a vehicle at
a set age and mileage contract and charges the user a monthly fee
to cover the depreciation over that period plus a funding charge
along with add-on services such as maintenance and gap
insurance.
At the end of the duration of the contract, the vehicle is sent
back to the provider with no further obligation to either party,
subject to terms and conditions.