We offer two leasing options:
Contract Hire with maintenance
You can take out a minibus lease on contract hire with all your maintenance included; annual MOT, scheduled services (based on mileage), roadside assistance, road fund licence and tyres.
Contract hire is suitable for companies and individuals registered for VAT. The main advantage is that the VAT portion is up to 100% recoverable.
If you’re VAT-registered, the VAT portion of your payment is 100% recoverable if the vehicle is used solely for business use. This figure drops to 50% if the vehicle is also available to the driver for personal use.
The vehicle will be hired for a set period of time – typically between 24 and 60 months – and monthly rentals are set based on agreed mileages.
The other main advantage for VAT-registered companies is that up to 100% of your rental can be offset against your company’s taxable profits.
Other benefits of contract hire include:
- There is no risk of depreciation leaving you with an unexpected cost in the future. With no ownership risk on your part, all you need to adhere to is mileage restrictions and wear-and-tear regulations to ensure your monthly costs are all you will pay.
- Administration relating to your vehicles is reduced. For example, road fund licence is renewed for you online so you don’t need to worry about it.
- Your payment is purely a rental, so it sits off your balance sheet, avoiding being classed as a depreciating asset.
Contract Hire without maintenance
This is the same as above but does not include the maintenance of your minibus.