Flexible finance solutions
When looking at Leasing, which
is an option for Business Buyers, it is best to consider cars quite separately
from any other type of asset. Car
Leasing is a cost & cash-effective option in acquiring a car for those who
are VAT registered. Repayment costs are calculated on the vehicle cost
excluding VAT - this therefore reduces the monthly payment.
Fixed costs make for easier
budgeting. A residual sum can be built into the deal thus reducing the monthly
payments, this sum to be recovered from the eventual sale. Rentals allowable
against Taxable Profits. When VAT registered, 50% of the VAT payable on the
rentals can be reclaimed. Assuming a satisfactory repayment history at the end
of the primary period, the lessee (the customer) can sell the car to a 3rd
party (refer to the individual lease agreement) and retain the majority of the
sale proceeds.
The amount can vary but we will
not work with Lessors who do not refund at least 85 to 95%. Some will go even
higher.
PLEASE NOTE – when you come to
sell a leased car, VAT must also be charged!
If you would like a quote please
call us on 01603 258780
Written Quotes available - All
facilities subject to status