Benefits of van leasing 

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Fixed monthly costs

The key benefits of contract hire are it gives you a fixed monthly cost that makes budgeting easy and it removes the cost of a van from the company’s books. It can also help free up vital capital by lowering the company’s outgoings because contract hire needs only a small initial outlay of money to start the deal. The small upfront payment is because the company that hires the van to you will sell it at the end of the agreed period and recoup more of its outlay, which can be offset against what you pay.

Why lease a van?

Leasing doesn’t require a big chunk of cash – either from your own coffers or a loan – as the cost is spread out over the fixed term of a contract. You’ll just need to put up a deposit, which usually isn’t too big.
Maintenance costs tend to be covered by the leasing company so you won’t have that worry either, and should you grow attached to the van there might be an option to buy it, as explained above. You’ll just need to commit to a ‘lease purchase’ style agreement.

Tax advantages of leasing a van

One of the tax advantages to leasing a van can include claiming up to 100% VAT back on the monthly payments, if your business is a VAT-registered business. This is provided that the van is only for business use.
And like buying a van, you can claim the cost of van rental as an expense when it comes to filing your tax return. Your rental payments can be a tax-deductible expense.

Leasing is flexible

With variable contract duration and mileage terms, you can choose a deal to suit your needs.

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