Contract Hire is a popular funding option with fleets of all shapes and sizes. Your leasing company purchases the vehicles you need and can also manage them for you. You pay an agreed, fixed monthly rental cost, with the option to include maintenance if you want it. At the end of your term, the leasing company sells the vehicles.
- Fixed price motoring, benefiting from the leasing company’s purchasing power
- No residual value or maintenance risk (if a maintenance contract is taken)
- VAT benefits include 50% recovery for company cars; 100% recovery for commercial vehicles
- Monthly lease payments are available for offset against corporation tax
- Your vehicles remain a business expense, but never appear on your balance sheet (Subject to current legislation reviews)
- Enjoy fixed, lower monthly payments due to the VAT advantages of leasing
- Operational costs are more predictable, so you can manage your fleet effectively
- You can add ancillary services such as vehicle maintenance, Fleet Administration, or Duty of Care
- You don’t need to worry about having to sell vehicles yourself
- Your cash flow is freed up for you to use elsewhere in your business
- Please be aware that there are cost implications if you terminate your funding agreement early (although this applies to all forms of funding) With Contract Hire you are able to choose from most makes and models of vehicles. Different cars and vans depreciate at different rates, you can often lease a more prestigious vehicle than you could get when purchasing, at the same monthly cost. It’s a flexible service, too – with some leasing companies you can change the agreed mileage or term length if should your circumstances alter.
At Tyson Cooper, we strive to ensure that the recommendations are right for your business. With all Contract Hire vehicles – both cars and vans – you can take advantage of our useful extra services, all designed to take the hassle out of fleet management.
Some of the services we offer are:
- Roadside assistance
- Technical support
- Accident management
- Fleet maintenance management