Contract Purchase is a vehicle funding method by which a business will pay fixed monthly rentals on a brand new vehicle, over a period of between 2-5 years, with a view to purchasing the vehicle at the end of contract.
The benefit of this is that the vehicle appears on the balance sheet, allowing you to claim capital allowances, but you also get the many accounting and operational advantages of contract hire - fixed monthly payments for easy budgeting, less admin as a result of working with a fleet leasing partner, and you recover VAT on the finance rental.
The Benefits
- Get a tailor-made package - Lease any number of brand new vehicles for up to 5 years and have the option of taking ownership after a fixed term.
- Get better value - Simple monthly fixed costs and the option to reduce taxable profits through tax writing down allowances. VAT efficient for LCVs.
- Keep your fleet moving - We take care of everything from maintenance and breakdowns to end-of-lease collection, to minimise downtime and reduce your costs.
- Get looked after - Your proactive account manager will provide expert advice on your fleet management options and whole life costs.
- Reduced Administration - vehicle maintenance and administration can be managed by our dedicated team leaving you to concentrate on what matters.
Explore some of our other funding options:
How to get in touch
To find out more about our Fleet Funding options call 01332 267 389 or email the team.