If your business relies on the transportation available to it, then the cost of a fleet of vehicles is going to be a considerable outlay. This expense can potentially be a prohibitive one if you are a relatively small operation: but why spend important cash flow on an expensive product that will only depreciate heavily as soon as you have driven it off the forecourt?
There is another way: leasing your vans and pickups, rather than purchasing them outright. The incentives for businesses to do so are significant:
The cost of your fleet of vehicles will decrease immediately and to a huge extent over time. According to the AA, the average new vehicle will have a residual value of 40% of its purchase price after three years. Put it another way: you may have lost around 60% of vehicle value at an average of 20% per year. Obviously it is not as simple as that, as depreciation can vary according to mileage and condition. Certain vehicles can also depreciate more slowly than others for example: those with a better fuel efficiency, or those models that are newly released to the market.
The only outlay cost required will be the deposit, which is relatively small. After this, the monthly payments are low. Much lower, in fact, than if you were financing a vehicle. If you would like to own the vehicle at the end of the leasing period that can also be made possible, dependent on the terms of your lease.
Vehicles leasing isn’t classified as a ‘loan agreement’ in the same way as vehicle finance, therefore if you do need credit for other purposes, leasing won’t have any effect on this.
Instead of having to purchase second-hand vans if you can’t afford to buy new, you have access to brand new vehicles without having to pay the retail price for them.
There are several tax benefits for businesses that choose to lease its fleets, including 100% VAT exemption on monthly payments.
It is important to choose the right van leasing company in order to get the best deal around. This is where MW Vehicle Contracts comes in. With over 15 years’ experience in the motor industry, its sales advisors are all fully trained and qualified vehicle finance advisors. They are experts in their field and will be celebrating their tenth year of trading in July 2013. Their message to customers is that they are consistently offering unrivalled expertise, customer service and the best possible value for money.
MWVC has unique specialist knowledge within van and pick up leasing and are subsequently able to advise you on what would best suit businesses, as well as putting together attractive packages tailored to specific requirements. Its experience within the industry has enabled it to forge strong relationships with financial institutions, including partnerships with the top vehicle insurance firms. This enables them to negotiate the best possible deals with manufacturers and to pass the great savings on to customers.
MW Vehicle Contracts has a great range of vehicles to choose from to suit all purposes and budgets. Its new stock will include the eagerly awaited new Vauxhall Combo Sportive. Other current best sellers in the extensive range include the Vauxhall Vivaro Sportive, Nissan NV200, Mitsubishi LT200 and Toyota Hilux.
So why wait longer to gain access to the best vans and pickup trucks on the road, at the best prices? For more information and details on how to contact their team visit: http://www.mwvc.co.uk.